Stimulus working, Summers tells GOP

WASHINGTON, Oct. 12 (UPI) -- U.S. President Obama's top economic adviser, Larry Summers, defended the economic stimulus bill Monday in a letter mailed to Republican congressional leaders.

House Republicans wrote to the White House last week to encourage the creation of new tax breaks for businesses to spur job creation, The Hill reported.

In his letter, Summers said the stimulus package succeeded in stabilizing the economy and reversed the housing and financial markets' downward trend.

"Thanks largely to the (American Reinvestment and) Recovery Act, alongside an aggressive financial stabilization plan and a program to keep responsible homeowners in their homes, we have walked a substantial distance back from the economic abyss and are on the path toward economic recovery," Summers wrote in his letter to House Minority Leader John Boehner of Ohio.

"Most importantly, we have seen a substantial change in the trend of job loss," Summers wrote.

Responding to Summers' letter, Boehner said in a statement, "We need to help small businesses create jobs, but the Democrats' proposals for more of the same stimulus spending are the wrong approach and an (acknowledgment) that the first one isn't working."