President Bush Proposes Reforms, Defends Capitalism

In advance of the G-20 economic summit, President Bush addressed the Manhattan Institute on the global financial crisis.  His proposed reforms included bolstering accounting rules, requiring credit default swaps to be processed through a central clearinghouse, and modernizing the IMF and the World Bank.  In addition, Bush made the case for free-market capitalism:

  • Free market principles offer the surest path to lasting prosperity.

  • The greater threat to economic prosperity is not too little government involvement in the market, but too much involvement.

  • The surest path to sustained economic growth is free markets and free people.

  • The free market system promotes social justice and human dignity.

  • Leaders around the world must reject the temptation of protectionism.

For a summary of the speech from Bloomberg, click here, and for an official transcript, please click here.