The United States has experienced several years of robust economic growth, and Americans again have confidence in their economic future. A reduction in the corporate tax rate from the second highest in the world to one on par with our trading partners; the low rate on capital gains; allowing business to deduct in a single year investments in equipment and technology, while eliminating tax loopholes and ending corporate welfare, have spurred innovation and productivity, and encouraged companies to keep their operations and jobs in the United States. The Alternate Minimum Tax is being phased out, with relief provided first to middle income families. Doubling the size of the child exemption has put more disposable income in the hands of taxpayers, further stimulating growth.

Congress has just passed by a single up or down vote a tax reform proposal that offers Americans a choice of continuing to file under the rules of the current complicated and burdensome tax code or use a new, simpler, fairer and flatter tax, with two rates and a generous deduction. Millions of taxpayers are expected to file under the flat tax, and save billions in the cost of preparing their returns.

After exercising my veto several times in my first year in office, Congress has not sent me an appropriations bill containing earmarks for the last three years. A top to bottom review of every federal bureaucracy has yielded great reductions in government spending by identifying programs that serve no important purpose; and instigating far reaching reforms of procurement and operating policies that have for too long extravagantly wasted money for no better purpose than to increase federal payrolls.

New free trade agreements have been ratified and led to substantial increases in both exports and imports. The resulting growth in prosperity in countries from South America to Asia to Africa has greatly strengthened America's security and the global progress of our political ideals. U.S. tariffs on agricultural imports have been eliminated and unneeded farm subsidies are being phased out. The world food crisis has ended, inflation is low, and the quality of life not only in our country, but in some of the most impoverished countries around the world is much improved.

Americans, who through no fault of their own, lost jobs in the global economy they once believed were theirs for life, are assisted by reformed unemployment insurance and worker retraining programs. Older workers who accept lower paying jobs while they acquire new skills are provided assistance to make up a good part of the income they have lost. Community colleges and technical schools all over the country have developed worker retraining programs suited to the specific economic opportunities available in their communities and are helping millions of workers who have lost a job that won't come back find a new one that won't go away.

Public education in the United States is much improved thanks to the competition provided by charter and private schools; the increase of quality teachers through incentives like merit pay and terrific programs that attract to the classroom enthusiastic and innovative teachers from many disciplines, like Teach for America and Troops to Teachers. Educational software and online teaching programs endorsed by qualified non profits are much more widely in use, bringing to the smallest classrooms in America some of the greatest math, English, and science teachers in the country. This revolution in teaching methods has especially benefited rural America. Test scores and graduation rates are rising everywhere in the country.

Health care has become more accessible to more Americans than at any other time in history. Reforms of the insurance market; putting the choice of health care into the hands of American families rather than exclusively with the government or employers; walk in clinics as alternatives to emergency room care; paying for outcome in the treatment of disease rather than individual procedures; and competition in the prescription drug market have begun to wring out the runaway inflation once endemic in our health care system. More small businesses offer their employees health plans. Schools have greatly improved their emphasis on physical education and nutritional content of meals offered in school cafeterias. Obesity rates among the young and the disease they engender are stabilized and beginning to decline. The federal government and states have cooperated in establishing backstop insurance pools that provide coverage to people hard pressed to find insurance elsewhere because of pre-existing illness.