Bush: Economy Strong Enough to Handle Turmoil

In a campaign appearance in Jacksonville, Fla., McCain said, "The fundamentals of our economy are strong, but these are very, very difficult times." He told supporters, "I promise you we will never put America in this position again. We will clean up Wall Street."

McCain later told a rally in Orlando, "The American economy is in a crisis today." He reiterated his faith in the strength of the economy's "fundamentals," which he identified as the American worker, innovation, entrepreneurship and small business. But he added, "Those fundamentals are being threatened today" because of "greed and corruption" on Wall Street.

"We're going to reform the way Wall Street does business and put an end to the greed that has driven our markets into chaos," he said. "We'll stop multimillion-dollar payouts to CEOs that have broken the public trust. And we'll put an end . . . to running Wall Street like a casino."

Campaigning separately in Colorado, McCain's running mate, Alaska Gov. Sarah Palin, echoed his remarks rejecting bailouts and called for a "complete overhaul" of the nation's financial system, also without giving specifics.

"Washington has been asleep at the switch, and ineffective," she said. "John McCain and I are going to put an end to the mismanagement and abuses in Washington and on Wall Street. . . . This is going to be one of the highest priorities of our administration."

She blamed not only federal policymakers but the heads of private financial houses, who she said put their own interests ahead of their employees' and shareholders' interests.

Senate Majority Leader Harry M. Reid (D-Nev.) described the shakeup on Wall Street as "the legacy of the Bush-McCain economic policies that have failed this nation." He said in a statement: "Failing to police lenders and neglecting to protect consumers ushered in the subprime crisis that has brought the American economy and Wall Street to their knees. This 'anything goes' approach to governing has resulted in lost jobs and carries an enormous price tag for the American taxpayer."

Rep. Rahm Emanuel (D-Ill.), chairman of the House Democratic Caucus, took aim at McCain's remarks on the economy.

"John McCain keeps proving just how out of touch he really is," Emanuel said. "Last week, he said he was 'divorced from the day-to-day challenges people have.' Today, he said 'the fundamentals of our economy are strong.' All the while, unemployment is up, costs are rising, incomes are declining, and [former Fed chairman] Alan Greenspan says we're in a once-in-a-century financial crisis. Only George Bush and John McCain can say the economy is strong and keep a straight face."