US Treasury Secretary Mr Paul O'Neill led a vigorous cheer for the US economy today, saying conditions were
"solid" despite the crisis of confidence that has pummeled Wall Street.
"I think were going to have three to 3.5 per cent real growth” in the second half of the year," O'Neill told Fox television.
It would be "a reasonable growth rate ... we're looking for a continuation of what we've been seeing," he added.
"The US economy is without any doubt the strongest economy in the world," he continued, asked about the stock market's recent tumble.
"For the long term I'm a deep believer in the potential and the reality of the greatest economy ever conceived, and people who invest in our economy are going to win," O'Neill said.
Asked if slumping stocks and consumer debt might undercut consumer spending that drives two-thirds of the US economy, O'Neill said "the facts about consumer debt are in fact improving ... (and) consumer credit delinquencies are actually decreasing."
Asked about administration plans to enhance growth, the Treasury chief said "it is really important that we not overspend ... (or) require the American people to pay more taxes."
He also echoed President George Bush's call on the Senate Saturday to move quickly to pass Trade Promotion Authority -to boost White House trade deal negotiating powers - a homeland security bill and legislation on rules and access to pension funds.