24 Jan 2009

Republicans come up with their own plan

9:11 pm on 24 January 2009

America's Republican Party, which says it's being shut out of helping to shape President Obama's economic stimulus plan in the House of Representatives, has issued its own version of the plan.

Republican House Majority leader John Boehner says he's sceptical that some of the spending in the bill will kickstart the economy. Some Republicans are saying it's too expensive and won't work.

The President's plan, which includes tax cuts and a vast infrastructure spending programme, is supposed to save or create three to four million jobs.

The Republican version relies on cutting the lowest individual tax rates and also includes tax deductions for small businesses and a ban on tax increases to pay for new spending.