Obama Says Government Is Working to Ease Joblessness

WASHINGTON -- President Barack Obama said his economic team was examining additional infrastructure spending, energy-efficiency incentives, business tax cuts and other measures to spur job creation to deal with the highest unemployment rate in 26 years.

In a Rose Garden speech Friday, the president vowed the government would do more to bring unemployment down from October's 10.2% rate. But soaring federal budget deficits and Democratic lawmakers' skittishness after the party's setbacks in Tuesday's elections could limit Mr. Obama's options. The White House budget office already has asked cabinet agencies to present two budget requests for fiscal 2011, one that freezes spending at current levels and another that cuts spending 5%.

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