and to set America on a new course for the future, Bermuda's finance Minister challenged Bermudians to a cooperative effort toward long term success. It is truly remarkable how similar the challenges are except for one gigantic difference. President Clinton included near record tax increases and Dr. David Saul proposed virtually no increase and strategic tax cuts.

Of course, President Clinton has just been elected and Dr. Saul's government faces an election. However the difference in the challenges indicates very forcefully just how sound Bermuda's basic economy is despite the worst recession since the 1930s. Bermuda's economy and Bermudians have suffered in this recession but the Country has survived without borrowing to pay its current expenses. Because we had only debt for capital projects which we could handle, we remained in better shape than the United States which has a huge national debt. The US national debt means that the United States is indebted to other countries for its daily living. President Clinton told America that in cutting Government and raising taxes he was asking Americans to contribute more today so that all Americans can do better tomorrow. Dr. Saul told Bermudians on Wednesday that he has minimised the burden on future generations of Bermudians. Dr. Saul said he would borrow only for major capital projects which provide construction industry jobs and he cut taxes rather than raising taxes. President Clinton announced billions in expenditure to provide jobs and "jump start'' the US economy. Dr. Saul announced tax breaks on small business, the hotels and individual taxpayers which can fuel Bermuda's economy. That is remarkable for a small Country with a limited economy. Of course, if President Clinton does succeed in "jump starting'' the American economy it can only be good news for the travelling public and for Bermuda.

Yes, Dr. Saul has given Bermuda an election Budget but every democratic government does that. The important thing to remember is that past care for Bermuda's economy, care which Presidents Reagan and Bush did not exercise in the United States, has placed Bermuda in a sound economic position. Bermuda's finances have been well managed by a succession of Finance Ministers.

President Clinton is attempting in a recession to clean up an enormous financial mess by raising taxes and cutting government. Dr. Saul is able to give Bermudians a tax break when they are in recession and is wisely also cutting government. President Clinton is freezing Civil Service salaries. Dr.

Saul declined to give legislators a raise.

Both men want their countries to be less costly and more efficient. Dr. Saul placed great emphasis on the Civil Service being more responsive to the public. Both men also asked the country to come together and to work out of the recession. Dr. Saul said, "In the coming year, all of us who collectively comprise Bermuda Inc. must work together and avoid conflict and selfish behaviour at all costs.''