President Barack Obama said Tuesday that the actions taken by the government are beginning to have a positive effect in reversing the U.S. economic crisis.

Speaking at his 2nd televised news conference from the White House, Obama said signs of progress are being seen from the efforts of his administration's stimulus program and the Federal Reserve.

Obama said the multi-part strategy will take time to be reverse the economic problems that developed over a number of years.

Speaking specifically about the controversy over the government's bailout of troubled insurance giant American International Group (AiG) and the company's awarding of bonuses to many of its executives, the president said the government lacked the authority to intervene in ways similar to those effecting the banking industry.

Will press for that intervention authority, Obama said. We don't have the tools right now.

Addressing his newly submitted budget plan, the president noted higher spending in the areas of energy efficiency, health care costs and growth rates, saying it will be impossible to balance the budget in the future without addressing those issues now.

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