WASHINGTON, Nov 4 (AFP) - US President George W. Bush said Thursday economic growth and spending discipline would cut his record budget deficit in half, as he has promised.
Bush has vowed to halve the 2004 budget gap of 413 billion dollars -- the shortfall between government spending and income -- by 2009 with a curb on spending, except for defense, and pro-growth policies.
Congressional spending bills should be "fiscally responsible," he told his first news conference since reelection.
"The other way to make sure that the deficit decreases is to grow the economy," Bush said.
"With good economic policy that encourages economic growth, the revenue streams begin to increase. As the revenues streams increase, coupled with fiscal discipline, you'll see the deficit shrinking."
Bush called for budgetary reform in Congress, saying he would like to gain a "line item veto" -- the power to reject expenditure items in a bill without rejecting the entire piece of legislation.
"I think it would help the executive branch work with the legislative branch to make sure we're able to maintain budget discipline," he said.
The president said he had spoken to lawmakers who questioned whether his administration had the will to reform "entitlements" such as pension and healthcare payments to ensure fiscal discipline.
"The answer is yes. That's why I took on the social security issue. I believe we have a duty to do so."
Federal Reserve chairman Alan Greenspan and some economists have called for steps to control health and pension payments so as to ensure the system can cope with the influx of retirees from the baby-boom generation.
11/04/2004 17:41 GMT - AFP