President Obama traveled the nation this week stumping for economic stimulus and how it can aid small businesses. On one stop, he visited an electric truck factory in Kansas City, MO that plans to hire 50 more workers, thanks in part to a government plant.

Obama said his policies are helping small businesses thrive during economic uncertainty.

"What government can do is lay the foundation for small businesses to expand and to thrive, for entrepreneurs to open up shop and test out new products, for workers to get the training that they need, and for families to achieve some measure of economic security," Obama said.

But critics say some administration policies are creating economic uncertainty economy, making some entrepreneurs afraid of expanding or hiring right now.

The International Monetary Fund says that to improve economic growth longer term--the White House and Congress have to get tough with reducing budget deficits. 

The IMF suggested policymakers consider cutting Social Security spending and increasing consumer and business taxes. The body also urged banks to raise more capital -- in part because of  bad commercial real estate loans.

 

Peter Barnes joined FOX Business Network (FBN) in September 2007. He serves as FBN's senior Washington correspondent.