WRAPUP 3-Obama seeks swift passage of U.S. fiscal package

Tue Jan 6, 2009 2:24am GMT
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*Obama says country "in a very difficult spot"

*Republicans like significant tax cuts in stimulus

*Former Clinton chief of staff Panetta named for CIA

*Obama sees stimulus package by early February

By David Alexander and Richard Cowan

WASHINGTON, Jan 5 (Reuters) - With the economic outlook darkening, U.S. President-elect Democrat Barack Obama went to Congress two weeks before taking office to try to entice Republican support for a massive stimulus package with talk of big tax cuts.

"We are in a very difficult spot," Obama told reporters as he huddled with economic advisers and shuttled between meetings with Democrats and Republicans in the House of Representatives and Senate. "The situation is getting worse."

Although Obama acknowledged the big economic stimulus bill -- now put at as much as $775 billion over two years -- will not be waiting on his desk when he takes office on Jan. 20 as he had wanted, some key Republicans were moving to his side.

"I think there will be widespread Republican enthusiasm for having a significant percentage of the package be tax relief," Senate Republican leader Mitch McConnell said after meeting with Obama.  Continued...

 
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