Jan. 3 (Bloomberg) -- President-elect Barack Obama said that Democrats and Republicans need to act with urgency to address the “great and growing” economic crisis, warning of double-digit unemployment if swift action isn’t taken.

“These are America’s problems, and we must come together as Americans to meet them with the urgency this moment demands,” he said today in his weekly radio address. “If we don’t act swiftly and boldly, we could see a much deeper economic downturn that could lead to double-digit unemployment.”

With the U.S. amid its worst economic slump since World War II, Obama said he is looking forward to meeting with leaders of both political parties in Washington in the new week. Job losses are likely to continue this year, as economists surveyed by Bloomberg News in December forecast the jobless rate to rise to 8.2 percent by the end of 2009 from 6.7 percent in November.

The incoming 44th president, back on the U.S. mainland after a 12-day vacation in Hawaii, is working on a package of tax cuts and spending on infrastructure, such as roads, bridges and transit systems, to stimulate growth and create 3 million jobs. Eighty percent of these will be in the private sector, he said.

‘Tough Choices’

“We must make strategic investments that will serve as a down payment on our long-term economic future,” Obama said.

Citing a long-term goal of reducing the federal deficit, he said there would be “tough choices” ahead on spending, without being specific.

Obama advisers and congressional Democrats estimate the stimulus plan may total $850 billion. Some economists are recommending as much as $1 trillion.

Economists surveyed by Bloomberg last month projected gross domestic product would shrink in the fourth quarter by 4.3 percent, the biggest decline since 1982. The unemployment rate last reached 8 percent in 1984 and 10 percent a year earlier.

The stimulus package must pass Congress, and Representative Chris Van Hollen, the Maryland Democrat who is a liaison between Congress and Obama’s transition team, said Congress aims to have a package on his desk by Jan. 20, the day Obama will be inaugurated. “That may not be possible, but this is an urgent situation,” said Van Hollen in an interview on “Political Capital with Al Hunt” on Bloomberg Television.

‘Buy American’

Obama will meet privately with Democratic congressional leaders on Jan. 5 in the Capitol and will hold discussions later with leaders in both parties, said Brendan Daly, a spokesman for House Speaker Nancy Pelosi. The president-elect and lawmakers will discuss the stimulus measure and other legislation slated to move in the first weeks of the congressional session, Daly said.

Obama’s advisers are considering including a “buy American” provision in the economic-stimulus legislation that the incoming administration has made its first priority.

“We are reviewing the buy American proposal and we are committed to a plan that will save or create 3 million jobs, including jobs in manufacturing,” said Jen Psaki, a spokeswoman for Obama’s transition team.

Van Hollen said the focus should be on investing in areas where American industry will benefit.

Still, he said the aim of the legislation wasn’t to “set up walls” and that the stimulus would be aimed at generating jobs in the U.S., not triggering a trade war.

To contact the reporter on this story: Hans Nichols in Chicago at hnichols2@bloomberg.net

Last Updated: January 3, 2009 15:27 EST