Obama Touts Good Economic News, Yet Warns More Job Loss to Come

By Jacqueline Klingebiel

Oct 31, 2009 6:00am

ABC News' Jordyn Phelps and Sunlen Miller report:

President Obama touted good news in the economic recovery in his weekly address, pointing to Thursday’s report that GDP has grown for the first time in over a year and credited his administration in helping to bring about a conclusion to the current economic recession.

“We can see clearly now that the steps my administration is taking are making a difference, blunting the worst of this recession and helping to bring about its conclusion,” the president said in his weekly address.

While President Obama was cautiously optimistic, noting the 3.5 percent GDP growth in the third quarter means little to those who are still unemployed, he said “we will not stop” until the United States achieves a complete economic recovery.

“Economic growth is no substitute for job growth,” Obama said. “And we will likely see further job losses in the coming days, a fact that is both troubling for our economy and heartbreaking for the men and women who suddenly find themselves out of work.”

Though the economy is still in the process of recovering, the president reiterated that the efforts of his administration have averted the United States from experiencing an even more severe economic recession than the current one.

“We’ve acted aggressively to jump start credit for families and businesses, including small businesses, which have seen an increase in lending of 73 percent,” President Obama said. “We’ve taken steps to stem the tide of foreclosures, modifying mortgages to help hundreds of thousands of responsible homeowners keep their homes and help millions more sustain the value in their homes.”

The government released new numbers Friday on Recovery.gov estimating that the act can be credited with creating or saving over one million jobs across the country because it has been in place over the last seven months.

“We’ve saved jobs by closing state budget shortfalls to prevent the layoffs of hundreds of thousands of police officers, firefighters, and teachers who are today on the beat, on call, and in the classroom because of the Recovery Act,” the president said. “And we’ve also created hundreds of thousands of jobs through the largest investment in our roads since the building of the interstate highways, and through the largest investments in education, medical research, and clean energy in history.”

The president put particular emphasis on the measures the Recovery Act has taken in spurring the development of the green industry. He noted his trip to Florida this week, during which he announced a $3.4 billion investment by the government in energy projects across the United States.

The president concluded his weekly address by wishing Americans a happy Halloween.

–Jordyn Phelps and Sunlen Miller

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