By Ian Pannell BBC Washington reporter

Levi Strauss is among the US firms that have cut jobs

President Bush is embarking on a nationwide tour this week to promote his controversial $550bn (�343bn) tax cut proposals, and to fend off criticism of his handling of the United States economy.

The US Congress is weighing up the size and scale of the administration's fiscal stimulus plan.

The White House has indicated that it is prepared to compromise on the president's original proposal.

As the Iraq conflict slides down the news agenda, the Bush Administration is turning its attention to the economy - seen as a key issue in next year's presidential elections.

Stumbling recovery

The US recovery is proving slower than expected.

The country is facing record-breaking deficits and most damaging of all for the White House, unemployment is at an eight-year high.

So the president is jetting off to America's heartland to try and push the tax cuts he sees as the remedy for both jobs and growth.

The reality is that the administration will have to accept a scaled-back plan as opposition in Congress to the full proposal is overwhelming.

The pre-election campaign for the 2004 presidential race has already begun in the US.

Polls show the main concern for most Americans is the economy.