Oct. 8 (Bloomberg) -- Democrat Barack Obama and Republican John McCain, fresh off their second debate, headed for battleground states today, continuing to skirmish over the economy, health care and where they want to take the country.

Obama accused McCain and his running mate, Alaska Governor Sarah Palin, of spending more time attacking him personally than focusing on crucial issues. He sought again to link the Arizona senator to the economic policies of President George W. Bush, whose approval ratings are at or near all-time lows.

``I can take four more weeks of John McCain's attacks, but America can't take four more years of John McCain's Bush policies,'' Obama told a crowd of several thousand today in Indianapolis.

First in Bethlehem, Pennsylvania, and then in Strongsville, Ohio, McCain kept up his attacks on Obama's record and experience.

``What Senator Obama has said today and what he's done in the past are often two different things,'' said McCain in Strongsville, where he was introduced by Brady Quinn, the backup quarterback for the Cleveland Browns and former Notre Dame star.

Obama is campaigning extensively in Indiana, which borders his home state of Illinois and hasn't voted for a Democratic presidential candidate since 1964. Most recent polls in the state show him within a few percentage points of McCain with 28 days until the election.

Pennsylvania's Role

McCain is targeting Pennsylvania, which has gone Democratic in the last four presidential elections, and Ohio, a swing state without which no Republican has won the White House.

``Pennsylvania will have a great role in determining the next president of the United States,'' McCain told a cheering crowd of several thousand in Bethlehem.

As he did in the debate last night, the Arizona senator led off by telling his audience that if elected he would order the Treasury secretary to carry out a plan to buy mortgages directly from homeowners and reset the terms as a way to stem foreclosures.

Though he didn't give details, Douglas Holtz-Eakin, McCain's chief economic adviser, said on a conference call today that the plan relies on authority already provided by Congress. The $700 billion rescue plan for financial markets passed by Congress last week already allows the Treasury to purchase and restructure mortgages.

Subprime Loans

McCain, 72, again blamed the current financial crisis on subprime loans ``that were pushed on people who could not afford them,'' resulting in a buildup of unsustainable debt.

``This corruption was encouraged by Democrats in Congress and abetted by Senator Obama,'' he said.

He also accused Obama of being misleading about his health- care plans and on taxes.

Obama today went after McCain's comments on health care in last night's debate in Nashville, calling the Republican's plan to overhaul health coverage ``radical.''

McCain's proposal to give every family a $5,000 tax credit to purchase health insurance amounts to a ``bait and switch,'' said Obama, who called health care a right.

``He didn't mention last night that he'll also tax your benefits for the first time in history,'' Obama, 47, said. ``And he didn't mention that the average health care plan costs $12,000, not $5,000.''

Stocks Falling

With U.S. stocks falling for a sixth day in spite of passage of a $700 billion plan to stabilize financial markets, Obama urged the public not to panic about the economy.

``I know that many of you are anxious about the future,'' Obama said. ``But this isn't a time for fear or panic. This is a time for resolve and leadership.''

Obama and McCain both lauded moves by the Federal Reserve, European Central Bank and four other central banks to lower interest rates in an unprecedented joint effort to ease the economic effects of the worst financial crisis since the Great Depression. The Fed cut its benchmark rate by a half point to 1.5 percent.

``I hope that this global response continues as leaders of major financial institutions and representatives from nations around the world gather in Washington soon,'' Obama said, referring to the G-7 meeting of finance leaders this week.

The McCain camp has been aggressive in seeking to raise questions about Obama's character. Palin during the weekend criticized the Democratic nominee for his association with William Ayers, a former member of the Weather Underground radical group who now is a professor at the University of Illinois in Chicago. She called Obama someone who would ``pal around with terrorists who targeted their own country.''

Counterattack

Obama's campaign responded by launching a Web site about McCain's relationship with former savings-and-loan executive Charles Keating during the 1980s collapse of the industry, seeking to draw comparisons with today's market upheaval.

Introducing McCain at today's event, Palin didn't repeat those attacks. She did keep up her criticism of Obama's experience and accused him of looking ``backward'' by linking McCain to the Bush administration.

McCain's wife, Cindy McCain, also joined in the attacks. Noting that their younger son, Jimmy, is a Marine deployed in Iraq, she said, ``The day senator Obama decided to cast a vote to not fund my son when he was serving sent a cold chill down my body.''

Obama, who opposed the Iraq war, last year cast a vote against a version of legislation that funded the military but didn't include a timetable for withdrawal. He has voted to continue funding in other cases. McCain voted against a version of the funding legislation that included a withdrawal timeline.

To contact the reporters on this story: Kim Chipman in Indianapolis at kchipman@bloomberg.net; Hans Nichols in Strongsville, Ohio, at hnichols2@bloomberg.net.

Last Updated: October 8, 2008 18:57 EDT