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diff --git a/.gitattributes b/.gitattributes new file mode 100644 index 0000000..6833f05 --- /dev/null +++ b/.gitattributes @@ -0,0 +1,3 @@ +* text=auto +*.txt text +*.md text diff --git a/5046-h.zip b/5046-h.zip Binary files differnew file mode 100644 index 0000000..b34759f --- /dev/null +++ b/5046-h.zip diff --git a/5046-h/5046-h.htm b/5046-h/5046-h.htm new file mode 100644 index 0000000..32580fe --- /dev/null +++ b/5046-h/5046-h.htm @@ -0,0 +1,4802 @@ +<!DOCTYPE html PUBLIC "-//W3C//DTD XHTML 1.1//EN" + "http://www.w3.org/TR/xhtml11/DTD/xhtml11.dtd"> + +<html xmlns="http://www.w3.org/1999/xhtml" xml:lang="en"> + +<head> + +<meta http-equiv="Content-Type" content="text/html; charset=ISO-8859-1" /> + +<title> +The Project Gutenberg E-text of State of the Union Addresses, by Ronald Reagan +</title> + +<style type="text/css"> +body { color: black; + background: white; + margin-right: 10%; + margin-left: 10%; + font-family: "Times New Roman", serif; + text-align: justify } + +p {text-indent: 4% } + +p.noindent {text-indent: 0% } + +p.t1 {text-indent: 0% ; + font-size: 200%; + text-align: center } + +p.t2 {text-indent: 0% ; + font-size: 150%; + text-align: center } + +p.t3 {text-indent: 0% ; + font-size: 100%; + text-align: center } + +p.t3b {text-indent: 0% ; + font-size: 100%; + font-weight: bold; + text-align: center } + +p.t4 {text-indent: 0% ; + font-size: 80%; + text-align: center } + +p.t4b {text-indent: 0% ; + font-size: 80%; + font-weight: bold; + text-align: center } + +p.t5 {text-indent: 0% ; + font-size: 60%; + text-align: center } + +h1 { text-align: center } +h2 { text-align: center } +h3 { text-align: center } +h4 { text-align: center } +h5 { text-align: center } + +p.poem {text-indent: 0%; + margin-left: 10%; } + +p.contents {text-indent: -3%; + margin-left: 5% } + +p.thought {text-indent: 0% ; + letter-spacing: 4em ; + text-align: center } + +p.letter {text-indent: 0%; + margin-left: 10% ; + margin-right: 10% } + +p.footnote {text-indent: 0% ; + font-size: 80%; + margin-left: 10% ; + margin-right: 10% } + +p.transnote {text-indent: 0% ; + margin-left: 0% ; + margin-right: 0% } + +p.intro {font-size: 90% ; + text-indent: -5% ; + margin-left: 5% ; + margin-right: 0% } + +p.quote {text-indent: 4% ; + margin-left: 0% ; + margin-right: 0% } + +p.finis { font-size: larger ; + text-align: center ; + text-indent: 0% ; + margin-left: 0% ; + margin-right: 0% } + +</style> + +</head> + +<body> + + +<pre> + +The Project Gutenberg EBook of State of the Union Addresses of Ronald +Reagan, by Ronald Reagan + +This eBook is for the use of anyone anywhere in the United States and most +other parts of the world at no cost and with almost no restrictions +whatsoever. You may copy it, give it away or re-use it under the terms of +the Project Gutenberg License included with this eBook or online at +www.gutenberg.org. If you are not located in the United States, you'll have +to check the laws of the country where you are located before using this ebook. + +Title: State of the Union Addresses of Ronald Reagan + +Author: Ronald Reagan + +Posting Date: November 23, 2014 [EBook #5046] +Release Date: February, 2004 +First Posted: April 11, 2002 +Last Updated: December 16, 2004 + +Language: English + +Character set encoding: ISO-8859-1 + +*** START OF THIS PROJECT GUTENBERG EBOOK STATE OF THE UNION ADDRESSES *** + + + + +Produced by James Linden. HTML version by Al Haines. + + + + + +</pre> + + +<h1> +<br /><br /><br /> +State of the Union Addresses of Ronald Reagan +</h1> + +<p class="noindent"> +<br /><br /> +The addresses are separated by three asterisks: *** +</p> + +<p class="noindent"> +Dates of addresses by Ronald Reagan in this eBook: +</p> + +<p class="noindent"> + <a href="#jan1982">January 26, 1982</a><br /> + <a href="#jan1983">January 25, 1983</a><br /> + <a href="#jan1984">January 25, 1984</a><br /> + <a href="#feb1985">February 6, 1985</a><br /> + <a href="#feb1986">February 4, 1986</a><br /> + <a href="#jan1987">January 27, 1987</a><br /> + <a href="#jan1988">January 25, 1988</a><br /> +</p> + +<p><br /><br /></p> + +<p class="t3"> +*** +</p> + +<p><a id="jan1982"></a></p> + +<p class="noindent"> +State of the Union Address<br /> +Ronald Reagan<br /> +January 26, 1982<br /> +</p> + +<p> +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: +</p> + +<p> +Today marks my first State of the Union address to you, a constitutional +duty as old as our Republic itself. +</p> + +<p> +President Washington began this tradition in 1790 after reminding the +Nation that the destiny of self-government and the "preservation of the +sacred fire of liberty" is "finally staked on the experiment entrusted to +the hands of the American people." For our friends in the press, who place +a high premium on accuracy, let me say: I did not actually hear George +Washington say that. But it is a matter of historic record. +</p> + +<p> +But from this podium, Winston Churchill asked the free world to stand +together against the onslaught of aggression. Franklin Delano Roosevelt +spoke of a day of infamy and summoned a nation to arms. Douglas MacArthur +made an unforgettable farewell to a country he loved and served so well. +Dwight Eisenhower reminded us that peace was purchased only at the price of +strength. And John F. Kennedy spoke of the burden and glory that is +freedom. +</p> + +<p> +When I visited this Chamber last year as a newcomer to Washington, critical +of past policies which I believed had failed, I proposed a new spirit of +partnership between this Congress and this administration and between +Washington and our State and local governments. In forging this new +partnership for America, we could achieve the oldest hopes of our +Republic--prosperity for our nation, peace for the world, and the blessings +of individual liberty for our children and, someday, for all of humanity. +</p> + +<p> +It's my duty to report to you tonight on the progress that we have made in +our relations with other nations, on the foundation we've carefully laid +for our economic recovery, and finally, on a bold and spirited initiative +that I believe can change the face of American government and make it again +the servant of the people. +</p> + +<p> +Seldom have the stakes been higher for America. What we do and say here +will make all the difference to autoworkers in Detroit, lumberjacks in the +Northwest, steelworkers in Steubenville who are in the unemployment lines; +to black teenagers in Newark and Chicago; to hard-pressed farmers and small +businessmen; and to millions of everyday Americans who harbor the simple +wish of a safe and financially secure future for their children. To +understand the state of the Union, we must look not only at where we are +and where we're going but where we've been. The situation at this time last +year was truly ominous. +</p> + +<p> +The last decade has seen a series of recessions. There was a recession in +1970, in 1974, and again in the spring of 1980. Each time, unemployment +increased and inflation soon turned up again. We coined the word +"stagflation" to describe this. +</p> + +<p> +Government's response to these recessions was to pump up the money supply +and increase spending. In the last 6 months of 1980, as an example, the +money supply increased at the fastest rate in postwar history--13 percent. +Inflation remained in double digits, and government spending increased at +an annual rate of 17 percent. Interest rates reached a staggering 21.5 +percent. There were 8 million unemployed. +</p> + +<p> +Late in 1981 we sank into the present recession, largely because continued +high interest rates hurt the auto industry and construction. And there was +a drop in productivity, and the already high unemployment increased. +</p> + +<p> +This time, however, things are different. We have an economic program in +place, completely different from the artificial quick fixes of the past. It +calls for a reduction of the rate of increase in government spending, and +already that rate has been cut nearly in half. But reduced spending the +first and smallest phase of a 3-year tax rate reduction designed to +stimulate the economy and create jobs. Already interest rates are down to +15 3/4 percent, but they must still go lower. Inflation is down from 12.4 +percent to 8.9, and for the month of December it was running at an +annualized rate of 5.2 percent. If we had not acted as we did, things would +be far worse for all Americans than they are today. Inflation, taxes, and +interest rates would all be higher. +</p> + +<p> +A year ago, Americans' faith in their governmental process was steadily +declining. Six out of 10 Americans were saying they were pessimistic about +their future. A new kind of defeatism was heard. Some said our domestic +problems were uncontrollable, that we had to learn to live with this +seemingly endless cycle of high inflation and high unemployment. +</p> + +<p> +There were also pessimistic predictions about the relationship between our +administration and this Congress. It was said we could never work together. +Well, those predictions were wrong. The record is clear, and I believe that +history will remember this as an era of American renewal, remember this +administration as an administration of change, and remember this Congress +as a Congress of destiny. +</p> + +<p> +Together, we not only cut the increase in government spending nearly in +half, we brought about the largest tax reductions and the most sweeping +changes in our tax structure since the beginning of this century. And +because we indexed future taxes to the rate of inflation, we took away +government's built-in profit on inflation and its hidden incentive to grow +larger at the expense of American workers. +</p> + +<p> +Together, after 50 years of taking power away from the hands of the people +in their States and local communities, we have started returning power and +resources to them. +</p> + +<p> +Together, we have cut the growth of new Federal regulations nearly in half. +In 1981 there were 23,000 fewer pages in the Federal Register, which lists +new regulations, than there were in 1980. By deregulating oil we've come +closer to achieving energy independence and helped bring down the cost of +gasoline and heating fuel. +</p> + +<p> +Together, we have created an effective Federal strike force to combat waste +and fraud in government. In just 6 months it has saved the taxpayers more +than $2 billion, and it's only getting started. +</p> + +<p> +Together we've begun to mobilize the private sector, not to duplicate +wasteful and discredited government programs, but to bring thousands of +Americans into a volunteer effort to help solve many of America's social +problems. +</p> + +<p> +Together we've begun to restore that margin of military safety that ensures +peace. Our country's uniform is being worn once again with pride. +</p> + +<p> +Together we have made a New Beginning, but we have only begun. +</p> + +<p> +No one pretends that the way ahead will be easy. In my Inaugural Address +last year, I warned that the "ills we suffer have come upon us over several +decades. They will not go away in days, weeks, or months, but they will go +away . . . because we as Americans have the capacity now, as we've had it +in the past, to do whatever needs to be done to preserve this last and +greatest bastion of freedom." +</p> + +<p> +The economy will face difficult moments in the months ahead. But the +program for economic recovery that is in place will pull the economy out of +its slump and put us on the road to prosperity and stable growth by the +latter half of this year. And that is why I can report to you tonight that +in the near future the state of the Union and the economy will be +better--much better--if we summon the strength to continue on the course +that we've charted. +</p> + +<p> +And so, the question: If the fundamentals are in place, what now? Well, two +things. First, we must understand what's happening at the moment to the +economy. Our current problems are not the product of the recovery program +that's only just now getting underway, as some would have you believe; they +are the inheritance of decades of tax and tax and spend and spend. +</p> + +<p> +Second, because our economic problems are deeply rooted and will not +respond to quick political fixes, we must stick to our carefully integrated +plan for recovery. That plan is based on four commonsense fundamentals: +continued reduction of the growth in Federal spending; preserving the +individual and business tax reductions that will stimulate saving and +investment; removing unnecessary Federal regulations to spark productivity; +and maintaining a healthy dollar and a stable monetary policy, the latter a +responsibility of the Federal Reserve System. +</p> + +<p> +The only alternative being offered to this economic program is a return to +the policies that gave us a trillion-dollar debt, runaway inflation, +runaway interest rates and unemployment. The doubters would have us turn +back the clock with tax increases that would offset the personal tax rate +reductions already passed by this Congress. Raise present taxes to cut +future deficits, they tell us. Well, I don't believe we should buy that +argument. +</p> + +<p> +There are too many imponderables for anyone to predict deficits or +surpluses several years ahead with any degree of accuracy. The budget in +place, when I took office, had been projected as balanced. It turned out to +have one of the biggest deficits in history. Another example of the +imponderables that can make deficit projections highly questionable--a +change of only one percentage point in unemployment can alter a deficit up +or down by some $25 billion. +</p> + +<p> +As it now stands, our forecast, which we're required by law to make, will +show major deficits starting at less than a hundred billion dollars and +declining, but still too high. More important, we're making progress with +the three keys to reducing deficits: economic growth, lower interest rates, +and spending control. The policies we have in place will reduce the deficit +steadily, surely, and in time, completely. +</p> + +<p> +Higher taxes would not mean lower deficits. If they did, how would we +explain that tax revenues more than doubled just since 1976; yet in that +same 6-year period we ran the largest series of deficits in our history. In +1980 tax revenues increased by $54 billion, and in 1980 we had one of our +all-time biggest deficits. Raising taxes won't balance the budget; it will +encourage more government spending and less private investment. Raising +taxes will slow economic growth, reduce production, and destroy future +jobs, making it more difficult for those without jobs to find them and more +likely that those who now have jobs could lose them. So, I will not ask you +to try to balance the budget on the backs of the American taxpayers. +</p> + +<p> +I will seek no tax increases this year, and I have no intention of +retreating from our basic program of tax relief. I promise to bring the +American people--to bring their tax rates down and to keep them down, to +provide them incentives to rebuild our economy, to save, to invest in +America's future. I will stand by my word. Tonight I'm urging the American +people: Seize these new opportunities to produce, to save, to invest, and +together we'll make this economy a mighty engine of freedom, hope, and +prosperity again. +</p> + +<p> +Now, the budget deficit this year will exceed our earlier expectations. The +recession did that. It lowered revenues and increased costs. To some +extent, we're also victims of our own success. We've brought inflation down +faster than we thought we could, and in doing this, we've deprived +government of those hidden revenues that occur when inflation pushes people +into higher income tax brackets. And the continued high interest rates last +year cost the government about $5 billion more than anticipated. +</p> + +<p> +We must cut out more nonessential government spending and rout out more +waste, and we will continue our efforts to reduce the number of employees +in the Federal work force by 75,000. +</p> + +<p> +The budget plan I submit to you on February 8th will realize major savings +by dismantling the Departments of Energy and Education and by eliminating +ineffective subsidies for business. We'll continue to redirect our +resources to our two highest budget priorities--a strong national defense +to keep America free and at peace and a reliable safety net of social +programs for those who have contributed and those who are in need. +</p> + +<p> +Contrary to some of the wild charges you may have heard, this +administration has not and will not turn its back on America's elderly or +America's poor. Under the new budget, funding for social insurance programs +will be more than double the amount spent only 6 years ago. But it would be +foolish to pretend that these or any programs cannot be made more efficient +and economical. +</p> + +<p> +The entitlement programs that make up our safety net for the truly needy +have worthy goals and many deserving recipients. We will protect them. But +there's only one way to see to it that these programs really help those +whom they were designed to help. And that is to bring their spiraling costs +under control. +</p> + +<p> +Today we face the absurd situation of a Federal budget with three-quarters +of its expenditures routinely referred to as "uncontrollable." And a large +part of this goes to entitlement programs. +</p> + +<p> +Committee after committee of this Congress has heard witness after witness +describe many of these programs as poorly administered and rife with waste +and fraud. Virtually every American who shops in a local supermarket is +aware of the daily abuses that take place in the food stamp program, which +has grown by 16,000 percent in the last 15 years. Another example is +Medicare and Medicaid--programs with worthy goals but whose costs have +increased from 11.2 billion to almost 60 billion, more than 5 times as +much, in just 10 years. +</p> + +<p> +Waste and fraud are serious problems. Back in 1980 Federal investigators +testified before one of your committees that "corruption has permeated +virtually every area of the Medicare and Medicaid health care industry." +One official said many of the people who are cheating the system were "very +confident that nothing was going to happen to them." Well, something is +going to happen. Not only the taxpayers are defrauded; the people with real +dependency on these programs are deprived of what they need, because +available resources are going not to the needy, but to the greedy. +</p> + +<p> +The time has come to control the uncontrollable. In August we made a start. +I signed a bill to reduce the growth of these programs by $44 billion over +the next 3 years while at the same time preserving essential services for +the truly needy. Shortly you will receive from me a message on further +reforms we intend to install--some new, but others long recommended by your +own congressional committees. I ask you to help make these savings for the +American taxpayer. +</p> + +<p> +The savings we propose in entitlement programs will total some $63 billion +over 4 Years and will, without affecting social t security, go a long way +toward bringing Federal spending under control. +</p> + +<p> +But don't be fooled by those who proclaim that spending cuts will deprive +the elderly, the needy, and the helpless. The. Federal Government will +still subsidize 95 million meals every day. That's one out of seven of all +the meals served in America. Head Start, senior nutrition programs, and +child welfare programs will not be cut from the levels we proposed last +year. More than one-half billion dollars has been proposed for minority +business assistance. And research at the National Institute of Health will +be increased by over $100 million. While meeting all these needs, we intend +to plug unwarranted tax loopholes and strengthen the law which requires all +large corporations to pay a minimum tax. +</p> + +<p> +I am confident the economic program we've put into operation will protect +the needy while it triggers a recovery that will benefit all Americans. It +will stimulate the economy, result in increased savings and provide capital +for expansion, mortgages for homebuilding, and jobs for the unemployed. +</p> + +<p> +Now that the essentials of that program are in place, our next major +undertaking must be a program--just as bold, just as innovative--to make +government again accountable to the people, to make our system of +federalism work again. +</p> + +<p> +Our citizens feel they've lost control of even the most basic decisions +made about the essential services of government, such as schools, welfare, +roads, and even garbage collection. And they're right. A maze of +interlocking jurisdictions and levels of government confronts average +citizens in trying to solve even the simplest of problems. They don't know +where to turn for answers, who to hold accountable, who to praise, who to +blame, who to vote for or against. The main reason for this is the +overpowering growth of Federal grants-in-aid programs during the past few +decades. +</p> + +<p> +In 1960 the Federal Government had 132 categorical grant programs, costing +$7 billion. When I took office, there were approximately 500, costing +nearly a hundred billion dollars--13 programs for energy, 36 for pollution +control, 66 for social services, 90 for education. And here in the +Congress, it takes at least 166 committees just to try to keep track of +them. +</p> + +<p> +You know and I know that neither the President nor the Congress can +properly oversee this jungle of grants-in-aid; indeed, the growth of these +grants has led to the distortion in the vital functions of government. As +one Democratic Governor put it recently: The National Government should be +worrying about "arms control, not potholes." +</p> + +<p> +The growth in these Federal programs has--in the words of one +intergovernmental commission--made the Federal Government "more pervasive, +more intrusive, more unmanageable, more ineffective and costly, and above +all, more (un) accountable." Let's solve this problem with a single, bold +stroke: the return of some $47 billion in Federal programs to State and +local government, together with the means to finance them and a transition +period of nearly 10 years to avoid unnecessary disruption. +</p> + +<p> +I will shortly send this Congress a message describing this program. I want +to emphasize, however, that its full details will have been worked out only +after close consultation with congressional, State, and local officials. +</p> + +<p> +Starting in fiscal 1984, the Federal Government will assume full +responsibility for the cost of the rapidly growing Medicaid program to go +along with its existing responsibility for Medicare. As part of a +financially equal swap, the States will simultaneously take full +responsibility for Aid to Families with Dependent Children and food stamps. +This will make welfare less costly and more responsive to genuine need, +because it'll be designed and administered closer to the grass roots and +the people it serves. +</p> + +<p> +In 1984 the Federal Government will apply the full proceeds from certain +excise taxes to a grass roots trust fund that will belong in fair shares to +the 50 States. The total amount flowing into this fund will be $28 billion +a year. Over the next 4 years the States can use this money in either of +two ways. If they want to continue receiving Federal grants in such areas +as transportation, education, and social services, they can use their trust +fund money to pay for the grants. Or to the extent they choose to forgo the +Federal grant programs, they can use their trust fund money on their own +for those or other purposes. There will be a mandatory pass-through of part +of these funds to local governments. +</p> + +<p> +By 1988 the States will be in complete control of over 40 Federal grant +programs. The trust fund will start to phase out, eventually to disappear, +and the excise taxes will be turned over to the States. They can then +preserve, lower, or raise taxes on their own and fund and manage these +programs as they see fit. +</p> + +<p> +In a single stroke we will be accomplishing a realignment that will end +cumbersome administration and spiraling costs at the Federal level while we +ensure these programs will be more responsive to both the people they're +meant to help and the people who pay for them. +</p> + +<p> +Hand in hand with this program to strengthen the discretion and flexibility +of State and local governments, we're proposing legislation for an +experimental effort to improve and develop our depressed urban areas in the +1980's and '90's. This legislation will permit States and localities to +apply to the Federal Government for designation as urban enterprise zones. +A broad range of special economic incentives in the zones will help attract +new business, new jobs, new opportunity to America's inner cities and rural +towns. Some will say our mission is to save free enterprise. Well, I say we +must free enterprise so that together we can save America. +</p> + +<p> +Some will also say our States and local communities are not up to the +challenge of a new and creative partnership. Well, that might have been +true 20 years ago before reforms like reapportionment and the Voting Rights +Act, the 10-year extension of which I strongly support. It's no longer true +today. This administration has faith in State and local governments and the +constitutional balance envisioned by the Founding Fathers. We also believe +in the integrity, decency, and sound, good sense of grass roots Americans. +</p> + +<p> +Our faith in the American people is reflected in another major endeavor. +Our private sector initiatives task force is seeking out successful +community models of school, church, business, union, foundation, and civic +programs that help community needs. Such groups are almost invariably far +more efficient than government in running social programs. +</p> + +<p> +We're not asking them to replace discarded and often discredited government +programs dollar for dollar, service for service. We just want to help them +perform the good works they choose and help others to profit by their +example. Three hundred and eighty-five thousand corporations and private +organizations are already working on social programs ranging from drug +rehabilitation to job training, and thousands more Americans have written +us asking how they can help. The volunteer spirit is still alive and well +in America. +</p> + +<p> +Our nation's long journey towards civil rights for all our citizens--once +a source of discord, now a source of pride--must continue with no +backsliding or slowing down. We must and shall see that those basic laws +that guarantee equal rights are preserved and, when necessary, +strengthened. +</p> + +<p> +Our concern for equal rights for women is firm and unshakable. We launched +a new Task Force on Legal Equity for Women and a Fifty States Project that +will examine State laws for discriminatory language. And for the first time +in our history, a woman sits on the highest court in the land. +</p> + +<p> +So, too, the problem of crime--one as real and deadly serious as any in +America today. It demands that we seek transformation of our legal system, +which overly protects the rights of criminals while it leaves society and +the innocent victims of crime without justice. +</p> + +<p> +We look forward to the enactment of a responsible clean air act to increase +jobs while continuing to improve the quality of our air. We're encouraged +by the bipartisan initiative of the House and are hopeful of further +progress as the Senate continues its deliberations. +</p> + +<p> +So far, I've concentrated largely, now, on domestic matters. To view the +state of the Union in perspective, we must not ignore the rest of the +world. There isn't time tonight for a lengthy treatment of social--or +foreign policy, I should say, a subject I intend to address in detail in +the near future. A few words, however, are in order on the progress we've +made over the past year, reestablishing respect for our nation around the +globe and some of the challenges and goals that we will approach in the +year ahead. +</p> + +<p> +At Ottawa and Cancun, I met with leaders of the major industrial powers and +developing nations. Now, some of those I met with were a little surprised +that I didn't apologize for America's wealth. Instead, I spoke of the +strength of the free marketplace system and how that system could help them +realize their aspirations for economic development and political freedom. I +believe lasting friendships were made, and the foundation was laid for +future cooperation. +</p> + +<p> +In the vital region of the Caribbean Basin, we're developing a program of +aid, trade, and investment incentives to promote self-sustaining growth and +a better, more secure life for our neighbors to the south. Toward those who +would export terrorism and subversion in the Caribbean and elsewhere, +especially Cuba and Libya, we will act with firmness. +</p> + +<p> +Our foreign policy is a policy of strength, fairness, and balance. By +restoring America's military credibility, by pursuing peace at the +negotiating table wherever both sides are willing to sit down in good +faith, and by regaining the respect of America's allies and adversaries +alike, we have strengthened our country's position as a force for peace and +progress in the world. +</p> + +<p> +When action is called for, we're taking it. Our sanctions against the +military dictatorship that has attempted to crush human rights in +Poland--and against the Soviet regime behind that military +dictatorship--clearly demonstrated to the world that America will not +conduct "business as usual" with the forces of oppression. If the events in +Poland continue to deteriorate, further measures will follow. +</p> + +<p> +Now, let me also note that private American groups have taken the lead in +making January 30th a day of solidarity with the people of Poland. So, too, +the European Parliament has called for March 21st to be an international +day of support for Afghanistan. Well, I urge all peace-loving peoples to +join together on those days, to raise their voices, to speak and pray for +freedom. +</p> + +<p> +Meanwhile, we're working for reduction of arms and military activities, as +I announced in my address to the Nation last November 18th. We have +proposed to the Soviet Union a far-reaching agenda for mutual reduction of +military forces and have already initiated negotiations with them in Geneva +on intermediate-range nuclear forces. In those talks it is essential that +we negotiate from a position of strength. There must be a real incentive +for the Soviets to take these talks seriously. This requires that we +rebuild our defenses. +</p> + +<p> +In the last decade, while we sought the moderation of Soviet power through +a process of restraint and accommodation, the Soviets engaged in an +unrelenting buildup of their military forces. The protection of our +national security has required that we undertake a substantial program to +enhance our military forces. +</p> + +<p> +We have not neglected to strengthen our traditional alliances in Europe and +Asia, or to develop key relationships with our partners in the Middle East +and other countries. Building a more peaceful world requires a sound +strategy and the national resolve to back it up. When radical forces +threaten our friends, when economic misfortune creates conditions of +instability, when strategically vital parts of the world fall under the +shadow of Soviet power, our response can make the difference between +peaceful change or disorder and violence. That's why we've laid such stress +not only on our own defense but on our vital foreign assistance program. +Your recent passage of the Foreign Assistance Act sent a signal to the +world that America will not shrink from making the investments necessary +for both peace and security. Our foreign policy must be rooted in realism, +not naivete or self-delusion. +</p> + +<p> +A recognition of what the Soviet empire is about is the starting point. +Winston Churchill, in negotiating with the Soviets, observed that they +respect only strength and resolve in their dealings with other nations. +That's why we've moved to reconstruct our national defenses. We intend to +keep the peace. We will also keep our freedom. +</p> + +<p> +We have made pledges of a new frankness in our public statements and +worldwide broadcasts. In the face of a climate of falsehood and +misinformation, we've promised the world a season of truth--the truth of +our great civilized ideas: individual liberty, representative government, +the rule of law under God. We've never needed walls or minefields or barbed +wire to keep our people in. Nor do we declare martial law to keep our +people from voting for the kind of government they want. +</p> + +<p> +Yes, we have our problems; yes, we're in a time of recession. And it's +true, there's no quick fix, as I said, to instantly end the tragic pain of +unemployment. But we will end it. The process has already begun, and we'll +see its effect as the year goes on. +</p> + +<p> +We speak with pride and admiration of that little band of Americans who +overcame insuperable odds to set this nation on course 200 years ago. But +our glory didn't end with them. Americans ever since have emulated their +deeds. +</p> + +<p> +We don't have to turn to our history books for heroes. They're all around +us. One who sits among you here tonight epitomized that heroism at the end +of the longest imprisonment ever inflicted on men of our Armed Forces. Who +will ever forget that night when we waited for television to bring us the +scene of that first plane landing at Clark Field in the Philippines, +bringing our POW's home? The plane door opened and Jeremiah Denton came +slowly down the ramp. He caught sight of our flag, saluted it, said, "God +bless America," and then thanked us for bringing him home. +</p> + +<p> +Just 2 weeks ago, in the midst of a terrible tragedy on the Potomac, we saw +again the spirit of American heroism at its finest--the heroism of +dedicated rescue workers saving crash victims from icy waters. And we saw +the heroism of one of our young government employees, Lenny Skutnik, who, +when he saw a woman lose her grip on the helicopter line, dived into the +water and dragged her to safety. +</p> + +<p> +And then there are countless, quiet, everyday heroes of American who +sacrifice long and hard so their children will know a better life than +they've known; church and civic volunteers who help to feed, clothe, nurse, +and teach the needy; millions who've made our nation and our nation's +destiny so very special--unsung heroes who may not have realized their own +dreams themselves but then who reinvest those dreams in their children. +Don't let anyone tell you that America's best days are behind her, that the +American spirit has been vanquished. We've seen it triumph too often in our +lives to stop believing in it now. +</p> + +<p> +A hundred and twenty years ago, the greatest of all our Presidents +delivered his second State of the Union message in this Chamber. "We cannot +escape history," Abraham Lincoln warned. "We of this Congress and this +administration will be remembered in spite of ourselves." The "trial +through which we pass will light us down, in honor or dishonor, to the +latest (last) generation." +</p> + +<p> +Well, that President and that Congress did not fail the American people. +Together they weathered the storm and preserved the Union. Let it be said +of us that we, too, did not fail; that we, too, worked together to bring +America through difficult times. Let us so conduct ourselves that two +centuries from now, another Congress and another President, meeting in this +Chamber as we are meeting, will speak of us with pride, saying that we met +the test and preserved for them in their day the sacred flame of +liberty--this last, best hope of man on Earth. +</p> + +<p> +God bless you, and thank you. +</p> + +<p> +NOTE: The President spoke at 9 p.m. in the House Chamber at the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. +</p> + +<p><br /><br /><br /></p> + +<p class="t3"> +*** +</p> + +<p><a id="jan1983"></a></p> + +<p class="noindent"> +State of the Union Address<br /> +Ronald Reagan<br /> +January 25, 1983<br /> +</p> + +<p> +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: +</p> + +<p> +This solemn occasion marks the 196th time that a President of the United +States has reported on the State of the Union since George Washington first +did so in 1790. That's a lot of reports, but there's no shortage of new +things to say about the State of the Union. The very key to our success has +been our ability, foremost among nations, to preserve our lasting values by +making change work for us rather than against us. +</p> + +<p> +I would like to talk with you this evening about what we can do +together--not as Republicans and Democrats, but as Americans--to make +tomorrow's America happy and prosperous at home, strong and respected +abroad, and at peace in the world. +</p> + +<p> +As we gather here tonight, the state of our Union is strong, but our +economy is troubled. For too many of our fellow citizens--farmers, steel and +auto workers, lumbermen, black teenagers, working mothers--this is a painful +period. We must all do everything in our power to bring their ordeal to an +end. It has fallen to us, in our time, to undo damage that was a long time +in the making, and to begin the hard but necessary task of building a +better future for ourselves and our children. +</p> + +<p> +We have a long way to go, but thanks to the courage, patience, and strength +of our people, America is on the mend. +</p> + +<p> +But let me give you just one important reason why I believe this--it +involves many members of this body. +</p> + +<p> +Just 10 days ago, after months of debate and deadlock, the bipartisan +Commission on Social Security accomplished the seemingly impossible. Social +security, as some of us had warned for so long, faced disaster. I, myself, +have been talking about this problem for almost 30 years. As 1983 began, +the system stood on the brink of bankruptcy, a double victim of our +economic ills. First, a decade of rampant inflation drained its reserves as +we tried to protect beneficiaries from the spiraling cost of living. Then +the recession and the sudden end of inflation withered the expanding wage +base and increasing revenues the system needs to support the 36 million +Americans who depend on it. +</p> + +<p> +When the Speaker of the House, the Senate majority leader, and I performed +the bipartisan--or formed the bipartisan Commission on Social Security, +pundits and experts predicted that party divisions and conflicting +interests would prevent the Commission from agreeing on a plan to save +social security. Well, sometimes, even here in Washington, the cynics are +wrong. Through compromise and cooperation, the members of the Commission +overcame their differences and achieved a fair, workable plan. They proved +that, when it comes to the national welfare, Americans can still pull +together for the common good. +</p> + +<p> +Tonight, I'm especially pleased to join with the Speaker and the Senate +majority leader in urging the Congress to enact this plan by Easter. +</p> + +<p> +There are elements in it, of course, that none of us prefers, but taken +together it performs a package that all of us can support. It asks for some +sacrifice by all--the self-employed, beneficiaries, workers, government +employees, and the better-off among the retired--but it imposes an undue +burden on none. And, in supporting it, we keep an important pledge to the +American people: The integrity of the social security system will be +preserved, and no one's payments will be reduced. +</p> + +<p> +The Commission's plan will do the job; indeed, it must do the job. We owe +it to today's older Americans and today's younger workers. So, before we go +any further, I ask you to join with me in saluting the members of the +Commission who are here tonight and Senate Majority Leader Howard Baker and +Speaker Tip O'Neill for a job well done. I hope and pray the bipartisan +spirit that guided you in this endeavor will inspire all of us as we face +the challenges of the year ahead. +</p> + +<p> +Nearly half a century ago, in this Chamber, another American President, +Franklin Delano Roosevelt, in his second State of the Union message, urged +America to look to the future, to meet the challenge of change and the need +for leadership that looks forward, not backward. +</p> + +<p> +"Throughout the world," he said, "change is the order of the day. In every +nation economic problems long in the making have brought crises to (of) +many kinds for which the masters of old practice and theory were +unprepared." He also reminded us that "the future lies with those wise +political leaders who realize that the great public is interested more in +Government than in politics." +</p> + +<p> +So, let us, in these next 2 years--men and women of both parties, every +political shade--concentrate on the long-range, bipartisan responsibilities +of government, not the short-range or short-term temptations of partisan +politics. +</p> + +<p> +The problems we inherited were far worse than most inside and out of +government had expected; the recession was deeper than most inside and out +of government had predicted. Curing those problems has taken more time and +a higher toll than any of us wanted. Unemployment is far too high. +Projected Federal spending--if government refuses to tighten its own +belt--will also be far too high and could weaken and shorten the economic +recovery now underway. +</p> + +<p> +This recovery will bring with it a revival of economic confidence and +spending for consumer items and capital goods--the stimulus we need to +restart our stalled economic engines. The American people have already +stepped up their rate of saving, assuring that the funds needed to +modernize our factories and improve our technology will once again flow to +business and industry. +</p> + +<p> +The inflationary expectations that led to a 21 1/2-percent interest prime +rate and soaring mortgage rates 2 years ago are now reduced by almost half. +Leaders have started to realize that double-digit inflation is no longer a +way of life. I misspoke there. I should have said "lenders." +</p> + +<p> +So, interest rates have tumbled, paving the way for recovery in vital +industries like housing and autos. +</p> + +<p> +The early evidence of that recovery has started coming in. Housing starts +for the fourth quarter of 1982 were up 45 percent from a year ago, and +housing permits, a sure indicator of future growth, were up a whopping 60 +percent. +</p> + +<p> +We're witnessing an upsurge of productivity and impressive evidence that +American industry will once again become competitive in markets at home and +abroad, ensuring more jobs and better incomes for the Nation's work force. +But our confidence must also be tempered by realism and patience. Quick +fixes and artificial stimulants repeatedly applied over decades are what +brought us the inflationary disorders that we've now paid such a heavy +price to cure. +</p> + +<p> +The permanent recovery in employment, production, and investment we seek +won't come in a sharp, short spurt. It'll build carefully and steadily in +the months and years ahead. In the meantime, the challenge of government is +to identify the things that we can do now to ease the massive economic +transition for the American people. +</p> + +<p> +The Federal budget is both a symptom and a cause of our economic problems. +Unless we reduce the dangerous growth rate in government spending, we could +face the prospect of sluggish economic growth into the indefinite future. +Failure to cope with this problem now could mean as much as a trillion +dollars more in national debt in the next 4 years alone. That would average +$4,300 in additional debt for every man, woman, child, and baby in our +nation. +</p> + +<p> +To assure a sustained recovery, we must continue getting runaway spending +under control to bring those deficits down. If we don't, the recovery will +be too short, unemployment will remain too high, and we will leave an +unconscionable burden of national debt for our children. That we must not +do. +</p> + +<p> +Let's be clear about where the deficit problem comes from. Contrary to the +drumbeat we've been hearing for the last few months, the deficits we face +are not rooted in defense spending. Taken as a percentage of the gross +national product, our defense spending happens to be only about four-fifths +of what it was in 1970. Nor is the deficit, as some would have it, rooted +in tax cuts. Even with our tax cuts, taxes as a fraction of gross national +product remain about the same as they were in 1970. The fact is, our +deficits come from the uncontrolled growth of the budget for domestic +spending. +</p> + +<p> +During the 1970's, the share of our national income devoted to this +domestic spending increased by more than 60 percent, from 10 cents out of +every dollar produced by the American people to 16 cents. In spite of all +our economies and efficiencies, and without adding any new programs, basic, +necessary domestic spending provided for in this year's budget will grow to +almost a trillion dollars over the next 5 years. +</p> + +<p> +The deficit problem is a clear and present danger to the basic health of +our Republic. We need a plan to overcome this danger--a plan based on these +principles. It must be bipartisan. Conquering the deficits and putting the +Government's house in order will require the best effort of all of us. It +must be fair. Just as all will share in the benefits that will come from +recovery, all would share fairly in the burden of transition. It must be +prudent. The strength of our national defense must be restored so that we +can pursue prosperity and peace and freedom while maintaining our +commitment to the truly needy. And finally, it must be realistic. We can't +rely on hope alone. +</p> + +<p> +With these guiding principles in mind, let me outline a four-part plan to +increase economic growth and reduce deficits. +</p> + +<p> +First, in my budget message, I will recommend a Federal spending freeze. I +know this is strong medicine, but so far, we have only cut the rate of +increase in Federal spending. The Government has continued to spend more +money each year, though not as much more as it did in the past. Taken as a +whole, the budget I'm proposing for the fiscal year will increase no more +than the rate of inflation. In other words, the Federal Government will +hold the line on real spending. Now, that's far less than many American +families have had to do in these difficult times. +</p> + +<p> +I will request that the proposed 6-month freeze in cost-of-living +adjustments recommended by the bipartisan Social Security Commission be +applied to other government-related retirement programs. I will, also, +propose a 1-year freeze on a broad range of domestic spending programs, and +for Federal civilian and military pay and pension programs. And let me say +right here, I'm sorry, with regard to the military, in asking that of them, +because for so many years they have been so far behind and so low in reward +for what the men and women in uniform are doing. But I'm sure they will +understand that this must be across the board and fair. +</p> + +<p> +Second, I will ask the Congress to adopt specific measures to control the +growth of the so-called uncontrollable spending programs. These are the +automatic spending programs, such as food stamps, that cannot be simply +frozen and that have grown by over 400 percent since 1970. They are the +largest single cause of the built-in or structural deficit problem. Our +standard here will be fairness, ensuring that the taxpayers' hard-earned +dollars go only to the truly needy; that none of them are turned away, but +that fraud and waste are stamped out. And I'm sorry to say, there's a lot +of it out there. In the food stamp program alone, last year, we identified +almost $1.1 billion in overpayments. The taxpayers aren't the only victims +of this kind of abuse. The truly needy suffer as funds intended for them +are taken not by the needy, but by the greedy. For everyone's sake, we must +put an end to such waste and corruption. +</p> + +<p> +Third, I will adjust our program to restore America's defenses by proposing +$55 billion in defense savings over the next 5 years. These are savings +recommended to me by the Secretary of Defense, who has assured me they can +be safely achieved and will not diminish our ability to negotiate arms +reductions or endanger America's security. We will not gamble with our +national survival. +</p> + +<p> +And fourth, because we must ensure reduction and eventual elimination of +deficits over the next several years, I will propose a standby tax, limited +to no more than 1 percent of the gross national product, to start in fiscal +1986. It would last no more than 3 years, and it would start only if the +Congress has first approved our spending freeze and budget control program. +And there are several other conditions also that must be met, all of them +in order for this program to be triggered. +</p> + +<p> +Now, you could say that this is an insurance policy for the future, a +remedy that will be at hand if needed but only resorted to if absolutely +necessary. In the meantime, we'll continue to study ways to simplify the +tax code and make it more fair for all Americans. This is a goal that every +American who's ever struggled with a tax form can understand. +</p> + +<p> +At the same time, however, I will oppose any efforts to undo the basic tax +reforms that we've already enacted, including the 10-percent tax break +coming to taxpayers this July and the tax indexing which will protect all +Americans from inflationary bracket creep in the years ahead. +</p> + +<p> +Now, I realize that this four-part plan is easier to describe than it will +be to enact. But the looming deficits that hang over us and over America's +future must be reduced. The path I've outlined is fair, balanced, and +realistic. If enacted, it will ensure a steady decline in deficits, aiming +toward a balanced budget by the end of the decade. It's the only path that +will lead to a strong, sustained recovery. Let us follow that path +together. +</p> + +<p> +No domestic challenge is more crucial than providing stable, permanent jobs +for all Americans who want to work. The recovery program will provide jobs +for most, but others will need special help and training for new skills. +Shortly, I will submit to the Congress the Employment Act of 1983, designed +to get at the special problems of the long-term unemployed, as well as +young people trying to enter the job market. I'll propose extending +unemployment benefits, including special incentives to employers who hire +the long-term unemployed, providing programs for displaced workers, and +helping federally funded and State-administered unemployment insurance +programs provide workers with training and relocation assistance. Finally, +our proposal will include new incentives for summer youth employment to +help young people get a start in the job market. +</p> + +<p> +We must offer both short-term help and long-term hope for our unemployed. I +hope we can work together on this. I hope we can work together as we did +last year in enacting the landmark Job Training Partnership Act. Regulatory +reform legislation, a responsible clean air act, and passage of enterprise +zone legislation will also create new incentives for jobs and opportunity. +</p> + +<p> +One of out of every five jobs in our country depends on trade. So, I will +propose a broader strategy in the field of international trade--one that +increases the openness of our trading system and is fairer to America's +farmers and workers in the world marketplace. We must have adequate export +financing to sell American products overseas. I will ask for new +negotiating authority to remove barriers and to get more of our products +into foreign markets. We must strengthen the organization of our trade +agencies and make changes in our domestic laws and international trade +policy to promote free trade and the increased flow of American goods, +services, and investments. +</p> + +<p> +Our trade position can also be improved by making our port system more +efficient. Better, more active harbors translate into stable jobs in our +coalfields, railroads, trucking industry, and ports. After 2 years of +debate, it's time for us to get together and enact a port modernization +bill. +</p> + +<p> +Education, training, and retraining are fundamental to our success as are +research and development and productivity. Labor, management, and +government at all levels can and must participate in improving these tools +of growth. Tax policy, regulatory practices, and government programs all +need constant reevaluation in terms of our competitiveness. Every American +has a role and a stake in international trade. +</p> + +<p> +We Americans are still the technological leaders in most fields. We must +keep that edge, and to do so we need to begin renewing the basics--starting +with our educational system. While we grew complacent, others have acted. +Japan, with a population only about half the size of ours, graduates from +its universities more engineers than we do. If a child doesn't receive +adequate math and science teaching by the age of 16, he or she has lost the +chance to be a scientist or an engineer. We must join together--parents, +teachers, grass roots groups, organized labor, and the business +community--to revitalize American education by setting a standard of +excellence. +</p> + +<p> +In 1983 we seek four major education goals: a quality education initiative +to encourage a substantial upgrading of math and science instruction +through block grants to the States; establishment of education savings +accounts that will give middle and lower-income families an incentive to +save for their children's college education and, at the same time, +encourage a real increase in savings for economic growth; passage of +tuition tax credits for parents who want to send their children to private +or religiously affiliated schools; a constitutional amendment to permit +voluntary school prayer. God should never have been expelled from America's +classrooms in the first place. +</p> + +<p> +Our commitment to fairness means that we must assure legal and economic +equity for women, and eliminate, once and for all, all traces of unjust +discrimination against women from the United States Code. We will not +tolerate wage discrimination based on sex, and we intend to strengthen +enforcement of child support laws to ensure that single parents, most of +whom are women, do not suffer unfair financial hardship. We will also take +action to remedy inequities in pensions. These initiatives will be joined +by others to continue our efforts to promote equity for women. +</p> + +<p> +Also in the area of fairness and equity, we will ask for extension of the +Civil Rights Commission, which is due to expire this year. The Commission +is an important part of the ongoing struggle for justice in America, and we +strongly support its reauthorization. Effective enforcement of our nation's +fair housing laws is also essential to ensuring equal opportunity. In the +year ahead, we'll work to strengthen enforcement of fair housing laws for +all Americans. +</p> + +<p> +The time has also come for major reform of our criminal justice statutes +and acceleration of the drive against organized crime and drug trafficking. +It's high time that we make our cities safe again. This administration +hereby declares an all-out war on big-time organized crime and the drug +racketeers who are poisoning our young people. We will also implement +recommendations of our Task Force on Victims of Crime, which will report to +me this week. +</p> + +<p> +American agriculture, the envy of the world, has become the victim of its +own successes. With one farmer now producing enough food to feed himself +and 77 other people, America is confronted with record surplus crops and +commodity prices below the cost of production. We must strive, through +innovations like the payment-in-kind crop swap approach and an aggressive +export policy, to restore health and vitality to rural America. Meanwhile, +I have instructed the Department of Agriculture to work individually with +farmers with debt problems to help them through these tough times. +</p> + +<p> +Over the past year, our Task Force on Private Sector Initiatives has +successfully forged a working partnership involving leaders of business, +labor, education, and government to address the training needs of American +workers. Thanks to the Task Force, private sector initiatives are now +underway in all 50 States of the Union, and thousands of working people +have been helped in making the shift from dead-end jobs and low-demand +skills to the growth areas of high technology and the service economy. +Additionally, a major effort will be focused on encouraging the expansion +of private community child care. The new advisory council on private sector +initiatives will carry on and extend this vital work of encouraging private +initiative in 1983. +</p> + +<p> +In the coming year, we will also act to improve the quality of life for +Americans by curbing the skyrocketing cost of health care that is becoming +an unbearable financial burden for so many. And we will submit legislation +to provide catastrophic illness insurance coverage for older Americans. +</p> + +<p> +I will also shortly submit a comprehensive federalism proposal that will +continue our efforts to restore to States and local governments their roles +as dynamic laboratories of change in a creative society. +</p> + +<p> +During the next several weeks, I will send to the Congress a series of +detailed proposals on these and other topics and look forward to working +with you on the development of these initiatives. +</p> + +<p> +So far, now, I've concentrated mainly on the problems posed by the future. +But in almost every home and workplace in America, we're already witnessing +reason for great hope--the first flowering of the manmade miracles of high +technology, a field pioneered and still led by our country. +</p> + +<p> +To many of us now, computers, silicon chips, data processing, cybernetics, +and all the other innovations of the dawning high technology age are as +mystifying as the workings of the combustion engine must have been when +that first Model T rattled down Main Street, U.S.A. But as surely as +America's pioneer spirit made us the industrial giant of the 20th century, +the same pioneer spirit today is opening up on another vast front of +opportunity, the frontier of high technology. +</p> + +<p> +In conquering the frontier we cannot write off our traditional industries, +but we must develop the skills and industries that will make us a pioneer +of tomorrow. This administration is committed to keeping America the +technological leader of the world now and into the 21st century. +</p> + +<p> +But let us turn briefly to the international arena. America's leadership in +the world came to us because of our own strength and because of the values +which guide us as a society: free elections, a free press, freedom of +religious choice, free trade unions, and above all, freedom for the +individual and rejection of the arbitrary power of the state. These values +are the bedrock of our strength. They unite us in a stewardship of peace +and freedom with our allies and friends in NATO, in Asia, in Latin America, +and elsewhere. They are also the values which in the recent past some among +us had begun to doubt and view with a cynical eye. +</p> + +<p> +Fortunately, we and our allies have rediscovered the strength of our common +democratic values, and we're applying them as a cornerstone of a +comprehensive strategy for peace with freedom. In London last year, I +announced the commitment of the United States to developing the +infrastructure of democracy throughout the world. We intend to pursue this +democratic initiative vigorously. The future belongs not to governments and +ideologies which oppress their peoples, but to democratic systems of +self-government which encourage individual initiative and guarantee +personal freedom. +</p> + +<p> +But our strategy for peace with freedom must also be based on +strength--economic strength and military strength. A strong American +economy is essential to the well-being and security of our friends and +allies. The restoration of a strong, healthy American economy has been and +remains one of the central pillars of our foreign policy. The progress I've +been able to report to you tonight will, I know, be as warmly welcomed by +the rest of the world as it is by the American people. +</p> + +<p> +We must also recognize that our own economic well-being is inextricably +linked to the world economy. We export over 20 percent of our industrial +production, and 40 percent of our farmland produces for export. We will +continue to work closely with the industrialized democracies of Europe and +Japan and with the International Monetary Fund to ensure it has adequate +resources to help bring the world economy back to strong, noninflationary +growth. +</p> + +<p> +As the leader of the West and as a country that has become great and rich +because of economic freedom, America must be an unrelenting advocate of +free trade. As some nations are tempted to turn to protectionism, our +strategy cannot be to follow them, but to lead the way toward freer trade. +To this end, in May of this year America will host an economic summit +meeting in Williamsburg, Virginia. +</p> + +<p> +As we begin our third year, we have put in place a defense program that +redeems the neglect of the past decade. We have developed a realistic +military strategy to deter threats to peace and to protect freedom if +deterrence fails. Our Armed Forces are finally properly paid; after years +of neglect are well trained and becoming better equipped and supplied. And +the American uniform is once again worn with pride. Most of the major +systems needed for modernizing our defenses are already underway, and we +will be addressing one key system, the MX missile, in consultation with the +Congress in a few months. +</p> + +<p> +America's foreign policy is once again based on bipartisanship, on realism, +strength, full partnership, in consultation with our allies, and +constructive negotiation with potential adversaries. From the Middle East +to southern Africa to Geneva, American diplomats are taking the initiative +to make peace and lower arms levels. We should be proud of our role as +peacemakers. +</p> + +<p> +In the Middle East last year, the United States played the major role in +ending the tragic fighting in Lebanon and negotiated the withdrawal of the +PLO from Beirut. +</p> + +<p> +Last September, I outlined principles to carry on the peace process begun +so promisingly at Camp David. All the people of the Middle East should know +that in the year ahead we will not flag in our efforts to build on that +foundation to bring them the blessings of peace. +</p> + +<p> +In Central America and the Caribbean Basin, we are likewise engaged in a +partnership for peace, prosperity, and democracy. Final passage of the +remaining portions of our Caribbean Basin Initiative, which passed the +House last year, is one of this administration's top legislative priorities +for 1983. +</p> + +<p> +The security and economic assistance policies of this administration in +Latin America and elsewhere are based on realism and represent a critical +investment in the future of the human race. This undertaking is a joint +responsibility of the executive and legislative branches, and I'm counting +on the cooperation and statesmanship of the Congress to help us meet this +essential foreign policy goal. +</p> + +<p> +At the heart of our strategy for peace is our relationship with the Soviet +Union. The past year saw a change in Soviet leadership. We're prepared for +a positive change in Soviet-American relations. But the Soviet Union must +show by deeds as well as words a sincere commitment to respect the rights +and sovereignty of the family of nations. Responsible members of the world +community do not threaten or invade their neighbors. And they restrain +their allies from aggression. +</p> + +<p> +For our part, we're vigorously pursuing arms reduction negotiations with +the Soviet Union. Supported by our allies, we've put forward draft +agreements proposing significant weapon reductions to equal and verifiable +lower levels. We insist on an equal balance of forces. And given the +overwhelming evidence of Soviet violations of international treaties +concerning chemical and biological weapons, we also insist that any +agreement we sign can and will be verifiable. +</p> + +<p> +In the case of intermediate-range nuclear forces, we have proposed the +complete elimination of the entire class of land-based missiles. We're also +prepared to carefully explore serious Soviet proposals. At the same time, +let me emphasize that allied steadfastness remains a key to achieving arms +reductions. +</p> + +<p> +With firmness and dedication, we'll continue to negotiate. Deep down, the +Soviets must know it's in their interest as well as ours to prevent a +wasteful arms race. And once they recognize our unshakable resolve to +maintain adequate deterrence, they will have every reason to join us in the +search for greater security and major arms reductions. When that moment +comes--and I'm confident that it will--we will have taken an important step +toward a more peaceful future for all the world's people. +</p> + +<p> +A very wise man, Bernard Baruch, once said that America has never forgotten +the nobler things that brought her into being and that light her path. Our +country is a special place, because we Americans have always been +sustained, through good times and bad, by a noble vision--a vision not only +of what the world around us is today but what we as a free people can make +it be tomorrow. +</p> + +<p> +We're realists; we solve our problems instead of ignoring them, no matter +how loud the chorus of despair around us. But we're also idealists, for it +was an ideal that brought our ancestors to these shores from every corner +of the world. +</p> + +<p> +Right now we need both realism and idealism. Millions of our neighbors are +without work. It is up to us to see they aren't without hope. This is a +task for all of us. And may I say, Americans have rallied to this cause, +proving once again that we are the most generous people on Earth. +</p> + +<p> +We who are in government must take the lead in restoring the economy. And +here all that time, I thought you were reading the paper. +</p> + +<p> +The single thing--the single thing that can start the wheels of industry +turning again is further reduction of interest rates. Just another 1 or 2 +points can mean tens of thousands of jobs. +</p> + +<p> +Right now, with inflation as low as it is, 3.9 percent, there is room for +interest rates to come down. Only fear prevents their reduction. A lender, +as we know, must charge an interest rate that recovers the depreciated +value of the dollars loaned. And that depreciation is, of course, the +amount of inflation. Today, interest rates are based on fear--fear that +government will resort to measures, as it has in the past, that will send +inflation zooming again. +</p> + +<p> +We who serve here in this Capital must erase that fear by making it +absolutely clear that we will not stop fighting inflation; that, together, +we will do only those things that will lead to lasting economic growth. +</p> + +<p> +Yes, the problems confronting us are large and forbidding. And, certainly, +no one can or should minimize the plight of millions of our friends and +neighbors who are living in the bleak emptiness of unemployment. But we +must and can give them good reason to be hopeful. +</p> + +<p> +Back over the years, citizens like ourselves have gathered within these +walls when our nation was threatened; sometimes when its very existence was +at stake. Always with courage and common sense, they met the crises of +their time and lived to see a stronger, better, and more prosperous +country. The present situation is no worse and, in fact, is not as bad as +some of those they faced. Time and again, they proved that there is nothing +we Americans cannot achieve as free men and women. +</p> + +<p> +Yes, we still have problems--plenty of them. But it's just plain +wrong--unjust to our country and unjust to our people--to let those +problems stand in the way of the most important truth of all: America is on +the mend. +</p> + +<p> +We owe it to the unfortunate to be aware of their plight and to help them +in every way we can. No one can quarrel with that. We must and do have +compassion for all the victims of this economic crisis. But the big story +about America today is the way that millions of confident, caring +people--those extraordinary "ordinary" Americans who never make the +headlines and will never be interviewed--are laying the foundation, not +just for recovery from our present problems but for a better tomorrow for +all our people. +</p> + +<p> +From coast to coast, on the job and in classrooms and laboratories, at new +construction sites and in churches and community groups, neighbors are +helping neighbors. And they've already begun the building, the research, +the work, and the giving that will make our country great again. +</p> + +<p> +I believe this, because I believe in them--in the strength of their hearts +and minds, in the commitment that each one of them brings to their daily +lives, be they high or humble. The challenge for us in government is to be +worthy of them--to make government a help, not a hindrance to our people in +the challenging but promising days ahead. +</p> + +<p> +If we do that, if we care what our children and our children's children +will say of us, if we want them one day to be thankful for what we did here +in these temples of freedom, we will work together to make America better +for our having been here--not just in this year or this decade but in the +next century and beyond. +</p> + +<p> +Thank you, and God bless you. +</p> + +<p> +NOTE: The President spoke at 9:03 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. +</p> + +<p><br /><br /><br /></p> + +<p class="t3"> +*** +</p> + +<p><a id="jan1984"></a></p> + +<p class="noindent"> +State of the Union Address<br /> +Ronald Reagan<br /> +January 25, 1984<br /> +</p> + +<p> +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: +</p> + +<p> +Once again, in keeping with time-honored tradition, I have come to report +to you on the state of the Union, and I'm pleased to report that America is +much improved, and there's good reason to believe that improvement will +continue through the days to come. +</p> + +<p> +You and I have had some honest and open differences in the year past. But +they didn't keep us from joining hands in bipartisan cooperation to stop a +long decline that had drained this nation's spirit and eroded its health. +There is renewed energy and optimism throughout the land. America is back, +standing tall, looking to the eighties with courage, confidence, and hope. +</p> + +<p> +The problems we're overcoming are not the heritage of one person, party, or +even one generation. It's just the tendency of government to grow, for +practices and programs to become the nearest thing to eternal life we'll +ever see on this Earth. And there's always that well-intentioned chorus of +voices saying, "With a little more power and a little more money, we could +do so much for the people." For a time we forgot the American dream isn't +one of making government bigger; it's keeping faith with the mighty spirit +of free people under God. +</p> + +<p> +As we came to the decade of the eighties, we faced the worst crisis in our +postwar history. In the seventies were years of rising problems and falling +confidence. There was a feeling government had grown beyond the consent of +the governed. Families felt helpless in the face of mounting inflation and +the indignity of taxes that reduced reward for hard work, thrift, and +risktaking. All this was overlaid by an evergrowing web of rules and +regulations. +</p> + +<p> +On the international scene, we had an uncomfortable feeling that we'd lost +the respect of friend and foe. Some questioned whether we had the will to +defend peace and freedom. But America is too great for small dreams. There +was a hunger in the land for a spiritual revival; if you will, a crusade +for renewal. The American people said: Let us look to the future with +confidence, both at home and abroad. Let us give freedom a chance. +</p> + +<p> +Americans were ready to make a new beginning, and together we have done it. +We're confronting our problems one by one. Hope is alive tonight for +millions of young families and senior citizens set free from unfair tax +increases and crushing inflation. Inflation has been beaten down from 12.4 +to 3.2 percent, and that's a great victory for all the people. The prime +rate has been cut almost in half, and we must work together to bring it +down even more. +</p> + +<p> +Together, we passed the first across-the-board tax reduction for everyone +since the Kennedy tax cuts. Next year, tax rates will be indexed so +inflation can't push people into higher brackets when they get +cost-of-living pay raises. Government must never again use inflation to +profit at the people's expense. +</p> + +<p> +Today a working family earning $25,000 has $1,100 more in purchasing power +than if tax and inflation rates were still at the 1980 levels. Real +after-tax income increased 5 percent last year. And economic deregulation +of key industries like transportation has offered more chances--or +choices, I should say, to consumers and new changes--or chances for +entrepreneurs and protecting safety. Tonight, we can report and be proud of +one of the best recoveries in decades. Send away the handwringers and the +doubting Thomases. Hope is reborn for couples dreaming of owning homes and +for risktakers with vision to create tomorrow's opportunities. +</p> + +<p> +The spirit of enterprise is sparked by the sunrise industries of high-tech +and by small business people with big ideas--people like Barbara Proctor, +who rose from a ghetto to build a multimillion-dollar advertising agency in +Chicago; Carlos Perez, a Cuban refugee, who turned $27 and a dream into a +successful importing business in Coral Gables, Florida. +</p> + +<p> +People like these are heroes for the eighties. They helped 4 million +Americans find jobs in 1983. More people are drawing paychecks tonight than +ever before. And Congress helps--or progress helps everyone--well, Congress +does too----everyone. In 1983 women filled 73 percent of all the new jobs +in managerial, professional, and technical fields. +</p> + +<p> +But we know that many of our fellow countrymen are still out of work, +wondering what will come of their hopes and dreams. Can we love America and +not reach out to tell them: You are not forgotten; we will not rest until +each of you can reach as high as your God-given talents will take you. +</p> + +<p> +The heart of America is strong; it's good and true. The cynics were wrong; +America never was a sick society. We're seeing rededication to bedrock +values of faith, family, work, neighborhood, peace, and freedom--values +that help bring us together as one people, from the youngest child to the +most senior citizen. +</p> + +<p> +The Congress deserves America's thanks for helping us restore pride and +credibility to our military. And I hope that you're as proud as I am of the +young men and women in uniform who have volunteered to man the ramparts in +defense of freedom and whose dedication, valor, and skill increases so much +our chance of living in a world at peace. +</p> + +<p> +People everywhere hunger for peace and a better life. The tide of the +future is a freedom tide, and our struggle for democracy cannot and will +not be denied. This nation champions peace that enshrines liberty, +democratic rights, and dignity for every individual. America's new +strength, confidence, and purpose are carrying hope and opportunity far +from our shores. A world economic recovery is underway. It began here. +</p> + +<p> +We've journeyed far, but we have much farther to go. Franklin Roosevelt +told us 50 years ago this month: "Civilization can not go back; +civilization must not stand still. We have undertaken new methods. It is +our task to perfect, to improve, to alter when necessary, but in all cases +to go forward." +</p> + +<p> +It's time to move forward again, time for America to take freedom's next +step. Let us unite tonight behind four great goals to keep America free, +secure, and at peace in the eighties together. +</p> + +<p> +We can ensure steady economic growth. We can develop America's next +frontier. We can strengthen our traditional values. And we can build a +meaningful peace to protect our loved ones and this shining star of faith +that has guided millions from tyranny to the safe harbor of freedom, +progress, and hope. +</p> + +<p> +Doing these things will open wider the gates of opportunity, provide +greater security for all, with no barriers of bigotry or discrimination. +</p> + +<p> +The key to a dynamic decade is vigorous economic growth, our first great +goal. We might well begin with common sense in Federal budgeting: +government spending no more than government takes in. +</p> + +<p> +We must bring Federal deficits down. But how we do that makes all the +difference. +</p> + +<p> +We can begin by limiting the size and scope of government. Under the +leadership of Vice President Bush, we have reduced the growth of Federal +regulations by more than 25 percent and cut well over 300 million hours of +government-required paperwork each year. This will save the public more +than $150 billion over the next 10 years. +</p> + +<p> +The Grace commission has given us some 2,500 recommendations for reducing +wasteful spending, and they're being examined throughout the +administration. Federal spending growth has been cut from 17.4 percent in +1980 to less than half of that today, and we have already achieved over +$300 billion in budget savings for the period of 1982 to '86. But that's +only a little more than half of what we sought. Government is still +spending too large a percentage of the total economy. +</p> + +<p> +Now, some insist that any further budget savings must be obtained by +reducing the portion spent on defense. This ignores the fact that national +defense is solely the responsibility of the Federal Government; indeed, it +is its prime responsibility. And yet defense spending is less than a third +of the total budget. During the years of President Kennedy and of the years +before that, defense was almost half the total budget. And then came +several years in which our military capability was allowed to deteriorate +to a very dangerous degree. We are just now restoring, through the +essential modernization of our conventional and strategic forces, our +capability to meet our present and future security needs. We dare not shirk +our responsibility to keep America free, secure, and at peace. +</p> + +<p> +The last decade saw domestic spending surge literally out of control. But +the basis for such spending had been laid in previous years. A pattern of +overspending has been in place for half a century. As the national debt +grew, we were told not to worry, that we owed it to ourselves. +</p> + +<p> +Now we know that deficits are a cause for worry. But there's a difference +of opinion as to whether taxes should be increased, spending cut, or some +of both. Fear is expressed that government borrowing to fund the deficit +could inhibit the economic recovery by taking capital needed for business +and industrial expansion. Well, I think that debate is missing an important +point. Whether government borrows or increases taxes, it will be taking the +same amount of money from the private sector, and, either way, that's too +much. Simple fairness dictates that government must not raise taxes on +families struggling to pay their bills. The root of the problem is that +government's share is more than we can afford if we're to have a sound +economy. +</p> + +<p> +We must bring down the deficits to ensure continued economic growth. In the +budget that I will submit on February 1st, I will recommend measures that +will reduce the deficit over the next 5 years. Many of these will be +unfinished business from last year's budget. +</p> + +<p> +Some could be enacted quickly if we could join in a serious effort to +address this problem. I spoke today with Speaker of the House O'Neill, +Senate Majority Leader Baker, Senate Minority Leader Byrd, and House +Minority Leader Michel. I asked them if they would designate congressional +representatives to meet with representatives of the administration to try +to reach prompt agreement on a bipartisan deficit reduction plan. I know it +would take a long, hard struggle to agree on a full-scale plan. So, what I +have proposed is that we first see if we can agree on a down payment. +</p> + +<p> +Now, I believe there is basis for such an agreement, one that could reduce +the deficits by about a hundred billion dollars over the next 3 years. We +could focus on some of the less contentious spending cuts that are still +pending before the Congress. These could be combined with measures to close +certain tax loopholes, measures that the Treasury Department has previously +said to be worthy of support. In addition, we could examine the possibility +of achieving further outlay savings based on the work of the Grace +commission. +</p> + +<p> +If the congressional leadership is willing, my representatives will be +prepared to meet with theirs at the earliest possible time. I would hope +the leadership might agree on an expedited timetable in which to develop +and enact that down payment. +</p> + +<p> +But a down payment alone is not enough to break us out of the deficit +problem. It could help us start on the right path. Yet, we must do more. +So, I propose that we begin exploring how together we can make structural +reforms to curb the built-in growth of spending. +</p> + +<p> +I also propose improvements in the budgeting process. Some 43 of our 50 +States grant their Governors the right to veto individual items in +appropriation bills without having to veto the entire bill. California is +one of those 43 States. As Governor, I found this line-item veto was a +powerful tool against wasteful or extravagant spending. It works in 43 +States. Let's put it to work in Washington for all the people. +</p> + +<p> +It would be most effective if done by constitutional amendment. The +majority of Americans approve of such an amendment, just as they and I +approve of an amendment mandating a balanced Federal budget. Many States +also have this protection in their constitutions. +</p> + +<p> +To talk of meeting the present situation by increasing taxes is a Band-Aid +solution which does nothing to cure an illness that's been coming on for +half a century--to say nothing of the fact that it poses a real threat to +economic recovery. Let's remember that a substantial amount of income tax +is presently owed and not paid by people in the underground economy. It +would be immoral to make those who are paying taxes pay more to compensate +for those who aren't paying their share. +</p> + +<p> +There's a better way. Let us go forward with an historic reform for +fairness, simplicity, and incentives for growth. I am asking Secretary Don +Regan for a plan for action to simplify the entire tax code, so all +taxpayers, big and small, are treated more fairly. And I believe such a +plan could result in that underground economy being brought into the +sunlight of honest tax compliance. And it could make the tax base broader, +so personal tax rates could come down, not go up. I've asked that specific +recommendations, consistent with those objectives, be presented to me by +December 1984. +</p> + +<p> +Our second great goal is to build on America's pioneer spirit--I said +something funny? I said America's next frontier--and that's to develop that +frontier. A sparkling economy spurs initiatives, sunrise industries, and +makes older ones more competitive. +</p> + +<p> +Nowhere is this more important than our next frontier: space. Nowhere do we +so effectively demonstrate our technological leadership and ability to make +life better on Earth. The Space Age is barely a quarter of a century old. +But already we've pushed civilization forward with our advances in science +and technology. Opportunities and jobs will multiply as we cross new +thresholds of knowledge and reach deeper into the unknown. +</p> + +<p> +Our progress in space--taking giant steps for all mankind--is a tribute to +American teamwork and excellence. Our finest minds in government, industry, +and academia have all pulled together. And we can be proud to say: We are +first; we are the best; and we are so because we're free. +</p> + +<p> +America has always been greatest when we dared to be great. We can reach +for greatness again. We can follow our dreams to distant stars, living and +working in space for peaceful, economic, and scientific gain. Tonight, I am +directing NASA to develop a permanently manned space station and to do it +within a decade. +</p> + +<p> +A space station will permit quantum leaps in our research in science, +communications, in metals, and in lifesaving medicines which could be +manufactured only in space. We want our friends to help us meet these +challenges and share in their benefits. NASA will invite other countries to +participate so we can strengthen peace, build prosperity, and expand +freedom for all who share our goals. +</p> + +<p> +Just as the oceans opened up a new world for clipper ships and Yankee +traders, space holds enormous potential for commerce today. The market for +space transportation could surpass our capacity to develop it. Companies +interested in putting payloads into space must have ready access to private +sector launch services. The Department of Transportation will help an +expendable launch services industry to get off the ground. We'll soon +implement a number of executive initiatives, develop proposals to ease +regulatory constraints, and, with NASA's help, promote private sector +investment in space. +</p> + +<p> +And as we develop the frontier of space, let us remember our responsibility +to preserve our older resources here on Earth. Preservation of our +environment is not a liberal or conservative challenge, it's common sense. +</p> + +<p> +Though this is a time of budget constraints, I have requested for EPA one +of the largest percentage budget increases of any agency. We will begin the +long, necessary effort to clean up a productive recreational area and a +special national resource--the Chesapeake Bay. +</p> + +<p> +To reduce the threat posed by abandoned hazardous waste dumps, EPA will +spend $410 million. And I will request a supplemental increase of 50 +million. And because the Superfund law expires in 1985, I've asked Bill +Ruckelshaus to develop a proposal for its extension so there'll be +additional time to complete this important task. +</p> + +<p> +On the question of acid rain, which concerns people in many areas of the +United States and Canada, I'm proposing a research program that doubles our +current funding. And we'll take additional action to restore our lakes and +develop new technology to reduce pollution that causes acid rain. +</p> + +<p> +We have greatly improved the conditions of our natural resources. We'll ask +the Congress for $157 million beginning in 1985 to acquire new park and +conservation lands. The Department of the Interior will encourage careful, +selective exploration and production on our vital resources in an Exclusive +Economic Zone within the 200-mile limit off our coasts--but with strict +adherence to environmental laws and with fuller State and public +participation. +</p> + +<p> +But our most precious resources, our greatest hope for the future, are the +minds and hearts of our people, especially our children. We can help them +build tomorrow by strengthening our community of shared values. This must +be our third great goal. For us, faith, work, family, neighborhood, +freedom, and peace are not just words; they're expressions of what America +means, definitions of what makes us a good and loving people. +</p> + +<p> +Families stand at the center of our society. And every family has a +personal stake in promoting excellence in education. Excellence does not +begin in Washington. A 600-percent increase in Federal spending on +education between 1960 and 1980 was accompanied by a steady decline in +Scholastic Aptitude Test scores. Excellence must begin in our homes and +neighborhood schools, where it's the responsibility of every parent and +teacher and the right of every child. +</p> + +<p> +Our children come first, and that's why I established a bipartisan National +Commission on Excellence in Education, to help us chart a commonsense +course for better education. And already, communities are implementing the +Commission's recommendations. Schools are reporting progress in math and +reading skills. But we must do more to restore discipline to schools; and +we must encourage the teaching of new basics, reward teachers of merit, +enforce tougher standards, and put our parents back in charge. +</p> + +<p> +I will continue to press for tuition tax credits to expand opportunities +for families and to soften the double payment for those paying public +school taxes and private school tuition. Our proposal would target +assistance to low- and middle-income families. Just as more incentives are +needed within our schools, greater competition is needed among our schools. +Without standards and competition, there can be no champions, no records +broken, no excellence in education or any other walk of life. +</p> + +<p> +And while I'm on this subject, each day your Members observe a 200-year-old +tradition meant to signify America is one nation under God. I must ask: If +you can begin your day with a member of the clergy standing right here +leading you in prayer, then why can't freedom to acknowledge God be enjoyed +again by children in every schoolroom across this land? +</p> + +<p> +America was founded by people who believed that God was their rock of +safety. He is ours. I recognize we must be cautious in claiming that God is +on our side, but I think it's all right to keep asking if we're on His +side. +</p> + +<p> +During our first 3 years, we have joined bipartisan efforts to restore +protection of the law to unborn children. Now, I know this issue is very +controversial. But unless and until it can be proven that an unborn child +is not a living human being, can we justify assuming without proof that it +isn't? No one has yet offered such proof; indeed, all the evidence is to +the contrary. We should rise above bitterness and reproach, and if +Americans could come together in a spirit of understanding and helping, +then we could find positive solutions to the tragedy of abortion. +</p> + +<p> +Economic recovery, better education, rededication to values, all show the +spirit of renewal gaining the upper hand. And all will improve family life +in the eighties. But families need more. They need assurance that they and +their loved ones can walk the streets of America without being afraid. +Parents need to know their children will not be victims of child +pornography and abduction. This year we will intensify our drive against +these and other horrible crimes like sexual abuse and family violence. +</p> + +<p> +Already our efforts to crack down on career criminals, organized crime, +drugpushers, and to enforce tougher sentences and paroles are having +effect. In 1982 the crime rate dropped by 4.3 percent, the biggest decline +since 1972. Protecting victims is just as important as safeguarding the +rights of defendants. +</p> + +<p> +Opportunities for all Americans will increase if we move forward in fair +housing and work to ensure women's rights, provide for equitable treatment +in pension benefits and Individual Retirement Accounts, facilitate child +care, and enforce delinquent parent support payments. +</p> + +<p> +It's not just the home but the workplace and community that sustain our +values and shape our future. So, I ask your help in assisting more +communities to break the bondage of dependency. Help us to free enterprise +by permitting debate and voting "yes" on our proposal for enterprise zones +in America. This has been before you for 2 years. Its passage can help +high-unemployment areas by creating jobs and restoring neighborhoods. +</p> + +<p> +A society bursting with opportunities, reaching for its future with +confidence, sustained by faith, fair play, and a conviction that good and +courageous people will flourish when they're free--these are the secrets of +a strong and prosperous America at peace with itself and the world. +</p> + +<p> +A lasting and meaningful peace is our fourth great goal. It is our highest +aspiration. And our record is clear: Americans resort to force only when we +must. We have never been aggressors. We have always struggled to defend +freedom and democracy. +</p> + +<p> +We have no territorial ambitions. We occupy no countries. We build no walls +to lock people in. Americans build the future. And our vision of a better +life for farmers, merchants, and working people, from the Americas to Asia, +begins with a simple premise: The future is best decided by ballots, not +bullets. +</p> + +<p> +Governments which rest upon the consent of the governed do not wage war on +their neighbors. Only when people are given a personal stake in deciding +their own destiny, benefiting from their own risks, do they create +societies that are prosperous, progressive, and free. Tonight, it is +democracies that offer hope by feeding the hungry, prolonging life, and +eliminating drudgery. +</p> + +<p> +When it comes to keeping America strong, free, and at peace, there should +be no Republicans or Democrats, just patriotic Americans. We can decide the +tough issues not by who is right, but by what is right. +</p> + +<p> +Together, we can continue to advance our agenda for peace. We can establish +a more stable basis for peaceful relations with the Soviet Union; +strengthen allied relations across the board; achieve real and equitable +reductions in the levels of nuclear arms; reinforce our peacemaking efforts +in the Middle East, Central America, and southern Africa; or assist +developing countries, particularly our neighbors in the Western Hemisphere; +and assist in the development of democratic institutions throughout the +world. +</p> + +<p> +The wisdom of our bipartisan cooperation was seen in the work of the +Scowcroft commission, which strengthened our ability to deter war and +protect peace. In that same spirit, I urge you to move forward with the +Henry Jackson plan to implement the recommendations of the Bipartisan +Commission on Central America. +</p> + +<p> +Your joint resolution on the multinational peacekeeping force in Lebanon is +also serving the cause of peace. We are making progress in Lebanon. For +nearly 10 years, the Lebanese have lived from tragedy to tragedy with no +hope for their future. Now the multinational peacekeeping force and our +marines are helping them break their cycle of despair. There is hope for a +free, independent, and sovereign Lebanon. We must have the courage to give +peace a chance. And we must not be driven from our objectives for peace in +Lebanon by state-sponsored terrorism. We have seen this ugly specter in +Beirut, Kuwait, and Rangoon. It demands international attention. I will +forward shortly legislative proposals to help combat terrorism. And I will +be seeking support from our allies for concerted action. +</p> + +<p> +Our NATO alliance is strong. 1983 was a banner year for political courage. +And we have strengthened our partnerships and our friendships in the Far +East. We're committed to dialog, deterrence, and promoting prosperity. +We'll work with our trading partners for a new round of negotiations in +support of freer world trade, greater competition, and more open markets. +</p> + +<p> +A rebirth of bipartisan cooperation, of economic growth, and military +deterrence, and a growing spirit of unity among our people at home and our +allies abroad underline a fundamental and far-reaching change: The United +States is safer, stronger, and more secure in 1984 than before. We can now +move with confidence to seize the opportunities for peace, and we will. +</p> + +<p> +Tonight, I want to speak to the people of the Soviet Union, to tell them +it's true that our governments have had serious differences, but our sons +and daughters have never fought each other in war. And if we Americans have +our way, they never will. +</p> + +<p> +People of the Soviet Union, there is only one sane policy, for your country +and mine, to preserve our civilization in this modern age: A nuclear war +cannot be won and must never be fought. The only value in our two nations +possessing nuclear weapons is to make sure they will never be used. But +then would it not be better to do away with them entirely? +</p> + +<p> +People of the Soviet, President Dwight Eisenhower, who fought by your side +in World War II, said the essential struggle "is not merely man against man +or nation against nation. It is man against war." Americans are people of +peace. If your government wants peace, there will be peace. We can come +together in faith and friendship to build a safer and far better world for +our children and our children's children. And the whole world will rejoice. +That is my message to you. +</p> + +<p> +Some days when life seems hard and we reach out for values to sustain us or +a friend to help us, we find a person who reminds us what it means to be +Americans. +</p> + +<p> +Sergeant Stephen Trujillo, a medic in the 2d Ranger Battalion, 75th +Infantry, was in the first helicopter to land at the compound held by Cuban +forces in Grenada. He saw three other helicopters crash. Despite the +imminent explosion of the burning aircraft, he never hesitated. He ran +across 25 yards of open terrain through enemy fire to rescue wounded +soldiers. He directed two other medics, administered first aid, and +returned again and again to the crash site to carry his wounded friends to +safety. +</p> + +<p> +Sergeant Trujillo, you and your fellow service men and women not only saved +innocent lives; you set a nation free. You inspire us as a force for +freedom, not for despotism; and, yes, for peace, not conquest. God bless +you. +</p> + +<p> +And then there are unsung heroes: single parents, couples, church and civic +volunteers. Their hearts carry without complaint the pains of family and +community problems. They soothe our sorrow, heal our wounds, calm our +fears, and share our joy. +</p> + +<p> +A person like Father Ritter is always there. His Covenant House programs in +New York and Houston provide shelter and help to thousands of frightened +and abused children each year. The same is true of Dr. Charles Carson. +Paralyzed in a plane crash, he still believed nothing is impossible. Today +in Minnesota, he works 80 hours a week without pay, helping pioneer the +field of computer-controlled walking. He has given hope to 500,000 +paralyzed Americans that some day they may walk again. +</p> + +<p> +How can we not believe in the greatness of America? How can we not do what +is right and needed to preserve this last best hope of man on Earth? After +all our struggles to restore America, to revive confidence in our country, +hope for our future, after all our hard-won victories earned through the +patience and courage of every citizen, we cannot, must not, and will not +turn back. We will finish our job. How could we do less? We're Americans. +</p> + +<p> +Carl Sandburg said, "I see America not in the setting sun of a black night +of despair... I see America in the crimson light of a rising sun fresh +from the burning, creative hand of God... I see great days ahead for men +and women of will and vision." +</p> + +<p> +I've never felt more strongly that America's best days and democracy's best +days lie ahead. We're a powerful force for good. With faith and courage, we +can perform great deeds and take freedom's next step. And we will. We will +carry on the tradition of a good and worthy people who have brought light +where there was darkness, warmth where there was cold, medicine where there +was disease, food where there was hunger, and peace where there was only +bloodshed. +</p> + +<p> +Let us be sure that those who come after will say of us in our time, that +in our time we did everything that could be done. We finished the race; we +kept them free; we kept the faith. +</p> + +<p> +Thank you very much. God bless you, and God bless America. +</p> + +<p> +NOTE: The President spoke at 9:02 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio and +television. +</p> + +<p><br /><br /><br /></p> + +<p class="t3"> +*** +</p> + +<p><a id="feb1985"></a></p> + +<p class="noindent"> +State of the Union Address<br /> +Ronald Reagan<br /> +February 6, 1985<br /> +</p> + +<p> +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: +</p> + +<p> +I come before you to report on the state of our Union, and I'm pleased to +report that after 4 years of united effort, the American people have +brought forth a nation renewed, stronger, freer, and more secure than +before. +</p> + +<p> +Four years ago we began to change, forever I hope, our assumptions about +government and its place in our lives. Out of that change has come great +and robust growth--in our confidence, our economy, and our role in the +world. +</p> + +<p> +Tonight America is stronger because of the values that we hold dear. We +believe faith and freedom must be our guiding stars, for they show us +truth, they make us brave, give us hope, and leave us wiser than we were. +Our progress began not in Washington, DC, but in the hearts of our +families, communities, workplaces, and voluntary groups which, together, +are unleashing the invincible spirit of one great nation under God. +</p> + +<p> +Four years ago we said we would invigorate our economy by giving people +greater freedom and incentives to take risks and letting them keep more of +what they earned. We did what we promised, and a great industrial giant is +reborn. +</p> + +<p> +Tonight we can take pride in 25 straight months of economic growth, the +strongest in 34 years; a 3-year inflation average of 3.9 percent, the +lowest in 17 years; and 7.3 million new jobs in 2 years, with more of our +citizens working than ever before. +</p> + +<p> +New freedom in our lives has planted the rich seeds for future success: +</p> + +<p> +For an America of wisdom that honors the family, knowing that if (as) the +family goes, so goes our civilization; +</p> + +<p> +For an America of vision that sees tomorrow's dreams in the learning and +hard work we do today; +</p> + +<p> +For an America of courage whose service men and women, even as we meet, +proudly stand watch on the frontiers of freedom; +</p> + +<p> +For an America of compassion that opens its heart to those who cry out for +help. +</p> + +<p> +We have begun well. But it's only a beginning. We're not here to +congratulate ourselves on what we have done but to challenge ourselves to +finish what has not yet been done. +</p> + +<p> +We're here to speak for millions in our inner cities who long for real +jobs, safe neighborhoods, and schools that truly teach. We're here to speak +for the American farmer, the entrepreneur, and every worker in industries +fighting to modernize and compete. And, yes, we're here to stand, and +proudly so, for all who struggle to break free from totalitarianism, for +all who know in their hearts that freedom is the one true path to peace and +human happiness. +</p> + +<p> +Proverbs tell us, without a vision the people perish. When asked what great +principle holds our Union together, Abraham Lincoln said: "Something in +(the) Declaration giving liberty, not alone to the people of this country, +but hope to the world for all future time." +</p> + +<p> +We honor the giants of our history not by going back but forward to the +dreams their vision foresaw. My fellow citizens, this nation is poised for +greatness. The time has come to proceed toward a great new challenge--a +second American Revolution of hope and opportunity; a revolution carrying +us to new heights of progress by pushing back frontiers of knowledge and +space; a revolution of spirit that taps the soul of America, enabling us to +summon greater strength than we've ever known; and a revolution that +carries beyond our shores the golden promise of human freedom in a world of +peace. +</p> + +<p> +Let us begin by challenging our conventional wisdom. There are no +constraints on the human mind, no walls around the human spirit, no +barriers to our progress except those we ourselves erect. Already, pushing +down tax rates has freed our economy to vault forward to record growth. +</p> + +<p> +In Europe, they're calling it "the American Miracle." Day by day, we're +shattering accepted notions of what is possible. When I was growing up, we +failed to see how a new thing called radio would transform our marketplace. +Well, today, many have not yet seen how advances in technology are +transforming our lives. +</p> + +<p> +In the late 1950's workers at the AT&T semiconductor plant in Pennsylvania +produced five transistors a day for $7.50 apiece. They now produce over a +million for less than a penny apiece. +</p> + +<p> +New laser techniques could revolutionize heart bypass surgery, cut +diagnosis time for viruses linked to cancer from weeks to minutes, reduce +hospital costs dramatically, and hold out new promise for saving human +lives. +</p> + +<p> +Our automobile industry has overhauled assembly lines, increased worker +productivity, and is competitive once again. +</p> + +<p> +We stand on the threshold of a great ability to produce more, do more, be +more. Our economy is not getting older and weaker; it's getting younger and +stronger. It doesn't need rest and supervision; it needs new challenge, +greater freedom. And that word "freedom" is the key to the second American +revolution that we need to bring about. +</p> + +<p> +Let us move together with an historic reform of tax simplification for +fairness and growth. Last year I asked Treasury Secretary-then-Regan to +develop a plan to simplify the tax code, so all taxpayers would be treated +more fairly and personal tax rates could come further down. +</p> + +<p> +We have cut tax rates by almost 25 percent, yet the tax system remains +unfair and limits our potential for growth. Exclusions and exemptions cause +similar incomes to be taxed at different levels. Low-income families face +steep tax barriers that make hard lives even harder. The Treasury +Department has produced an excellent reform plan, whose principles will +guide the final proposal that we will ask you to enact. +</p> + +<p> +One thing that tax reform will not be is a tax increase in disguise. We +will not jeopardize the mortgage interest deduction that families need. We +will reduce personal tax rates as low as possible by removing many tax +preferences. We will propose a top rate of no more than 35 percent, and +possibly lower. And we will propose reducing corporate rates, while +maintaining incentives for capital formation. +</p> + +<p> +To encourage opportunity and jobs rather than dependency and welfare, we +will propose that individuals living at or near the poverty line be totally +exempt from Federal income tax. To restore fairness to families, we will +propose increasing significantly the personal exemption. +</p> + +<p> +And tonight, I am instructing Treasury Secretary James Baker--I have to get +used to saying that--to begin working with congressional authors and +committees for bipartisan legislation conforming to these principles. We +will call upon the American people for support and upon every man and woman +in this Chamber. Together, we can pass, this year, a tax bill for fairness, +simplicity, and growth, making this economy the engine of our dreams and +America the investment capital of the world. So let us begin. +</p> + +<p> +Tax simplification will be a giant step toward unleashing the tremendous +pent-up power of our economy. But a second American revolution must carry +the promise of opportunity for all. It is time to liberate the spirit of +enterprise in the most distressed areas of our country. +</p> + +<p> +This government will meet its responsibility to help those in need. But +policies that increase dependency, break up families, and destroy +self-respect are not progressive; they're reactionary. Despite our strides +in civil rights, blacks, Hispanics, and all minorities will not have full +and equal power until they have full economic power. +</p> + +<p> +We have repeatedly sought passage of enterprise zones to help those in the +abandoned corners of our land find jobs, learn skills, and build better +lives. This legislation is supported by a majority of you. +</p> + +<p> +Mr. Speaker, I know we agree that there must be no forgotten Americans. +Let us place new dreams in a million hearts and create a new generation of +entrepreneurs by passing enterprise zones this year. And, Tip, you could +make that a birthday present. +</p> + +<p> +Nor must we lose the chance to pass our youth employment opportunity wage +proposal. We can help teenagers, who have the highest unemployment rate, +find summer jobs, so they can know the pride of work and have confidence in +their futures. +</p> + +<p> +We'll continue to support the Job Training Partnership Act, which has a +nearly two-thirds job placement rate. Credits in education and health care +vouchers will help working families shop for services that they need. +</p> + +<p> +Our administration is already encouraging certain low-income public housing +residents to own and manage their own dwellings. It's time that all public +housing residents have that opportunity of ownership. +</p> + +<p> +The Federal Government can help create a new atmosphere of freedom. But +States and localities, many of which enjoy surpluses from the recovery, +must not permit their tax and regulatory policies to stand as barriers to +growth. +</p> + +<p> +Let us resolve that we will stop spreading dependency and start spreading +opportunity; that we will stop spreading bondage and start spreading +freedom. +</p> + +<p> +There are some who say that growth initiatives must await final action on +deficit reductions. Well, the best way to reduce deficits is through +economic growth. More businesses will be started, more investments made, +more jobs created, and more people will be on payrolls paying taxes. The +best way to reduce government spending is to reduce the need for spending +by increasing prosperity. Each added percentage point per year of real GNP +growth will lead to cumulative reduction in deficits of nearly $200 billion +over 5 years. +</p> + +<p> +To move steadily toward a balanced budget, we must also lighten +government's claim on our total economy. We will not do this by raising +taxes. We must make sure that our economy grows faster than the growth in +spending by the Federal Government. In our fiscal year 1986 budget, overall +government program spending will be frozen at the current level. It must +not be one dime higher than fiscal year 1985, and three points are key. +</p> + +<p> +First, the social safety net for the elderly, the needy, the disabled, and +unemployed will be left intact. Growth of our major health care programs, +Medicare and Medicaid, will be slowed, but protections for the elderly and +needy will be preserved. +</p> + +<p> +Second, we must not relax our efforts to restore military strength just as +we near our goal of a fully equipped, trained, and ready professional +corps. National security is government's first responsibility; so in past +years defense spending took about half the Federal budget. Today it takes +less than a third. We've already reduced our planned defense expenditures +by nearly a hundred billion dollars over the past 4 years and reduced +projected spending again this year. +</p> + +<p> +You know, we only have a military-industrial complex until a time of +danger, and then it becomes the arsenal of democracy. Spending for defense +is investing in things that are priceless--peace and freedom. +</p> + +<p> +Third, we must reduce or eliminate costly government subsidies. For +example, deregulation of the airline industry has led to cheaper airfares, +but on Amtrak taxpayers pay about $35 per passenger every time an Amtrak +train leaves the station, It's time we ended this huge Federal subsidy. +</p> + +<p> +Our farm program costs have quadrupled in recent years. Yet I know from +visiting farmers, many in great financial distress, that we need an orderly +transition to a market-oriented farm economy. We can help farmers best not +by expanding Federal payments but by making fundamental reforms, keeping +interest rates heading down, and knocking down foreign trade barriers to +American farm exports. +</p> + +<p> +We're moving ahead with Grace commission reforms to eliminate waste and +improve government's management practices. In the long run, we must protect +the taxpayers from government. And I ask again that you pass, as 32 States +have now called for, an amendment mandating the Federal Government spend no +more than it takes in. And I ask for the authority, used responsibly by 43 +Governors, to veto individual items in appropriation bills. Senator +Mattingly has introduced a bill permitting a 2-year trial run of the +line-item veto. I hope you'll pass and send that legislation to my desk. +</p> + +<p> +Nearly 50 years of government living beyond its means has brought us to a +time of reckoning. Ours is but a moment in history. But one moment of +courage, idealism, and bipartisan unity can change American history +forever. +</p> + +<p> +Sound monetary policy is key to long-running economic strength and +stability. We will continue to cooperate with the Federal Reserve Board, +seeking a steady policy that ensures price stability without keeping +interest rates artificially high or needlessly holding down growth. +</p> + +<p> +Reducing unneeded red tape and regulations, and deregulating the energy, +transportation, and financial industries have unleashed new competition, +giving consumers more choices, better services, and lower prices. In just +one set of grant programs we have reduced 905 pages of regulations to 31. +We seek to fully deregulate natural gas to bring on new supplies and bring +us closer to energy independence. Consistent with safety standards, we will +continue removing restraints on the bus and railroad industries, we will +soon end up legislation--or send up legislation, I should say--to return +Conrail to the private sector where it belongs, and we will support further +deregulation of the trucking industry. +</p> + +<p> +Every dollar the Federal Government does not take from us, every decision +it does not make for us will make our economy stronger, our lives more +abundant, our future more free. +</p> + +<p> +Our second American revolution will push on to new possibilities not only +on Earth but in the next frontier of space. Despite budget restraints, we +will seek record funding for research and development. +</p> + +<p> +We've seen the success of the space shuttle. Now we're going to develop a +permanently manned space station and new opportunities for free enterprise, +because in the next decade Americans and our friends around the world will +be living and working together in space. +</p> + +<p> +In the zero gravity of space, we could manufacture in 30 days lifesaving +medicines it would take 30 years to make on Earth. We can make crystals of +exceptional purity to produce super computers, creating jobs, technologies, +and medical breakthroughs beyond anything we ever dreamed possible. +</p> + +<p> +As we do all this, we'll continue to protect our natural resources. We will +seek reauthorization and expanded funding for the Superfund program to +continue cleaning up hazardous waste sites which threaten human health and +the environment. +</p> + +<p> +Now, there's another great heritage to speak of this evening. Of all the +changes that have swept America the past 4 years, none brings greater +promise than our rediscovery of the values of faith, freedom, family, work, +and neighborhood. +</p> + +<p> +We see signs of renewal in increased attendance in places of worship; +renewed optimism and faith in our future; love of country rediscovered by +our young, who are leading the way. We've rediscovered that work is good in +and of itself, that it ennobles us to create and contribute no matter how +seemingly humble our jobs. We've seen a powerful new current from an old +and honorable tradition--American generosity. +</p> + +<p> +From thousands answering Peace Corps appeals to help boost food production +in Africa, to millions volunteering time, corporations adopting schools, +and communities pulling together to help the neediest among us at home, we +have refound our values. Private sector initiatives are crucial to our +future. +</p> + +<p> +I thank the Congress for passing equal access legislation giving religious +groups the same right to use classrooms after school that other groups +enjoy. But no citizen need tremble, nor the world shudder, if a child +stands in a classroom and breathes a prayer. We ask you again, give +children back a right they had for a century and a half or more in this +country. +</p> + +<p> +The question of abortion grips our nation. Abortion is either the taking of +a human life or it isn't. And if it is--and medical technology is +increasingly showing it is--it must be stopped. It is a terrible irony that +while some turn to abortion, so many others who cannot become parents cry +out for children to adopt. We have room for these children. We can fill the +cradles of those who want a child to love. And tonight I ask you in the +Congress to move this year on legislation to protect the unborn. +</p> + +<p> +In the area of education, we're returning to excellence, and again, the +heroes are our people, not government. We're stressing basics of +discipline, rigorous testing, and homework, while helping children become +computer-smart as well. For 20 years scholastic aptitude test scores of our +high school students went down, but now they have gone up 2 of the last 3 +years. We must go forward in our commitment to the new basics, giving +parents greater authority and making sure good teachers are rewarded for +hard work and achievement through merit pay. +</p> + +<p> +Of all the changes in the past 20 years, none has more threatened our sense +of national well-being than the explosion of violent crime. One does not +have to be attacked to be a victim. The woman who must run to her car after +shopping at night is a victim. The couple draping their door with locks and +chains are victims; as is the tired, decent cleaning woman who can't ride a +subway home without being afraid. +</p> + +<p> +We do not seek to violate the rights of defendants. But shouldn't we feel +more compassion for the victims of crime than for those who commit crime? +For the first time in 20 years, the crime index has fallen 2 years in a +row. We've convicted over 7,400 drug offenders and put them, as well as +leaders of organized crime, behind bars in record numbers. +</p> + +<p> +But we must do more. I urge the House to follow the Senate and enact +proposals permitting use of all reliable evidence that police officers +acquire in good faith. These proposals would also reform the habeas corpus +laws and allow, in keeping with the will of the overwhelming majority of +Americans, the use of the death penalty where necessary. +</p> + +<p> +There can be no economic revival in ghettos when the most violent among us +are allowed to roam free. It's time we restored domestic tranquility. And +we mean to do just that. +</p> + +<p> +Just as we're positioned as never before to secure justice in our economy, +we're poised as never before to create a safer, freer, more peaceful world. +Our alliances are stronger than ever. Our economy is stronger than ever. We +have resumed our historic role as a leader of the free world. And all of +these together are a great force for peace. +</p> + +<p> +Since 1981 we've been committed to seeking fair and verifiable arms +agreements that would lower the risk of war and reduce the size of nuclear +arsenals. Now our determination to maintain a strong defense has influenced +the Soviet Union to return to the bargaining table. Our negotiators must be +able to go to that table with the united support of the American people. +All of us have no greater dream than to see the day when nuclear weapons +are banned from this Earth forever. +</p> + +<p> +Each Member of the Congress has a role to play in modernizing our defenses, +thus supporting our chances for a meaningful arms agreement. Your vote this +spring on the Peacekeeper missile will be a critical test of our resolve to +maintain the strength we need and move toward mutual and verifiable arms +reductions. +</p> + +<p> +For the past 20 years we've believed that no war will be launched as long +as each side knows it can retaliate with a deadly counterstrike. Well, I +believe there's a better way of eliminating the threat of nuclear war. It +is a Strategic Defense Initiative aimed ultimately at finding a nonnuclear +defense against ballistic missiles. It's the most hopeful possibility of +the nuclear age. But it's not very well understood. +</p> + +<p> +Some say it will bring war to the heavens, but its purpose is to deter war +in the heavens and on Earth. Now, some say the research would be expensive. +Perhaps, but it could save millions of lives, indeed humanity itself. And +some say if we build such a system, the Soviets will build a defense system +of their own. Well, they already have strategic defenses that surpass ours; +a civil defense system, where we have almost none; and a research program +covering roughly the same areas of technology that we're now exploring. And +finally some say the research will take a long time. Well, the answer to +that is: Let's get started. +</p> + +<p> +Harry Truman once said that, ultimately, our security and the world's hopes +for peace and human progress "lie not in measures of defense or in the +control of weapons, but in the growth and expansion of freedom and +self-government." +</p> + +<p> +And tonight, we declare anew to our fellow citizens of the world: Freedom +is not the sole prerogative of a chosen few; it is the universal right of +all God's children. Look to where peace and prosperity flourish today. It +is in homes that freedom built. Victories against poverty are greatest and +peace most secure where people live by laws that ensure free press, free +speech, and freedom to worship, vote, and create wealth. +</p> + +<p> +Our mission is to nourish and defend freedom and democracy, and to +communicate these ideals everywhere we can. America's economic success is +freedom's success; it can be repeated a hundred times in a hundred +different nations. Many countries in east Asia and the Pacific have few +resources other than the enterprise of their own people. But through low +tax rates and free markets they've soared ahead of centralized economies. +And now China is opening up its economy to meet its needs. +</p> + +<p> +We need a stronger and simpler approach to the process of making and +implementing trade policy, and we'll be studying potential changes in that +process in the next few weeks. We've seen the benefits of free trade and +lived through the disasters of protectionism. Tonight I ask all our trading +partners, developed and developing alike, to join us in a new round of +trade negotiations to expand trade and competition and strengthen the +global economy--and to begin it in this next year. +</p> + +<p> +There are more than 3 billion human beings living in Third World countries +with an average per capita income of $650 a year. Many are victims of +dictatorships that impoverished them with taxation and corruption. Let us +ask our allies to join us in a practical program of trade and assistance +that fosters economic development through personal incentives to help these +people climb from poverty on their own. +</p> + +<p> +We cannot play innocents abroad in a world that's not innocent; nor can we +be passive when freedom is under siege. Without resources, diplomacy cannot +succeed. Our security assistance programs help friendly governments defend +themselves and give them confidence to work for peace. And I hope that you +in the Congress will understand that, dollar for dollar, security +assistance contributes as much to global security as our own defense +budget. +</p> + +<p> +We must stand by all our democratic allies. And we must not break faith +with those who are risking their lives--on every continent, from +Afghanistan to Nicaragua--to defy Soviet-supported aggression and secure +rights which have been ours from birth. +</p> + +<p> +The Sandinista dictatorship of Nicaragua, with full Cuban-Soviet bloc +support, not only persecutes its people, the church, and denies a free +press, but arms and provides bases for Communist terrorists attacking +neighboring states. Support for freedom fighters is self-defense and +totally consistent with the OAS and U.N. Charters. It is essential that the +Congress continue all facets of our assistance to Central America. I want +to work with you to support the democratic forces whose struggle is tied to +our own security. +</p> + +<p> +And tonight, I've spoken of great plans and great dreams. They're dreams we +can make come true. Two hundred years of American history should have +taught us that nothing is impossible. +</p> + +<p> +Ten years ago a young girl left Vietnam with her family, part of the exodus +that followed the fall of Saigon. They came to the United States with no +possessions and not knowing a word of English. Ten years ago--the young +girl studied hard, learned English, and finished high school in the top of +her class. And this May, May 22d to be exact, is a big date on her +calendar. Just 10 years from the time she left Vietnam, she will graduate +from the United States Military Academy at West Point. I thought you might +like to meet an American hero named Jean Nguyen. +</p> + +<p> +Now, there's someone else here tonight, born 79 years ago. She lives in the +inner city, where she cares for infants born of mothers who are heroin +addicts. The children, born in withdrawal, are sometimes even dropped on +her doorstep. She helps them with love. Go to her house some night, and +maybe you'll see her silhouette against the window as she walks the floor +talking softly, soothing a child in her arms--Mother Hale of Harlem, and +she, too, is an American hero. +</p> + +<p> +Jean, Mother Hale, your lives tell us that the oldest American saying is +new again: Anything is possible in America if we have the faith, the will, +and the heart. History is asking us once again to be a force for good in +the world. Let us begin in unity, with justice, and love. +</p> + +<p> +Thank you, and God bless you. +</p> + +<p> +NOTE: The President spoke at 9:05 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. +</p> + +<p><br /><br /><br /></p> + +<p class="t3"> +*** +</p> + +<p><a id="feb1986"></a></p> + +<p class="noindent"> +State of the Union Address<br /> +Ronald Reagan<br /> +February 4, 1986<br /> +</p> + +<p> +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: +</p> + +<p> +Thank you for allowing me to delay my address until this evening. We paused +together to mourn and honor the valor of our seven Challenger heroes. And I +hope that we are now ready to do what they would want us to do: Go forward, +America, and reach for the stars. We will never forget those brave seven, +but we shall go forward. +</p> + +<p> +Mr. Speaker, before I begin my prepared remarks, may I point out that +tonight marks the 10th and last State of the Union Message that you've +presided over. And on behalf of the American people, I want to salute you +for your service to Congress and country. Here's to you! +</p> + +<p> +I have come to review with you the progress of our nation, to speak of +unfinished work, and to set our sights on the future. I am pleased to +report the state of our Union is stronger than a year ago and growing +stronger each day. Tonight we look out on a rising America, firm of heart, +united in spirit, powerful in pride and patriotism. America is on the move! +But it wasn't long ago that we looked out on a different land: locked +factory gates, long gasoline lines, intolerable prices, and interest rates +turning the greatest country on Earth into a land of broken dreams. +Government growing beyond our consent had become a lumbering giant, +slamming shut the gates of opportunity, threatening to crush the very roots +of our freedom. What brought America back? The American people brought us +back with quiet courage and common sense, with undying faith that in this +nation under God the future will be ours; for the future belongs to the +free. +</p> + +<p> +Tonight the American people deserve our thanks for 37 straight months of +economic growth, for sunrise firms and modernized industries creating 9 +million new jobs in 3 years, interest rates cut in half, inflation falling +over from 12 percent in 1980 to under 4 today, and a mighty river of good +works--a record $74 billion in voluntary giving just last year alone. And +despite the pressures of our modern world, family and community remain the +moral core of our society, guardians of our values and hopes for the +future. Family and community are the costars of this great American +comeback. They are why we say tonight: Private values must be at the heart +of public policies. +</p> + +<p> +What is true for families in America is true for America in the family of +free nations. History is no captive of some inevitable force. History is +made by men and women of vision and courage. Tonight freedom is on the +march. The United States is the economic miracle, the model to which the +world once again turns. We stand for an idea whose time is now: Only by +lifting the weights from the shoulders of all can people truly prosper and +can peace among all nations be secure. Teddy Roosevelt said that a nation +that does great work lives forever. We have done well, but we cannot stop +at the foothills when Everest beckons. It's time for America to be all that +we can be. +</p> + +<p> +We speak tonight of an agenda for the future, an agenda for a safer, more +secure world. And we speak about the necessity for actions to steel us for +the challenges of growth, trade, and security in the next decade and the +year 2000. And we will do it--not by breaking faith with bedrock principles +but by breaking free from failed policies. Let us begin where storm clouds +loom darkest--right here in Washington, DC. This week I will send you our +detailed proposals; tonight let us speak of our responsibility to redefine +government's role: not to control, not to demand or command, not to contain +us, but to help in times of need and, above all, to create a ladder of +opportunity to full employment so that all Americans can climb toward +economic power and justice on their own. +</p> + +<p> +But we cannot win the race to the future shackled to a system that can't +even pass a Federal budget. We cannot win that race held back by +horse-and-buggy programs that waste tax dollars and squander human +potential. We cannot win that race if we're swamped in a sea of red ink. +Now, Mr. Speaker, you know, I know, and the American people know the +Federal budget system is broken. It doesn't work. Before we leave this +city, let's you and I work together to fix it, and then we can finally give +the American people a balanced budget. +</p> + +<p> +Members of Congress, passage of Gramm-Rudman-Hollings gives us an historic +opportunity to achieve what has eluded our national leadership for decades: +forcing the Federal Government to live within its means. Your schedule now +requires that the budget resolution be passed by April 15th, the very day +America's families have to foot the bill for the budgets that you produce. +How often we read of a husband and wife both working, struggling from +paycheck to paycheck to raise a family, meet a mortgage, pay their taxes +and bills. And yet some in Congress say taxes must be raised. Well, I'm +sorry; they're asking the wrong people to tighten their belts. It's time we +reduce the Federal budget and left the family budget alone. We do not face +large deficits because American families are undertaxed; we face those +deficits because the Federal Government overspends. +</p> + +<p> +The detailed budget that we will submit will meet the Gramm-Rudman-Hollings +target for deficit reductions, meet our commitment to ensure a strong +national defense, meet our commitment to protect Social Security and the +truly less fortunate, and, yes, meet our commitment to not raise taxes. How +should we accomplish this? Well, not by taking from those in need. As +families take care of their own, government must provide shelter and +nourishment for those who cannot provide for themselves. But we must revise +or replace programs enacted in the name of compassion that degrade the +moral worth of work, encourage family breakups, and drive entire +communities into a bleak and heartless dependency. Gramm-Rudman-Hollings +can mark a dramatic improvement. But experience shows that simply setting +deficit targets does not assure they'll be met. We must proceed with Grace +commission reforms against waste. +</p> + +<p> +And tonight I ask you to give me what 43 Governors have: Give me a +line-item veto this year. Give me the authority to veto waste, and I'll +take the responsibility, I'll make the cuts, I'll take the heat. This +authority would not give me any monopoly power, but simply prevent spending +measures from sneaking through that could not pass on their own merit. And +you can sustain or override my veto; that's the way the system should work. +Once we've made the hard choices, we should lock in our gains with a +balanced budget amendment to the Constitution. +</p> + +<p> +I mentioned that we will meet our commitment to national defense. We must +meet it. Defense is not just another budget expense. Keeping America +strong, free, and at peace is solely the responsibility of the Federal +Government; it is government's prime responsibility. We have devoted 5 +years trying to narrow a dangerous gap born of illusion and neglect, and +we've made important gains. Yet the threat from Soviet forces, conventional +and strategic, from the Soviet drive for domination, from the increase in +espionage and state terror remains great. This is reality. Closing our eyes +will not make reality disappear. We pledged together to hold real growth in +defense spending to the bare minimum. My budget honors that pledge, and I'm +now asking you, the Congress, to keep its end of the bargain. The Soviets +must know that if America reduces her defenses, it will be because of a +reduced threat, not a reduced resolve. +</p> + +<p> +Keeping America strong is as vital to the national security as controlling +Federal spending is to our economic security. But, as I have said before, +the most powerful force we can enlist against the Federal deficit is an +ever-expanding American economy, unfettered and free. The magic of +opportunity--unreserved, unfailing, unrestrained--isn't this the calling +that unites us? I believe our tax rate cuts for the people have done more +to spur a spirit of risk-taking and help America's economy break free than +any program since John Kennedy's tax cut almost a quarter century ago. +</p> + +<p> +Now history calls us to press on, to complete efforts for an historic tax +reform providing new opportunity for all and ensuring that all pay their +fair share, but no more. We've come this far. Will you join me now, and +we'll walk this last mile together? You know my views on this. We cannot +and we will not accept tax reform that is a tax increase in disguise. True +reform must be an engine of productivity and growth, and that means a top +personal rate no higher than 35 percent. True reform must be truly fair, +and that means raising personal exemptions to $2,000. True reform means a +tax system that at long last is profamily, projobs, profuture, and +pro-America. +</p> + +<p> +As we knock down the barriers to growth, we must redouble our efforts for +freer and fairer trade. We have already taken actions to counter unfair +trading practices and to pry open closed foreign markets. We will continue +to do so. We will also oppose legislation touted as providing protection +that in reality pits one American worker against another, one industry +against another, one community against another, and that raises prices for +us all. If the United States can trade with other nations on a level +playing field, we can outproduce, outcompete, and outsell anybody, anywhere +in the world. +</p> + +<p> +The constant expansion of our economy and exports requires a sound and +stable dollar at home and reliable exchange rates around the world. We must +never again permit wild currency swings to cripple our farmers and other +exporters. Farmers, in particular, have suffered from past unwise +government policies. They must not be abandoned with problems they did not +create and cannot control. We've begun coordinating economic and monetary +policy among our major trading partners. But there's more to do, and +tonight I am directing Treasury Secretary Jim Baker to determine if the +nations of the world should convene to discuss the role and relationship of +our currencies. +</p> + +<p> +Confident in our future and secure in our values, Americans are striving +forward to embrace the future. We see it not only in our recovery but in 3 +straight years of falling crime rates, as families and communities band +together to fight pornography, drugs, and lawlessness and to give back to +their children the safe and, yes, innocent childhood they deserve. We see +it in the renaissance in education, the rising SAT scores for 3 years--last +year's increase, the greatest since 1963. It wasn't government and +Washington lobbies that turned education around; it was the American people +who, in reaching for excellence, knew to reach back to basics. We must +continue the advance by supporting discipline in our schools, vouchers that +give parents freedom of choice; and we must give back to our children their +lost right to acknowledge God in their classrooms. +</p> + +<p> +We are a nation of idealists, yet today there is a wound in our national +conscience. America will never be whole as long as the right to life +granted by our Creator is denied to the unborn. For the rest of my time, I +shall do what I can to see that this wound is one day healed. +</p> + +<p> +As we work to make the American dream real for all, we must also look to +the condition of America's families. Struggling parents today worry how +they will provide their children the advantages that their parents gave +them. In the welfare culture, the breakdown of the family, the most basic +support system, has reached crisis proportions--in female and child +poverty, child abandonment, horrible crimes, and deteriorating schools. +After hundreds of billions of dollars in poverty programs, the plight of +the poor grows more painful. But the waste in dollars and cents pales +before the most tragic loss: the sinful waste of human spirit and +potential. We can ignore this terrible truth no longer. As Franklin +Roosevelt warned 51 years ago, standing before this Chamber, he said, +"Welfare is a narcotic, a subtle destroyer of the human spirit." And we +must now escape the spider's web of dependency. +</p> + +<p> +Tonight I am charging the White House Domestic Council to present me by +December 1, 1986, an evaluation of programs and a strategy for immediate +action to meet the financial, educational, social, and safety concerns of +poor families. I'm talking about real and lasting emancipation, because the +success of welfare should be judged by how many of its recipients become +independent of welfare. Further, after seeing how devastating illness can +destroy the financial security of the family, I am directing the Secretary +of Health and Human Services, Dr. Otis Bowen, to report to me by year end +with recommendations on how the private sector and government can work +together to address the problems of affordable insurance for those whose +life savings would otherwise be threatened when catastrophic illness +strikes. +</p> + +<p> +And tonight I want to speak directly to America's younger generation, +because you hold the destiny of our nation in your hands. With all the +temptations young people face, it sometimes seems the allure of the +permissive society requires superhuman feats of self-control. But the call +of the future is too strong, the challenge too great to get lost in the +blind alleyways of dissolution, drugs, and despair. Never has there been a +more exciting time to be alive, a time of rousing wonder and heroic +achievement. As they said in the film "Back to the Future," "Where we're +going, we don't need roads." +</p> + +<p> +Well, today physicists peering into the infinitely small realms of +subatomic particles find reaffirmations of religious faith. Astronomers +build a space telescope that can see to the edge of the universe and +possibly back to the moment of creation. So, yes, this nation remains fully +committed to America's space program. We're going forward with our shuttle +flights. We're going forward to build our space station. And we are going +forward with research on a new Orient Express that could, by the end of the +next decade, take off from Dulles Airport, accelerate up to 25 times the +speed of sound, attaining low Earth orbit or flying to Tokyo within 2 +hours. And the same technology transforming our lives can solve the +greatest problem of the 20th century. A security shield can one day render +nuclear weapons obsolete and free mankind from the prison of nuclear +terror. America met one historic challenge and went to the Moon. Now +America must meet another: to make our strategic defense real for all the +citizens of planet Earth. +</p> + +<p> +Let us speak of our deepest longing for the future: to leave our children a +land that is free and just and a world at peace. It is my hope that our +fireside summit in Geneva and Mr. Gorbachev's upcoming visit to America can +lead to a more stable relationship. Surely no people on Earth hate war or +love peace more than we Americans. But we cannot stroll into the future +with childlike faith. Our differences with a system that openly proclaims +and practices an alleged right to command people's lives and to export its +ideology by force are deep and abiding. Logic and history compel us to +accept that our relationship be guided by realism--rock-hard, cleareyed, +steady, and sure. Our negotiators in Geneva have proposed a radical cut in +offensive forces by each side with no cheating. They have made clear that +Soviet compliance with the letter and spirit of agreements is essential. If +the Soviet Government wants an agreement that truly reduces nuclear arms, +there will be such an agreement. +</p> + +<p> +But arms control is no substitute for peace. We know that peace follows in +freedom's path and conflicts erupt when the will of the people is denied. +So, we must prepare for peace not only by reducing weapons but by +bolstering prosperity, liberty, and democracy however and wherever we can. +We advance the promise of opportunity every time we speak out on behalf of +lower tax rates, freer markets, sound currencies around the world. We +strengthen the family of freedom every time we work with allies and come to +the aid of friends under siege. And we can enlarge the family of free +nations if we will defend the unalienable rights of all God's children to +follow their dreams. +</p> + +<p> +To those imprisoned in regimes held captive, to those beaten for daring to +fight for freedom and democracy--for their right to worship, to speak, to +live, and to prosper in the family of free nations--we say to you tonight: +You are not alone, freedom fighters. America will support with moral and +material assistance your right not just to fight and die for freedom but to +fight and win freedom--to win freedom in Afghanistan, in Angola, in +Cambodia, and in Nicaragua. This is a great moral challenge for the entire +free world. +</p> + +<p> +Surely no issue is more important for peace in our own hemisphere, for the +security of our frontiers, for the protection of our vital interests, than +to achieve democracy in Nicaragua and to protect Nicaragua's democratic +neighbors. This year I will be asking Congress for the means to do what +must be done for that great and good cause. As (former Senator Henry +M.)Scoop Jackson, the inspiration for our Bipartisan Commission on Central +America, once said, "In matters of national security, the best politics is +no politics." +</p> + +<p> +What we accomplish this year, in each challenge we face, will set our +course for the balance of the decade, indeed, for the remainder of the +century. After all we've done so far, let no one say that this nation +cannot reach the destiny of our dreams. America believes, America is ready, +America can win the race to the future--and we shall. The American dream is +a song of hope that rings through night winter air; vivid, tender music +that warms our hearts when the least among us aspire to the greatest +things: to venture a daring enterprise; to unearth new beauty in music, +literature, and art; to discover a new universe inside a tiny silicon chip +or a single human cell. +</p> + +<p> +We see the dream coming true in the spirit of discovery of Richard Cavoli. +All his life he's been enthralled by the mysteries of medicine. And, +Richard, we know that the experiment that you began in high school was +launched and lost last week, yet your dream lives. And as long as it's +real, work of noble note will yet be done, work that could reduce the +harmful effects of x rays on patients and enable astronomers to view the +golden gateways of the farthest stars. +</p> + +<p> +We see the dream glow in the towering talent of a 12-year-old, Tyrone Ford. +A child prodigy of gospel music, he has surmounted personal adversity to +become an accomplished pianist and singer. He also directs the choirs of +three churches and has performed at the Kennedy Center. With God as your +composer, Tyrone, your music will be the music of angels. +</p> + +<p> +We see the dream being saved by the courage of the 13-year-old Shelby +Butler, honor student and member of her school's safety patrol. Seeing +another girl freeze in terror before an out-of-control school bus, she +risked her life and pulled her to safety. With bravery like yours, Shelby, +America need never fear for our future. +</p> + +<p> +And we see the dream born again in the joyful compassion of a 13 year old, +Trevor Ferrell. Two years ago, age 11, watching men and women bedding down +in abandoned doorways--on television he was watching--Trevor left his +suburban Philadelphia home to bring blankets and food to the helpless and +homeless. And now 250 people help him fulfill his nightly vigil. Trevor, +yours is the living spirit of brotherly love. +</p> + +<p> +Would you four stand up for a moment? Thank you, thank you. You are heroes +of our hearts. We look at you and know it's true: In this land of dreams +fulfilled, where greater dreams may be imagined, nothing is impossible, no +victory is beyond our reach, no glory will ever be too great. +</p> + +<p> +So, now it's up to us, all of us, to prepare America for that day when our +work will pale before the greatness of America's champions in the 21st +century. The world's hopes rest with America's future; America's hopes rest +with us. So, let us go forward to create our world of tomorrow in faith, in +unity, and in love. +</p> + +<p> +God bless you, and God bless America. +</p> + +<p> +NOTE: The President spoke at 8:04 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. +</p> + +<p><br /><br /><br /></p> + +<p class="t3"> +*** +</p> + +<p><a id="jan1987"></a></p> + +<p class="noindent"> +State of the Union Address<br /> +Ronald Reagan<br /> +January 27, 1987<br /> +</p> + +<p> +Mr. Speaker, Mr. President, distinguished Members of Congress, honored +guests, and fellow citizens: +</p> + +<p> +May I congratulate all of you who are Members of this historic 100th +Congress of the United States of America. In this 200th anniversary year of +our Constitution, you and I stand on the shoulders of giants--men whose +words and deeds put wind in the sails of freedom. However, we must always +remember that our Constitution is to be celebrated not for being old, but +for being young--young with the same energy, spirit, and promise that +filled each eventful day in Philadelphia's statehouse. We will be guided +tonight by their acts, and we will be guided forever by their words. +</p> + +<p> +Now, forgive me, but I can't resist sharing a story from those historic +days. Philadelphia was bursting with civic pride in the spring of 1787, and +its newspapers began embellishing the arrival of the Convention delegates +with elaborate social classifications. Governors of States were called +Excellency. Justices and Chancellors had reserved for them honorable with a +capital "H." For Congressmen, it was honorable with a small "h." And all +others were referred to as "the following respectable characters." Well, +for this 100th Congress, I invoke special executive powers to declare that +each of you must never be titled less than honorable with a capital "H." +Incidentally, I'm delighted you are celebrating the 100th birthday of the +Congress. It's always a pleasure to congratulate someone with more +birthdays than I've had. +</p> + +<p> +Now, there's a new face at this place of honor tonight. And please join me +in warm congratulations to the Speaker of the House, Jim Wright. Mr. +Speaker, you might recall a similar situation in your very first session of +Congress 32 years ago. Then, as now, the speakership had changed hands and +another great son of Texas, Sam Rayburn--"Mr. Sam"--sat in your chair. I +cannot find better words than those used by President Eisenhower that +evening. He said, "We shall have much to do together; I am sure that we +will get it done and that we shall do it in harmony and good will." Tonight +I renew that pledge. To you, Mr. Speaker, and to Senate Majority Leader +Robert Byrd, who brings 34 years of distinguished service to the Congress, +may I say: Though there are changes in the Congress, America's interests +remain the same. And I am confident that, along with Republican leaders Bob +Michel and Bob Dole, this Congress can make history. +</p> + +<p> +Six years ago I was here to ask the Congress to join me in America's new +beginning. Well, the results are something of which we can all be proud. +Our inflation rate is now the lowest in a quarter of a century. The prime +interest rate has fallen from the 21 1/2 percent the month before we took +office to 7 1/2 percent today. And those rates have triggered the most +housing starts in 8 years. The unemployment rate--still too high--is the +lowest in nearly 7 years, and our people have created nearly 13 million new +jobs. Over 61 percent of everyone over the age of 16, male and female, is +employed--the highest percentage on record. Let's roll up our sleeves and +go to work and put America's economic engine at full throttle. We can also +be heartened by our progress across the world. Most important, America is +at peace tonight, and freedom is on the march. And we've done much these +past years to restore our defenses, our alliances, and our leadership in +the world. Our sons and daughters in the services once again wear their +uniforms with pride. +</p> + +<p> +But though we've made much progress, I have one major regret: I took a risk +with regard to our action in Iran. It did not work, and for that I assume +full responsibility. The goals were worthy. I do not believe it was wrong +to try to establish contacts with a country of strategic importance or to +try to save lives. And certainly it was not wrong to try to secure freedom +for our citizens held in barbaric captivity. But we did not achieve what we +wished, and serious mistakes were made in trying to do so. We will get to +the bottom of this, and I will take whatever action is called for. But in +debating the past, we must not deny ourselves the successes of the future. +Let it never be said of this generation of Americans that we became so +obsessed with failure that we refused to take risks that could further the +cause of peace and freedom in the world. Much is at stake here, and the +Nation and the world are watching to see if we go forward together in the +national interest or if we let partisanship weaken us. And let there be no +mistake about American policy: We will not sit idly by if our interests or +our friends in the Middle East are threatened, nor will we yield to +terrorist blackmail. +</p> + +<p> +And now, ladies and gentlemen of the Congress, why don't we get to work? I +am pleased to report that because of our efforts to rebuild the strength of +America, the world is a safer place. Earlier this month I submitted a +budget to defend America and maintain our momentum to make up for neglect +in the last decade. Well, I ask you to vote out a defense and foreign +affairs budget that says yes to protecting our country. While the world is +safer, it is not safe. +</p> + +<p> +Since 1970 the Soviets have invested $500 billion more on their military +forces than we have. Even today, though nearly 1 in 3 Soviet families is +without running hot water and the average family spends 2 hours a day +shopping for the basic necessities of life, their government still found +the resources to transfer $75 billion in weapons to client states in the +past 5 years--clients like Syria, Vietnam, Cuba, Libya, Angola, Ethiopia, +Afghanistan, and Nicaragua. With 120,000 Soviet combat and military +personnel and 15,000 military advisers in Asia, Africa, and Latin America, +can anyone still doubt their single-minded determination to expand their +power? Despite this, the Congress cut my request for critical U.S. security +assistance to free nations by 21 percent this year, and cut defense +requests by $85 billion in the last 3 years. +</p> + +<p> +These assistance programs serve our national interests as well as mutual +interests. And when the programs are devastated, American interests are +harmed. My friends, it's my duty as President to say to you again tonight +that there is no surer way to lose freedom than to lose our resolve. Today +the brave people of Afghanistan are showing that resolve. The Soviet Union +says it wants a peaceful settlement in Afghanistan, yet it continues a +brutal war and props up a regime whose days are clearly numbered. We are +ready to support a political solution that guarantees the rapid withdrawal +of all Soviet troops and genuine self-determination for the Afghan people. +</p> + +<p> +In Central America, too, the cause of freedom is being tested. And our +resolve is being tested there as well. Here, especially, the world is +watching to see how this nation responds. Today over 90 percent of the +people of Latin America live in democracy. Democracy is on the march in +Central and South America. Communist Nicaragua is the odd man +out--suppressing the church, the press, and democratic dissent and +promoting subversion in the region. We support diplomatic efforts, but +these efforts can never succeed if the Sandinistas win their war against +the Nicaraguan people. +</p> + +<p> +Our commitment to a Western Hemisphere safe from aggression did not occur +by spontaneous generation on the day that we took office. It began with the +Monroe Doctrine in 1823 and continues our historic bipartisan American +policy. Franklin Roosevelt said we "are determined to do everything +possible to maintain peace on this hemisphere." President Truman was very +blunt: "International communism seeks to crush and undermine and destroy +the independence of the Americas. We cannot let that happen here." And John +F. Kennedy made clear that "Communist domination in this hemisphere can +never be negotiated." Some in this Congress may choose to depart from this +historic commitment, but I will not. +</p> + +<p> +This year we celebrate the second century of our Constitution. The +Sandinistas just signed theirs 2 weeks ago, and then suspended it. We won't +know how my words tonight will be reported there for one simple reason: +There is no free press in Nicaragua. Nicaraguan freedom fighters have never +asked us to wage their battle, but I will fight any effort to shut off +their lifeblood and consign them to death, defeat, or a life without +freedom. There must be no Soviet beachhead in Central America. +</p> + +<p> +You know, we Americans have always preferred dialog to conflict, and so, we +always remain open to more constructive relations with the Soviet Union. +But more responsible Soviet conduct around the world is a key element of +the U.S.-Soviet agenda. Progress is also required on the other items of our +agenda as well--real respect for human rights and more open contacts +between our societies and, of course, arms reduction. +</p> + +<p> +In Iceland, last October, we had one moment of opportunity that the Soviets +dashed because they sought to cripple our Strategic Defense Initiative, +SDI. I wouldn't let them do it then; I won't let them do it now or in the +future. This is the most positive and promising defense program we have +undertaken. It's the path, for both sides, to a safer future--a system that +defends human life instead of threatening it. SDI will go forward. The +United States has made serious, fair, and far-reaching proposals to the +Soviet Union, and this is a moment of rare opportunity for arms reduction. +But I will need, and American negotiators in Geneva will need, Congress' +support. Enacting the Soviet negotiating position into American law would +not be the way to win a good agreement. So, I must tell you in this +Congress I will veto any effort that undercuts our national security and +our negotiating leverage. +</p> + +<p> +Now, today, we also find ourselves engaged in expanding peaceful commerce +across the world. We will work to expand our opportunities in international +markets through the Uruguay round of trade negotiations and to complete an +historic free trade arrangement between the world's two largest trading +partners, Canada and the United States. Our basic trade policy remains the +same: We remain opposed as ever to protectionism, because America's growth +and future depend on trade. But we would insist on trade that is fair and +free. We are always willing to be trade partners but never trade patsies. +</p> + +<p> +Now, from foreign borders let us return to our own, because America in the +world is only as strong as America at home. This 100th Congress has high +responsibilities. I begin with a gentle reminder that many of these are +simply the incomplete obligations of the past. The American people deserve +to be impatient, because we do not yet have the public house in order. +We've had great success in restoring our economic integrity, and we've +rescued our nation from the worst economic mess since the Depression. But +there's more to do. For starters, the Federal deficit is outrageous. For +years I've asked that we stop pushing onto our children the excesses of our +government. And what the Congress finally needs to do is pass a +constitutional amendment that mandates a balanced budget and forces +government to live within its means. States, cities, and the families of +America balance their budgets. Why can't we? +</p> + +<p> +Next, the budget process is a sorry spectacle. The missing of deadlines and +the nightmare of monstrous continuing resolutions packing hundreds of +billions of dollars of spending into one bill must be stopped. We ask the +Congress once again: Give us the same tool that 43 Governors have--a +lineitem veto so we can carve out the boondoggles and pork, those items +that would never survive on their own. I will send the Congress broad +recommendations on the budget, but first I'd like to see yours. Let's go to +work and get this done together. +</p> + +<p> +But now let's talk about this year's budget. Even though I have submitted +it within the Gramm-Rudman-Hollings deficit reduction target, I have seen +suggestions that we might postpone that timetable. Well, I think the +American people are tired of hearing the same old excuses. Together we made +a commitment to balance the budget. Now let's keep it. As for those +suggestions that the answer is higher taxes, the American people have +repeatedly rejected that shop-worn advice. They know that we don't have +deficits because people are taxed too little. We have deficits because big +government spends too much. +</p> + +<p> +Now, next month I'll place two additional reforms before the Congress. +We've created a welfare monster that is a shocking indictment of our sense +of priorities. Our national welfare system consists of some 59 major +programs and over 6,000 pages of Federal laws and regulations on which more +than $132 billion was spent in 1985. I will propose a new national welfare +strategy, a program of welfare reform through State-sponsored, +community-based demonstration projects. This is the time to reform this +outmoded social dinosaur and finally break the poverty trap. Now, we will +never abandon those who, through no fault of their own, must have our help. +But let us work to see how many can be freed from the dependency of welfare +and made self-supporting, which the great majority of welfare recipients +want more than anything else. Next, let us remove a financial specter +facing our older Americans: the fear of an illness so expensive that it can +result in having to make an intolerable choice between bankruptcy and +death. I will submit legislation shortly to help free the elderly from the +fear of catastrophic illness. +</p> + +<p> +Now let's turn to the future. It's widely said that America is losing her +competitive edge. Well, that won't happen if we act now. How well prepared +are we to enter the 21st century? In my lifetime, America set the standard +for the world. It is now time to determine that we should enter the next +century having achieved a level of excellence unsurpassed in history. We +will achieve this, first, by guaranteeing that government does everything +possible to promote America's ability to compete. Second, we must act as +individuals in a quest for excellence that will not be measured by new +proposals or billions in new funding. Rather, it involves an expenditure of +American spirit and just plain American grit. The Congress will soon +receive my comprehensive proposals to enhance our competitiveness, +including new science and technology centers and strong new funding for +basic research. The bill will include legal and regulatory reforms and +weapons to fight unfair trade practices. Competitiveness also means giving +our farmers a shot at participating fairly and fully in a changing world +market. +</p> + +<p> +Preparing for the future must begin, as always, with our children. We need +to set for them new and more rigorous goals. We must demand more of +ourselves and our children by raising literacy levels dramatically by the +year 2000. Our children should master the basic concepts of math and +science, and let's insist that students not leave high school until they +have studied and understood the basic documents of our national heritage. +There's one more thing we can't let up on: Let's redouble our personal +efforts to provide for every child a safe and drug-free learning +environment. If our crusade against drugs succeeds with our children, we +will defeat that scourge all over the country. +</p> + +<p> +Finally, let's stop suppressing the spiritual core of our national being. +Our nation could not have been conceived without divine help. Why is it +that we can build a nation with our prayers, but we can't use a schoolroom +for voluntary prayer? The 100th Congress of the United States should be +remembered as the one that ended the expulsion of God from America's +classrooms. +</p> + +<p> +The quest for excellence into the 21st century begins in the schoolroom but +must go next to the workplace. More than 20 million new jobs will be +created before the new century unfolds, and by then, our economy should be +able to provide a job for everyone who wants to work. We must also enable +our workers to adapt to the rapidly changing nature of the workplace. And I +will propose substantial, new Federal commitments keyed to retraining and +job mobility. +</p> + +<p> +Over the next few weeks, I'll be sending the Congress a complete series of +these special messages--on budget reform, welfare reform, competitiveness, +including education, trade, worker training and assistance, agriculture, +and other subjects. The Congress can give us these tools, but to make these +tools work, it really comes down to just being our best. And that is the +core of American greatness. The responsibility of freedom presses us +towards higher knowledge and, I believe, moral and spiritual greatness. +Through lower taxes and smaller government, government has its ways of +freeing people's spirits. But only we, each of us, can let the spirit soar +against our own individual standards. Excellence is what makes freedom +ring. And isn't that what we do best? +</p> + +<p> +We're entering our third century now, but it's wrong to judge our nation by +its years. The calendar can't measure America because we were meant to be +an endless experiment in freedom--with no limit to our reaches, no +boundaries to what we can do, no end point to our hopes. The United States +Constitution is the impassioned and inspired vehicle by which we travel +through history. It grew out of the most fundamental inspiration of our +existence: that we are here to serve Him by living free--that living free +releases in us the noblest of impulses and the best of our abilities; that +we would use these gifts for good and generous purposes and would secure +them not just for ourselves and for our children but for all mankind. +</p> + +<p> +Over the years--I won't count if you don't--nothing has been so +heartwarming to me as speaking to America's young, and the little ones +especially, so fresh-faced and so eager to know. Well, from time to time +I've been with them--they will ask about our Constitution. And I hope you +Members of Congress will not deem this a breach of protocol if you'll +permit me to share these thoughts again with the young people who might be +listening or watching this evening. I've read the constitutions of a number +of countries, including the Soviet Union's. Now, some people are surprised +to hear that they have a constitution, and it even supposedly grants a +number of freedoms to its people. Many countries have written into their +constitution provisions for freedom of speech and freedom of assembly. +Well, if this is true, why is the Constitution of the United States so +exceptional? +</p> + +<p> +Well, the difference is so small that it almost escapes you, but it's so +great it tells you the whole story in just three words: We the people. In +those other constitutions, the Government tells the people of those +countries what they're allowed to do. In our Constitution, we the people +tell the Government what it can do, and it can do only those things listed +in that document and no others. Virtually every other revolution in history +has just exchanged one set of rulers for another set of rulers. Our +revolution is the first to say the people are the masters and government is +their servant. And you young people out there, don't ever forget that. +Someday you could be in this room, but wherever you are, America is +depending on you to reach your highest and be your best--because here in +America, we the people are in charge. +</p> + +<p> +Just three words: We the people--those are the kids on Christmas Day +looking out from a frozen sentry post on the 38th parallel in Korea or +aboard an aircraft carrier in the Mediterranean. A million miles from home, +but doing their duty. +</p> + +<p> +We the people--those are the warmhearted whose numbers we can't begin to +count, who'll begin the day with a little prayer for hostages they will +never know and MIA families they will never meet. Why? Because that's the +way we are, this unique breed we call Americans. +</p> + +<p> +We the people--they're farmers on tough times, but who never stop feeding a +hungry world. They're the volunteers at the hospital choking back their +tears for the hundredth time, caring for a baby struggling for life because +of a mother who used drugs. And you'll forgive me a special memory--it's a +million mothers like Nelle Reagan who never knew a stranger or turned a +hungry person away from her kitchen door. +</p> + +<p> +We the people--they refute last week's television commentary downgrading +our optimism and our idealism. They are the entrepreneurs, the builders, +the pioneers, and a lot of regular folks--the true heroes of our land who +make up the most uncommon nation of doers in history. You know they're +Americans because their spirit is as big as the universe and their hearts +are bigger than their spirits. +</p> + +<p> +We the people--starting the third century of a dream and standing up to +some cynic who's trying to tell us we're not going to get any better. Are +we at the end? Well, I can't tell it any better than the real thing--a +story recorded by James Madison from the final moments of the +Constitutional Convention, September 17th, 1787. As the last few members +signed the document, Benjamin Franklin--the oldest delegate at 81 years and +in frail health--looked over toward the chair where George Washington daily +presided. At the back of the chair was painted the picture of a Sun on the +horizon. And turning to those sitting next to him, Franklin observed that +artists found it difficult in their painting to distinguish between a +rising and a setting Sun. +</p> + +<p> +Well, I know if we were there, we could see those delegates sitting around +Franklin--leaning in to listen more closely to him. And then Dr. Franklin +began to share his deepest hopes and fears about the outcome of their +efforts, and this is what he said: "I have often looked at that picture +behind the President without being able to tell whether it was a rising or +setting Sun: But now at length I have the happiness to know that it is a +rising and not a setting Sun." Well, you can bet it's rising because, my +fellow citizens, America isn't finished. Her best days have just begun. +</p> + +<p> +Thank you, God bless you, and God bless America. +</p> + +<p> +NOTE: The President spoke at 9:03 p.m. in the House Chamber of the Capitol. +He was introduced by Jim Wright, Speaker of the House of Representatives. +The address was broadcast live on nationwide radio and television. +</p> + +<p><br /><br /><br /></p> + +<p class="t3"> +*** +</p> + +<p><a id="jan1988"></a></p> + +<p class="noindent"> +State of the Union Address<br /> +Ronald Reagan<br /> +January 25, 1988<br /> +</p> + +<p> +Mr. Speaker, Mr. President, and distinguished Members of the House and +Senate: When we first met here 7 years ago--many of us for the first +time--it was with the hope of beginning something new for America. We meet +here tonight in this historic Chamber to continue that work. If anyone +expects just a proud recitation of the accomplishments of my +administration, I say let's leave that to history; we're not finished yet. +So, my message to you tonight is put on your work shoes; we're still on the +job. +</p> + +<p> +History records the power of the ideas that brought us here those 7 years +ago--ideas like the individual's right to reach as far and as high as his or +her talents will permit; the free market as an engine of economic progress. +And as an ancient Chinese philosopher, Lao-tzu, said: "Govern a great +nation as you would cook a small fish; do not overdo it." Well, these ideas +were part of a larger notion, a vision, if you will, of America +herself--an America not only rich in opportunity for the individual but an +America, too, of strong families and vibrant neighborhoods; an America +whose divergent but harmonizing communities were a reflection of a deeper +community of values: the value of work, of family, of religion, and of the +love of freedom that God places in each of us and whose defense He has +entrusted in a special way to this nation. +</p> + +<p> +All of this was made possible by an idea I spoke of when Mr. Gorbachev was +here--the belief that the most exciting revolution ever known to humankind +began with three simple words: "We the People," the revolutionary notion +that the people grant government its rights, and not the other way around. +And there's one lesson that has come home powerfully to me, which I would +offer to you now. Just as those who created this Republic pledged to each +other their lives, their fortunes, and their sacred honor, so, too, +America's leaders today must pledge to each other that we will keep +foremost in our hearts and minds not what is best for ourselves or for our +party but what is best for America. +</p> + +<p> +In the spirit of Jefferson, let us affirm that in this Chamber tonight +there are no Republicans, no Democrats--just Americans. Yes, we will have +our differences, but let us always remember what unites us far outweighs +whatever divides us. Those who sent us here to serve them--the millions of +Americans watching and listening tonight--expect this of us. Let's prove to +them and to ourselves that democracy works even in an election year. We've +done this before. And as we have worked together to bring down spending, +tax rates, and inflation, employment has climbed to record heights; America +has created more jobs and better, higher paying jobs; family income has +risen for 4 straight years, and America's poor climbed out of poverty at +the fastest rate in more than 10 years. +</p> + +<p> +Our record is not just the longest peacetime expansion in history but an +economic and social revolution of hope based on work, incentives, growth, +and opportunity; a revolution of compassion that led to private sector +initiatives and a 77-percent increase in charitable giving; a revolution +that at a critical moment in world history reclaimed and restored the +American dream. +</p> + +<p> +In international relations, too, there's only one description for what, +together, we have achieved: a complete turnabout, a revolution. Seven years +ago, America was weak, and freedom everywhere was under siege. Today +America is strong, and democracy is everywhere on the move. From Central +America to East Asia, ideas like free markets and democratic reforms and +human rights are taking hold. We've replaced "Blame America" with "Look up +to America." We've rebuilt our defenses. And of all our accomplishments, +none can give us more satisfaction than knowing that our young people are +again proud to wear our country's uniform. +</p> + +<p> +And in a few moments, I'm going to talk about three developments--arms +reduction, the Strategic Defense Initiative, and the global democratic +revolution--that, when taken together, offer a chance none of us would have +dared imagine 7 years ago, a chance to rid the world of the two great +nightmares of the postwar era. I speak of the startling hope of giving our +children a future free of both totalitarianism and nuclear terror. +</p> + +<p> +Tonight, then, we're strong, prosperous, at peace, and we are free. This is +the state of our Union. And if we will work together this year, I believe +we can give a future President and a future Congress the chance to make +that prosperity, that peace, that freedom not just the state of our Union +but the state of our world. +</p> + +<p> +Toward this end, we have four basic objectives tonight. First, steps we can +take this year to keep our economy strong and growing, to give our children +a future of low inflation and full employment. Second, let's check our +progress in attacking social problems, where important gains have been +made, but which still need critical attention. I mean schools that work, +economic independence for the poor, restoring respect for family life and +family values. Our third objective tonight is global: continuing the +exciting economic and democratic revolutions we've seen around the world. +Fourth and finally, our nation has remained at peace for nearly a decade +and a half, as we move toward our goals of world prosperity and world +freedom. We must protect that peace and deter war by making sure the next +President inherits what you and I have a moral obligation to give that +President: a national security that is unassailable and a national defense +that takes full advantage of new technology and is fully funded. +</p> + +<p> +This is a full agenda. It's meant to be. You see, my thinking on the next +year is quite simple: Let's make this the best of 8. And that means it's +all out--right to the finish line. I don't buy the idea that this is the +last year of anything, because we're not talking here tonight about +registering temporary gains but ways of making permanent our successes. And +that's why our focus is the values, the principles, and ideas that made +America great. Let's be clear on this point. We're for limited government, +because we understand, as the Founding Fathers did, that it is the best way +of ensuring personal liberty and empowering the individual so that every +American of every race and region shares fully in the flowering of American +prosperity and freedom. +</p> + +<p> +One other thing we Americans like--the future--like the sound of it, the +idea of it, the hope of it. Where others fear trade and economic growth, we +see opportunities for creating new wealth and undreamed-of opportunities +for millions in our own land and beyond. Where others seek to throw up +barriers, we seek to bring them down. Where others take counsel of their +fears, we follow our hopes. Yes, we Americans like the future and like +making the most of it. Let's do that now. +</p> + +<p> +And let's begin by discussing how to maintain economic growth by +controlling and eventually eliminating the problem of Federal deficits. We +have had a balanced budget only eight times in the last 57 years. For the +first time in 14 years, the Federal Government spent less in real terms +last year than the year before. We took $73 billion off last year's deficit +compared to the year before. The deficit itself has moved from 6.3 percent +of the gross national product to only 3.4 percent. And perhaps the most +important sign of progress has been the change in our view of deficits. You +know, a few of us can remember when, not too many years ago, those who +created the deficits said they would make us prosperous and not to worry +about the debt, because we owe it to ourselves. Well, at last there is +agreement that we can't spend ourselves rich. +</p> + +<p> +Our recent budget agreement, designed to reduce Federal deficits by $76 +billion over the next 2 years, builds on this consensus. But this agreement +must be adhered to without slipping into the errors of the past: more +broken promises and more unchecked spending. As I indicated in my first +State of the Union, what ails us can be simply put: The Federal Government +is too big, and it spends too much money. I can assure you, the bipartisan +leadership of Congress, of my help in fighting off any attempt to bust our +budget agreement. And this includes the swift and certain use of the veto +power. +</p> + +<p> +Now, it's also time for some plain talk about the most immediate obstacle +to controlling Federal deficits. The simple but frustrating problem of +making expenses match revenues--something American families do and the +Federal Government can't--has caused crisis after crisis in this city. Mr. +Speaker, Mr. President, I will say to you tonight what I have said before +and will continue to say: The budget process has broken down; it needs a +drastic overhaul. With each ensuing year, the spectacle before the American +people is the same as it was this Christmas: budget deadlines delayed or +missed completely, monstrous continuing resolutions that pack hundreds of +billions of dollars worth of spending into one bill, and a Federal +Government on the brink of default. +</p> + +<p> +I know I'm echoing what you here in the Congress have said, because you +suffered so directly. But let's recall that in 7 years, of 91 +appropriations bills scheduled to arrive on my desk by a certain date, only +10 made it on time. Last year, of the 13 appropriations bills due by +October 1st, none of them made it. Instead, we had four continuing +resolutions lasting 41 days, then 36 days, and 2 days, and 3 days, +respectively. +</p> + +<p> +And then, along came these behemoths. This is the conference report--1,053 +pages, report weighing 14 pounds. Then this--a reconciliation bill 6 months +late that was 1,186 pages long, weighing 15 pounds. And the long-term +continuing resolution--this one was 2 months late, and it's 1,057 pages +long, weighing 14 pounds. That was a total of 43 pounds of paper and ink. +You had 3 hours--yes, 3 hours--to consider each, and it took 300 people at +my Office of Management and Budget just to read the bill so the Government +wouldn't shut down. Congress shouldn't send another one of these. No, and +if you do, I will not sign it. +</p> + +<p> +Let's change all this. Instead of a Presidential budget that gets discarded +and a congressional budget resolution that is not enforced, why not a +simple partnership, a joint agreement that sets out the spending priorities +within the available revenues? And let's remember our deadline is October +1st, not Christmas. Let's get the people's work done in time to avoid a +footrace with Santa Claus. And, yes, this year--to coin a phrase--a new +beginning: 13 individual bills, on time and fully reviewed by Congress. +</p> + +<p> +I'm also certain you join me in saying: Let's help ensure our future of +prosperity by giving the President a tool that, though I will not get to +use it, is one I know future Presidents of either party must have. Give the +President the same authority that 43 Governors use in their States: the +right to reach into massive appropriation bills, pare away the waste, and +enforce budget discipline. Let's approve the line-item veto. +</p> + +<p> +And let's take a partial step in this direction. Most of you in this +Chamber didn't know what was in this catchall bill and report. Over the +past few weeks, we've all learned what was tucked away behind a little +comma here and there. For example, there's millions for items such as +cranberry research, blueberry research, the study of crawfish, and the +commercialization of wildflowers. And that's not to mention the five or so +million ($.5 million) that--so that people from developing nations could +come here to watch Congress at work. I won't even touch that. So, tonight I +offer you this challenge. In 30 days I will send back to you those items as +rescissions, which if I had the authority to line them out I would do so. +</p> + +<p> +Now, review this multibillion-dollar package that will not undercut our +bipartisan budget agreement. As a matter of fact, if adopted, it will +improve our deficit reduction goals. And what an example we can set, that +we're serious about getting our financial accounts in order. By acting and +approving this plan, you have the opportunity to override a congressional +process that is out of control. +</p> + +<p> +There is another vital reform. Yes, Gramm-Rudman-Hollings has been +profoundly helpful, but let us take its goal of a balanced budget and make +it permanent. Let us do now what so many States do to hold down spending +and what 32 State legislatures have asked us to do. Let us heed the wishes +of an overwhelming plurality of Americans and pass a constitutional +amendment that mandates a balanced budget and forces the Federal Government +to live within its means. Reform of the budget process--including the +line-item veto and balanced budget amendment--will, together with real +restraint on government spending, prevent the Federal budget from ever +again ravaging the family budget. +</p> + +<p> +Let's ensure that the Federal Government never again legislates against the +family and the home. Last September 1 signed an Executive order on the +family requiring that every department and agency review its activities in +light of seven standards designed to promote and not harm the family. But +let us make certain that the family is always at the center of the public +policy process not just in this administration but in all future +administrations. It's time for Congress to consider, at the beginning, a +statement of the impact that legislation will have on the basic unit of +American society, the family. +</p> + +<p> +And speaking of the family, let's turn to a matter on the mind of every +American parent tonight: education. We all know the sorry story of the +sixties and seventies--soaring spending, plummeting test scores--and that +hopeful trend of the eighties, when we replaced an obsession with dollars +with a commitment to quality, and test scores started back up. There's a +lesson here that we all should write on the blackboard a hundred times: In +a child's education, money can never take the place of basics like +discipline, hard work, and, yes, homework. +</p> + +<p> +As a nation we do, of course, spend heavily on education--more than we +spend on defense. Yet across our country, Governors like New Jersey's Tom +Kean are giving classroom demonstrations that how we spend is as important +as how much we spend. Opening up the teaching profession to all qualified +candidates, merit pay--so that good teachers get A's as well as apples--and +stronger curriculum, as Secretary Bennett has proposed for high +schools--these imaginative reforms are making common sense the most popular +new kid in America's schools. How can we help? Well, we can talk about and +push for these reforms. But the most important thing we can do is to +reaffirm that control of our schools belongs to the States, local +communities and, most of all, to the parents and teachers. +</p> + +<p> +My friends, some years ago, the Federal Government declared war on poverty, +and poverty won. Today the Federal Government has 59 major welfare programs +and spends more than $100 billion a year on them. What has all this money +done? Well, too often it has only made poverty harder to escape. Federal +welfare programs have created a massive social problem. With the best of +intentions, government created a poverty trap that wreaks havoc on the very +support system the poor need most to lift themselves out of poverty: the +family. Dependency has become the one enduring heirloom, passed from one +generation to the next, of too many fragmented families. +</p> + +<p> +It is time--this may be the most radical thing I've said in 7 years in this +office--it's time for Washington to show a little humility. There are a +thousand sparks of genius in 50 States and a thousand communities around +the Nation. It is time to nurture them and see which ones can catch fire +and become guiding lights. States have begun to show us the way. They've +demonstrated that successful welfare programs can be built around more +effective child support enforcement practices and innovative programs +requiring welfare recipients to work or prepare for work. Let us give the +States more flexibility and encourage more reforms. Let's start making our +welfare system the first rung on America's ladder of opportunity, a boost +up from dependency, not a graveyard but a birthplace of hope. +</p> + +<p> +And now let me turn to three other matters vital to family values and the +quality of family life. The first is an untold American success story. +Recently, we released our annual survey of what graduating high school +seniors have to say about drugs. Cocaine use is declining, and marijuana +use was the lowest since surveying began. We can be proud that our students +are just saying no to drugs. But let us remember what this menace requires: +commitment from every part of America and every single American, a +commitment to a drugfree America. The war against drugs is a war of +individual battles, a crusade with many heroes, including America's young +people and also someone very special to me. She has helped so many of our +young people to say no to drugs. Nancy, much credit belongs to you, and I +want to express to you your husband's pride and your country's thanks.'. +Surprised you, didn't I? +</p> + +<p> +Well, now we come to a family issue that we must have the courage to +confront. Tonight, I call America--a good nation, a moral people--to +charitable but realistic consideration of the terrible cost of abortion on +demand. To those who say this violates a woman's right to control of her +own body: Can they deny that now medical evidence confirms the unborn child +is a living human being entitled to life, liberty, and the pursuit of +happiness? Let us unite as a nation and protect the unborn with legislation +that would stop all Federal funding for abortion and with a human life +amendment making, of course, an exception where the unborn child threatens +the life of the mother. Our Judeo-Christian tradition recognizes the right +of taking a life in self-defense. But with that one exception, let us look +to those others in our land who cry out for children to adopt. I pledge to +you tonight I will work to remove barriers to adoption and extend full +sharing in family life to millions of Americans so that children who need +homes can be welcomed to families who want them and love them. +</p> + +<p> +And let me add here: So many of our greatest statesmen have reminded us +that spiritual values alone are essential to our nation's health and vigor. +The Congress opens its proceedings each day, as does the Supreme Court, +with an acknowledgment of the Supreme Being. Yet we are denied the right to +set aside in our schools a moment each day for those who wish to pray. I +believe Congress should pass our school prayer amendment. +</p> + +<p> +Now, to make sure there is a full nine member Supreme Court to interpret +the law, to protect the rights of all Americans, I urge the Senate to move +quickly and decisively in confirming Judge Anthony Kennedy to the highest +Court in the land and to also confirm 27 nominees now waiting to fill +vacancies in the Federal judiciary. +</p> + +<p> +Here then are our domestic priorities. Yet if the Congress and the +administration work together, even greater opportunities lie ahead to +expand a growing world economy, to continue to reduce the threat of nuclear +arms, and to extend the frontiers of freedom and the growth of democratic +institutions. +</p> + +<p> +Our policies consistently received the strongest support of the late +Congressman Dan Daniel of Virginia. I'm sure all of you join me in +expressing heartfelt condolences on his passing. +</p> + +<p> +One of the greatest contributions the United States can make to the world +is to promote freedom as the key to economic growth. A creative, +competitive America is the answer to a changing world, not trade wars that +would close doors, create greater barriers, and destroy millions of jobs. +We should always remember: Protectionism is destructionism. America's jobs, +America's growth, America's future depend on trade--trade that is free, +open, and fair. +</p> + +<p> +This year, we have it within our power to take a major step toward a +growing global economy and an expanding cycle of prosperity that reaches to +all the free nations of this Earth. I'm speaking of the historic free trade +agreement negotiated between our country and Canada. And I can also tell +you that we're determined to expand this concept, south as well as north. +Next month I will be traveling to Mexico, where trade matters will be of +foremost concern. And over the next several months, our Congress and the +Canadian Parliament can make the start of such a North American accord a +reality. Our goal must be a day when the free flow of trade, from the tip +of Tierra del Fuego to the Arctic Circle, unites the people of the Western +Hemisphere in a bond of mutually beneficial exchange, when all borders +become what the U.S.-Canadian border so long has been: a meeting place +rather than a dividing line. +</p> + +<p> +This movement we see in so many places toward economic freedom is +indivisible from the worldwide movement toward political freedom and +against totalitarian rule. This global democratic revolution has removed +the specter, so frightening a decade ago, of democracy doomed to permanent +minority status in the world. In South and Central America, only a third of +the people enjoyed democratic rule in 1976. Today over 90 percent of Latin +Americans live in nations committed to democratic principles. And the +resurgence of democracy is owed to these courageous people on almost every +continent who have struggled to take control of their own destiny. +</p> + +<p> +In Nicaragua the struggle has extra meaning, because that nation is so near +our own borders. The recent revelations of a former high-level Sandinista +major, Roger Miranda, show us that, even as they talk peace, the Communist +Sandinista government of Nicaragua has established plans for a large +600,000-man army. Yet even as these plans are made, the Sandinista regime +knows the tide is turning, and the cause of Nicaraguan freedom is riding at +its crest. Because of the freedom fighters, who are resisting Communist +rule, the Sandinistas have been forced to extend some democratic rights, +negotiate with church authorities, and release a few political prisoners. +</p> + +<p> +The focus is on the Sandinistas, their promises and their actions. There is +a consensus among the four Central American democratic Presidents that the +Sandinistas have not complied with the plan to bring peace and democracy to +all of Central America. The Sandinistas again have promised reforms. Their +challenge is to take irreversible steps toward democracy. On Wednesday my +request to sustain the freedom fighters will be submitted, which reflects +our mutual desire for peace, freedom, and democracy in Nicaragua. I ask +Congress to pass this request. Let us be for the people of Nicaragua what +Lafayette, Pulaski, and Von Steuben were for our forefathers and the cause +of American independence. +</p> + +<p> +So, too, in Afghanistan, the freedom fighters are the key to peace. We +support the Mujahidin. There can be no settlement unless all Soviet troops +are removed and the Afghan people are allowed genuine self-determination. I +have made my views on this matter known to Mr. Gorbachev. But not just +Nicaragua or Afghanistan--yes, everywhere we see a swelling freedom tide +across the world: freedom fighters rising up in Cambodia and Angola, +fighting and dying for the same democratic liberties we hold sacred. Their +cause is our cause: freedom. +</p> + +<p> +Yet even as we work to expand world freedom, we must build a safer peace +and reduce the danger of nuclear war. But let's have no illusions. Three +years of steady decline in the value of our annual defense investment have +increased the risk of our most basic security interests, jeopardizing +earlier hard-won goals. We must face squarely the implications of this +negative trend and make adequate, stable defense spending a top goal both +this year and in the future. +</p> + +<p> +This same concern applies to economic and security assistance programs as +well. But the resolve of America and its NATO allies has opened the way for +unprecedented achievement in arms reduction. Our recently signed INF treaty +is historic, because it reduces nuclear arms and establishes the most +stringent verification regime in arms control history, including several +forms of short-notice, on-site inspection. I submitted the treaty today, +and I urge the Senate to give its advice and consent to ratification of +this landmark agreement. Thank you very much. +</p> + +<p> +In addition to the INF treaty, we're within reach of an even more +significant START agreement that will reduce U.S. and Soviet long-range +missile--or strategic arsenals by half. But let me be clear. Our approach +is not to seek agreement for agreement's sake but to settle only for +agreements that truly enhance our national security and that of our allies. +We will never put our security at risk--or that of our allies--just to reach +an agreement with the Soviets. No agreement is better than a bad +agreement. +</p> + +<p> +As I mentioned earlier, our efforts are to give future generations what we +never had--a future free of nuclear terror. Reduction of strategic +offensive arms is one step, SDI another. Our funding request for our +Strategic Defense Initiative is less than 2 percent of the total defense +budget. SDI funding is money wisely appropriated and money well spent. SDI +has the same purpose and supports the same goals of arms reduction. It +reduces the risk of war and the threat of nuclear weapons to all mankind. +Strategic defenses that threaten no one could offer the world a safer, more +stable basis for deterrence. We must also remember that SDI is our +insurance policy against a nuclear accident, a Chernobyl of the sky, or an +accidental launch or some madman who might come along. +</p> + +<p> +We've seen such changes in the world in 7 years. As totalitarianism +struggles to avoid being overwhelmed by the forces of economic advance and +the aspiration for human freedom, it is the free nations that are resilient +and resurgent. As the global democratic revolution has put totalitarianism +on the defensive, we have left behind the days of retreat. America is again +a vigorous leader of the free world, a nation that acts decisively and +firmly in the furtherance of her principles and vital interests. No legacy +would make me more proud than leaving in place a bipartisan consensus for +the cause of world freedom, a consensus that prevents a paralysis of +American power from ever occurring again. +</p> + +<p> +But my thoughts tonight go beyond this, and I hope you'll let me end this +evening with a personal reflection. You know, the world could never be +quite the same again after Jacob Shallus, a trustworthy and dependable +clerk of the Pennsylvania General Assembly, took his pen and engrossed +those words about representative government in the preamble of our +Constitution. And in a quiet but final way, the course of human events was +forever altered when, on a ridge overlooking the Emmitsburg Pike in an +obscure Pennsylvania town called Gettysburg, Lincoln spoke of our duty to +government of and by the people and never letting it perish from the +Earth. +</p> + +<p> +At the start of this decade, I suggested that we live in equally momentous +times, that it is up to us now to decide whether our form of government +would endure and whether history still had a place of greatness for a +quiet, pleasant, greening land called America. Not everything has been made +perfect in 7 years, nor will it be made perfect in seven times 70 years, +but before us, this year and beyond, are great prospects for the cause of +peace and world freedom. +</p> + +<p> +It means, too, that the young Americans I spoke of 7 years ago, as well as +those who might be coming along the Virginia or Maryland shores this night +and seeing for the first time the lights of this Capital City--the lights +that cast their glow on our great halls of government and the monuments to +the memory of our great men--it means those young Americans will find a +city of hope in a land that is free. +</p> + +<p> +We can be proud that for them and for us, as those lights along the Potomac +are still seen this night signaling as they have for nearly two centuries +and as we pray God they always will, that another generation of Americans +has protected and passed on lovingly this place called America, this +shining city on a hill, this government of, by, and for the people. +</p> + +<p> +Thank you, and God bless you. +</p> + +<p> +NOTE: The President spoke at 9:07 p.m. in the House Chamber of the Capitol. +He was introduced by Jim Wright, Speaker of the House of Representatives. +The address was broadcast live on nationwide radio and television. +</p> + +<p><br /><br /><br /><br /></p> + + + + + + + + +<pre> + + + + + +End of the Project Gutenberg EBook of State of the Union Addresses of Ronald +Reagan, by Ronald Reagan + +*** END OF THIS PROJECT GUTENBERG EBOOK STATE OF THE UNION ADDRESSES *** + +***** This file should be named 5046-h.htm or 5046-h.zip ***** +This and all associated files of various formats will be found in: + http://www.gutenberg.org/5/0/4/5046/ + +Produced by James Linden. 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You may copy it, give it away or re-use it under the terms of +the Project Gutenberg License included with this eBook or online at +www.gutenberg.org. If you are not located in the United States, you'll have +to check the laws of the country where you are located before using this ebook. + +Title: State of the Union Addresses of Ronald Reagan + +Author: Ronald Reagan + +Posting Date: November 23, 2014 [EBook #5046] +Release Date: February, 2004 +First Posted: April 11, 2002 +Last Updated: December 16, 2004 + +Language: English + +Character set encoding: ASCII + +*** START OF THIS PROJECT GUTENBERG EBOOK STATE OF THE UNION ADDRESSES *** + + + + +Produced by James Linden. HTML version by Al Haines. + + + + + + + + +State of the Union Addresses of Ronald Reagan + + + +The addresses are separated by three asterisks: *** + +Dates of addresses by Ronald Reagan in this eBook: + + January 26, 1982 + January 25, 1983 + January 25, 1984 + February 6, 1985 + February 4, 1986 + January 27, 1987 + January 25, 1988 + + + +*** + +State of the Union Address +Ronald Reagan +January 26, 1982 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +Today marks my first State of the Union address to you, a constitutional +duty as old as our Republic itself. + +President Washington began this tradition in 1790 after reminding the +Nation that the destiny of self-government and the "preservation of the +sacred fire of liberty" is "finally staked on the experiment entrusted to +the hands of the American people." For our friends in the press, who place +a high premium on accuracy, let me say: I did not actually hear George +Washington say that. But it is a matter of historic record. + +But from this podium, Winston Churchill asked the free world to stand +together against the onslaught of aggression. Franklin Delano Roosevelt +spoke of a day of infamy and summoned a nation to arms. Douglas MacArthur +made an unforgettable farewell to a country he loved and served so well. +Dwight Eisenhower reminded us that peace was purchased only at the price of +strength. And John F. Kennedy spoke of the burden and glory that is +freedom. + +When I visited this Chamber last year as a newcomer to Washington, critical +of past policies which I believed had failed, I proposed a new spirit of +partnership between this Congress and this administration and between +Washington and our State and local governments. In forging this new +partnership for America, we could achieve the oldest hopes of our +Republic--prosperity for our nation, peace for the world, and the blessings +of individual liberty for our children and, someday, for all of humanity. + +It's my duty to report to you tonight on the progress that we have made in +our relations with other nations, on the foundation we've carefully laid +for our economic recovery, and finally, on a bold and spirited initiative +that I believe can change the face of American government and make it again +the servant of the people. + +Seldom have the stakes been higher for America. What we do and say here +will make all the difference to autoworkers in Detroit, lumberjacks in the +Northwest, steelworkers in Steubenville who are in the unemployment lines; +to black teenagers in Newark and Chicago; to hard-pressed farmers and small +businessmen; and to millions of everyday Americans who harbor the simple +wish of a safe and financially secure future for their children. To +understand the state of the Union, we must look not only at where we are +and where we're going but where we've been. The situation at this time last +year was truly ominous. + +The last decade has seen a series of recessions. There was a recession in +1970, in 1974, and again in the spring of 1980. Each time, unemployment +increased and inflation soon turned up again. We coined the word +"stagflation" to describe this. + +Government's response to these recessions was to pump up the money supply +and increase spending. In the last 6 months of 1980, as an example, the +money supply increased at the fastest rate in postwar history--13 percent. +Inflation remained in double digits, and government spending increased at +an annual rate of 17 percent. Interest rates reached a staggering 21.5 +percent. There were 8 million unemployed. + +Late in 1981 we sank into the present recession, largely because continued +high interest rates hurt the auto industry and construction. And there was +a drop in productivity, and the already high unemployment increased. + +This time, however, things are different. We have an economic program in +place, completely different from the artificial quick fixes of the past. It +calls for a reduction of the rate of increase in government spending, and +already that rate has been cut nearly in half. But reduced spending the +first and smallest phase of a 3-year tax rate reduction designed to +stimulate the economy and create jobs. Already interest rates are down to +15 3/4 percent, but they must still go lower. Inflation is down from 12.4 +percent to 8.9, and for the month of December it was running at an +annualized rate of 5.2 percent. If we had not acted as we did, things would +be far worse for all Americans than they are today. Inflation, taxes, and +interest rates would all be higher. + +A year ago, Americans' faith in their governmental process was steadily +declining. Six out of 10 Americans were saying they were pessimistic about +their future. A new kind of defeatism was heard. Some said our domestic +problems were uncontrollable, that we had to learn to live with this +seemingly endless cycle of high inflation and high unemployment. + +There were also pessimistic predictions about the relationship between our +administration and this Congress. It was said we could never work together. +Well, those predictions were wrong. The record is clear, and I believe that +history will remember this as an era of American renewal, remember this +administration as an administration of change, and remember this Congress +as a Congress of destiny. + +Together, we not only cut the increase in government spending nearly in +half, we brought about the largest tax reductions and the most sweeping +changes in our tax structure since the beginning of this century. And +because we indexed future taxes to the rate of inflation, we took away +government's built-in profit on inflation and its hidden incentive to grow +larger at the expense of American workers. + +Together, after 50 years of taking power away from the hands of the people +in their States and local communities, we have started returning power and +resources to them. + +Together, we have cut the growth of new Federal regulations nearly in half. +In 1981 there were 23,000 fewer pages in the Federal Register, which lists +new regulations, than there were in 1980. By deregulating oil we've come +closer to achieving energy independence and helped bring down the cost of +gasoline and heating fuel. + +Together, we have created an effective Federal strike force to combat waste +and fraud in government. In just 6 months it has saved the taxpayers more +than $2 billion, and it's only getting started. + +Together we've begun to mobilize the private sector, not to duplicate +wasteful and discredited government programs, but to bring thousands of +Americans into a volunteer effort to help solve many of America's social +problems. + +Together we've begun to restore that margin of military safety that ensures +peace. Our country's uniform is being worn once again with pride. + +Together we have made a New Beginning, but we have only begun. + +No one pretends that the way ahead will be easy. In my Inaugural Address +last year, I warned that the "ills we suffer have come upon us over several +decades. They will not go away in days, weeks, or months, but they will go +away . . . because we as Americans have the capacity now, as we've had it +in the past, to do whatever needs to be done to preserve this last and +greatest bastion of freedom." + +The economy will face difficult moments in the months ahead. But the +program for economic recovery that is in place will pull the economy out of +its slump and put us on the road to prosperity and stable growth by the +latter half of this year. And that is why I can report to you tonight that +in the near future the state of the Union and the economy will be +better--much better--if we summon the strength to continue on the course +that we've charted. + +And so, the question: If the fundamentals are in place, what now? Well, two +things. First, we must understand what's happening at the moment to the +economy. Our current problems are not the product of the recovery program +that's only just now getting underway, as some would have you believe; they +are the inheritance of decades of tax and tax and spend and spend. + +Second, because our economic problems are deeply rooted and will not +respond to quick political fixes, we must stick to our carefully integrated +plan for recovery. That plan is based on four commonsense fundamentals: +continued reduction of the growth in Federal spending; preserving the +individual and business tax reductions that will stimulate saving and +investment; removing unnecessary Federal regulations to spark productivity; +and maintaining a healthy dollar and a stable monetary policy, the latter a +responsibility of the Federal Reserve System. + +The only alternative being offered to this economic program is a return to +the policies that gave us a trillion-dollar debt, runaway inflation, +runaway interest rates and unemployment. The doubters would have us turn +back the clock with tax increases that would offset the personal tax rate +reductions already passed by this Congress. Raise present taxes to cut +future deficits, they tell us. Well, I don't believe we should buy that +argument. + +There are too many imponderables for anyone to predict deficits or +surpluses several years ahead with any degree of accuracy. The budget in +place, when I took office, had been projected as balanced. It turned out to +have one of the biggest deficits in history. Another example of the +imponderables that can make deficit projections highly questionable--a +change of only one percentage point in unemployment can alter a deficit up +or down by some $25 billion. + +As it now stands, our forecast, which we're required by law to make, will +show major deficits starting at less than a hundred billion dollars and +declining, but still too high. More important, we're making progress with +the three keys to reducing deficits: economic growth, lower interest rates, +and spending control. The policies we have in place will reduce the deficit +steadily, surely, and in time, completely. + +Higher taxes would not mean lower deficits. If they did, how would we +explain that tax revenues more than doubled just since 1976; yet in that +same 6-year period we ran the largest series of deficits in our history. In +1980 tax revenues increased by $54 billion, and in 1980 we had one of our +all-time biggest deficits. Raising taxes won't balance the budget; it will +encourage more government spending and less private investment. Raising +taxes will slow economic growth, reduce production, and destroy future +jobs, making it more difficult for those without jobs to find them and more +likely that those who now have jobs could lose them. So, I will not ask you +to try to balance the budget on the backs of the American taxpayers. + +I will seek no tax increases this year, and I have no intention of +retreating from our basic program of tax relief. I promise to bring the +American people--to bring their tax rates down and to keep them down, to +provide them incentives to rebuild our economy, to save, to invest in +America's future. I will stand by my word. Tonight I'm urging the American +people: Seize these new opportunities to produce, to save, to invest, and +together we'll make this economy a mighty engine of freedom, hope, and +prosperity again. + +Now, the budget deficit this year will exceed our earlier expectations. The +recession did that. It lowered revenues and increased costs. To some +extent, we're also victims of our own success. We've brought inflation down +faster than we thought we could, and in doing this, we've deprived +government of those hidden revenues that occur when inflation pushes people +into higher income tax brackets. And the continued high interest rates last +year cost the government about $5 billion more than anticipated. + +We must cut out more nonessential government spending and rout out more +waste, and we will continue our efforts to reduce the number of employees +in the Federal work force by 75,000. + +The budget plan I submit to you on February 8th will realize major savings +by dismantling the Departments of Energy and Education and by eliminating +ineffective subsidies for business. We'll continue to redirect our +resources to our two highest budget priorities--a strong national defense +to keep America free and at peace and a reliable safety net of social +programs for those who have contributed and those who are in need. + +Contrary to some of the wild charges you may have heard, this +administration has not and will not turn its back on America's elderly or +America's poor. Under the new budget, funding for social insurance programs +will be more than double the amount spent only 6 years ago. But it would be +foolish to pretend that these or any programs cannot be made more efficient +and economical. + +The entitlement programs that make up our safety net for the truly needy +have worthy goals and many deserving recipients. We will protect them. But +there's only one way to see to it that these programs really help those +whom they were designed to help. And that is to bring their spiraling costs +under control. + +Today we face the absurd situation of a Federal budget with three-quarters +of its expenditures routinely referred to as "uncontrollable." And a large +part of this goes to entitlement programs. + +Committee after committee of this Congress has heard witness after witness +describe many of these programs as poorly administered and rife with waste +and fraud. Virtually every American who shops in a local supermarket is +aware of the daily abuses that take place in the food stamp program, which +has grown by 16,000 percent in the last 15 years. Another example is +Medicare and Medicaid--programs with worthy goals but whose costs have +increased from 11.2 billion to almost 60 billion, more than 5 times as +much, in just 10 years. + +Waste and fraud are serious problems. Back in 1980 Federal investigators +testified before one of your committees that "corruption has permeated +virtually every area of the Medicare and Medicaid health care industry." +One official said many of the people who are cheating the system were "very +confident that nothing was going to happen to them." Well, something is +going to happen. Not only the taxpayers are defrauded; the people with real +dependency on these programs are deprived of what they need, because +available resources are going not to the needy, but to the greedy. + +The time has come to control the uncontrollable. In August we made a start. +I signed a bill to reduce the growth of these programs by $44 billion over +the next 3 years while at the same time preserving essential services for +the truly needy. Shortly you will receive from me a message on further +reforms we intend to install--some new, but others long recommended by your +own congressional committees. I ask you to help make these savings for the +American taxpayer. + +The savings we propose in entitlement programs will total some $63 billion +over 4 Years and will, without affecting social t security, go a long way +toward bringing Federal spending under control. + +But don't be fooled by those who proclaim that spending cuts will deprive +the elderly, the needy, and the helpless. The. Federal Government will +still subsidize 95 million meals every day. That's one out of seven of all +the meals served in America. Head Start, senior nutrition programs, and +child welfare programs will not be cut from the levels we proposed last +year. More than one-half billion dollars has been proposed for minority +business assistance. And research at the National Institute of Health will +be increased by over $100 million. While meeting all these needs, we intend +to plug unwarranted tax loopholes and strengthen the law which requires all +large corporations to pay a minimum tax. + +I am confident the economic program we've put into operation will protect +the needy while it triggers a recovery that will benefit all Americans. It +will stimulate the economy, result in increased savings and provide capital +for expansion, mortgages for homebuilding, and jobs for the unemployed. + +Now that the essentials of that program are in place, our next major +undertaking must be a program--just as bold, just as innovative--to make +government again accountable to the people, to make our system of +federalism work again. + +Our citizens feel they've lost control of even the most basic decisions +made about the essential services of government, such as schools, welfare, +roads, and even garbage collection. And they're right. A maze of +interlocking jurisdictions and levels of government confronts average +citizens in trying to solve even the simplest of problems. They don't know +where to turn for answers, who to hold accountable, who to praise, who to +blame, who to vote for or against. The main reason for this is the +overpowering growth of Federal grants-in-aid programs during the past few +decades. + +In 1960 the Federal Government had 132 categorical grant programs, costing +$7 billion. When I took office, there were approximately 500, costing +nearly a hundred billion dollars--13 programs for energy, 36 for pollution +control, 66 for social services, 90 for education. And here in the +Congress, it takes at least 166 committees just to try to keep track of +them. + +You know and I know that neither the President nor the Congress can +properly oversee this jungle of grants-in-aid; indeed, the growth of these +grants has led to the distortion in the vital functions of government. As +one Democratic Governor put it recently: The National Government should be +worrying about "arms control, not potholes." + +The growth in these Federal programs has--in the words of one +intergovernmental commission--made the Federal Government "more pervasive, +more intrusive, more unmanageable, more ineffective and costly, and above +all, more (un) accountable." Let's solve this problem with a single, bold +stroke: the return of some $47 billion in Federal programs to State and +local government, together with the means to finance them and a transition +period of nearly 10 years to avoid unnecessary disruption. + +I will shortly send this Congress a message describing this program. I want +to emphasize, however, that its full details will have been worked out only +after close consultation with congressional, State, and local officials. + +Starting in fiscal 1984, the Federal Government will assume full +responsibility for the cost of the rapidly growing Medicaid program to go +along with its existing responsibility for Medicare. As part of a +financially equal swap, the States will simultaneously take full +responsibility for Aid to Families with Dependent Children and food stamps. +This will make welfare less costly and more responsive to genuine need, +because it'll be designed and administered closer to the grass roots and +the people it serves. + +In 1984 the Federal Government will apply the full proceeds from certain +excise taxes to a grass roots trust fund that will belong in fair shares to +the 50 States. The total amount flowing into this fund will be $28 billion +a year. Over the next 4 years the States can use this money in either of +two ways. If they want to continue receiving Federal grants in such areas +as transportation, education, and social services, they can use their trust +fund money to pay for the grants. Or to the extent they choose to forgo the +Federal grant programs, they can use their trust fund money on their own +for those or other purposes. There will be a mandatory pass-through of part +of these funds to local governments. + +By 1988 the States will be in complete control of over 40 Federal grant +programs. The trust fund will start to phase out, eventually to disappear, +and the excise taxes will be turned over to the States. They can then +preserve, lower, or raise taxes on their own and fund and manage these +programs as they see fit. + +In a single stroke we will be accomplishing a realignment that will end +cumbersome administration and spiraling costs at the Federal level while we +ensure these programs will be more responsive to both the people they're +meant to help and the people who pay for them. + +Hand in hand with this program to strengthen the discretion and flexibility +of State and local governments, we're proposing legislation for an +experimental effort to improve and develop our depressed urban areas in the +1980's and '90's. This legislation will permit States and localities to +apply to the Federal Government for designation as urban enterprise zones. +A broad range of special economic incentives in the zones will help attract +new business, new jobs, new opportunity to America's inner cities and rural +towns. Some will say our mission is to save free enterprise. Well, I say we +must free enterprise so that together we can save America. + +Some will also say our States and local communities are not up to the +challenge of a new and creative partnership. Well, that might have been +true 20 years ago before reforms like reapportionment and the Voting Rights +Act, the 10-year extension of which I strongly support. It's no longer true +today. This administration has faith in State and local governments and the +constitutional balance envisioned by the Founding Fathers. We also believe +in the integrity, decency, and sound, good sense of grass roots Americans. + +Our faith in the American people is reflected in another major endeavor. +Our private sector initiatives task force is seeking out successful +community models of school, church, business, union, foundation, and civic +programs that help community needs. Such groups are almost invariably far +more efficient than government in running social programs. + +We're not asking them to replace discarded and often discredited government +programs dollar for dollar, service for service. We just want to help them +perform the good works they choose and help others to profit by their +example. Three hundred and eighty-five thousand corporations and private +organizations are already working on social programs ranging from drug +rehabilitation to job training, and thousands more Americans have written +us asking how they can help. The volunteer spirit is still alive and well +in America. + +Our nation's long journey towards civil rights for all our citizens--once +a source of discord, now a source of pride--must continue with no +backsliding or slowing down. We must and shall see that those basic laws +that guarantee equal rights are preserved and, when necessary, +strengthened. + +Our concern for equal rights for women is firm and unshakable. We launched +a new Task Force on Legal Equity for Women and a Fifty States Project that +will examine State laws for discriminatory language. And for the first time +in our history, a woman sits on the highest court in the land. + +So, too, the problem of crime--one as real and deadly serious as any in +America today. It demands that we seek transformation of our legal system, +which overly protects the rights of criminals while it leaves society and +the innocent victims of crime without justice. + +We look forward to the enactment of a responsible clean air act to increase +jobs while continuing to improve the quality of our air. We're encouraged +by the bipartisan initiative of the House and are hopeful of further +progress as the Senate continues its deliberations. + +So far, I've concentrated largely, now, on domestic matters. To view the +state of the Union in perspective, we must not ignore the rest of the +world. There isn't time tonight for a lengthy treatment of social--or +foreign policy, I should say, a subject I intend to address in detail in +the near future. A few words, however, are in order on the progress we've +made over the past year, reestablishing respect for our nation around the +globe and some of the challenges and goals that we will approach in the +year ahead. + +At Ottawa and Cancun, I met with leaders of the major industrial powers and +developing nations. Now, some of those I met with were a little surprised +that I didn't apologize for America's wealth. Instead, I spoke of the +strength of the free marketplace system and how that system could help them +realize their aspirations for economic development and political freedom. I +believe lasting friendships were made, and the foundation was laid for +future cooperation. + +In the vital region of the Caribbean Basin, we're developing a program of +aid, trade, and investment incentives to promote self-sustaining growth and +a better, more secure life for our neighbors to the south. Toward those who +would export terrorism and subversion in the Caribbean and elsewhere, +especially Cuba and Libya, we will act with firmness. + +Our foreign policy is a policy of strength, fairness, and balance. By +restoring America's military credibility, by pursuing peace at the +negotiating table wherever both sides are willing to sit down in good +faith, and by regaining the respect of America's allies and adversaries +alike, we have strengthened our country's position as a force for peace and +progress in the world. + +When action is called for, we're taking it. Our sanctions against the +military dictatorship that has attempted to crush human rights in +Poland--and against the Soviet regime behind that military +dictatorship--clearly demonstrated to the world that America will not +conduct "business as usual" with the forces of oppression. If the events in +Poland continue to deteriorate, further measures will follow. + +Now, let me also note that private American groups have taken the lead in +making January 30th a day of solidarity with the people of Poland. So, too, +the European Parliament has called for March 21st to be an international +day of support for Afghanistan. Well, I urge all peace-loving peoples to +join together on those days, to raise their voices, to speak and pray for +freedom. + +Meanwhile, we're working for reduction of arms and military activities, as +I announced in my address to the Nation last November 18th. We have +proposed to the Soviet Union a far-reaching agenda for mutual reduction of +military forces and have already initiated negotiations with them in Geneva +on intermediate-range nuclear forces. In those talks it is essential that +we negotiate from a position of strength. There must be a real incentive +for the Soviets to take these talks seriously. This requires that we +rebuild our defenses. + +In the last decade, while we sought the moderation of Soviet power through +a process of restraint and accommodation, the Soviets engaged in an +unrelenting buildup of their military forces. The protection of our +national security has required that we undertake a substantial program to +enhance our military forces. + +We have not neglected to strengthen our traditional alliances in Europe and +Asia, or to develop key relationships with our partners in the Middle East +and other countries. Building a more peaceful world requires a sound +strategy and the national resolve to back it up. When radical forces +threaten our friends, when economic misfortune creates conditions of +instability, when strategically vital parts of the world fall under the +shadow of Soviet power, our response can make the difference between +peaceful change or disorder and violence. That's why we've laid such stress +not only on our own defense but on our vital foreign assistance program. +Your recent passage of the Foreign Assistance Act sent a signal to the +world that America will not shrink from making the investments necessary +for both peace and security. Our foreign policy must be rooted in realism, +not naivete or self-delusion. + +A recognition of what the Soviet empire is about is the starting point. +Winston Churchill, in negotiating with the Soviets, observed that they +respect only strength and resolve in their dealings with other nations. +That's why we've moved to reconstruct our national defenses. We intend to +keep the peace. We will also keep our freedom. + +We have made pledges of a new frankness in our public statements and +worldwide broadcasts. In the face of a climate of falsehood and +misinformation, we've promised the world a season of truth--the truth of +our great civilized ideas: individual liberty, representative government, +the rule of law under God. We've never needed walls or minefields or barbed +wire to keep our people in. Nor do we declare martial law to keep our +people from voting for the kind of government they want. + +Yes, we have our problems; yes, we're in a time of recession. And it's +true, there's no quick fix, as I said, to instantly end the tragic pain of +unemployment. But we will end it. The process has already begun, and we'll +see its effect as the year goes on. + +We speak with pride and admiration of that little band of Americans who +overcame insuperable odds to set this nation on course 200 years ago. But +our glory didn't end with them. Americans ever since have emulated their +deeds. + +We don't have to turn to our history books for heroes. They're all around +us. One who sits among you here tonight epitomized that heroism at the end +of the longest imprisonment ever inflicted on men of our Armed Forces. Who +will ever forget that night when we waited for television to bring us the +scene of that first plane landing at Clark Field in the Philippines, +bringing our POW's home? The plane door opened and Jeremiah Denton came +slowly down the ramp. He caught sight of our flag, saluted it, said, "God +bless America," and then thanked us for bringing him home. + +Just 2 weeks ago, in the midst of a terrible tragedy on the Potomac, we saw +again the spirit of American heroism at its finest--the heroism of +dedicated rescue workers saving crash victims from icy waters. And we saw +the heroism of one of our young government employees, Lenny Skutnik, who, +when he saw a woman lose her grip on the helicopter line, dived into the +water and dragged her to safety. + +And then there are countless, quiet, everyday heroes of American who +sacrifice long and hard so their children will know a better life than +they've known; church and civic volunteers who help to feed, clothe, nurse, +and teach the needy; millions who've made our nation and our nation's +destiny so very special--unsung heroes who may not have realized their own +dreams themselves but then who reinvest those dreams in their children. +Don't let anyone tell you that America's best days are behind her, that the +American spirit has been vanquished. We've seen it triumph too often in our +lives to stop believing in it now. + +A hundred and twenty years ago, the greatest of all our Presidents +delivered his second State of the Union message in this Chamber. "We cannot +escape history," Abraham Lincoln warned. "We of this Congress and this +administration will be remembered in spite of ourselves." The "trial +through which we pass will light us down, in honor or dishonor, to the +latest (last) generation." + +Well, that President and that Congress did not fail the American people. +Together they weathered the storm and preserved the Union. Let it be said +of us that we, too, did not fail; that we, too, worked together to bring +America through difficult times. Let us so conduct ourselves that two +centuries from now, another Congress and another President, meeting in this +Chamber as we are meeting, will speak of us with pride, saying that we met +the test and preserved for them in their day the sacred flame of +liberty--this last, best hope of man on Earth. + +God bless you, and thank you. + +NOTE: The President spoke at 9 p.m. in the House Chamber at the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. + +*** + +State of the Union Address +Ronald Reagan +January 25, 1983 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +This solemn occasion marks the 196th time that a President of the United +States has reported on the State of the Union since George Washington first +did so in 1790. That's a lot of reports, but there's no shortage of new +things to say about the State of the Union. The very key to our success has +been our ability, foremost among nations, to preserve our lasting values by +making change work for us rather than against us. + +I would like to talk with you this evening about what we can do +together--not as Republicans and Democrats, but as Americans--to make +tomorrow's America happy and prosperous at home, strong and respected +abroad, and at peace in the world. + +As we gather here tonight, the state of our Union is strong, but our +economy is troubled. For too many of our fellow citizens--farmers, steel and +auto workers, lumbermen, black teenagers, working mothers--this is a painful +period. We must all do everything in our power to bring their ordeal to an +end. It has fallen to us, in our time, to undo damage that was a long time +in the making, and to begin the hard but necessary task of building a +better future for ourselves and our children. + +We have a long way to go, but thanks to the courage, patience, and strength +of our people, America is on the mend. + +But let me give you just one important reason why I believe this--it +involves many members of this body. + +Just 10 days ago, after months of debate and deadlock, the bipartisan +Commission on Social Security accomplished the seemingly impossible. Social +security, as some of us had warned for so long, faced disaster. I, myself, +have been talking about this problem for almost 30 years. As 1983 began, +the system stood on the brink of bankruptcy, a double victim of our +economic ills. First, a decade of rampant inflation drained its reserves as +we tried to protect beneficiaries from the spiraling cost of living. Then +the recession and the sudden end of inflation withered the expanding wage +base and increasing revenues the system needs to support the 36 million +Americans who depend on it. + +When the Speaker of the House, the Senate majority leader, and I performed +the bipartisan--or formed the bipartisan Commission on Social Security, +pundits and experts predicted that party divisions and conflicting +interests would prevent the Commission from agreeing on a plan to save +social security. Well, sometimes, even here in Washington, the cynics are +wrong. Through compromise and cooperation, the members of the Commission +overcame their differences and achieved a fair, workable plan. They proved +that, when it comes to the national welfare, Americans can still pull +together for the common good. + +Tonight, I'm especially pleased to join with the Speaker and the Senate +majority leader in urging the Congress to enact this plan by Easter. + +There are elements in it, of course, that none of us prefers, but taken +together it performs a package that all of us can support. It asks for some +sacrifice by all--the self-employed, beneficiaries, workers, government +employees, and the better-off among the retired--but it imposes an undue +burden on none. And, in supporting it, we keep an important pledge to the +American people: The integrity of the social security system will be +preserved, and no one's payments will be reduced. + +The Commission's plan will do the job; indeed, it must do the job. We owe +it to today's older Americans and today's younger workers. So, before we go +any further, I ask you to join with me in saluting the members of the +Commission who are here tonight and Senate Majority Leader Howard Baker and +Speaker Tip O'Neill for a job well done. I hope and pray the bipartisan +spirit that guided you in this endeavor will inspire all of us as we face +the challenges of the year ahead. + +Nearly half a century ago, in this Chamber, another American President, +Franklin Delano Roosevelt, in his second State of the Union message, urged +America to look to the future, to meet the challenge of change and the need +for leadership that looks forward, not backward. + +"Throughout the world," he said, "change is the order of the day. In every +nation economic problems long in the making have brought crises to (of) +many kinds for which the masters of old practice and theory were +unprepared." He also reminded us that "the future lies with those wise +political leaders who realize that the great public is interested more in +Government than in politics." + +So, let us, in these next 2 years--men and women of both parties, every +political shade--concentrate on the long-range, bipartisan responsibilities +of government, not the short-range or short-term temptations of partisan +politics. + +The problems we inherited were far worse than most inside and out of +government had expected; the recession was deeper than most inside and out +of government had predicted. Curing those problems has taken more time and +a higher toll than any of us wanted. Unemployment is far too high. +Projected Federal spending--if government refuses to tighten its own +belt--will also be far too high and could weaken and shorten the economic +recovery now underway. + +This recovery will bring with it a revival of economic confidence and +spending for consumer items and capital goods--the stimulus we need to +restart our stalled economic engines. The American people have already +stepped up their rate of saving, assuring that the funds needed to +modernize our factories and improve our technology will once again flow to +business and industry. + +The inflationary expectations that led to a 21 1/2-percent interest prime +rate and soaring mortgage rates 2 years ago are now reduced by almost half. +Leaders have started to realize that double-digit inflation is no longer a +way of life. I misspoke there. I should have said "lenders." + +So, interest rates have tumbled, paving the way for recovery in vital +industries like housing and autos. + +The early evidence of that recovery has started coming in. Housing starts +for the fourth quarter of 1982 were up 45 percent from a year ago, and +housing permits, a sure indicator of future growth, were up a whopping 60 +percent. + +We're witnessing an upsurge of productivity and impressive evidence that +American industry will once again become competitive in markets at home and +abroad, ensuring more jobs and better incomes for the Nation's work force. +But our confidence must also be tempered by realism and patience. Quick +fixes and artificial stimulants repeatedly applied over decades are what +brought us the inflationary disorders that we've now paid such a heavy +price to cure. + +The permanent recovery in employment, production, and investment we seek +won't come in a sharp, short spurt. It'll build carefully and steadily in +the months and years ahead. In the meantime, the challenge of government is +to identify the things that we can do now to ease the massive economic +transition for the American people. + +The Federal budget is both a symptom and a cause of our economic problems. +Unless we reduce the dangerous growth rate in government spending, we could +face the prospect of sluggish economic growth into the indefinite future. +Failure to cope with this problem now could mean as much as a trillion +dollars more in national debt in the next 4 years alone. That would average +$4,300 in additional debt for every man, woman, child, and baby in our +nation. + +To assure a sustained recovery, we must continue getting runaway spending +under control to bring those deficits down. If we don't, the recovery will +be too short, unemployment will remain too high, and we will leave an +unconscionable burden of national debt for our children. That we must not +do. + +Let's be clear about where the deficit problem comes from. Contrary to the +drumbeat we've been hearing for the last few months, the deficits we face +are not rooted in defense spending. Taken as a percentage of the gross +national product, our defense spending happens to be only about four-fifths +of what it was in 1970. Nor is the deficit, as some would have it, rooted +in tax cuts. Even with our tax cuts, taxes as a fraction of gross national +product remain about the same as they were in 1970. The fact is, our +deficits come from the uncontrolled growth of the budget for domestic +spending. + +During the 1970's, the share of our national income devoted to this +domestic spending increased by more than 60 percent, from 10 cents out of +every dollar produced by the American people to 16 cents. In spite of all +our economies and efficiencies, and without adding any new programs, basic, +necessary domestic spending provided for in this year's budget will grow to +almost a trillion dollars over the next 5 years. + +The deficit problem is a clear and present danger to the basic health of +our Republic. We need a plan to overcome this danger--a plan based on these +principles. It must be bipartisan. Conquering the deficits and putting the +Government's house in order will require the best effort of all of us. It +must be fair. Just as all will share in the benefits that will come from +recovery, all would share fairly in the burden of transition. It must be +prudent. The strength of our national defense must be restored so that we +can pursue prosperity and peace and freedom while maintaining our +commitment to the truly needy. And finally, it must be realistic. We can't +rely on hope alone. + +With these guiding principles in mind, let me outline a four-part plan to +increase economic growth and reduce deficits. + +First, in my budget message, I will recommend a Federal spending freeze. I +know this is strong medicine, but so far, we have only cut the rate of +increase in Federal spending. The Government has continued to spend more +money each year, though not as much more as it did in the past. Taken as a +whole, the budget I'm proposing for the fiscal year will increase no more +than the rate of inflation. In other words, the Federal Government will +hold the line on real spending. Now, that's far less than many American +families have had to do in these difficult times. + +I will request that the proposed 6-month freeze in cost-of-living +adjustments recommended by the bipartisan Social Security Commission be +applied to other government-related retirement programs. I will, also, +propose a 1-year freeze on a broad range of domestic spending programs, and +for Federal civilian and military pay and pension programs. And let me say +right here, I'm sorry, with regard to the military, in asking that of them, +because for so many years they have been so far behind and so low in reward +for what the men and women in uniform are doing. But I'm sure they will +understand that this must be across the board and fair. + +Second, I will ask the Congress to adopt specific measures to control the +growth of the so-called uncontrollable spending programs. These are the +automatic spending programs, such as food stamps, that cannot be simply +frozen and that have grown by over 400 percent since 1970. They are the +largest single cause of the built-in or structural deficit problem. Our +standard here will be fairness, ensuring that the taxpayers' hard-earned +dollars go only to the truly needy; that none of them are turned away, but +that fraud and waste are stamped out. And I'm sorry to say, there's a lot +of it out there. In the food stamp program alone, last year, we identified +almost $1.1 billion in overpayments. The taxpayers aren't the only victims +of this kind of abuse. The truly needy suffer as funds intended for them +are taken not by the needy, but by the greedy. For everyone's sake, we must +put an end to such waste and corruption. + +Third, I will adjust our program to restore America's defenses by proposing +$55 billion in defense savings over the next 5 years. These are savings +recommended to me by the Secretary of Defense, who has assured me they can +be safely achieved and will not diminish our ability to negotiate arms +reductions or endanger America's security. We will not gamble with our +national survival. + +And fourth, because we must ensure reduction and eventual elimination of +deficits over the next several years, I will propose a standby tax, limited +to no more than 1 percent of the gross national product, to start in fiscal +1986. It would last no more than 3 years, and it would start only if the +Congress has first approved our spending freeze and budget control program. +And there are several other conditions also that must be met, all of them +in order for this program to be triggered. + +Now, you could say that this is an insurance policy for the future, a +remedy that will be at hand if needed but only resorted to if absolutely +necessary. In the meantime, we'll continue to study ways to simplify the +tax code and make it more fair for all Americans. This is a goal that every +American who's ever struggled with a tax form can understand. + +At the same time, however, I will oppose any efforts to undo the basic tax +reforms that we've already enacted, including the 10-percent tax break +coming to taxpayers this July and the tax indexing which will protect all +Americans from inflationary bracket creep in the years ahead. + +Now, I realize that this four-part plan is easier to describe than it will +be to enact. But the looming deficits that hang over us and over America's +future must be reduced. The path I've outlined is fair, balanced, and +realistic. If enacted, it will ensure a steady decline in deficits, aiming +toward a balanced budget by the end of the decade. It's the only path that +will lead to a strong, sustained recovery. Let us follow that path +together. + +No domestic challenge is more crucial than providing stable, permanent jobs +for all Americans who want to work. The recovery program will provide jobs +for most, but others will need special help and training for new skills. +Shortly, I will submit to the Congress the Employment Act of 1983, designed +to get at the special problems of the long-term unemployed, as well as +young people trying to enter the job market. I'll propose extending +unemployment benefits, including special incentives to employers who hire +the long-term unemployed, providing programs for displaced workers, and +helping federally funded and State-administered unemployment insurance +programs provide workers with training and relocation assistance. Finally, +our proposal will include new incentives for summer youth employment to +help young people get a start in the job market. + +We must offer both short-term help and long-term hope for our unemployed. I +hope we can work together on this. I hope we can work together as we did +last year in enacting the landmark Job Training Partnership Act. Regulatory +reform legislation, a responsible clean air act, and passage of enterprise +zone legislation will also create new incentives for jobs and opportunity. + +One of out of every five jobs in our country depends on trade. So, I will +propose a broader strategy in the field of international trade--one that +increases the openness of our trading system and is fairer to America's +farmers and workers in the world marketplace. We must have adequate export +financing to sell American products overseas. I will ask for new +negotiating authority to remove barriers and to get more of our products +into foreign markets. We must strengthen the organization of our trade +agencies and make changes in our domestic laws and international trade +policy to promote free trade and the increased flow of American goods, +services, and investments. + +Our trade position can also be improved by making our port system more +efficient. Better, more active harbors translate into stable jobs in our +coalfields, railroads, trucking industry, and ports. After 2 years of +debate, it's time for us to get together and enact a port modernization +bill. + +Education, training, and retraining are fundamental to our success as are +research and development and productivity. Labor, management, and +government at all levels can and must participate in improving these tools +of growth. Tax policy, regulatory practices, and government programs all +need constant reevaluation in terms of our competitiveness. Every American +has a role and a stake in international trade. + +We Americans are still the technological leaders in most fields. We must +keep that edge, and to do so we need to begin renewing the basics--starting +with our educational system. While we grew complacent, others have acted. +Japan, with a population only about half the size of ours, graduates from +its universities more engineers than we do. If a child doesn't receive +adequate math and science teaching by the age of 16, he or she has lost the +chance to be a scientist or an engineer. We must join together--parents, +teachers, grass roots groups, organized labor, and the business +community--to revitalize American education by setting a standard of +excellence. + +In 1983 we seek four major education goals: a quality education initiative +to encourage a substantial upgrading of math and science instruction +through block grants to the States; establishment of education savings +accounts that will give middle and lower-income families an incentive to +save for their children's college education and, at the same time, +encourage a real increase in savings for economic growth; passage of +tuition tax credits for parents who want to send their children to private +or religiously affiliated schools; a constitutional amendment to permit +voluntary school prayer. God should never have been expelled from America's +classrooms in the first place. + +Our commitment to fairness means that we must assure legal and economic +equity for women, and eliminate, once and for all, all traces of unjust +discrimination against women from the United States Code. We will not +tolerate wage discrimination based on sex, and we intend to strengthen +enforcement of child support laws to ensure that single parents, most of +whom are women, do not suffer unfair financial hardship. We will also take +action to remedy inequities in pensions. These initiatives will be joined +by others to continue our efforts to promote equity for women. + +Also in the area of fairness and equity, we will ask for extension of the +Civil Rights Commission, which is due to expire this year. The Commission +is an important part of the ongoing struggle for justice in America, and we +strongly support its reauthorization. Effective enforcement of our nation's +fair housing laws is also essential to ensuring equal opportunity. In the +year ahead, we'll work to strengthen enforcement of fair housing laws for +all Americans. + +The time has also come for major reform of our criminal justice statutes +and acceleration of the drive against organized crime and drug trafficking. +It's high time that we make our cities safe again. This administration +hereby declares an all-out war on big-time organized crime and the drug +racketeers who are poisoning our young people. We will also implement +recommendations of our Task Force on Victims of Crime, which will report to +me this week. + +American agriculture, the envy of the world, has become the victim of its +own successes. With one farmer now producing enough food to feed himself +and 77 other people, America is confronted with record surplus crops and +commodity prices below the cost of production. We must strive, through +innovations like the payment-in-kind crop swap approach and an aggressive +export policy, to restore health and vitality to rural America. Meanwhile, +I have instructed the Department of Agriculture to work individually with +farmers with debt problems to help them through these tough times. + +Over the past year, our Task Force on Private Sector Initiatives has +successfully forged a working partnership involving leaders of business, +labor, education, and government to address the training needs of American +workers. Thanks to the Task Force, private sector initiatives are now +underway in all 50 States of the Union, and thousands of working people +have been helped in making the shift from dead-end jobs and low-demand +skills to the growth areas of high technology and the service economy. +Additionally, a major effort will be focused on encouraging the expansion +of private community child care. The new advisory council on private sector +initiatives will carry on and extend this vital work of encouraging private +initiative in 1983. + +In the coming year, we will also act to improve the quality of life for +Americans by curbing the skyrocketing cost of health care that is becoming +an unbearable financial burden for so many. And we will submit legislation +to provide catastrophic illness insurance coverage for older Americans. + +I will also shortly submit a comprehensive federalism proposal that will +continue our efforts to restore to States and local governments their roles +as dynamic laboratories of change in a creative society. + +During the next several weeks, I will send to the Congress a series of +detailed proposals on these and other topics and look forward to working +with you on the development of these initiatives. + +So far, now, I've concentrated mainly on the problems posed by the future. +But in almost every home and workplace in America, we're already witnessing +reason for great hope--the first flowering of the manmade miracles of high +technology, a field pioneered and still led by our country. + +To many of us now, computers, silicon chips, data processing, cybernetics, +and all the other innovations of the dawning high technology age are as +mystifying as the workings of the combustion engine must have been when +that first Model T rattled down Main Street, U.S.A. But as surely as +America's pioneer spirit made us the industrial giant of the 20th century, +the same pioneer spirit today is opening up on another vast front of +opportunity, the frontier of high technology. + +In conquering the frontier we cannot write off our traditional industries, +but we must develop the skills and industries that will make us a pioneer +of tomorrow. This administration is committed to keeping America the +technological leader of the world now and into the 21st century. + +But let us turn briefly to the international arena. America's leadership in +the world came to us because of our own strength and because of the values +which guide us as a society: free elections, a free press, freedom of +religious choice, free trade unions, and above all, freedom for the +individual and rejection of the arbitrary power of the state. These values +are the bedrock of our strength. They unite us in a stewardship of peace +and freedom with our allies and friends in NATO, in Asia, in Latin America, +and elsewhere. They are also the values which in the recent past some among +us had begun to doubt and view with a cynical eye. + +Fortunately, we and our allies have rediscovered the strength of our common +democratic values, and we're applying them as a cornerstone of a +comprehensive strategy for peace with freedom. In London last year, I +announced the commitment of the United States to developing the +infrastructure of democracy throughout the world. We intend to pursue this +democratic initiative vigorously. The future belongs not to governments and +ideologies which oppress their peoples, but to democratic systems of +self-government which encourage individual initiative and guarantee +personal freedom. + +But our strategy for peace with freedom must also be based on +strength--economic strength and military strength. A strong American +economy is essential to the well-being and security of our friends and +allies. The restoration of a strong, healthy American economy has been and +remains one of the central pillars of our foreign policy. The progress I've +been able to report to you tonight will, I know, be as warmly welcomed by +the rest of the world as it is by the American people. + +We must also recognize that our own economic well-being is inextricably +linked to the world economy. We export over 20 percent of our industrial +production, and 40 percent of our farmland produces for export. We will +continue to work closely with the industrialized democracies of Europe and +Japan and with the International Monetary Fund to ensure it has adequate +resources to help bring the world economy back to strong, noninflationary +growth. + +As the leader of the West and as a country that has become great and rich +because of economic freedom, America must be an unrelenting advocate of +free trade. As some nations are tempted to turn to protectionism, our +strategy cannot be to follow them, but to lead the way toward freer trade. +To this end, in May of this year America will host an economic summit +meeting in Williamsburg, Virginia. + +As we begin our third year, we have put in place a defense program that +redeems the neglect of the past decade. We have developed a realistic +military strategy to deter threats to peace and to protect freedom if +deterrence fails. Our Armed Forces are finally properly paid; after years +of neglect are well trained and becoming better equipped and supplied. And +the American uniform is once again worn with pride. Most of the major +systems needed for modernizing our defenses are already underway, and we +will be addressing one key system, the MX missile, in consultation with the +Congress in a few months. + +America's foreign policy is once again based on bipartisanship, on realism, +strength, full partnership, in consultation with our allies, and +constructive negotiation with potential adversaries. From the Middle East +to southern Africa to Geneva, American diplomats are taking the initiative +to make peace and lower arms levels. We should be proud of our role as +peacemakers. + +In the Middle East last year, the United States played the major role in +ending the tragic fighting in Lebanon and negotiated the withdrawal of the +PLO from Beirut. + +Last September, I outlined principles to carry on the peace process begun +so promisingly at Camp David. All the people of the Middle East should know +that in the year ahead we will not flag in our efforts to build on that +foundation to bring them the blessings of peace. + +In Central America and the Caribbean Basin, we are likewise engaged in a +partnership for peace, prosperity, and democracy. Final passage of the +remaining portions of our Caribbean Basin Initiative, which passed the +House last year, is one of this administration's top legislative priorities +for 1983. + +The security and economic assistance policies of this administration in +Latin America and elsewhere are based on realism and represent a critical +investment in the future of the human race. This undertaking is a joint +responsibility of the executive and legislative branches, and I'm counting +on the cooperation and statesmanship of the Congress to help us meet this +essential foreign policy goal. + +At the heart of our strategy for peace is our relationship with the Soviet +Union. The past year saw a change in Soviet leadership. We're prepared for +a positive change in Soviet-American relations. But the Soviet Union must +show by deeds as well as words a sincere commitment to respect the rights +and sovereignty of the family of nations. Responsible members of the world +community do not threaten or invade their neighbors. And they restrain +their allies from aggression. + +For our part, we're vigorously pursuing arms reduction negotiations with +the Soviet Union. Supported by our allies, we've put forward draft +agreements proposing significant weapon reductions to equal and verifiable +lower levels. We insist on an equal balance of forces. And given the +overwhelming evidence of Soviet violations of international treaties +concerning chemical and biological weapons, we also insist that any +agreement we sign can and will be verifiable. + +In the case of intermediate-range nuclear forces, we have proposed the +complete elimination of the entire class of land-based missiles. We're also +prepared to carefully explore serious Soviet proposals. At the same time, +let me emphasize that allied steadfastness remains a key to achieving arms +reductions. + +With firmness and dedication, we'll continue to negotiate. Deep down, the +Soviets must know it's in their interest as well as ours to prevent a +wasteful arms race. And once they recognize our unshakable resolve to +maintain adequate deterrence, they will have every reason to join us in the +search for greater security and major arms reductions. When that moment +comes--and I'm confident that it will--we will have taken an important step +toward a more peaceful future for all the world's people. + +A very wise man, Bernard Baruch, once said that America has never forgotten +the nobler things that brought her into being and that light her path. Our +country is a special place, because we Americans have always been +sustained, through good times and bad, by a noble vision--a vision not only +of what the world around us is today but what we as a free people can make +it be tomorrow. + +We're realists; we solve our problems instead of ignoring them, no matter +how loud the chorus of despair around us. But we're also idealists, for it +was an ideal that brought our ancestors to these shores from every corner +of the world. + +Right now we need both realism and idealism. Millions of our neighbors are +without work. It is up to us to see they aren't without hope. This is a +task for all of us. And may I say, Americans have rallied to this cause, +proving once again that we are the most generous people on Earth. + +We who are in government must take the lead in restoring the economy. And +here all that time, I thought you were reading the paper. + +The single thing--the single thing that can start the wheels of industry +turning again is further reduction of interest rates. Just another 1 or 2 +points can mean tens of thousands of jobs. + +Right now, with inflation as low as it is, 3.9 percent, there is room for +interest rates to come down. Only fear prevents their reduction. A lender, +as we know, must charge an interest rate that recovers the depreciated +value of the dollars loaned. And that depreciation is, of course, the +amount of inflation. Today, interest rates are based on fear--fear that +government will resort to measures, as it has in the past, that will send +inflation zooming again. + +We who serve here in this Capital must erase that fear by making it +absolutely clear that we will not stop fighting inflation; that, together, +we will do only those things that will lead to lasting economic growth. + +Yes, the problems confronting us are large and forbidding. And, certainly, +no one can or should minimize the plight of millions of our friends and +neighbors who are living in the bleak emptiness of unemployment. But we +must and can give them good reason to be hopeful. + +Back over the years, citizens like ourselves have gathered within these +walls when our nation was threatened; sometimes when its very existence was +at stake. Always with courage and common sense, they met the crises of +their time and lived to see a stronger, better, and more prosperous +country. The present situation is no worse and, in fact, is not as bad as +some of those they faced. Time and again, they proved that there is nothing +we Americans cannot achieve as free men and women. + +Yes, we still have problems--plenty of them. But it's just plain +wrong--unjust to our country and unjust to our people--to let those +problems stand in the way of the most important truth of all: America is on +the mend. + +We owe it to the unfortunate to be aware of their plight and to help them +in every way we can. No one can quarrel with that. We must and do have +compassion for all the victims of this economic crisis. But the big story +about America today is the way that millions of confident, caring +people--those extraordinary "ordinary" Americans who never make the +headlines and will never be interviewed--are laying the foundation, not +just for recovery from our present problems but for a better tomorrow for +all our people. + +From coast to coast, on the job and in classrooms and laboratories, at new +construction sites and in churches and community groups, neighbors are +helping neighbors. And they've already begun the building, the research, +the work, and the giving that will make our country great again. + +I believe this, because I believe in them--in the strength of their hearts +and minds, in the commitment that each one of them brings to their daily +lives, be they high or humble. The challenge for us in government is to be +worthy of them--to make government a help, not a hindrance to our people in +the challenging but promising days ahead. + +If we do that, if we care what our children and our children's children +will say of us, if we want them one day to be thankful for what we did here +in these temples of freedom, we will work together to make America better +for our having been here--not just in this year or this decade but in the +next century and beyond. + +Thank you, and God bless you. + +NOTE: The President spoke at 9:03 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. + +*** + +State of the Union Address +Ronald Reagan +January 25, 1984 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +Once again, in keeping with time-honored tradition, I have come to report +to you on the state of the Union, and I'm pleased to report that America is +much improved, and there's good reason to believe that improvement will +continue through the days to come. + +You and I have had some honest and open differences in the year past. But +they didn't keep us from joining hands in bipartisan cooperation to stop a +long decline that had drained this nation's spirit and eroded its health. +There is renewed energy and optimism throughout the land. America is back, +standing tall, looking to the eighties with courage, confidence, and hope. + +The problems we're overcoming are not the heritage of one person, party, or +even one generation. It's just the tendency of government to grow, for +practices and programs to become the nearest thing to eternal life we'll +ever see on this Earth. And there's always that well-intentioned chorus of +voices saying, "With a little more power and a little more money, we could +do so much for the people." For a time we forgot the American dream isn't +one of making government bigger; it's keeping faith with the mighty spirit +of free people under God. + +As we came to the decade of the eighties, we faced the worst crisis in our +postwar history. In the seventies were years of rising problems and falling +confidence. There was a feeling government had grown beyond the consent of +the governed. Families felt helpless in the face of mounting inflation and +the indignity of taxes that reduced reward for hard work, thrift, and +risktaking. All this was overlaid by an evergrowing web of rules and +regulations. + +On the international scene, we had an uncomfortable feeling that we'd lost +the respect of friend and foe. Some questioned whether we had the will to +defend peace and freedom. But America is too great for small dreams. There +was a hunger in the land for a spiritual revival; if you will, a crusade +for renewal. The American people said: Let us look to the future with +confidence, both at home and abroad. Let us give freedom a chance. + +Americans were ready to make a new beginning, and together we have done it. +We're confronting our problems one by one. Hope is alive tonight for +millions of young families and senior citizens set free from unfair tax +increases and crushing inflation. Inflation has been beaten down from 12.4 +to 3.2 percent, and that's a great victory for all the people. The prime +rate has been cut almost in half, and we must work together to bring it +down even more. + +Together, we passed the first across-the-board tax reduction for everyone +since the Kennedy tax cuts. Next year, tax rates will be indexed so +inflation can't push people into higher brackets when they get +cost-of-living pay raises. Government must never again use inflation to +profit at the people's expense. + +Today a working family earning $25,000 has $1,100 more in purchasing power +than if tax and inflation rates were still at the 1980 levels. Real +after-tax income increased 5 percent last year. And economic deregulation +of key industries like transportation has offered more chances--or +choices, I should say, to consumers and new changes--or chances for +entrepreneurs and protecting safety. Tonight, we can report and be proud of +one of the best recoveries in decades. Send away the handwringers and the +doubting Thomases. Hope is reborn for couples dreaming of owning homes and +for risktakers with vision to create tomorrow's opportunities. + +The spirit of enterprise is sparked by the sunrise industries of high-tech +and by small business people with big ideas--people like Barbara Proctor, +who rose from a ghetto to build a multimillion-dollar advertising agency in +Chicago; Carlos Perez, a Cuban refugee, who turned $27 and a dream into a +successful importing business in Coral Gables, Florida. + +People like these are heroes for the eighties. They helped 4 million +Americans find jobs in 1983. More people are drawing paychecks tonight than +ever before. And Congress helps--or progress helps everyone--well, Congress +does too----everyone. In 1983 women filled 73 percent of all the new jobs +in managerial, professional, and technical fields. + +But we know that many of our fellow countrymen are still out of work, +wondering what will come of their hopes and dreams. Can we love America and +not reach out to tell them: You are not forgotten; we will not rest until +each of you can reach as high as your God-given talents will take you. + +The heart of America is strong; it's good and true. The cynics were wrong; +America never was a sick society. We're seeing rededication to bedrock +values of faith, family, work, neighborhood, peace, and freedom--values +that help bring us together as one people, from the youngest child to the +most senior citizen. + +The Congress deserves America's thanks for helping us restore pride and +credibility to our military. And I hope that you're as proud as I am of the +young men and women in uniform who have volunteered to man the ramparts in +defense of freedom and whose dedication, valor, and skill increases so much +our chance of living in a world at peace. + +People everywhere hunger for peace and a better life. The tide of the +future is a freedom tide, and our struggle for democracy cannot and will +not be denied. This nation champions peace that enshrines liberty, +democratic rights, and dignity for every individual. America's new +strength, confidence, and purpose are carrying hope and opportunity far +from our shores. A world economic recovery is underway. It began here. + +We've journeyed far, but we have much farther to go. Franklin Roosevelt +told us 50 years ago this month: "Civilization can not go back; +civilization must not stand still. We have undertaken new methods. It is +our task to perfect, to improve, to alter when necessary, but in all cases +to go forward." + +It's time to move forward again, time for America to take freedom's next +step. Let us unite tonight behind four great goals to keep America free, +secure, and at peace in the eighties together. + +We can ensure steady economic growth. We can develop America's next +frontier. We can strengthen our traditional values. And we can build a +meaningful peace to protect our loved ones and this shining star of faith +that has guided millions from tyranny to the safe harbor of freedom, +progress, and hope. + +Doing these things will open wider the gates of opportunity, provide +greater security for all, with no barriers of bigotry or discrimination. + +The key to a dynamic decade is vigorous economic growth, our first great +goal. We might well begin with common sense in Federal budgeting: +government spending no more than government takes in. + +We must bring Federal deficits down. But how we do that makes all the +difference. + +We can begin by limiting the size and scope of government. Under the +leadership of Vice President Bush, we have reduced the growth of Federal +regulations by more than 25 percent and cut well over 300 million hours of +government-required paperwork each year. This will save the public more +than $150 billion over the next 10 years. + +The Grace commission has given us some 2,500 recommendations for reducing +wasteful spending, and they're being examined throughout the +administration. Federal spending growth has been cut from 17.4 percent in +1980 to less than half of that today, and we have already achieved over +$300 billion in budget savings for the period of 1982 to '86. But that's +only a little more than half of what we sought. Government is still +spending too large a percentage of the total economy. + +Now, some insist that any further budget savings must be obtained by +reducing the portion spent on defense. This ignores the fact that national +defense is solely the responsibility of the Federal Government; indeed, it +is its prime responsibility. And yet defense spending is less than a third +of the total budget. During the years of President Kennedy and of the years +before that, defense was almost half the total budget. And then came +several years in which our military capability was allowed to deteriorate +to a very dangerous degree. We are just now restoring, through the +essential modernization of our conventional and strategic forces, our +capability to meet our present and future security needs. We dare not shirk +our responsibility to keep America free, secure, and at peace. + +The last decade saw domestic spending surge literally out of control. But +the basis for such spending had been laid in previous years. A pattern of +overspending has been in place for half a century. As the national debt +grew, we were told not to worry, that we owed it to ourselves. + +Now we know that deficits are a cause for worry. But there's a difference +of opinion as to whether taxes should be increased, spending cut, or some +of both. Fear is expressed that government borrowing to fund the deficit +could inhibit the economic recovery by taking capital needed for business +and industrial expansion. Well, I think that debate is missing an important +point. Whether government borrows or increases taxes, it will be taking the +same amount of money from the private sector, and, either way, that's too +much. Simple fairness dictates that government must not raise taxes on +families struggling to pay their bills. The root of the problem is that +government's share is more than we can afford if we're to have a sound +economy. + +We must bring down the deficits to ensure continued economic growth. In the +budget that I will submit on February 1st, I will recommend measures that +will reduce the deficit over the next 5 years. Many of these will be +unfinished business from last year's budget. + +Some could be enacted quickly if we could join in a serious effort to +address this problem. I spoke today with Speaker of the House O'Neill, +Senate Majority Leader Baker, Senate Minority Leader Byrd, and House +Minority Leader Michel. I asked them if they would designate congressional +representatives to meet with representatives of the administration to try +to reach prompt agreement on a bipartisan deficit reduction plan. I know it +would take a long, hard struggle to agree on a full-scale plan. So, what I +have proposed is that we first see if we can agree on a down payment. + +Now, I believe there is basis for such an agreement, one that could reduce +the deficits by about a hundred billion dollars over the next 3 years. We +could focus on some of the less contentious spending cuts that are still +pending before the Congress. These could be combined with measures to close +certain tax loopholes, measures that the Treasury Department has previously +said to be worthy of support. In addition, we could examine the possibility +of achieving further outlay savings based on the work of the Grace +commission. + +If the congressional leadership is willing, my representatives will be +prepared to meet with theirs at the earliest possible time. I would hope +the leadership might agree on an expedited timetable in which to develop +and enact that down payment. + +But a down payment alone is not enough to break us out of the deficit +problem. It could help us start on the right path. Yet, we must do more. +So, I propose that we begin exploring how together we can make structural +reforms to curb the built-in growth of spending. + +I also propose improvements in the budgeting process. Some 43 of our 50 +States grant their Governors the right to veto individual items in +appropriation bills without having to veto the entire bill. California is +one of those 43 States. As Governor, I found this line-item veto was a +powerful tool against wasteful or extravagant spending. It works in 43 +States. Let's put it to work in Washington for all the people. + +It would be most effective if done by constitutional amendment. The +majority of Americans approve of such an amendment, just as they and I +approve of an amendment mandating a balanced Federal budget. Many States +also have this protection in their constitutions. + +To talk of meeting the present situation by increasing taxes is a Band-Aid +solution which does nothing to cure an illness that's been coming on for +half a century--to say nothing of the fact that it poses a real threat to +economic recovery. Let's remember that a substantial amount of income tax +is presently owed and not paid by people in the underground economy. It +would be immoral to make those who are paying taxes pay more to compensate +for those who aren't paying their share. + +There's a better way. Let us go forward with an historic reform for +fairness, simplicity, and incentives for growth. I am asking Secretary Don +Regan for a plan for action to simplify the entire tax code, so all +taxpayers, big and small, are treated more fairly. And I believe such a +plan could result in that underground economy being brought into the +sunlight of honest tax compliance. And it could make the tax base broader, +so personal tax rates could come down, not go up. I've asked that specific +recommendations, consistent with those objectives, be presented to me by +December 1984. + +Our second great goal is to build on America's pioneer spirit--I said +something funny? I said America's next frontier--and that's to develop that +frontier. A sparkling economy spurs initiatives, sunrise industries, and +makes older ones more competitive. + +Nowhere is this more important than our next frontier: space. Nowhere do we +so effectively demonstrate our technological leadership and ability to make +life better on Earth. The Space Age is barely a quarter of a century old. +But already we've pushed civilization forward with our advances in science +and technology. Opportunities and jobs will multiply as we cross new +thresholds of knowledge and reach deeper into the unknown. + +Our progress in space--taking giant steps for all mankind--is a tribute to +American teamwork and excellence. Our finest minds in government, industry, +and academia have all pulled together. And we can be proud to say: We are +first; we are the best; and we are so because we're free. + +America has always been greatest when we dared to be great. We can reach +for greatness again. We can follow our dreams to distant stars, living and +working in space for peaceful, economic, and scientific gain. Tonight, I am +directing NASA to develop a permanently manned space station and to do it +within a decade. + +A space station will permit quantum leaps in our research in science, +communications, in metals, and in lifesaving medicines which could be +manufactured only in space. We want our friends to help us meet these +challenges and share in their benefits. NASA will invite other countries to +participate so we can strengthen peace, build prosperity, and expand +freedom for all who share our goals. + +Just as the oceans opened up a new world for clipper ships and Yankee +traders, space holds enormous potential for commerce today. The market for +space transportation could surpass our capacity to develop it. Companies +interested in putting payloads into space must have ready access to private +sector launch services. The Department of Transportation will help an +expendable launch services industry to get off the ground. We'll soon +implement a number of executive initiatives, develop proposals to ease +regulatory constraints, and, with NASA's help, promote private sector +investment in space. + +And as we develop the frontier of space, let us remember our responsibility +to preserve our older resources here on Earth. Preservation of our +environment is not a liberal or conservative challenge, it's common sense. + +Though this is a time of budget constraints, I have requested for EPA one +of the largest percentage budget increases of any agency. We will begin the +long, necessary effort to clean up a productive recreational area and a +special national resource--the Chesapeake Bay. + +To reduce the threat posed by abandoned hazardous waste dumps, EPA will +spend $410 million. And I will request a supplemental increase of 50 +million. And because the Superfund law expires in 1985, I've asked Bill +Ruckelshaus to develop a proposal for its extension so there'll be +additional time to complete this important task. + +On the question of acid rain, which concerns people in many areas of the +United States and Canada, I'm proposing a research program that doubles our +current funding. And we'll take additional action to restore our lakes and +develop new technology to reduce pollution that causes acid rain. + +We have greatly improved the conditions of our natural resources. We'll ask +the Congress for $157 million beginning in 1985 to acquire new park and +conservation lands. The Department of the Interior will encourage careful, +selective exploration and production on our vital resources in an Exclusive +Economic Zone within the 200-mile limit off our coasts--but with strict +adherence to environmental laws and with fuller State and public +participation. + +But our most precious resources, our greatest hope for the future, are the +minds and hearts of our people, especially our children. We can help them +build tomorrow by strengthening our community of shared values. This must +be our third great goal. For us, faith, work, family, neighborhood, +freedom, and peace are not just words; they're expressions of what America +means, definitions of what makes us a good and loving people. + +Families stand at the center of our society. And every family has a +personal stake in promoting excellence in education. Excellence does not +begin in Washington. A 600-percent increase in Federal spending on +education between 1960 and 1980 was accompanied by a steady decline in +Scholastic Aptitude Test scores. Excellence must begin in our homes and +neighborhood schools, where it's the responsibility of every parent and +teacher and the right of every child. + +Our children come first, and that's why I established a bipartisan National +Commission on Excellence in Education, to help us chart a commonsense +course for better education. And already, communities are implementing the +Commission's recommendations. Schools are reporting progress in math and +reading skills. But we must do more to restore discipline to schools; and +we must encourage the teaching of new basics, reward teachers of merit, +enforce tougher standards, and put our parents back in charge. + +I will continue to press for tuition tax credits to expand opportunities +for families and to soften the double payment for those paying public +school taxes and private school tuition. Our proposal would target +assistance to low- and middle-income families. Just as more incentives are +needed within our schools, greater competition is needed among our schools. +Without standards and competition, there can be no champions, no records +broken, no excellence in education or any other walk of life. + +And while I'm on this subject, each day your Members observe a 200-year-old +tradition meant to signify America is one nation under God. I must ask: If +you can begin your day with a member of the clergy standing right here +leading you in prayer, then why can't freedom to acknowledge God be enjoyed +again by children in every schoolroom across this land? + +America was founded by people who believed that God was their rock of +safety. He is ours. I recognize we must be cautious in claiming that God is +on our side, but I think it's all right to keep asking if we're on His +side. + +During our first 3 years, we have joined bipartisan efforts to restore +protection of the law to unborn children. Now, I know this issue is very +controversial. But unless and until it can be proven that an unborn child +is not a living human being, can we justify assuming without proof that it +isn't? No one has yet offered such proof; indeed, all the evidence is to +the contrary. We should rise above bitterness and reproach, and if +Americans could come together in a spirit of understanding and helping, +then we could find positive solutions to the tragedy of abortion. + +Economic recovery, better education, rededication to values, all show the +spirit of renewal gaining the upper hand. And all will improve family life +in the eighties. But families need more. They need assurance that they and +their loved ones can walk the streets of America without being afraid. +Parents need to know their children will not be victims of child +pornography and abduction. This year we will intensify our drive against +these and other horrible crimes like sexual abuse and family violence. + +Already our efforts to crack down on career criminals, organized crime, +drugpushers, and to enforce tougher sentences and paroles are having +effect. In 1982 the crime rate dropped by 4.3 percent, the biggest decline +since 1972. Protecting victims is just as important as safeguarding the +rights of defendants. + +Opportunities for all Americans will increase if we move forward in fair +housing and work to ensure women's rights, provide for equitable treatment +in pension benefits and Individual Retirement Accounts, facilitate child +care, and enforce delinquent parent support payments. + +It's not just the home but the workplace and community that sustain our +values and shape our future. So, I ask your help in assisting more +communities to break the bondage of dependency. Help us to free enterprise +by permitting debate and voting "yes" on our proposal for enterprise zones +in America. This has been before you for 2 years. Its passage can help +high-unemployment areas by creating jobs and restoring neighborhoods. + +A society bursting with opportunities, reaching for its future with +confidence, sustained by faith, fair play, and a conviction that good and +courageous people will flourish when they're free--these are the secrets of +a strong and prosperous America at peace with itself and the world. + +A lasting and meaningful peace is our fourth great goal. It is our highest +aspiration. And our record is clear: Americans resort to force only when we +must. We have never been aggressors. We have always struggled to defend +freedom and democracy. + +We have no territorial ambitions. We occupy no countries. We build no walls +to lock people in. Americans build the future. And our vision of a better +life for farmers, merchants, and working people, from the Americas to Asia, +begins with a simple premise: The future is best decided by ballots, not +bullets. + +Governments which rest upon the consent of the governed do not wage war on +their neighbors. Only when people are given a personal stake in deciding +their own destiny, benefiting from their own risks, do they create +societies that are prosperous, progressive, and free. Tonight, it is +democracies that offer hope by feeding the hungry, prolonging life, and +eliminating drudgery. + +When it comes to keeping America strong, free, and at peace, there should +be no Republicans or Democrats, just patriotic Americans. We can decide the +tough issues not by who is right, but by what is right. + +Together, we can continue to advance our agenda for peace. We can establish +a more stable basis for peaceful relations with the Soviet Union; +strengthen allied relations across the board; achieve real and equitable +reductions in the levels of nuclear arms; reinforce our peacemaking efforts +in the Middle East, Central America, and southern Africa; or assist +developing countries, particularly our neighbors in the Western Hemisphere; +and assist in the development of democratic institutions throughout the +world. + +The wisdom of our bipartisan cooperation was seen in the work of the +Scowcroft commission, which strengthened our ability to deter war and +protect peace. In that same spirit, I urge you to move forward with the +Henry Jackson plan to implement the recommendations of the Bipartisan +Commission on Central America. + +Your joint resolution on the multinational peacekeeping force in Lebanon is +also serving the cause of peace. We are making progress in Lebanon. For +nearly 10 years, the Lebanese have lived from tragedy to tragedy with no +hope for their future. Now the multinational peacekeeping force and our +marines are helping them break their cycle of despair. There is hope for a +free, independent, and sovereign Lebanon. We must have the courage to give +peace a chance. And we must not be driven from our objectives for peace in +Lebanon by state-sponsored terrorism. We have seen this ugly specter in +Beirut, Kuwait, and Rangoon. It demands international attention. I will +forward shortly legislative proposals to help combat terrorism. And I will +be seeking support from our allies for concerted action. + +Our NATO alliance is strong. 1983 was a banner year for political courage. +And we have strengthened our partnerships and our friendships in the Far +East. We're committed to dialog, deterrence, and promoting prosperity. +We'll work with our trading partners for a new round of negotiations in +support of freer world trade, greater competition, and more open markets. + +A rebirth of bipartisan cooperation, of economic growth, and military +deterrence, and a growing spirit of unity among our people at home and our +allies abroad underline a fundamental and far-reaching change: The United +States is safer, stronger, and more secure in 1984 than before. We can now +move with confidence to seize the opportunities for peace, and we will. + +Tonight, I want to speak to the people of the Soviet Union, to tell them +it's true that our governments have had serious differences, but our sons +and daughters have never fought each other in war. And if we Americans have +our way, they never will. + +People of the Soviet Union, there is only one sane policy, for your country +and mine, to preserve our civilization in this modern age: A nuclear war +cannot be won and must never be fought. The only value in our two nations +possessing nuclear weapons is to make sure they will never be used. But +then would it not be better to do away with them entirely? + +People of the Soviet, President Dwight Eisenhower, who fought by your side +in World War II, said the essential struggle "is not merely man against man +or nation against nation. It is man against war." Americans are people of +peace. If your government wants peace, there will be peace. We can come +together in faith and friendship to build a safer and far better world for +our children and our children's children. And the whole world will rejoice. +That is my message to you. + +Some days when life seems hard and we reach out for values to sustain us or +a friend to help us, we find a person who reminds us what it means to be +Americans. + +Sergeant Stephen Trujillo, a medic in the 2d Ranger Battalion, 75th +Infantry, was in the first helicopter to land at the compound held by Cuban +forces in Grenada. He saw three other helicopters crash. Despite the +imminent explosion of the burning aircraft, he never hesitated. He ran +across 25 yards of open terrain through enemy fire to rescue wounded +soldiers. He directed two other medics, administered first aid, and +returned again and again to the crash site to carry his wounded friends to +safety. + +Sergeant Trujillo, you and your fellow service men and women not only saved +innocent lives; you set a nation free. You inspire us as a force for +freedom, not for despotism; and, yes, for peace, not conquest. God bless +you. + +And then there are unsung heroes: single parents, couples, church and civic +volunteers. Their hearts carry without complaint the pains of family and +community problems. They soothe our sorrow, heal our wounds, calm our +fears, and share our joy. + +A person like Father Ritter is always there. His Covenant House programs in +New York and Houston provide shelter and help to thousands of frightened +and abused children each year. The same is true of Dr. Charles Carson. +Paralyzed in a plane crash, he still believed nothing is impossible. Today +in Minnesota, he works 80 hours a week without pay, helping pioneer the +field of computer-controlled walking. He has given hope to 500,000 +paralyzed Americans that some day they may walk again. + +How can we not believe in the greatness of America? How can we not do what +is right and needed to preserve this last best hope of man on Earth? After +all our struggles to restore America, to revive confidence in our country, +hope for our future, after all our hard-won victories earned through the +patience and courage of every citizen, we cannot, must not, and will not +turn back. We will finish our job. How could we do less? We're Americans. + +Carl Sandburg said, "I see America not in the setting sun of a black night +of despair... I see America in the crimson light of a rising sun fresh +from the burning, creative hand of God... I see great days ahead for men +and women of will and vision." + +I've never felt more strongly that America's best days and democracy's best +days lie ahead. We're a powerful force for good. With faith and courage, we +can perform great deeds and take freedom's next step. And we will. We will +carry on the tradition of a good and worthy people who have brought light +where there was darkness, warmth where there was cold, medicine where there +was disease, food where there was hunger, and peace where there was only +bloodshed. + +Let us be sure that those who come after will say of us in our time, that +in our time we did everything that could be done. We finished the race; we +kept them free; we kept the faith. + +Thank you very much. God bless you, and God bless America. + +NOTE: The President spoke at 9:02 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio and +television. + +*** + +State of the Union Address +Ronald Reagan +February 6, 1985 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +I come before you to report on the state of our Union, and I'm pleased to +report that after 4 years of united effort, the American people have +brought forth a nation renewed, stronger, freer, and more secure than +before. + +Four years ago we began to change, forever I hope, our assumptions about +government and its place in our lives. Out of that change has come great +and robust growth--in our confidence, our economy, and our role in the +world. + +Tonight America is stronger because of the values that we hold dear. We +believe faith and freedom must be our guiding stars, for they show us +truth, they make us brave, give us hope, and leave us wiser than we were. +Our progress began not in Washington, DC, but in the hearts of our +families, communities, workplaces, and voluntary groups which, together, +are unleashing the invincible spirit of one great nation under God. + +Four years ago we said we would invigorate our economy by giving people +greater freedom and incentives to take risks and letting them keep more of +what they earned. We did what we promised, and a great industrial giant is +reborn. + +Tonight we can take pride in 25 straight months of economic growth, the +strongest in 34 years; a 3-year inflation average of 3.9 percent, the +lowest in 17 years; and 7.3 million new jobs in 2 years, with more of our +citizens working than ever before. + +New freedom in our lives has planted the rich seeds for future success: + +For an America of wisdom that honors the family, knowing that if (as) the +family goes, so goes our civilization; + +For an America of vision that sees tomorrow's dreams in the learning and +hard work we do today; + +For an America of courage whose service men and women, even as we meet, +proudly stand watch on the frontiers of freedom; + +For an America of compassion that opens its heart to those who cry out for +help. + +We have begun well. But it's only a beginning. We're not here to +congratulate ourselves on what we have done but to challenge ourselves to +finish what has not yet been done. + +We're here to speak for millions in our inner cities who long for real +jobs, safe neighborhoods, and schools that truly teach. We're here to speak +for the American farmer, the entrepreneur, and every worker in industries +fighting to modernize and compete. And, yes, we're here to stand, and +proudly so, for all who struggle to break free from totalitarianism, for +all who know in their hearts that freedom is the one true path to peace and +human happiness. + +Proverbs tell us, without a vision the people perish. When asked what great +principle holds our Union together, Abraham Lincoln said: "Something in +(the) Declaration giving liberty, not alone to the people of this country, +but hope to the world for all future time." + +We honor the giants of our history not by going back but forward to the +dreams their vision foresaw. My fellow citizens, this nation is poised for +greatness. The time has come to proceed toward a great new challenge--a +second American Revolution of hope and opportunity; a revolution carrying +us to new heights of progress by pushing back frontiers of knowledge and +space; a revolution of spirit that taps the soul of America, enabling us to +summon greater strength than we've ever known; and a revolution that +carries beyond our shores the golden promise of human freedom in a world of +peace. + +Let us begin by challenging our conventional wisdom. There are no +constraints on the human mind, no walls around the human spirit, no +barriers to our progress except those we ourselves erect. Already, pushing +down tax rates has freed our economy to vault forward to record growth. + +In Europe, they're calling it "the American Miracle." Day by day, we're +shattering accepted notions of what is possible. When I was growing up, we +failed to see how a new thing called radio would transform our marketplace. +Well, today, many have not yet seen how advances in technology are +transforming our lives. + +In the late 1950's workers at the AT&T semiconductor plant in Pennsylvania +produced five transistors a day for $7.50 apiece. They now produce over a +million for less than a penny apiece. + +New laser techniques could revolutionize heart bypass surgery, cut +diagnosis time for viruses linked to cancer from weeks to minutes, reduce +hospital costs dramatically, and hold out new promise for saving human +lives. + +Our automobile industry has overhauled assembly lines, increased worker +productivity, and is competitive once again. + +We stand on the threshold of a great ability to produce more, do more, be +more. Our economy is not getting older and weaker; it's getting younger and +stronger. It doesn't need rest and supervision; it needs new challenge, +greater freedom. And that word "freedom" is the key to the second American +revolution that we need to bring about. + +Let us move together with an historic reform of tax simplification for +fairness and growth. Last year I asked Treasury Secretary-then-Regan to +develop a plan to simplify the tax code, so all taxpayers would be treated +more fairly and personal tax rates could come further down. + +We have cut tax rates by almost 25 percent, yet the tax system remains +unfair and limits our potential for growth. Exclusions and exemptions cause +similar incomes to be taxed at different levels. Low-income families face +steep tax barriers that make hard lives even harder. The Treasury +Department has produced an excellent reform plan, whose principles will +guide the final proposal that we will ask you to enact. + +One thing that tax reform will not be is a tax increase in disguise. We +will not jeopardize the mortgage interest deduction that families need. We +will reduce personal tax rates as low as possible by removing many tax +preferences. We will propose a top rate of no more than 35 percent, and +possibly lower. And we will propose reducing corporate rates, while +maintaining incentives for capital formation. + +To encourage opportunity and jobs rather than dependency and welfare, we +will propose that individuals living at or near the poverty line be totally +exempt from Federal income tax. To restore fairness to families, we will +propose increasing significantly the personal exemption. + +And tonight, I am instructing Treasury Secretary James Baker--I have to get +used to saying that--to begin working with congressional authors and +committees for bipartisan legislation conforming to these principles. We +will call upon the American people for support and upon every man and woman +in this Chamber. Together, we can pass, this year, a tax bill for fairness, +simplicity, and growth, making this economy the engine of our dreams and +America the investment capital of the world. So let us begin. + +Tax simplification will be a giant step toward unleashing the tremendous +pent-up power of our economy. But a second American revolution must carry +the promise of opportunity for all. It is time to liberate the spirit of +enterprise in the most distressed areas of our country. + +This government will meet its responsibility to help those in need. But +policies that increase dependency, break up families, and destroy +self-respect are not progressive; they're reactionary. Despite our strides +in civil rights, blacks, Hispanics, and all minorities will not have full +and equal power until they have full economic power. + +We have repeatedly sought passage of enterprise zones to help those in the +abandoned corners of our land find jobs, learn skills, and build better +lives. This legislation is supported by a majority of you. + +Mr. Speaker, I know we agree that there must be no forgotten Americans. +Let us place new dreams in a million hearts and create a new generation of +entrepreneurs by passing enterprise zones this year. And, Tip, you could +make that a birthday present. + +Nor must we lose the chance to pass our youth employment opportunity wage +proposal. We can help teenagers, who have the highest unemployment rate, +find summer jobs, so they can know the pride of work and have confidence in +their futures. + +We'll continue to support the Job Training Partnership Act, which has a +nearly two-thirds job placement rate. Credits in education and health care +vouchers will help working families shop for services that they need. + +Our administration is already encouraging certain low-income public housing +residents to own and manage their own dwellings. It's time that all public +housing residents have that opportunity of ownership. + +The Federal Government can help create a new atmosphere of freedom. But +States and localities, many of which enjoy surpluses from the recovery, +must not permit their tax and regulatory policies to stand as barriers to +growth. + +Let us resolve that we will stop spreading dependency and start spreading +opportunity; that we will stop spreading bondage and start spreading +freedom. + +There are some who say that growth initiatives must await final action on +deficit reductions. Well, the best way to reduce deficits is through +economic growth. More businesses will be started, more investments made, +more jobs created, and more people will be on payrolls paying taxes. The +best way to reduce government spending is to reduce the need for spending +by increasing prosperity. Each added percentage point per year of real GNP +growth will lead to cumulative reduction in deficits of nearly $200 billion +over 5 years. + +To move steadily toward a balanced budget, we must also lighten +government's claim on our total economy. We will not do this by raising +taxes. We must make sure that our economy grows faster than the growth in +spending by the Federal Government. In our fiscal year 1986 budget, overall +government program spending will be frozen at the current level. It must +not be one dime higher than fiscal year 1985, and three points are key. + +First, the social safety net for the elderly, the needy, the disabled, and +unemployed will be left intact. Growth of our major health care programs, +Medicare and Medicaid, will be slowed, but protections for the elderly and +needy will be preserved. + +Second, we must not relax our efforts to restore military strength just as +we near our goal of a fully equipped, trained, and ready professional +corps. National security is government's first responsibility; so in past +years defense spending took about half the Federal budget. Today it takes +less than a third. We've already reduced our planned defense expenditures +by nearly a hundred billion dollars over the past 4 years and reduced +projected spending again this year. + +You know, we only have a military-industrial complex until a time of +danger, and then it becomes the arsenal of democracy. Spending for defense +is investing in things that are priceless--peace and freedom. + +Third, we must reduce or eliminate costly government subsidies. For +example, deregulation of the airline industry has led to cheaper airfares, +but on Amtrak taxpayers pay about $35 per passenger every time an Amtrak +train leaves the station, It's time we ended this huge Federal subsidy. + +Our farm program costs have quadrupled in recent years. Yet I know from +visiting farmers, many in great financial distress, that we need an orderly +transition to a market-oriented farm economy. We can help farmers best not +by expanding Federal payments but by making fundamental reforms, keeping +interest rates heading down, and knocking down foreign trade barriers to +American farm exports. + +We're moving ahead with Grace commission reforms to eliminate waste and +improve government's management practices. In the long run, we must protect +the taxpayers from government. And I ask again that you pass, as 32 States +have now called for, an amendment mandating the Federal Government spend no +more than it takes in. And I ask for the authority, used responsibly by 43 +Governors, to veto individual items in appropriation bills. Senator +Mattingly has introduced a bill permitting a 2-year trial run of the +line-item veto. I hope you'll pass and send that legislation to my desk. + +Nearly 50 years of government living beyond its means has brought us to a +time of reckoning. Ours is but a moment in history. But one moment of +courage, idealism, and bipartisan unity can change American history +forever. + +Sound monetary policy is key to long-running economic strength and +stability. We will continue to cooperate with the Federal Reserve Board, +seeking a steady policy that ensures price stability without keeping +interest rates artificially high or needlessly holding down growth. + +Reducing unneeded red tape and regulations, and deregulating the energy, +transportation, and financial industries have unleashed new competition, +giving consumers more choices, better services, and lower prices. In just +one set of grant programs we have reduced 905 pages of regulations to 31. +We seek to fully deregulate natural gas to bring on new supplies and bring +us closer to energy independence. Consistent with safety standards, we will +continue removing restraints on the bus and railroad industries, we will +soon end up legislation--or send up legislation, I should say--to return +Conrail to the private sector where it belongs, and we will support further +deregulation of the trucking industry. + +Every dollar the Federal Government does not take from us, every decision +it does not make for us will make our economy stronger, our lives more +abundant, our future more free. + +Our second American revolution will push on to new possibilities not only +on Earth but in the next frontier of space. Despite budget restraints, we +will seek record funding for research and development. + +We've seen the success of the space shuttle. Now we're going to develop a +permanently manned space station and new opportunities for free enterprise, +because in the next decade Americans and our friends around the world will +be living and working together in space. + +In the zero gravity of space, we could manufacture in 30 days lifesaving +medicines it would take 30 years to make on Earth. We can make crystals of +exceptional purity to produce super computers, creating jobs, technologies, +and medical breakthroughs beyond anything we ever dreamed possible. + +As we do all this, we'll continue to protect our natural resources. We will +seek reauthorization and expanded funding for the Superfund program to +continue cleaning up hazardous waste sites which threaten human health and +the environment. + +Now, there's another great heritage to speak of this evening. Of all the +changes that have swept America the past 4 years, none brings greater +promise than our rediscovery of the values of faith, freedom, family, work, +and neighborhood. + +We see signs of renewal in increased attendance in places of worship; +renewed optimism and faith in our future; love of country rediscovered by +our young, who are leading the way. We've rediscovered that work is good in +and of itself, that it ennobles us to create and contribute no matter how +seemingly humble our jobs. We've seen a powerful new current from an old +and honorable tradition--American generosity. + +From thousands answering Peace Corps appeals to help boost food production +in Africa, to millions volunteering time, corporations adopting schools, +and communities pulling together to help the neediest among us at home, we +have refound our values. Private sector initiatives are crucial to our +future. + +I thank the Congress for passing equal access legislation giving religious +groups the same right to use classrooms after school that other groups +enjoy. But no citizen need tremble, nor the world shudder, if a child +stands in a classroom and breathes a prayer. We ask you again, give +children back a right they had for a century and a half or more in this +country. + +The question of abortion grips our nation. Abortion is either the taking of +a human life or it isn't. And if it is--and medical technology is +increasingly showing it is--it must be stopped. It is a terrible irony that +while some turn to abortion, so many others who cannot become parents cry +out for children to adopt. We have room for these children. We can fill the +cradles of those who want a child to love. And tonight I ask you in the +Congress to move this year on legislation to protect the unborn. + +In the area of education, we're returning to excellence, and again, the +heroes are our people, not government. We're stressing basics of +discipline, rigorous testing, and homework, while helping children become +computer-smart as well. For 20 years scholastic aptitude test scores of our +high school students went down, but now they have gone up 2 of the last 3 +years. We must go forward in our commitment to the new basics, giving +parents greater authority and making sure good teachers are rewarded for +hard work and achievement through merit pay. + +Of all the changes in the past 20 years, none has more threatened our sense +of national well-being than the explosion of violent crime. One does not +have to be attacked to be a victim. The woman who must run to her car after +shopping at night is a victim. The couple draping their door with locks and +chains are victims; as is the tired, decent cleaning woman who can't ride a +subway home without being afraid. + +We do not seek to violate the rights of defendants. But shouldn't we feel +more compassion for the victims of crime than for those who commit crime? +For the first time in 20 years, the crime index has fallen 2 years in a +row. We've convicted over 7,400 drug offenders and put them, as well as +leaders of organized crime, behind bars in record numbers. + +But we must do more. I urge the House to follow the Senate and enact +proposals permitting use of all reliable evidence that police officers +acquire in good faith. These proposals would also reform the habeas corpus +laws and allow, in keeping with the will of the overwhelming majority of +Americans, the use of the death penalty where necessary. + +There can be no economic revival in ghettos when the most violent among us +are allowed to roam free. It's time we restored domestic tranquility. And +we mean to do just that. + +Just as we're positioned as never before to secure justice in our economy, +we're poised as never before to create a safer, freer, more peaceful world. +Our alliances are stronger than ever. Our economy is stronger than ever. We +have resumed our historic role as a leader of the free world. And all of +these together are a great force for peace. + +Since 1981 we've been committed to seeking fair and verifiable arms +agreements that would lower the risk of war and reduce the size of nuclear +arsenals. Now our determination to maintain a strong defense has influenced +the Soviet Union to return to the bargaining table. Our negotiators must be +able to go to that table with the united support of the American people. +All of us have no greater dream than to see the day when nuclear weapons +are banned from this Earth forever. + +Each Member of the Congress has a role to play in modernizing our defenses, +thus supporting our chances for a meaningful arms agreement. Your vote this +spring on the Peacekeeper missile will be a critical test of our resolve to +maintain the strength we need and move toward mutual and verifiable arms +reductions. + +For the past 20 years we've believed that no war will be launched as long +as each side knows it can retaliate with a deadly counterstrike. Well, I +believe there's a better way of eliminating the threat of nuclear war. It +is a Strategic Defense Initiative aimed ultimately at finding a nonnuclear +defense against ballistic missiles. It's the most hopeful possibility of +the nuclear age. But it's not very well understood. + +Some say it will bring war to the heavens, but its purpose is to deter war +in the heavens and on Earth. Now, some say the research would be expensive. +Perhaps, but it could save millions of lives, indeed humanity itself. And +some say if we build such a system, the Soviets will build a defense system +of their own. Well, they already have strategic defenses that surpass ours; +a civil defense system, where we have almost none; and a research program +covering roughly the same areas of technology that we're now exploring. And +finally some say the research will take a long time. Well, the answer to +that is: Let's get started. + +Harry Truman once said that, ultimately, our security and the world's hopes +for peace and human progress "lie not in measures of defense or in the +control of weapons, but in the growth and expansion of freedom and +self-government." + +And tonight, we declare anew to our fellow citizens of the world: Freedom +is not the sole prerogative of a chosen few; it is the universal right of +all God's children. Look to where peace and prosperity flourish today. It +is in homes that freedom built. Victories against poverty are greatest and +peace most secure where people live by laws that ensure free press, free +speech, and freedom to worship, vote, and create wealth. + +Our mission is to nourish and defend freedom and democracy, and to +communicate these ideals everywhere we can. America's economic success is +freedom's success; it can be repeated a hundred times in a hundred +different nations. Many countries in east Asia and the Pacific have few +resources other than the enterprise of their own people. But through low +tax rates and free markets they've soared ahead of centralized economies. +And now China is opening up its economy to meet its needs. + +We need a stronger and simpler approach to the process of making and +implementing trade policy, and we'll be studying potential changes in that +process in the next few weeks. We've seen the benefits of free trade and +lived through the disasters of protectionism. Tonight I ask all our trading +partners, developed and developing alike, to join us in a new round of +trade negotiations to expand trade and competition and strengthen the +global economy--and to begin it in this next year. + +There are more than 3 billion human beings living in Third World countries +with an average per capita income of $650 a year. Many are victims of +dictatorships that impoverished them with taxation and corruption. Let us +ask our allies to join us in a practical program of trade and assistance +that fosters economic development through personal incentives to help these +people climb from poverty on their own. + +We cannot play innocents abroad in a world that's not innocent; nor can we +be passive when freedom is under siege. Without resources, diplomacy cannot +succeed. Our security assistance programs help friendly governments defend +themselves and give them confidence to work for peace. And I hope that you +in the Congress will understand that, dollar for dollar, security +assistance contributes as much to global security as our own defense +budget. + +We must stand by all our democratic allies. And we must not break faith +with those who are risking their lives--on every continent, from +Afghanistan to Nicaragua--to defy Soviet-supported aggression and secure +rights which have been ours from birth. + +The Sandinista dictatorship of Nicaragua, with full Cuban-Soviet bloc +support, not only persecutes its people, the church, and denies a free +press, but arms and provides bases for Communist terrorists attacking +neighboring states. Support for freedom fighters is self-defense and +totally consistent with the OAS and U.N. Charters. It is essential that the +Congress continue all facets of our assistance to Central America. I want +to work with you to support the democratic forces whose struggle is tied to +our own security. + +And tonight, I've spoken of great plans and great dreams. They're dreams we +can make come true. Two hundred years of American history should have +taught us that nothing is impossible. + +Ten years ago a young girl left Vietnam with her family, part of the exodus +that followed the fall of Saigon. They came to the United States with no +possessions and not knowing a word of English. Ten years ago--the young +girl studied hard, learned English, and finished high school in the top of +her class. And this May, May 22d to be exact, is a big date on her +calendar. Just 10 years from the time she left Vietnam, she will graduate +from the United States Military Academy at West Point. I thought you might +like to meet an American hero named Jean Nguyen. + +Now, there's someone else here tonight, born 79 years ago. She lives in the +inner city, where she cares for infants born of mothers who are heroin +addicts. The children, born in withdrawal, are sometimes even dropped on +her doorstep. She helps them with love. Go to her house some night, and +maybe you'll see her silhouette against the window as she walks the floor +talking softly, soothing a child in her arms--Mother Hale of Harlem, and +she, too, is an American hero. + +Jean, Mother Hale, your lives tell us that the oldest American saying is +new again: Anything is possible in America if we have the faith, the will, +and the heart. History is asking us once again to be a force for good in +the world. Let us begin in unity, with justice, and love. + +Thank you, and God bless you. + +NOTE: The President spoke at 9:05 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. + +*** + +State of the Union Address +Ronald Reagan +February 4, 1986 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +Thank you for allowing me to delay my address until this evening. We paused +together to mourn and honor the valor of our seven Challenger heroes. And I +hope that we are now ready to do what they would want us to do: Go forward, +America, and reach for the stars. We will never forget those brave seven, +but we shall go forward. + +Mr. Speaker, before I begin my prepared remarks, may I point out that +tonight marks the 10th and last State of the Union Message that you've +presided over. And on behalf of the American people, I want to salute you +for your service to Congress and country. Here's to you! + +I have come to review with you the progress of our nation, to speak of +unfinished work, and to set our sights on the future. I am pleased to +report the state of our Union is stronger than a year ago and growing +stronger each day. Tonight we look out on a rising America, firm of heart, +united in spirit, powerful in pride and patriotism. America is on the move! +But it wasn't long ago that we looked out on a different land: locked +factory gates, long gasoline lines, intolerable prices, and interest rates +turning the greatest country on Earth into a land of broken dreams. +Government growing beyond our consent had become a lumbering giant, +slamming shut the gates of opportunity, threatening to crush the very roots +of our freedom. What brought America back? The American people brought us +back with quiet courage and common sense, with undying faith that in this +nation under God the future will be ours; for the future belongs to the +free. + +Tonight the American people deserve our thanks for 37 straight months of +economic growth, for sunrise firms and modernized industries creating 9 +million new jobs in 3 years, interest rates cut in half, inflation falling +over from 12 percent in 1980 to under 4 today, and a mighty river of good +works--a record $74 billion in voluntary giving just last year alone. And +despite the pressures of our modern world, family and community remain the +moral core of our society, guardians of our values and hopes for the +future. Family and community are the costars of this great American +comeback. They are why we say tonight: Private values must be at the heart +of public policies. + +What is true for families in America is true for America in the family of +free nations. History is no captive of some inevitable force. History is +made by men and women of vision and courage. Tonight freedom is on the +march. The United States is the economic miracle, the model to which the +world once again turns. We stand for an idea whose time is now: Only by +lifting the weights from the shoulders of all can people truly prosper and +can peace among all nations be secure. Teddy Roosevelt said that a nation +that does great work lives forever. We have done well, but we cannot stop +at the foothills when Everest beckons. It's time for America to be all that +we can be. + +We speak tonight of an agenda for the future, an agenda for a safer, more +secure world. And we speak about the necessity for actions to steel us for +the challenges of growth, trade, and security in the next decade and the +year 2000. And we will do it--not by breaking faith with bedrock principles +but by breaking free from failed policies. Let us begin where storm clouds +loom darkest--right here in Washington, DC. This week I will send you our +detailed proposals; tonight let us speak of our responsibility to redefine +government's role: not to control, not to demand or command, not to contain +us, but to help in times of need and, above all, to create a ladder of +opportunity to full employment so that all Americans can climb toward +economic power and justice on their own. + +But we cannot win the race to the future shackled to a system that can't +even pass a Federal budget. We cannot win that race held back by +horse-and-buggy programs that waste tax dollars and squander human +potential. We cannot win that race if we're swamped in a sea of red ink. +Now, Mr. Speaker, you know, I know, and the American people know the +Federal budget system is broken. It doesn't work. Before we leave this +city, let's you and I work together to fix it, and then we can finally give +the American people a balanced budget. + +Members of Congress, passage of Gramm-Rudman-Hollings gives us an historic +opportunity to achieve what has eluded our national leadership for decades: +forcing the Federal Government to live within its means. Your schedule now +requires that the budget resolution be passed by April 15th, the very day +America's families have to foot the bill for the budgets that you produce. +How often we read of a husband and wife both working, struggling from +paycheck to paycheck to raise a family, meet a mortgage, pay their taxes +and bills. And yet some in Congress say taxes must be raised. Well, I'm +sorry; they're asking the wrong people to tighten their belts. It's time we +reduce the Federal budget and left the family budget alone. We do not face +large deficits because American families are undertaxed; we face those +deficits because the Federal Government overspends. + +The detailed budget that we will submit will meet the Gramm-Rudman-Hollings +target for deficit reductions, meet our commitment to ensure a strong +national defense, meet our commitment to protect Social Security and the +truly less fortunate, and, yes, meet our commitment to not raise taxes. How +should we accomplish this? Well, not by taking from those in need. As +families take care of their own, government must provide shelter and +nourishment for those who cannot provide for themselves. But we must revise +or replace programs enacted in the name of compassion that degrade the +moral worth of work, encourage family breakups, and drive entire +communities into a bleak and heartless dependency. Gramm-Rudman-Hollings +can mark a dramatic improvement. But experience shows that simply setting +deficit targets does not assure they'll be met. We must proceed with Grace +commission reforms against waste. + +And tonight I ask you to give me what 43 Governors have: Give me a +line-item veto this year. Give me the authority to veto waste, and I'll +take the responsibility, I'll make the cuts, I'll take the heat. This +authority would not give me any monopoly power, but simply prevent spending +measures from sneaking through that could not pass on their own merit. And +you can sustain or override my veto; that's the way the system should work. +Once we've made the hard choices, we should lock in our gains with a +balanced budget amendment to the Constitution. + +I mentioned that we will meet our commitment to national defense. We must +meet it. Defense is not just another budget expense. Keeping America +strong, free, and at peace is solely the responsibility of the Federal +Government; it is government's prime responsibility. We have devoted 5 +years trying to narrow a dangerous gap born of illusion and neglect, and +we've made important gains. Yet the threat from Soviet forces, conventional +and strategic, from the Soviet drive for domination, from the increase in +espionage and state terror remains great. This is reality. Closing our eyes +will not make reality disappear. We pledged together to hold real growth in +defense spending to the bare minimum. My budget honors that pledge, and I'm +now asking you, the Congress, to keep its end of the bargain. The Soviets +must know that if America reduces her defenses, it will be because of a +reduced threat, not a reduced resolve. + +Keeping America strong is as vital to the national security as controlling +Federal spending is to our economic security. But, as I have said before, +the most powerful force we can enlist against the Federal deficit is an +ever-expanding American economy, unfettered and free. The magic of +opportunity--unreserved, unfailing, unrestrained--isn't this the calling +that unites us? I believe our tax rate cuts for the people have done more +to spur a spirit of risk-taking and help America's economy break free than +any program since John Kennedy's tax cut almost a quarter century ago. + +Now history calls us to press on, to complete efforts for an historic tax +reform providing new opportunity for all and ensuring that all pay their +fair share, but no more. We've come this far. Will you join me now, and +we'll walk this last mile together? You know my views on this. We cannot +and we will not accept tax reform that is a tax increase in disguise. True +reform must be an engine of productivity and growth, and that means a top +personal rate no higher than 35 percent. True reform must be truly fair, +and that means raising personal exemptions to $2,000. True reform means a +tax system that at long last is profamily, projobs, profuture, and +pro-America. + +As we knock down the barriers to growth, we must redouble our efforts for +freer and fairer trade. We have already taken actions to counter unfair +trading practices and to pry open closed foreign markets. We will continue +to do so. We will also oppose legislation touted as providing protection +that in reality pits one American worker against another, one industry +against another, one community against another, and that raises prices for +us all. If the United States can trade with other nations on a level +playing field, we can outproduce, outcompete, and outsell anybody, anywhere +in the world. + +The constant expansion of our economy and exports requires a sound and +stable dollar at home and reliable exchange rates around the world. We must +never again permit wild currency swings to cripple our farmers and other +exporters. Farmers, in particular, have suffered from past unwise +government policies. They must not be abandoned with problems they did not +create and cannot control. We've begun coordinating economic and monetary +policy among our major trading partners. But there's more to do, and +tonight I am directing Treasury Secretary Jim Baker to determine if the +nations of the world should convene to discuss the role and relationship of +our currencies. + +Confident in our future and secure in our values, Americans are striving +forward to embrace the future. We see it not only in our recovery but in 3 +straight years of falling crime rates, as families and communities band +together to fight pornography, drugs, and lawlessness and to give back to +their children the safe and, yes, innocent childhood they deserve. We see +it in the renaissance in education, the rising SAT scores for 3 years--last +year's increase, the greatest since 1963. It wasn't government and +Washington lobbies that turned education around; it was the American people +who, in reaching for excellence, knew to reach back to basics. We must +continue the advance by supporting discipline in our schools, vouchers that +give parents freedom of choice; and we must give back to our children their +lost right to acknowledge God in their classrooms. + +We are a nation of idealists, yet today there is a wound in our national +conscience. America will never be whole as long as the right to life +granted by our Creator is denied to the unborn. For the rest of my time, I +shall do what I can to see that this wound is one day healed. + +As we work to make the American dream real for all, we must also look to +the condition of America's families. Struggling parents today worry how +they will provide their children the advantages that their parents gave +them. In the welfare culture, the breakdown of the family, the most basic +support system, has reached crisis proportions--in female and child +poverty, child abandonment, horrible crimes, and deteriorating schools. +After hundreds of billions of dollars in poverty programs, the plight of +the poor grows more painful. But the waste in dollars and cents pales +before the most tragic loss: the sinful waste of human spirit and +potential. We can ignore this terrible truth no longer. As Franklin +Roosevelt warned 51 years ago, standing before this Chamber, he said, +"Welfare is a narcotic, a subtle destroyer of the human spirit." And we +must now escape the spider's web of dependency. + +Tonight I am charging the White House Domestic Council to present me by +December 1, 1986, an evaluation of programs and a strategy for immediate +action to meet the financial, educational, social, and safety concerns of +poor families. I'm talking about real and lasting emancipation, because the +success of welfare should be judged by how many of its recipients become +independent of welfare. Further, after seeing how devastating illness can +destroy the financial security of the family, I am directing the Secretary +of Health and Human Services, Dr. Otis Bowen, to report to me by year end +with recommendations on how the private sector and government can work +together to address the problems of affordable insurance for those whose +life savings would otherwise be threatened when catastrophic illness +strikes. + +And tonight I want to speak directly to America's younger generation, +because you hold the destiny of our nation in your hands. With all the +temptations young people face, it sometimes seems the allure of the +permissive society requires superhuman feats of self-control. But the call +of the future is too strong, the challenge too great to get lost in the +blind alleyways of dissolution, drugs, and despair. Never has there been a +more exciting time to be alive, a time of rousing wonder and heroic +achievement. As they said in the film "Back to the Future," "Where we're +going, we don't need roads." + +Well, today physicists peering into the infinitely small realms of +subatomic particles find reaffirmations of religious faith. Astronomers +build a space telescope that can see to the edge of the universe and +possibly back to the moment of creation. So, yes, this nation remains fully +committed to America's space program. We're going forward with our shuttle +flights. We're going forward to build our space station. And we are going +forward with research on a new Orient Express that could, by the end of the +next decade, take off from Dulles Airport, accelerate up to 25 times the +speed of sound, attaining low Earth orbit or flying to Tokyo within 2 +hours. And the same technology transforming our lives can solve the +greatest problem of the 20th century. A security shield can one day render +nuclear weapons obsolete and free mankind from the prison of nuclear +terror. America met one historic challenge and went to the Moon. Now +America must meet another: to make our strategic defense real for all the +citizens of planet Earth. + +Let us speak of our deepest longing for the future: to leave our children a +land that is free and just and a world at peace. It is my hope that our +fireside summit in Geneva and Mr. Gorbachev's upcoming visit to America can +lead to a more stable relationship. Surely no people on Earth hate war or +love peace more than we Americans. But we cannot stroll into the future +with childlike faith. Our differences with a system that openly proclaims +and practices an alleged right to command people's lives and to export its +ideology by force are deep and abiding. Logic and history compel us to +accept that our relationship be guided by realism--rock-hard, cleareyed, +steady, and sure. Our negotiators in Geneva have proposed a radical cut in +offensive forces by each side with no cheating. They have made clear that +Soviet compliance with the letter and spirit of agreements is essential. If +the Soviet Government wants an agreement that truly reduces nuclear arms, +there will be such an agreement. + +But arms control is no substitute for peace. We know that peace follows in +freedom's path and conflicts erupt when the will of the people is denied. +So, we must prepare for peace not only by reducing weapons but by +bolstering prosperity, liberty, and democracy however and wherever we can. +We advance the promise of opportunity every time we speak out on behalf of +lower tax rates, freer markets, sound currencies around the world. We +strengthen the family of freedom every time we work with allies and come to +the aid of friends under siege. And we can enlarge the family of free +nations if we will defend the unalienable rights of all God's children to +follow their dreams. + +To those imprisoned in regimes held captive, to those beaten for daring to +fight for freedom and democracy--for their right to worship, to speak, to +live, and to prosper in the family of free nations--we say to you tonight: +You are not alone, freedom fighters. America will support with moral and +material assistance your right not just to fight and die for freedom but to +fight and win freedom--to win freedom in Afghanistan, in Angola, in +Cambodia, and in Nicaragua. This is a great moral challenge for the entire +free world. + +Surely no issue is more important for peace in our own hemisphere, for the +security of our frontiers, for the protection of our vital interests, than +to achieve democracy in Nicaragua and to protect Nicaragua's democratic +neighbors. This year I will be asking Congress for the means to do what +must be done for that great and good cause. As (former Senator Henry +M.)Scoop Jackson, the inspiration for our Bipartisan Commission on Central +America, once said, "In matters of national security, the best politics is +no politics." + +What we accomplish this year, in each challenge we face, will set our +course for the balance of the decade, indeed, for the remainder of the +century. After all we've done so far, let no one say that this nation +cannot reach the destiny of our dreams. America believes, America is ready, +America can win the race to the future--and we shall. The American dream is +a song of hope that rings through night winter air; vivid, tender music +that warms our hearts when the least among us aspire to the greatest +things: to venture a daring enterprise; to unearth new beauty in music, +literature, and art; to discover a new universe inside a tiny silicon chip +or a single human cell. + +We see the dream coming true in the spirit of discovery of Richard Cavoli. +All his life he's been enthralled by the mysteries of medicine. And, +Richard, we know that the experiment that you began in high school was +launched and lost last week, yet your dream lives. And as long as it's +real, work of noble note will yet be done, work that could reduce the +harmful effects of x rays on patients and enable astronomers to view the +golden gateways of the farthest stars. + +We see the dream glow in the towering talent of a 12-year-old, Tyrone Ford. +A child prodigy of gospel music, he has surmounted personal adversity to +become an accomplished pianist and singer. He also directs the choirs of +three churches and has performed at the Kennedy Center. With God as your +composer, Tyrone, your music will be the music of angels. + +We see the dream being saved by the courage of the 13-year-old Shelby +Butler, honor student and member of her school's safety patrol. Seeing +another girl freeze in terror before an out-of-control school bus, she +risked her life and pulled her to safety. With bravery like yours, Shelby, +America need never fear for our future. + +And we see the dream born again in the joyful compassion of a 13 year old, +Trevor Ferrell. Two years ago, age 11, watching men and women bedding down +in abandoned doorways--on television he was watching--Trevor left his +suburban Philadelphia home to bring blankets and food to the helpless and +homeless. And now 250 people help him fulfill his nightly vigil. Trevor, +yours is the living spirit of brotherly love. + +Would you four stand up for a moment? Thank you, thank you. You are heroes +of our hearts. We look at you and know it's true: In this land of dreams +fulfilled, where greater dreams may be imagined, nothing is impossible, no +victory is beyond our reach, no glory will ever be too great. + +So, now it's up to us, all of us, to prepare America for that day when our +work will pale before the greatness of America's champions in the 21st +century. The world's hopes rest with America's future; America's hopes rest +with us. So, let us go forward to create our world of tomorrow in faith, in +unity, and in love. + +God bless you, and God bless America. + +NOTE: The President spoke at 8:04 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. + +*** + +State of the Union Address +Ronald Reagan +January 27, 1987 + +Mr. Speaker, Mr. President, distinguished Members of Congress, honored +guests, and fellow citizens: + +May I congratulate all of you who are Members of this historic 100th +Congress of the United States of America. In this 200th anniversary year of +our Constitution, you and I stand on the shoulders of giants--men whose +words and deeds put wind in the sails of freedom. However, we must always +remember that our Constitution is to be celebrated not for being old, but +for being young--young with the same energy, spirit, and promise that +filled each eventful day in Philadelphia's statehouse. We will be guided +tonight by their acts, and we will be guided forever by their words. + +Now, forgive me, but I can't resist sharing a story from those historic +days. Philadelphia was bursting with civic pride in the spring of 1787, and +its newspapers began embellishing the arrival of the Convention delegates +with elaborate social classifications. Governors of States were called +Excellency. Justices and Chancellors had reserved for them honorable with a +capital "H." For Congressmen, it was honorable with a small "h." And all +others were referred to as "the following respectable characters." Well, +for this 100th Congress, I invoke special executive powers to declare that +each of you must never be titled less than honorable with a capital "H." +Incidentally, I'm delighted you are celebrating the 100th birthday of the +Congress. It's always a pleasure to congratulate someone with more +birthdays than I've had. + +Now, there's a new face at this place of honor tonight. And please join me +in warm congratulations to the Speaker of the House, Jim Wright. Mr. +Speaker, you might recall a similar situation in your very first session of +Congress 32 years ago. Then, as now, the speakership had changed hands and +another great son of Texas, Sam Rayburn--"Mr. Sam"--sat in your chair. I +cannot find better words than those used by President Eisenhower that +evening. He said, "We shall have much to do together; I am sure that we +will get it done and that we shall do it in harmony and good will." Tonight +I renew that pledge. To you, Mr. Speaker, and to Senate Majority Leader +Robert Byrd, who brings 34 years of distinguished service to the Congress, +may I say: Though there are changes in the Congress, America's interests +remain the same. And I am confident that, along with Republican leaders Bob +Michel and Bob Dole, this Congress can make history. + +Six years ago I was here to ask the Congress to join me in America's new +beginning. Well, the results are something of which we can all be proud. +Our inflation rate is now the lowest in a quarter of a century. The prime +interest rate has fallen from the 21 1/2 percent the month before we took +office to 7 1/2 percent today. And those rates have triggered the most +housing starts in 8 years. The unemployment rate--still too high--is the +lowest in nearly 7 years, and our people have created nearly 13 million new +jobs. Over 61 percent of everyone over the age of 16, male and female, is +employed--the highest percentage on record. Let's roll up our sleeves and +go to work and put America's economic engine at full throttle. We can also +be heartened by our progress across the world. Most important, America is +at peace tonight, and freedom is on the march. And we've done much these +past years to restore our defenses, our alliances, and our leadership in +the world. Our sons and daughters in the services once again wear their +uniforms with pride. + +But though we've made much progress, I have one major regret: I took a risk +with regard to our action in Iran. It did not work, and for that I assume +full responsibility. The goals were worthy. I do not believe it was wrong +to try to establish contacts with a country of strategic importance or to +try to save lives. And certainly it was not wrong to try to secure freedom +for our citizens held in barbaric captivity. But we did not achieve what we +wished, and serious mistakes were made in trying to do so. We will get to +the bottom of this, and I will take whatever action is called for. But in +debating the past, we must not deny ourselves the successes of the future. +Let it never be said of this generation of Americans that we became so +obsessed with failure that we refused to take risks that could further the +cause of peace and freedom in the world. Much is at stake here, and the +Nation and the world are watching to see if we go forward together in the +national interest or if we let partisanship weaken us. And let there be no +mistake about American policy: We will not sit idly by if our interests or +our friends in the Middle East are threatened, nor will we yield to +terrorist blackmail. + +And now, ladies and gentlemen of the Congress, why don't we get to work? I +am pleased to report that because of our efforts to rebuild the strength of +America, the world is a safer place. Earlier this month I submitted a +budget to defend America and maintain our momentum to make up for neglect +in the last decade. Well, I ask you to vote out a defense and foreign +affairs budget that says yes to protecting our country. While the world is +safer, it is not safe. + +Since 1970 the Soviets have invested $500 billion more on their military +forces than we have. Even today, though nearly 1 in 3 Soviet families is +without running hot water and the average family spends 2 hours a day +shopping for the basic necessities of life, their government still found +the resources to transfer $75 billion in weapons to client states in the +past 5 years--clients like Syria, Vietnam, Cuba, Libya, Angola, Ethiopia, +Afghanistan, and Nicaragua. With 120,000 Soviet combat and military +personnel and 15,000 military advisers in Asia, Africa, and Latin America, +can anyone still doubt their single-minded determination to expand their +power? Despite this, the Congress cut my request for critical U.S. security +assistance to free nations by 21 percent this year, and cut defense +requests by $85 billion in the last 3 years. + +These assistance programs serve our national interests as well as mutual +interests. And when the programs are devastated, American interests are +harmed. My friends, it's my duty as President to say to you again tonight +that there is no surer way to lose freedom than to lose our resolve. Today +the brave people of Afghanistan are showing that resolve. The Soviet Union +says it wants a peaceful settlement in Afghanistan, yet it continues a +brutal war and props up a regime whose days are clearly numbered. We are +ready to support a political solution that guarantees the rapid withdrawal +of all Soviet troops and genuine self-determination for the Afghan people. + +In Central America, too, the cause of freedom is being tested. And our +resolve is being tested there as well. Here, especially, the world is +watching to see how this nation responds. Today over 90 percent of the +people of Latin America live in democracy. Democracy is on the march in +Central and South America. Communist Nicaragua is the odd man +out--suppressing the church, the press, and democratic dissent and +promoting subversion in the region. We support diplomatic efforts, but +these efforts can never succeed if the Sandinistas win their war against +the Nicaraguan people. + +Our commitment to a Western Hemisphere safe from aggression did not occur +by spontaneous generation on the day that we took office. It began with the +Monroe Doctrine in 1823 and continues our historic bipartisan American +policy. Franklin Roosevelt said we "are determined to do everything +possible to maintain peace on this hemisphere." President Truman was very +blunt: "International communism seeks to crush and undermine and destroy +the independence of the Americas. We cannot let that happen here." And John +F. Kennedy made clear that "Communist domination in this hemisphere can +never be negotiated." Some in this Congress may choose to depart from this +historic commitment, but I will not. + +This year we celebrate the second century of our Constitution. The +Sandinistas just signed theirs 2 weeks ago, and then suspended it. We won't +know how my words tonight will be reported there for one simple reason: +There is no free press in Nicaragua. Nicaraguan freedom fighters have never +asked us to wage their battle, but I will fight any effort to shut off +their lifeblood and consign them to death, defeat, or a life without +freedom. There must be no Soviet beachhead in Central America. + +You know, we Americans have always preferred dialog to conflict, and so, we +always remain open to more constructive relations with the Soviet Union. +But more responsible Soviet conduct around the world is a key element of +the U.S.-Soviet agenda. Progress is also required on the other items of our +agenda as well--real respect for human rights and more open contacts +between our societies and, of course, arms reduction. + +In Iceland, last October, we had one moment of opportunity that the Soviets +dashed because they sought to cripple our Strategic Defense Initiative, +SDI. I wouldn't let them do it then; I won't let them do it now or in the +future. This is the most positive and promising defense program we have +undertaken. It's the path, for both sides, to a safer future--a system that +defends human life instead of threatening it. SDI will go forward. The +United States has made serious, fair, and far-reaching proposals to the +Soviet Union, and this is a moment of rare opportunity for arms reduction. +But I will need, and American negotiators in Geneva will need, Congress' +support. Enacting the Soviet negotiating position into American law would +not be the way to win a good agreement. So, I must tell you in this +Congress I will veto any effort that undercuts our national security and +our negotiating leverage. + +Now, today, we also find ourselves engaged in expanding peaceful commerce +across the world. We will work to expand our opportunities in international +markets through the Uruguay round of trade negotiations and to complete an +historic free trade arrangement between the world's two largest trading +partners, Canada and the United States. Our basic trade policy remains the +same: We remain opposed as ever to protectionism, because America's growth +and future depend on trade. But we would insist on trade that is fair and +free. We are always willing to be trade partners but never trade patsies. + +Now, from foreign borders let us return to our own, because America in the +world is only as strong as America at home. This 100th Congress has high +responsibilities. I begin with a gentle reminder that many of these are +simply the incomplete obligations of the past. The American people deserve +to be impatient, because we do not yet have the public house in order. +We've had great success in restoring our economic integrity, and we've +rescued our nation from the worst economic mess since the Depression. But +there's more to do. For starters, the Federal deficit is outrageous. For +years I've asked that we stop pushing onto our children the excesses of our +government. And what the Congress finally needs to do is pass a +constitutional amendment that mandates a balanced budget and forces +government to live within its means. States, cities, and the families of +America balance their budgets. Why can't we? + +Next, the budget process is a sorry spectacle. The missing of deadlines and +the nightmare of monstrous continuing resolutions packing hundreds of +billions of dollars of spending into one bill must be stopped. We ask the +Congress once again: Give us the same tool that 43 Governors have--a +lineitem veto so we can carve out the boondoggles and pork, those items +that would never survive on their own. I will send the Congress broad +recommendations on the budget, but first I'd like to see yours. Let's go to +work and get this done together. + +But now let's talk about this year's budget. Even though I have submitted +it within the Gramm-Rudman-Hollings deficit reduction target, I have seen +suggestions that we might postpone that timetable. Well, I think the +American people are tired of hearing the same old excuses. Together we made +a commitment to balance the budget. Now let's keep it. As for those +suggestions that the answer is higher taxes, the American people have +repeatedly rejected that shop-worn advice. They know that we don't have +deficits because people are taxed too little. We have deficits because big +government spends too much. + +Now, next month I'll place two additional reforms before the Congress. +We've created a welfare monster that is a shocking indictment of our sense +of priorities. Our national welfare system consists of some 59 major +programs and over 6,000 pages of Federal laws and regulations on which more +than $132 billion was spent in 1985. I will propose a new national welfare +strategy, a program of welfare reform through State-sponsored, +community-based demonstration projects. This is the time to reform this +outmoded social dinosaur and finally break the poverty trap. Now, we will +never abandon those who, through no fault of their own, must have our help. +But let us work to see how many can be freed from the dependency of welfare +and made self-supporting, which the great majority of welfare recipients +want more than anything else. Next, let us remove a financial specter +facing our older Americans: the fear of an illness so expensive that it can +result in having to make an intolerable choice between bankruptcy and +death. I will submit legislation shortly to help free the elderly from the +fear of catastrophic illness. + +Now let's turn to the future. It's widely said that America is losing her +competitive edge. Well, that won't happen if we act now. How well prepared +are we to enter the 21st century? In my lifetime, America set the standard +for the world. It is now time to determine that we should enter the next +century having achieved a level of excellence unsurpassed in history. We +will achieve this, first, by guaranteeing that government does everything +possible to promote America's ability to compete. Second, we must act as +individuals in a quest for excellence that will not be measured by new +proposals or billions in new funding. Rather, it involves an expenditure of +American spirit and just plain American grit. The Congress will soon +receive my comprehensive proposals to enhance our competitiveness, +including new science and technology centers and strong new funding for +basic research. The bill will include legal and regulatory reforms and +weapons to fight unfair trade practices. Competitiveness also means giving +our farmers a shot at participating fairly and fully in a changing world +market. + +Preparing for the future must begin, as always, with our children. We need +to set for them new and more rigorous goals. We must demand more of +ourselves and our children by raising literacy levels dramatically by the +year 2000. Our children should master the basic concepts of math and +science, and let's insist that students not leave high school until they +have studied and understood the basic documents of our national heritage. +There's one more thing we can't let up on: Let's redouble our personal +efforts to provide for every child a safe and drug-free learning +environment. If our crusade against drugs succeeds with our children, we +will defeat that scourge all over the country. + +Finally, let's stop suppressing the spiritual core of our national being. +Our nation could not have been conceived without divine help. Why is it +that we can build a nation with our prayers, but we can't use a schoolroom +for voluntary prayer? The 100th Congress of the United States should be +remembered as the one that ended the expulsion of God from America's +classrooms. + +The quest for excellence into the 21st century begins in the schoolroom but +must go next to the workplace. More than 20 million new jobs will be +created before the new century unfolds, and by then, our economy should be +able to provide a job for everyone who wants to work. We must also enable +our workers to adapt to the rapidly changing nature of the workplace. And I +will propose substantial, new Federal commitments keyed to retraining and +job mobility. + +Over the next few weeks, I'll be sending the Congress a complete series of +these special messages--on budget reform, welfare reform, competitiveness, +including education, trade, worker training and assistance, agriculture, +and other subjects. The Congress can give us these tools, but to make these +tools work, it really comes down to just being our best. And that is the +core of American greatness. The responsibility of freedom presses us +towards higher knowledge and, I believe, moral and spiritual greatness. +Through lower taxes and smaller government, government has its ways of +freeing people's spirits. But only we, each of us, can let the spirit soar +against our own individual standards. Excellence is what makes freedom +ring. And isn't that what we do best? + +We're entering our third century now, but it's wrong to judge our nation by +its years. The calendar can't measure America because we were meant to be +an endless experiment in freedom--with no limit to our reaches, no +boundaries to what we can do, no end point to our hopes. The United States +Constitution is the impassioned and inspired vehicle by which we travel +through history. It grew out of the most fundamental inspiration of our +existence: that we are here to serve Him by living free--that living free +releases in us the noblest of impulses and the best of our abilities; that +we would use these gifts for good and generous purposes and would secure +them not just for ourselves and for our children but for all mankind. + +Over the years--I won't count if you don't--nothing has been so +heartwarming to me as speaking to America's young, and the little ones +especially, so fresh-faced and so eager to know. Well, from time to time +I've been with them--they will ask about our Constitution. And I hope you +Members of Congress will not deem this a breach of protocol if you'll +permit me to share these thoughts again with the young people who might be +listening or watching this evening. I've read the constitutions of a number +of countries, including the Soviet Union's. Now, some people are surprised +to hear that they have a constitution, and it even supposedly grants a +number of freedoms to its people. Many countries have written into their +constitution provisions for freedom of speech and freedom of assembly. +Well, if this is true, why is the Constitution of the United States so +exceptional? + +Well, the difference is so small that it almost escapes you, but it's so +great it tells you the whole story in just three words: We the people. In +those other constitutions, the Government tells the people of those +countries what they're allowed to do. In our Constitution, we the people +tell the Government what it can do, and it can do only those things listed +in that document and no others. Virtually every other revolution in history +has just exchanged one set of rulers for another set of rulers. Our +revolution is the first to say the people are the masters and government is +their servant. And you young people out there, don't ever forget that. +Someday you could be in this room, but wherever you are, America is +depending on you to reach your highest and be your best--because here in +America, we the people are in charge. + +Just three words: We the people--those are the kids on Christmas Day +looking out from a frozen sentry post on the 38th parallel in Korea or +aboard an aircraft carrier in the Mediterranean. A million miles from home, +but doing their duty. + +We the people--those are the warmhearted whose numbers we can't begin to +count, who'll begin the day with a little prayer for hostages they will +never know and MIA families they will never meet. Why? Because that's the +way we are, this unique breed we call Americans. + +We the people--they're farmers on tough times, but who never stop feeding a +hungry world. They're the volunteers at the hospital choking back their +tears for the hundredth time, caring for a baby struggling for life because +of a mother who used drugs. And you'll forgive me a special memory--it's a +million mothers like Nelle Reagan who never knew a stranger or turned a +hungry person away from her kitchen door. + +We the people--they refute last week's television commentary downgrading +our optimism and our idealism. They are the entrepreneurs, the builders, +the pioneers, and a lot of regular folks--the true heroes of our land who +make up the most uncommon nation of doers in history. You know they're +Americans because their spirit is as big as the universe and their hearts +are bigger than their spirits. + +We the people--starting the third century of a dream and standing up to +some cynic who's trying to tell us we're not going to get any better. Are +we at the end? Well, I can't tell it any better than the real thing--a +story recorded by James Madison from the final moments of the +Constitutional Convention, September 17th, 1787. As the last few members +signed the document, Benjamin Franklin--the oldest delegate at 81 years and +in frail health--looked over toward the chair where George Washington daily +presided. At the back of the chair was painted the picture of a Sun on the +horizon. And turning to those sitting next to him, Franklin observed that +artists found it difficult in their painting to distinguish between a +rising and a setting Sun. + +Well, I know if we were there, we could see those delegates sitting around +Franklin--leaning in to listen more closely to him. And then Dr. Franklin +began to share his deepest hopes and fears about the outcome of their +efforts, and this is what he said: "I have often looked at that picture +behind the President without being able to tell whether it was a rising or +setting Sun: But now at length I have the happiness to know that it is a +rising and not a setting Sun." Well, you can bet it's rising because, my +fellow citizens, America isn't finished. Her best days have just begun. + +Thank you, God bless you, and God bless America. + +NOTE: The President spoke at 9:03 p.m. in the House Chamber of the Capitol. +He was introduced by Jim Wright, Speaker of the House of Representatives. +The address was broadcast live on nationwide radio and television. + +*** + +State of the Union Address +Ronald Reagan +January 25, 1988 + +Mr. Speaker, Mr. President, and distinguished Members of the House and +Senate: When we first met here 7 years ago--many of us for the first +time--it was with the hope of beginning something new for America. We meet +here tonight in this historic Chamber to continue that work. If anyone +expects just a proud recitation of the accomplishments of my +administration, I say let's leave that to history; we're not finished yet. +So, my message to you tonight is put on your work shoes; we're still on the +job. + +History records the power of the ideas that brought us here those 7 years +ago--ideas like the individual's right to reach as far and as high as his or +her talents will permit; the free market as an engine of economic progress. +And as an ancient Chinese philosopher, Lao-tzu, said: "Govern a great +nation as you would cook a small fish; do not overdo it." Well, these ideas +were part of a larger notion, a vision, if you will, of America +herself--an America not only rich in opportunity for the individual but an +America, too, of strong families and vibrant neighborhoods; an America +whose divergent but harmonizing communities were a reflection of a deeper +community of values: the value of work, of family, of religion, and of the +love of freedom that God places in each of us and whose defense He has +entrusted in a special way to this nation. + +All of this was made possible by an idea I spoke of when Mr. Gorbachev was +here--the belief that the most exciting revolution ever known to humankind +began with three simple words: "We the People," the revolutionary notion +that the people grant government its rights, and not the other way around. +And there's one lesson that has come home powerfully to me, which I would +offer to you now. Just as those who created this Republic pledged to each +other their lives, their fortunes, and their sacred honor, so, too, +America's leaders today must pledge to each other that we will keep +foremost in our hearts and minds not what is best for ourselves or for our +party but what is best for America. + +In the spirit of Jefferson, let us affirm that in this Chamber tonight +there are no Republicans, no Democrats--just Americans. Yes, we will have +our differences, but let us always remember what unites us far outweighs +whatever divides us. Those who sent us here to serve them--the millions of +Americans watching and listening tonight--expect this of us. Let's prove to +them and to ourselves that democracy works even in an election year. We've +done this before. And as we have worked together to bring down spending, +tax rates, and inflation, employment has climbed to record heights; America +has created more jobs and better, higher paying jobs; family income has +risen for 4 straight years, and America's poor climbed out of poverty at +the fastest rate in more than 10 years. + +Our record is not just the longest peacetime expansion in history but an +economic and social revolution of hope based on work, incentives, growth, +and opportunity; a revolution of compassion that led to private sector +initiatives and a 77-percent increase in charitable giving; a revolution +that at a critical moment in world history reclaimed and restored the +American dream. + +In international relations, too, there's only one description for what, +together, we have achieved: a complete turnabout, a revolution. Seven years +ago, America was weak, and freedom everywhere was under siege. Today +America is strong, and democracy is everywhere on the move. From Central +America to East Asia, ideas like free markets and democratic reforms and +human rights are taking hold. We've replaced "Blame America" with "Look up +to America." We've rebuilt our defenses. And of all our accomplishments, +none can give us more satisfaction than knowing that our young people are +again proud to wear our country's uniform. + +And in a few moments, I'm going to talk about three developments--arms +reduction, the Strategic Defense Initiative, and the global democratic +revolution--that, when taken together, offer a chance none of us would have +dared imagine 7 years ago, a chance to rid the world of the two great +nightmares of the postwar era. I speak of the startling hope of giving our +children a future free of both totalitarianism and nuclear terror. + +Tonight, then, we're strong, prosperous, at peace, and we are free. This is +the state of our Union. And if we will work together this year, I believe +we can give a future President and a future Congress the chance to make +that prosperity, that peace, that freedom not just the state of our Union +but the state of our world. + +Toward this end, we have four basic objectives tonight. First, steps we can +take this year to keep our economy strong and growing, to give our children +a future of low inflation and full employment. Second, let's check our +progress in attacking social problems, where important gains have been +made, but which still need critical attention. I mean schools that work, +economic independence for the poor, restoring respect for family life and +family values. Our third objective tonight is global: continuing the +exciting economic and democratic revolutions we've seen around the world. +Fourth and finally, our nation has remained at peace for nearly a decade +and a half, as we move toward our goals of world prosperity and world +freedom. We must protect that peace and deter war by making sure the next +President inherits what you and I have a moral obligation to give that +President: a national security that is unassailable and a national defense +that takes full advantage of new technology and is fully funded. + +This is a full agenda. It's meant to be. You see, my thinking on the next +year is quite simple: Let's make this the best of 8. And that means it's +all out--right to the finish line. I don't buy the idea that this is the +last year of anything, because we're not talking here tonight about +registering temporary gains but ways of making permanent our successes. And +that's why our focus is the values, the principles, and ideas that made +America great. Let's be clear on this point. We're for limited government, +because we understand, as the Founding Fathers did, that it is the best way +of ensuring personal liberty and empowering the individual so that every +American of every race and region shares fully in the flowering of American +prosperity and freedom. + +One other thing we Americans like--the future--like the sound of it, the +idea of it, the hope of it. Where others fear trade and economic growth, we +see opportunities for creating new wealth and undreamed-of opportunities +for millions in our own land and beyond. Where others seek to throw up +barriers, we seek to bring them down. Where others take counsel of their +fears, we follow our hopes. Yes, we Americans like the future and like +making the most of it. Let's do that now. + +And let's begin by discussing how to maintain economic growth by +controlling and eventually eliminating the problem of Federal deficits. We +have had a balanced budget only eight times in the last 57 years. For the +first time in 14 years, the Federal Government spent less in real terms +last year than the year before. We took $73 billion off last year's deficit +compared to the year before. The deficit itself has moved from 6.3 percent +of the gross national product to only 3.4 percent. And perhaps the most +important sign of progress has been the change in our view of deficits. You +know, a few of us can remember when, not too many years ago, those who +created the deficits said they would make us prosperous and not to worry +about the debt, because we owe it to ourselves. Well, at last there is +agreement that we can't spend ourselves rich. + +Our recent budget agreement, designed to reduce Federal deficits by $76 +billion over the next 2 years, builds on this consensus. But this agreement +must be adhered to without slipping into the errors of the past: more +broken promises and more unchecked spending. As I indicated in my first +State of the Union, what ails us can be simply put: The Federal Government +is too big, and it spends too much money. I can assure you, the bipartisan +leadership of Congress, of my help in fighting off any attempt to bust our +budget agreement. And this includes the swift and certain use of the veto +power. + +Now, it's also time for some plain talk about the most immediate obstacle +to controlling Federal deficits. The simple but frustrating problem of +making expenses match revenues--something American families do and the +Federal Government can't--has caused crisis after crisis in this city. Mr. +Speaker, Mr. President, I will say to you tonight what I have said before +and will continue to say: The budget process has broken down; it needs a +drastic overhaul. With each ensuing year, the spectacle before the American +people is the same as it was this Christmas: budget deadlines delayed or +missed completely, monstrous continuing resolutions that pack hundreds of +billions of dollars worth of spending into one bill, and a Federal +Government on the brink of default. + +I know I'm echoing what you here in the Congress have said, because you +suffered so directly. But let's recall that in 7 years, of 91 +appropriations bills scheduled to arrive on my desk by a certain date, only +10 made it on time. Last year, of the 13 appropriations bills due by +October 1st, none of them made it. Instead, we had four continuing +resolutions lasting 41 days, then 36 days, and 2 days, and 3 days, +respectively. + +And then, along came these behemoths. This is the conference report--1,053 +pages, report weighing 14 pounds. Then this--a reconciliation bill 6 months +late that was 1,186 pages long, weighing 15 pounds. And the long-term +continuing resolution--this one was 2 months late, and it's 1,057 pages +long, weighing 14 pounds. That was a total of 43 pounds of paper and ink. +You had 3 hours--yes, 3 hours--to consider each, and it took 300 people at +my Office of Management and Budget just to read the bill so the Government +wouldn't shut down. Congress shouldn't send another one of these. No, and +if you do, I will not sign it. + +Let's change all this. Instead of a Presidential budget that gets discarded +and a congressional budget resolution that is not enforced, why not a +simple partnership, a joint agreement that sets out the spending priorities +within the available revenues? And let's remember our deadline is October +1st, not Christmas. Let's get the people's work done in time to avoid a +footrace with Santa Claus. And, yes, this year--to coin a phrase--a new +beginning: 13 individual bills, on time and fully reviewed by Congress. + +I'm also certain you join me in saying: Let's help ensure our future of +prosperity by giving the President a tool that, though I will not get to +use it, is one I know future Presidents of either party must have. Give the +President the same authority that 43 Governors use in their States: the +right to reach into massive appropriation bills, pare away the waste, and +enforce budget discipline. Let's approve the line-item veto. + +And let's take a partial step in this direction. Most of you in this +Chamber didn't know what was in this catchall bill and report. Over the +past few weeks, we've all learned what was tucked away behind a little +comma here and there. For example, there's millions for items such as +cranberry research, blueberry research, the study of crawfish, and the +commercialization of wildflowers. And that's not to mention the five or so +million ($.5 million) that--so that people from developing nations could +come here to watch Congress at work. I won't even touch that. So, tonight I +offer you this challenge. In 30 days I will send back to you those items as +rescissions, which if I had the authority to line them out I would do so. + +Now, review this multibillion-dollar package that will not undercut our +bipartisan budget agreement. As a matter of fact, if adopted, it will +improve our deficit reduction goals. And what an example we can set, that +we're serious about getting our financial accounts in order. By acting and +approving this plan, you have the opportunity to override a congressional +process that is out of control. + +There is another vital reform. Yes, Gramm-Rudman-Hollings has been +profoundly helpful, but let us take its goal of a balanced budget and make +it permanent. Let us do now what so many States do to hold down spending +and what 32 State legislatures have asked us to do. Let us heed the wishes +of an overwhelming plurality of Americans and pass a constitutional +amendment that mandates a balanced budget and forces the Federal Government +to live within its means. Reform of the budget process--including the +line-item veto and balanced budget amendment--will, together with real +restraint on government spending, prevent the Federal budget from ever +again ravaging the family budget. + +Let's ensure that the Federal Government never again legislates against the +family and the home. Last September 1 signed an Executive order on the +family requiring that every department and agency review its activities in +light of seven standards designed to promote and not harm the family. But +let us make certain that the family is always at the center of the public +policy process not just in this administration but in all future +administrations. It's time for Congress to consider, at the beginning, a +statement of the impact that legislation will have on the basic unit of +American society, the family. + +And speaking of the family, let's turn to a matter on the mind of every +American parent tonight: education. We all know the sorry story of the +sixties and seventies--soaring spending, plummeting test scores--and that +hopeful trend of the eighties, when we replaced an obsession with dollars +with a commitment to quality, and test scores started back up. There's a +lesson here that we all should write on the blackboard a hundred times: In +a child's education, money can never take the place of basics like +discipline, hard work, and, yes, homework. + +As a nation we do, of course, spend heavily on education--more than we +spend on defense. Yet across our country, Governors like New Jersey's Tom +Kean are giving classroom demonstrations that how we spend is as important +as how much we spend. Opening up the teaching profession to all qualified +candidates, merit pay--so that good teachers get A's as well as apples--and +stronger curriculum, as Secretary Bennett has proposed for high +schools--these imaginative reforms are making common sense the most popular +new kid in America's schools. How can we help? Well, we can talk about and +push for these reforms. But the most important thing we can do is to +reaffirm that control of our schools belongs to the States, local +communities and, most of all, to the parents and teachers. + +My friends, some years ago, the Federal Government declared war on poverty, +and poverty won. Today the Federal Government has 59 major welfare programs +and spends more than $100 billion a year on them. What has all this money +done? Well, too often it has only made poverty harder to escape. Federal +welfare programs have created a massive social problem. With the best of +intentions, government created a poverty trap that wreaks havoc on the very +support system the poor need most to lift themselves out of poverty: the +family. Dependency has become the one enduring heirloom, passed from one +generation to the next, of too many fragmented families. + +It is time--this may be the most radical thing I've said in 7 years in this +office--it's time for Washington to show a little humility. There are a +thousand sparks of genius in 50 States and a thousand communities around +the Nation. It is time to nurture them and see which ones can catch fire +and become guiding lights. States have begun to show us the way. They've +demonstrated that successful welfare programs can be built around more +effective child support enforcement practices and innovative programs +requiring welfare recipients to work or prepare for work. Let us give the +States more flexibility and encourage more reforms. Let's start making our +welfare system the first rung on America's ladder of opportunity, a boost +up from dependency, not a graveyard but a birthplace of hope. + +And now let me turn to three other matters vital to family values and the +quality of family life. The first is an untold American success story. +Recently, we released our annual survey of what graduating high school +seniors have to say about drugs. Cocaine use is declining, and marijuana +use was the lowest since surveying began. We can be proud that our students +are just saying no to drugs. But let us remember what this menace requires: +commitment from every part of America and every single American, a +commitment to a drugfree America. The war against drugs is a war of +individual battles, a crusade with many heroes, including America's young +people and also someone very special to me. She has helped so many of our +young people to say no to drugs. Nancy, much credit belongs to you, and I +want to express to you your husband's pride and your country's thanks.'. +Surprised you, didn't I? + +Well, now we come to a family issue that we must have the courage to +confront. Tonight, I call America--a good nation, a moral people--to +charitable but realistic consideration of the terrible cost of abortion on +demand. To those who say this violates a woman's right to control of her +own body: Can they deny that now medical evidence confirms the unborn child +is a living human being entitled to life, liberty, and the pursuit of +happiness? Let us unite as a nation and protect the unborn with legislation +that would stop all Federal funding for abortion and with a human life +amendment making, of course, an exception where the unborn child threatens +the life of the mother. Our Judeo-Christian tradition recognizes the right +of taking a life in self-defense. But with that one exception, let us look +to those others in our land who cry out for children to adopt. I pledge to +you tonight I will work to remove barriers to adoption and extend full +sharing in family life to millions of Americans so that children who need +homes can be welcomed to families who want them and love them. + +And let me add here: So many of our greatest statesmen have reminded us +that spiritual values alone are essential to our nation's health and vigor. +The Congress opens its proceedings each day, as does the Supreme Court, +with an acknowledgment of the Supreme Being. Yet we are denied the right to +set aside in our schools a moment each day for those who wish to pray. I +believe Congress should pass our school prayer amendment. + +Now, to make sure there is a full nine member Supreme Court to interpret +the law, to protect the rights of all Americans, I urge the Senate to move +quickly and decisively in confirming Judge Anthony Kennedy to the highest +Court in the land and to also confirm 27 nominees now waiting to fill +vacancies in the Federal judiciary. + +Here then are our domestic priorities. Yet if the Congress and the +administration work together, even greater opportunities lie ahead to +expand a growing world economy, to continue to reduce the threat of nuclear +arms, and to extend the frontiers of freedom and the growth of democratic +institutions. + +Our policies consistently received the strongest support of the late +Congressman Dan Daniel of Virginia. I'm sure all of you join me in +expressing heartfelt condolences on his passing. + +One of the greatest contributions the United States can make to the world +is to promote freedom as the key to economic growth. A creative, +competitive America is the answer to a changing world, not trade wars that +would close doors, create greater barriers, and destroy millions of jobs. +We should always remember: Protectionism is destructionism. America's jobs, +America's growth, America's future depend on trade--trade that is free, +open, and fair. + +This year, we have it within our power to take a major step toward a +growing global economy and an expanding cycle of prosperity that reaches to +all the free nations of this Earth. I'm speaking of the historic free trade +agreement negotiated between our country and Canada. And I can also tell +you that we're determined to expand this concept, south as well as north. +Next month I will be traveling to Mexico, where trade matters will be of +foremost concern. And over the next several months, our Congress and the +Canadian Parliament can make the start of such a North American accord a +reality. Our goal must be a day when the free flow of trade, from the tip +of Tierra del Fuego to the Arctic Circle, unites the people of the Western +Hemisphere in a bond of mutually beneficial exchange, when all borders +become what the U.S.-Canadian border so long has been: a meeting place +rather than a dividing line. + +This movement we see in so many places toward economic freedom is +indivisible from the worldwide movement toward political freedom and +against totalitarian rule. This global democratic revolution has removed +the specter, so frightening a decade ago, of democracy doomed to permanent +minority status in the world. In South and Central America, only a third of +the people enjoyed democratic rule in 1976. Today over 90 percent of Latin +Americans live in nations committed to democratic principles. And the +resurgence of democracy is owed to these courageous people on almost every +continent who have struggled to take control of their own destiny. + +In Nicaragua the struggle has extra meaning, because that nation is so near +our own borders. The recent revelations of a former high-level Sandinista +major, Roger Miranda, show us that, even as they talk peace, the Communist +Sandinista government of Nicaragua has established plans for a large +600,000-man army. Yet even as these plans are made, the Sandinista regime +knows the tide is turning, and the cause of Nicaraguan freedom is riding at +its crest. Because of the freedom fighters, who are resisting Communist +rule, the Sandinistas have been forced to extend some democratic rights, +negotiate with church authorities, and release a few political prisoners. + +The focus is on the Sandinistas, their promises and their actions. There is +a consensus among the four Central American democratic Presidents that the +Sandinistas have not complied with the plan to bring peace and democracy to +all of Central America. The Sandinistas again have promised reforms. Their +challenge is to take irreversible steps toward democracy. On Wednesday my +request to sustain the freedom fighters will be submitted, which reflects +our mutual desire for peace, freedom, and democracy in Nicaragua. I ask +Congress to pass this request. Let us be for the people of Nicaragua what +Lafayette, Pulaski, and Von Steuben were for our forefathers and the cause +of American independence. + +So, too, in Afghanistan, the freedom fighters are the key to peace. We +support the Mujahidin. There can be no settlement unless all Soviet troops +are removed and the Afghan people are allowed genuine self-determination. I +have made my views on this matter known to Mr. Gorbachev. But not just +Nicaragua or Afghanistan--yes, everywhere we see a swelling freedom tide +across the world: freedom fighters rising up in Cambodia and Angola, +fighting and dying for the same democratic liberties we hold sacred. Their +cause is our cause: freedom. + +Yet even as we work to expand world freedom, we must build a safer peace +and reduce the danger of nuclear war. But let's have no illusions. Three +years of steady decline in the value of our annual defense investment have +increased the risk of our most basic security interests, jeopardizing +earlier hard-won goals. We must face squarely the implications of this +negative trend and make adequate, stable defense spending a top goal both +this year and in the future. + +This same concern applies to economic and security assistance programs as +well. But the resolve of America and its NATO allies has opened the way for +unprecedented achievement in arms reduction. Our recently signed INF treaty +is historic, because it reduces nuclear arms and establishes the most +stringent verification regime in arms control history, including several +forms of short-notice, on-site inspection. I submitted the treaty today, +and I urge the Senate to give its advice and consent to ratification of +this landmark agreement. Thank you very much. + +In addition to the INF treaty, we're within reach of an even more +significant START agreement that will reduce U.S. and Soviet long-range +missile--or strategic arsenals by half. But let me be clear. Our approach +is not to seek agreement for agreement's sake but to settle only for +agreements that truly enhance our national security and that of our allies. +We will never put our security at risk--or that of our allies--just to reach +an agreement with the Soviets. No agreement is better than a bad +agreement. + +As I mentioned earlier, our efforts are to give future generations what we +never had--a future free of nuclear terror. Reduction of strategic +offensive arms is one step, SDI another. Our funding request for our +Strategic Defense Initiative is less than 2 percent of the total defense +budget. SDI funding is money wisely appropriated and money well spent. SDI +has the same purpose and supports the same goals of arms reduction. It +reduces the risk of war and the threat of nuclear weapons to all mankind. +Strategic defenses that threaten no one could offer the world a safer, more +stable basis for deterrence. We must also remember that SDI is our +insurance policy against a nuclear accident, a Chernobyl of the sky, or an +accidental launch or some madman who might come along. + +We've seen such changes in the world in 7 years. As totalitarianism +struggles to avoid being overwhelmed by the forces of economic advance and +the aspiration for human freedom, it is the free nations that are resilient +and resurgent. As the global democratic revolution has put totalitarianism +on the defensive, we have left behind the days of retreat. America is again +a vigorous leader of the free world, a nation that acts decisively and +firmly in the furtherance of her principles and vital interests. No legacy +would make me more proud than leaving in place a bipartisan consensus for +the cause of world freedom, a consensus that prevents a paralysis of +American power from ever occurring again. + +But my thoughts tonight go beyond this, and I hope you'll let me end this +evening with a personal reflection. You know, the world could never be +quite the same again after Jacob Shallus, a trustworthy and dependable +clerk of the Pennsylvania General Assembly, took his pen and engrossed +those words about representative government in the preamble of our +Constitution. And in a quiet but final way, the course of human events was +forever altered when, on a ridge overlooking the Emmitsburg Pike in an +obscure Pennsylvania town called Gettysburg, Lincoln spoke of our duty to +government of and by the people and never letting it perish from the +Earth. + +At the start of this decade, I suggested that we live in equally momentous +times, that it is up to us now to decide whether our form of government +would endure and whether history still had a place of greatness for a +quiet, pleasant, greening land called America. Not everything has been made +perfect in 7 years, nor will it be made perfect in seven times 70 years, +but before us, this year and beyond, are great prospects for the cause of +peace and world freedom. + +It means, too, that the young Americans I spoke of 7 years ago, as well as +those who might be coming along the Virginia or Maryland shores this night +and seeing for the first time the lights of this Capital City--the lights +that cast their glow on our great halls of government and the monuments to +the memory of our great men--it means those young Americans will find a +city of hope in a land that is free. + +We can be proud that for them and for us, as those lights along the Potomac +are still seen this night signaling as they have for nearly two centuries +and as we pray God they always will, that another generation of Americans +has protected and passed on lovingly this place called America, this +shining city on a hill, this government of, by, and for the people. + +Thank you, and God bless you. + +NOTE: The President spoke at 9:07 p.m. in the House Chamber of the Capitol. +He was introduced by Jim Wright, Speaker of the House of Representatives. +The address was broadcast live on nationwide radio and television. + + + + + + + + + + + +End of the Project Gutenberg EBook of State of the Union Addresses of Ronald +Reagan, by Ronald Reagan + +*** END OF THIS PROJECT GUTENBERG EBOOK STATE OF THE UNION ADDRESSES *** + +***** This file should be named 5046.txt or 5046.zip ***** +This and all associated files of various formats will be found in: + http://www.gutenberg.org/5/0/4/5046/ + +Produced by James Linden. 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You can also find out about how to make a +donation to Project Gutenberg, and how to get involved. + + +**Welcome To The World of Free Plain Vanilla Electronic Texts** + +**eBooks Readable By Both Humans and By Computers, Since 1971** + +*****These eBooks Were Prepared By Thousands of Volunteers!***** + + +Title: State of the Union Addresses of Ronald Reagan + +Author: Ronald Reagan + +Release Date: February, 2004 [EBook #5046] +[Yes, we are more than one year ahead of schedule] +[This file was first posted on April 11, 2002] + +Edition: 10 + +Language: English + +Character set encoding: ASCII + +*** START OF THE PROJECT GUTENBERG EBOOK OF ADDRESSES BY RONALD REAGAN *** + + + + +This eBook was produced by James Linden. + +The addresses are separated by three asterisks: *** + +Dates of addresses by Ronald Reagan in this eBook: + January 26, 1982 + January 25, 1983 + January 25, 1984 + February 6, 1985 + February 4, 1986 + January 27, 1987 + January 25, 1988 + + + +*** + +State of the Union Address +Ronald Reagan +January 26, 1982 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +Today marks my first State of the Union address to you, a constitutional +duty as old as our Republic itself. + +President Washington began this tradition in 1790 after reminding the +Nation that the destiny of self-government and the "preservation of the +sacred fire of liberty" is "finally staked on the experiment entrusted to +the hands of the American people." For our friends in the press, who place +a high premium on accuracy, let me say: I did not actually hear George +Washington say that. But it is a matter of historic record. + +But from this podium, Winston Churchill asked the free world to stand +together against the onslaught of aggression. Franklin Delano Roosevelt +spoke of a day of infamy and summoned a nation to arms. Douglas MacArthur +made an unforgettable farewell to a country he loved and served so well. +Dwight Eisenhower reminded us that peace was purchased only at the price of +strength. And John F. Kennedy spoke of the burden and glory that is +freedom. + +When I visited this Chamber last year as a newcomer to Washington, critical +of past policies which I believed had failed, I proposed a new spirit of +partnership between this Congress and this administration and between +Washington and our State and local governments. In forging this new +partnership for America, we could achieve the oldest hopes of our +Republic--prosperity for our nation, peace for the world, and the blessings +of individual liberty for our children and, someday, for all of humanity. + +It's my duty to report to you tonight on the progress that we have made in +our relations with other nations, on the foundation we've carefully laid +for our economic recovery, and finally, on a bold and spirited initiative +that I believe can change the face of American government and make it again +the servant of the people. + +Seldom have the stakes been higher for America. What we do and say here +will make all the difference to autoworkers in Detroit, lumberjacks in the +Northwest, steelworkers in Steubenville who are in the unemployment lines; +to black teenagers in Newark and Chicago; to hard-pressed farmers and small +businessmen; and to millions of everyday Americans who harbor the simple +wish of a safe and financially secure future for their children. To +understand the state of the Union, we must look not only at where we are +and where we're going but where we've been. The situation at this time last +year was truly ominous. + +The last decade has seen a series of recessions. There was a recession in +1970, in 1974, and again in the spring of 1980. Each time, unemployment +increased and inflation soon turned up again. We coined the word +"stagflation" to describe this. + +Government's response to these recessions was to pump up the money supply +and increase spending. In the last 6 months of 1980, as an example, the +money supply increased at the fastest rate in postwar history--13 percent. +Inflation remained in double digits, and government spending increased at +an annual rate of 17 percent. Interest rates reached a staggering 21.5 +percent. There were 8 million unemployed. + +Late in 1981 we sank into the present recession, largely because continued +high interest rates hurt the auto industry and construction. And there was +a drop in productivity, and the already high unemployment increased. + +This time, however, things are different. We have an economic program in +place, completely different from the artificial quick fixes of the past. It +calls for a reduction of the rate of increase in government spending, and +already that rate has been cut nearly in half. But reduced spending the +first and smallest phase of a 3-year tax rate reduction designed to +stimulate the economy and create jobs. Already interest rates are down to +15 3/4 percent, but they must still go lower. Inflation is down from 12.4 +percent to 8.9, and for the month of December it was running at an +annualized rate of 5.2 percent. If we had not acted as we did, things would +be far worse for all Americans than they are today. Inflation, taxes, and +interest rates would all be higher. + +A year ago, Americans' faith in their governmental process was steadily +declining. Six out of 10 Americans were saying they were pessimistic about +their future. A new kind of defeatism was heard. Some said our domestic +problems were uncontrollable, that we had to learn to live with this +seemingly endless cycle of high inflation and high unemployment. + +There were also pessimistic predictions about the relationship between our +administration and this Congress. It was said we could never work together. +Well, those predictions were wrong. The record is clear, and I believe that +history will remember this as an era of American renewal, remember this +administration as an administration of change, and remember this Congress +as a Congress of destiny. + +Together, we not only cut the increase in government spending nearly in +half, we brought about the largest tax reductions and the most sweeping +changes in our tax structure since the beginning of this century. And +because we indexed future taxes to the rate of inflation, we took away +government's built-in profit on inflation and its hidden incentive to grow +larger at the expense of American workers.- + +Together, after 50 years of taking power away from the hands of the people +in their States and local communities, we have started returning power and +resources to them. + +Together, we have cut the growth of new Federal regulations nearly in half. +In 1981 there were 23,000 fewer pages in the Federal Register, which lists +new regulations, than there were in 1980. By deregulating oil we've come +closer to achieving energy independence and helped bring down the cost of +gasoline and heating fuel. + +Together, we have created an effective Federal strike force to combat waste +and fraud in government. In just 6 months it has saved the taxpayers more +than $2 billion, and it's only getting started. + +Together we've begun to mobilize the private sector, not to duplicate +wasteful and discredited government programs, but to bring thousands of +Americans into a volunteer effort to help solve many of America's social +problems. + +Together we've begun to restore that margin of military safety that ensures +peace. Our country's uniform is being worn once again with pride. + +Together we have made a New Beginning, but we have only begun. + +No one pretends that the way ahead will be easy. In my Inaugural Address +last year, I warned that the "ills we suffer have come upon us over several +decades. They will not go away in days, weeks, or months, but they will go +away . . . because we as Americans have the capacity now, as we've had it +in the past, to do whatever needs to be done to preserve this last and +greatest bastion of freedom." ' + +The economy will face difficult moments in the months ahead. But the +program for economic recovery that is in place will pull the economy out of +its slump and put us on the road to prosperity and stable growth by the +latter half of this year. And that is why I can report to you tonight that +in the near future the state of the Union and the economy will be +better--much better--if we summon the strength to continue on the course +that we've charted. + +And so, the question: If the fundamentals are in place, what now? Well, two +things. First, we must understand what's happening at the moment to the +economy. Our current problems are not the product of the recovery program +that's only just now getting underway, as some would have you believe; they +are the inheritance of decades of tax and tax and spend and spend. + +Second, because our economic problems are deeply rooted and will not +respond to quick political fixes, we must stick to our carefully integrated +plan for recovery. That plan is based on four commonsense fundamentals: +continued reduction of the growth in Federal spending; preserving the +individual and business tax reductions that will stimulate saving and +investment; removing unnecessary Federal regulations to spark productivity; +and maintaining a healthy dollar and a stable monetary policy, the latter a +responsibility of the Federal Reserve System. + +The only alternative being offered to this economic program is a return to +the policies that gave us a trillion-dollar debt, runaway inflation, +runaway interest rates and unemployment. The doubters would have us turn +back the clock with tax increases that would offset the personal tax rate +reductions already passed by this Congress. Raise present taxes to cut +future deficits, they tell us. Well, I don't believe we should buy that +argument. + +There are too many imponderables for anyone to predict deficits or +surpluses several years ahead with any degree of accuracy. The budget in +place, when I took office, had been projected as balanced. It turned out to +have one of the biggest deficits in history. Another example of the +imponderables that can make deficit projections highly questionable--a +change of only one percentage point in unemployment can alter a deficit up +or down by some $25 billion. + +As it now stands, our forecast, which we're required by law to make, will +show major deficits starting at less than a hundred billion dollars and +declining, but still too high. More important, we're making progress with +the three keys to reducing deficits: economic growth, lower interest rates, +and spending control. The policies we have in place will reduce the deficit +steadily, surely, and in time, completely. + +Higher taxes would not mean lower deficits. If they did, how would we +explain that tax revenues more than doubled just since 1976; yet in that +same 6-year period we ran the largest series of deficits in our history. In +1980 tax revenues increased by $54 billion, and in 1980 we had one of our +all-time biggest deficits. Raising taxes won't balance the budget; it will +encourage more government spending and less private investment. Raising +taxes will slow economic growth, reduce production, and destroy future +jobs, making it more difficult for those without jobs to find them and more +likely that those who now have jobs could lose them. So, I will not ask you +to try to balance the budget on the backs of the American taxpayers. + +I will seek no tax increases this year, and I have no intention of +retreating from our basic program of tax relief. I promise to bring the +American people--to bring their tax rates down and to keep them down, to +provide them incentives to rebuild our economy, to save, to invest in +America's future. I will stand by my word. Tonight I'm urging the American +people: Seize these new opportunities to produce, to save, to invest, and +together we'll make this economy a mighty engine of freedom, hope, and +prosperity again. + +Now, the budget deficit this year will exceed our earlier expectations. The +recession did that. It lowered revenues and increased costs. To some +extent, we're also victims of our own success. We've brought inflation down +faster than we thought we could, and in doing this, we've deprived +government of those hidden revenues that occur when inflation pushes people +into higher income tax brackets. And the continued high interest rates last +year cost the government about $5 billion more than anticipated. + +We must cut out more nonessential government spending and rout out more +waste, and we will continue our efforts to reduce the number of employees +in the Federal work force by 75,000. + +The budget plan I submit to you on February 8th will realize major savings +by dismantling the Departments of Energy and Education and by eliminating +ineffective subsidies for business. We'll continue to redirect our +resources to our two highest budget priorities--a strong national defense +to keep America free and at peace and a reliable safety net of social +programs for those who have contributed and those who are in need. + +Contrary to some of the wild charges you may have heard, this +administration has not and will not turn its back on America's elderly or +America's poor. Under the new budget, funding for social insurance programs +will be more than double the amount spent only 6 years ago. But it would be +foolish to pretend that these or any programs cannot be made more efficient +and economical. + +The entitlement programs that make up our safety net for the truly needy +have worthy goals and many deserving recipients. We will protect them. But +there's only one way to see to it that these programs really help those +whom they were designed to help. And that is to bring their spiraling costs +under control. + +Today we face the absurd situation of a Federal budget with three-quarters +of its expenditures routinely referred to as "uncontrollable." And a large +part of this goes to entitlement programs. + +Committee after committee of this Congress has heard witness after witness +describe many of these programs as poorly administered and rife with waste +and fraud. Virtually every American who shops in a local supermarket is +aware of the daily abuses that take place in the food stamp program, which +has grown by 16,000 percent in the last 15 years. Another example is +Medicare and Medicaid--programs with worthy goals but whose costs have +increased from 11.2 billion to almost 60 billion, more than 5 times as +much, in just 10 years. + +Waste and fraud are serious problems. Back in 1980 Federal investigators +testified before one of your committees that "corruption has permeated +virtually every area of the Medicare and Medicaid health care industry." +One official said many of the people who are cheating the system were "very +confident that nothing was going to happen to them." Well, something is +going to happen. Not only the taxpayers are defrauded; the people with real +dependency on these programs are deprived of what they need, because +available resources are going not to the needy, but to the greedy. + +The time has come to control the uncontrollable. In August we made a start. +I signed a bill to reduce the growth of these programs by $44 billion over +the next 3 years while at the same time preserving essential services for +the truly needy. Shortly you will receive from me a message on further +reforms we intend to install--some new, but others long recommended by your +own congressional committees. I ask you to help make these savings for the +American taxpayer. + +The savings we propose in entitlement programs will total some $63 billion +over 4 Years and will, without affecting social t security, go a long way +toward bringing Federal spending under control. + +But don't be fooled by those who proclaim that spending cuts will deprive +the elderly, the needy, and the helpless. The. Federal Government will +still subsidize 95 million meals every day. That's one out of seven of all +the meals served in America. Head Start, senior nutrition programs, and +child welfare programs will not be cut from the levels we proposed last +year. More than one-half billion dollars has been proposed for minority +business assistance. And research at the National Institute of Health will +be increased by over $100 million. While meeting all these needs, we intend +to plug unwarranted tax loopholes and strengthen the law which requires all +large corporations to pay a minimum tax. + +I am confident the economic program we've put into operation will protect +the needy while it triggers a recovery that will benefit all Americans. It +will stimulate the economy, result in increased savings and provide capital +for expansion, mortgages for homebuilding, and jobs for the unemployed. + +Now that the essentials of that program are in place, our next major +undertaking must be a program--just as bold, just as innovative--to make +government again accountable to the people, to make our system of +federalism work again. + +Our citizens feel they've lost control of even the most basic decisions +made about the essential services of government, such as schools, welfare, +roads, and even garbage collection. And they're right. A maze of +interlocking jurisdictions and levels of government confronts average +citizens in trying to solve even the simplest of problems. They don't know +where to turn for answers, who to hold accountable, who to praise, who to +blame, who to vote for or against. The main reason for this is the +overpowering growth of Federal grants-in-aid programs during the past few +decades. + +In 1960 the Federal Government had 132 categorical grant programs, costing +$7 billion. When I took office, there were approximately 500, costing +nearly a hundred billion dollars--13 programs for energy, 36 for pollution +control, 66 for social services, 90 for education. And here in the +Congress, it takes at least 166 committees just to try to keep track of +them. + +You know and I know that neither the President nor the Congress can +properly oversee this jungle of grants-in-aid; indeed, the growth of these +grants has led to the distortion in the vital functions of government. As +one Democratic Governor put it recently: The National Government should be +worrying about "arms control, not potholes." + +The growth in these Federal programs has--in the words of one +intergovernmental commission--made the Federal Government "more pervasive, +more intrusive, more unmanageable, more ineffective and costly, and above +all, more (un) accountable." Let's solve this problem with a single, bold +stroke: the return of some $47 billion in Federal programs to State and +local government, together with the means to finance them and a transition +period of nearly 10 years to avoid unnecessary disruption. + +I will shortly send this Congress a message describing this program. I want +to emphasize, however, that its full details will have been worked out only +after close consultation with congressional, State, and local officials. + +Starting in fiscal 1984, the Federal Government will assume full +responsibility for the cost of the rapidly growing Medicaid program to go +along with its existing responsibility for Medicare. As part of a +financially equal swap, the States will simultaneously take full +responsibility for Aid to Families with Dependent Children and food stamps. +This will make welfare less costly and more responsive to genuine need, +because it'll be designed and administered closer to the grass roots and +the people it serves. + +In 1984 the Federal Government will apply the full proceeds from certain +excise taxes to a grass roots trust fund that will belong in fair shares to +the 50 States. The total amount flowing into this fund will be $28 billion +a year. Over the next 4 years the States can use this money in either of +two ways. If they want to continue receiving Federal grants in such areas +as transportation, education, and social services, they can use their trust +fund money to pay for the grants. Or to the extent they choose to forgo the +Federal grant programs, they can use their trust fund money on their own +for those or other purposes. There will be a mandatory pass-through of part +of these funds to local governments. + +By 1988 the States will be in complete control of over 40 Federal grant +programs. The trust fund will start to phase out, eventually to disappear, +and the excise taxes will be turned over to the States. They can then +preserve, lower, or raise taxes on their own and fund and manage these +programs as they see fit. + +In a single stroke we will be accomplishing a realignment that will end +cumbersome administration and spiraling costs at the Federal level while we +ensure these programs will be more responsive to both the people they're +meant to help and the people who pay for them. + +Hand in hand with this program to strengthen the discretion and flexibility +of State and local governments, we're proposing legislation for an +experimental effort to improve and develop our depressed urban areas in the +1980's and '90's. This legislation will permit States and localities to +apply to the Federal Government for designation as urban enterprise zones. +A broad range of special economic incentives in the zones will help attract +new business, new jobs, new opportunity to America's inner cities and rural +towns. Some will say our mission is to save free enterprise. Well, I say we +must free enterprise so that together we can save America. + +Some will also say our States and local communities are not up to the +challenge of a new and creative partnership. Well, that might have been +true 20 years ago before reforms like reapportionment and the Voting Rights +Act, the 10-year extension of which I strongly support. It's no longer true +today. This administration has faith in State and local governments and the +constitutional balance envisioned by the Founding Fathers. We also believe +in the integrity, decency, and sound, good sense of grass roots Americans. + +Our faith in the American people is reflected in another major endeavor. +Our private sector initiatives task force is seeking out successful +community models of school, church, business, union, foundation, and civic +programs that help community needs. Such groups are almost invariably far +more efficient than government in running social programs. + +We're not asking them to replace discarded and often discredited government +programs dollar for dollar, service for service. We just want to help them +perform the good works they choose and help others to profit by their +example. Three hundred and eighty-five thousand corporations and private +organizations are already working on social programs ranging from drug +rehabilitation to job training, and thousands more Americans have written +us asking how they can help. The volunteer spirit is still alive and well +in America. + +Our nation's long journey towards civil rights for all our citizens---once +a source of discord, now a source of pride--must continue with no +backsliding or slowing down. We must and shall see that those basic laws +that guarantee equal rights are preserved and, when necessary, +strengthened. + +Our concern for equal rights for women is firm and unshakable. We launched +a new Task Force on Legal Equity for Women and a Fifty States Project that +will examine State laws for discriminatory language. And for the first time +in our history, a woman sits on the highest court in the land. + +So, too, the problem of crime--one as real and deadly serious as any in +America today. It demands that we seek transformation of our legal system, +which overly protects the rights of criminals while it leaves society and +the innocent victims of crime without justice. + +We look forward to the enactment of a responsible clean air act to increase +jobs while continuing to improve the quality of our air. We're encouraged +by the bipartisan initiative of the House and are hopeful of further +progress as the Senate continues its deliberations. + +So far, I've concentrated largely, now, on domestic matters. To view the +state of the Union in perspective, we must not ignore the rest of the +world. There isn't time tonight for a lengthy treatment of social--or +foreign policy, I should say, a subject I intend to address in detail in +the near future. A few words, however, are in order on the progress we've +made over the past year, reestablishing respect for our nation around the +globe and some of the challenges and goals that we will approach in the +year ahead. + +At Ottawa and Cancun, I met with leaders of the major industrial powers and +developing nations. Now, some of those I met with were a little surprised +that I didn't apologize for America's wealth. Instead, I spoke of the +strength of the free marketplace system and how that system could help them +realize their aspirations for economic development and political freedom. I +believe lasting friendships were made, and the foundation was laid for +future cooperation. + +In the vital region of the Caribbean Basin, we're developing a program of +aid, trade, and investment incentives to promote self-sustaining growth and +a better, more secure life for our neighbors to the south. Toward those who +would export terrorism and subversion in the Caribbean and elsewhere, +especially Cuba and Libya, we will act with firmness. + +Our foreign policy is a policy of strength, fairness, and balance. By +restoring America's military credibility, by pursuing peace at the +negotiating table wherever both sides are willing to sit down in good +faith, and by regaining the respect of America's allies and adversaries +alike, we have strengthened our country's position as a force for peace and +progress in the world. + +When action is called for, we're taking it. Our sanctions against the +military dictatorship that has attempted to crush human rights in +Poland--and against the Soviet regime behind that military +dictatorship-clearly demonstrated to the world that America will not +conduct "business as usual" with the forces of oppression. If the events in +Poland continue to deteriorate, further measures will follow. + +Now, let me also note that private American groups have taken the lead in +making January 30th a day of solidarity with the people of Poland. So, too, +the European Parliament has called for March 21st to be an international +day of support for Afghanistan. Well, I urge all peace-loving peoples to +join together on those days, to raise their voices, to speak and pray for +freedom. + +Meanwhile, we're working for reduction of arms and military activities, as +I announced in my address to the Nation last November 18th. We have +proposed to the Soviet Union a far-reaching agenda for mutual reduction of +military forces and have already initiated negotiations with them in Geneva +on intermediate-range nuclear forces. In those talks it is essential that +we negotiate from a position of strength. There must be a real incentive +for the Soviets to take these talks seriously. This requires that we +rebuild our defenses. + +In the last decade, while we sought the moderation of Soviet power through +a process of restraint and accommodation, the Soviets engaged in an +unrelenting buildup of their military forces. The protection of our +national security has required that we undertake a substantial program to +enhance our military forces. + +We have not neglected to strengthen our traditional alliances in Europe and +Asia, or to develop key relationships with our partners in the Middle East +and other countries. Building a more peaceful world requires a sound +strategy and the national resolve to back it up. When radical forces +threaten our friends, when economic misfortune creates conditions of +instability, when strategically vital parts of the world fall under the +shadow of Soviet power, our response can make the difference between +peaceful change or disorder and violence. That's why we've laid such stress +not only on our own defense but on our vital foreign assistance program. +Your recent passage of the Foreign Assistance Act sent a signal to the +world that America will not shrink from making the investments necessary +for both peace and security. Our foreign policy must be rooted in realism, +not naivete or self-delusion. + +A recognition of what the Soviet empire is about is the starting point. +Winston Churchill, in negotiating with the Soviets, observed that they +respect only strength and resolve in their dealings with other nations. +That's why we've moved to reconstruct our national defenses. We intend to +keep the peace. We will also keep our freedom. + +We have made pledges of a new frankness in our public statements and +worldwide broadcasts. In the face of a climate of falsehood and +misinformation, we've promised the world a season of truth--the truth of +our great civilized ideas: individual liberty, representative government, +the rule of law under God. We've never needed walls or minefields or barbed +wire to keep our people in. Nor do we declare martial law to keep our +people from voting for the kind of government they want. + +Yes, we have our problems; yes, we're in a time of recession. And it's +true, there's no quick fix, as I said, to instantly end the tragic pain of +unemployment. But we will end it. The process has already begun, and we'll +see its effect as the year goes on. + +We speak with pride and admiration of that little band of Americans who +overcame insuperable odds to set this nation on course 200 years ago. But +our glory didn't end with them. Americans ever since have emulated their +deeds. + +We don't have to turn to our history books for heroes. They're all around +us. One who sits among you here tonight epitomized that heroism at the end +of the longest imprisonment ever inflicted on men of our Armed Forces. Who +will ever forget that night when we waited for television to bring us the +scene of that first plane landing at Clark Field in the Philippines, +bringing our POW's home? The plane door opened and Jeremiah Denton came +slowly down the ramp. He caught sight of our flag, saluted it, said, "God +bless America," and then thanked us for bringing him home. + +Just 2 weeks ago, in the midst of a terrible tragedy on the Potomac, we saw +again the spirit of American heroism at its finest--the heroism of +dedicated rescue workers saving crash victims from icy waters. And we saw +the heroism of one of our young government employees, Lenny Skutnik, who, +when he saw a woman lose her grip on the helicopter line, dived into the +water and dragged her to safety. + +And then there are countless, quiet, everyday heroes of American who +sacrifice long and hard so their children will know a better life than +they've known; church and civic volunteers who help to feed, clothe, nurse, +and teach the needy; millions who've made our nation and our nation's +destiny so very special-unsung heroes who may not have realized their own +dreams themselves but then who reinvest those dreams in their children. +Don't let anyone tell you that America's best days are behind her, that the +American spirit has been vanquished. We've seen it triumph too often in our +lives to stop believing in it now. + +A hundred and twenty years ago, the greatest of all our Presidents +delivered his second State of the Union message in this Chamber. "We cannot +escape history," Abraham Lincoln warned. "We of this Congress and this +administration will be remembered in spite of ourselves." The "trial +through which we pass will light us down, in honor or dishonor, to the +latest (last) generation." + +Well, that President and that Congress did not fail the American people. +Together they weathered the storm and preserved the Union. Let it be said +of us that we, too, did not fail; that we, too, worked together to bring +America through difficult times. Let us so conduct ourselves that two +centuries from now, another Congress and another President, meeting in this +Chamber as we are meeting, will speak of us with pride, saying that we met +the test and preserved for them in their day the sacred flame of +liberty--this last, best hope of man on Earth. + +God bless you, and thank you. NOTE: The President spoke at 9 p.m. in the +House Chamber at the Capitol. He was introduced by Thomas P. O'Neill, Jr., +Speaker of the House of Representatives. The address was broadcast live on +nationwide radio and television. + +*** + +State of the Union Address +Ronald Reagan +January 25, 1983 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +This solemn occasion marks the 196th time that a President of the United +States has reported on the State of the Union since George Washington first +did so in 1790. That's a lot of reports, but there's no shortage of new +things to say about the State of the Union. The very key to our success has +been our ability, foremost among nations, to preserve our lasting values by +making change work for us rather than against us. + +I would like to talk with you this evening about what we can do +together--not as Republicans and Democrats, but as Americans-to make +tomorrow's America happy and prosperous at home, strong and respected +abroad, and at peace in the world. + +As we gather here tonight, the state of our Union is strong, but our +economy is troubled. For too many of our fellow citizens-farmers, steel and +auto workers, lumbermen, black teenagers, working mothers-this is a painful +period. We must all do everything in our power to bring their ordeal to an +end. It has fallen to us, in our time, to undo damage that was a long time +in the making, and to begin the hard but necessary task of building a +better future for ourselves and our children. + +We have a long way to go, but thanks to the courage, patience, and strength +of our people, America is on the mend. + +But let me give you just one important reason why I believe this--it +involves many members of this body. + +Just 10 days ago, after months of debate and deadlock, the bipartisan +Commission on Social Security accomplished the seemingly impossible. Social +security, as some of us had warned for so long, faced disaster. I, myself, +have been talking about this problem for almost 30 years. As 1983 began, +the system stood on the brink of bankruptcy, a double victim of our +economic ills. First, a decade of rampant inflation drained its reserves as +we tried to protect beneficiaries from the spiraling cost of living. Then +the recession and the sudden end of inflation withered the expanding wage +base and increasing revenues the system needs to support the 36 million +Americans who depend on it. + +When the Speaker of the House, the Senate majority leader, and I performed +the bipartisan--or formed the bipartisan Commission on Social Security, +pundits and experts predicted that party divisions and conflicting +interests would prevent the Commission from agreeing on a plan to save +social security. Well, sometimes, even here in Washington, the cynics are +wrong. Through compromise and cooperation, the members of the Commission +overcame their differences and achieved a fair, workable plan. They proved +that, when it comes to the national welfare, Americans can still pull +together for the common good. + +Tonight, I'm especially pleased to join with the Speaker and the Senate +majority leader in urging the Congress to enact this plan by Easter. + +There are elements in it, of course, that none of us prefers, but taken +together it performs a package that all of us can support. It asks for some +sacrifice by all--the self-employed, beneficiaries, workers, government +employees, and the better-off among the retired--but it imposes an undue +burden on none. And, in supporting it, we keep an important pledge to the +American people: The integrity of the social security system will be +preserved, and no one's payments will be reduced. + +The Commission's plan will do the job; indeed, it must do the job. We owe +it to today's older Americans and today's younger workers. So, before we go +any further, I ask you to join with me in saluting the members of the +Commission who are here tonight and Senate Majority Leader Howard Baker and +Speaker Tip O'Neill for a job well done. I hope and pray the bipartisan +spirit that guided you in this endeavor will inspire all of us as we face +the challenges of the year ahead. + +Nearly half a century ago, in this Chamber, another American President, +Franklin Delano Roosevelt, in his second State of the Union message, urged +America to look to the future, to meet the challenge of change and the need +for leadership that looks forward, not backward. + +"Throughout the world," he said, "change is the order of the day. In every +nation economic problems long in the making have brought crises to (of) +many kinds for which the masters of old practice and theory were +unprepared." He also reminded us that "the future lies with those wise +political leaders who realize that the great public is interested more in +Government than in politics." + +So, let us, in these next 2 years--men and women of both parties, every +political shade--concentrate on the long-range, bipartisan responsibilities +of government, not the short-range or short-term temptations of partisan +politics. + +The problems we inherited were far worse than most inside and out of +government had expected; the recession was deeper than most inside and out +of government had predicted. Curing those problems has taken more time and +a higher toll than any of us wanted. Unemployment is far too high. +Projected Federal spending--if government refuses to tighten its own +belt-will also be far too high and could weaken and shorten the economic +recovery now underway. + +This recovery will bring with it a revival of economic confidence and +spending for consumer items and capital goods--the stimulus we need to +restart our stalled economic engines. The American people have already +stepped up their rate of saving, assuring that the funds needed to +modernize our factories and improve our technology will once again flow to +business and industry. + +The inflationary expectations that led to a 21 1/2-percent interest prime +rate and soaring mortgage rates 2 years ago are now reduced by almost half. +Leaders have started to realize that double-digit inflation is no longer a +way of life. I misspoke there. I should have said "lenders." + +So, interest rates have tumbled, paving the way for recovery in vital +industries like housing and autos. + +The early evidence of that recovery has started coming in. Housing starts +for the fourth quarter of 1982 were up 45 percent from a year ago, and +housing permits, a sure indicator of future growth, were up a whopping 60 +percent. + +We're witnessing an upsurge of productivity and impressive evidence that +American industry will once again become competitive in markets at home and +abroad, ensuring more jobs and better incomes for the Nation's work force. +But our confidence must also be tempered by realism and patience. Quick +fixes and artificial stimulants repeatedly applied over decades are what +brought us the inflationary disorders that we've now paid such a heavy +price to cure. + +The permanent recovery in employment, production, and investment we seek +won't come in a sharp, short spurt. It'll build carefully and steadily in +the months and years ahead. In the meantime, the challenge of government is +to identify the things that we can do now to ease the massive economic +transition for the American people. + +The Federal budget is both a symptom and a cause of our economic problems. +Unless we reduce the dangerous growth rate in government spending, we could +face the prospect of sluggish economic growth into the indefinite future. +Failure to cope with this problem now could mean as much as a trillion +dollars more in national debt in the next 4 years alone. That would average +$4,300 in additional debt for every man, woman, child, and baby in our +nation. + +To assure a sustained recovery, we must continue getting runaway spending +under control to bring those deficits down. If we don't, the recovery will +be too short, unemployment will remain too high, and we will leave an +unconscionable burden of national debt for our children. That we must not +do. + +Let's be clear about where the deficit problem comes from. Contrary to the +drumbeat we've been hearing for the last few months, the deficits we face +are not rooted in defense spending. Taken as a percentage of the gross +national product, our defense spending happens to be only about four-fifths +of what it was in 1970. Nor is the deficit, as some would have it, rooted +in tax cuts. Even with our tax cuts, taxes as a fraction of gross national +product remain about the same as they were in 1970. The fact is, our +deficits come from the uncontrolled growth of the budget for domestic +spending. + +During the 1970's, the share of our national income devoted to this +domestic spending increased by more than 60 percent, from 10 cents out of +every dollar produced by the American people to 16 cents. In spite of all +our economies and efficiencies, and without adding any new programs, basic, +necessary domestic spending provided for in this year's budget will grow to +almost a trillion dollars over the next 5 years. + +The deficit problem is a clear and present danger to the basic health of +our Republic. We need a plan to overcome this danger--a plan based on these +principles. It must be bipartisan. Conquering the deficits and putting the +Government's house in order will require the best effort of all of us. It +must be fair. Just as all will share in the benefits that will come from +recovery, all would share fairly in the burden of transition. It must be +prudent. The strength of our national defense must be restored so that we +can pursue prosperity and peace and freedom while maintaining our +commitment to the truly needy. And finally, it must be realistic. We can't +rely on hope alone. + +With these guiding principles in mind, let me outline a four-part plan to +increase economic growth and reduce deficits. + +First, in my budget message, I will recommend a Federal spending freeze. I +know this is strong medicine, but so far, we have only cut the rate of +increase in Federal spending. The Government has continued to spend more +money each year, though not as much more as it did in the past. Taken as a +whole, the budget I'm proposing for the fiscal year will increase no more +than the rate of inflation. In other words, the Federal Government will +hold the line on real spending. Now, that's far less than many American +families have had to do in these difficult times. + +I will request that the proposed 6-month freeze in cost-of-living +adjustments recommended by the bipartisan Social Security Commission be +applied to other government-related retirement programs. I will, also, +propose a 1-year freeze on a broad range of domestic spending programs, and +for Federal civilian and military pay and pension programs. And let me say +right here, I'm sorry, with regard to the military, in asking that of them, +because for so many years they have been so far behind and so low in reward +for what the men and women in uniform are doing. But I'm sure they will +understand that this must be across the board and fair. + +Second, I will ask the Congress to adopt specific measures to control the +growth of the so-called uncontrollable spending programs. These are the +automatic spending programs, such as food stamps, that cannot be simply +frozen and that have grown by over 400 percent since 1970. They are the +largest single cause of the built-in or structural deficit problem. Our +standard here will be fairness, ensuring that the taxpayers' hard-earned +dollars go only to the truly needy; that none of them are turned away, but +that fraud and waste are stamped out. And I'm sorry to say, there's a lot +of it out there. In the food stamp program alone, last year, we identified +almost $1.1 billion in overpayments. The taxpayers aren't the only victims +of this kind of abuse. The truly needy suffer as funds intended for them +are taken not by the needy, but by the greedy. For everyone's sake, we must +put an end to such waste and corruption. + +Third, I will adjust our program to restore America's defenses by proposing +$55 billion in defense savings over the next 5 years. These are savings +recommended to me by the Secretary of Defense, who has assured me they can +be safely achieved and will not diminish our ability to negotiate arms +reductions or endanger America's security. We will not gamble with our +national survival. + +And fourth, because we must ensure reduction and eventual elimination of +deficits over the next several years, I will propose a standby tax, limited +to no more than 1 percent of the gross national product, to start in fiscal +1986. It would last no more than 3 years, and it would start only if the +Congress has first approved our spending freeze and budget control program. +And there are several other conditions also that must be met, all of them +in order for this program to be triggered. + +Now, you could say that this is an insurance policy for the future, a +remedy that will be at hand if needed but only resorted to if absolutely +necessary. In the meantime, we'll continue to study ways to simplify the +tax code and make it more fair for all Americans. This is a goal that every +American who's ever struggled with a tax form can understand. + +At the same time, however, I will oppose any efforts to undo the basic tax +reforms that we've already enacted, including the 10-percent tax break +coming to taxpayers this July and the tax indexing which will protect all +Americans from inflationary bracket creep in the years ahead. + +Now, I realize that this four-part plan is easier to describe than it will +be to enact. But the looming deficits that hang over us and over America's +future must be reduced. The path I've outlined is fair, balanced, and +realistic. If enacted, it will ensure a steady decline in deficits, aiming +toward a balanced budget by the end of the decade. It's the only path that +will lead to a strong, sustained recovery. Let us follow that path +together. + +No domestic challenge is more crucial than providing stable, permanent jobs +for all Americans who want to work. The recovery program will provide jobs +for most, but others will need special help and training for new skills. +Shortly, I will submit to the Congress the Employment Act of 1983, designed +to get at the special problems of the long-term unemployed, as well as +young people trying to enter the job market. I'll propose extending +unemployment benefits, including special incentives to employers who hire +the long-term unemployed, providing programs for displaced workers, and +helping federally funded and State-administered unemployment insurance +programs provide workers with training and relocation assistance. Finally, +our proposal will include new incentives for summer youth employment to +help young people get a start in the job market. + +We must offer both short-term help and long-term hope for our unemployed. I +hope we can work together on this. I hope we can work together as we did +last year in enacting the landmark Job Training Partnership Act. Regulatory +reform legislation, a responsible clean air act, and passage of enterprise +zone legislation will also create new incentives for jobs and opportunity. + +One of out of every five jobs in our country depends on trade. So, I will +propose a broader strategy in the field of international trade--one that +increases the openness of our trading system and is fairer to America's +farmers and workers in the world marketplace. We must have adequate export +financing to sell American products overseas. I will ask for new +negotiating authority to remove barriers and to get more of our products +into foreign markets. We must strengthen the organization of our trade +agencies and make changes in our domestic laws and international trade +policy to promote free trade and the increased flow of American goods, +services, and investments. + +Our trade position can also be improved by making our port system more +efficient. Better, more active harbors translate into stable jobs in our +coalfields, railroads, trucking industry, and ports. After 2 years of +debate, it's time for us to get together and enact a port modernization +bill. + +Education, training, and retraining are fundamental to our success as are +research and development and productivity. Labor, management, and +government at all levels can and must participate in improving these tools +of growth. Tax policy, regulatory practices, and government programs all +need constant reevaluation in terms of our competitiveness. Every American +has a role and a stake in international trade. + +We Americans are still the technological leaders in most fields. We must +keep that edge, and to do so we need to begin renewing the basics--starting +with our educational system. While we grew complacent, others have acted. +Japan, with a population only about half the size of ours, graduates from +its universities more engineers than we do. If a child doesn't receive +adequate math and science teaching by the age of 16, he or she has lost the +chance to be a scientist or an engineer. We must join together-parents, +teachers, grass roots groups, organized labor, and the business +community-to revitalize American education by setting a standard of +excellence. + +In 1983 we seek four major education goals: a quality education initiative +to encourage a substantial upgrading of math and science instruction +through block grants to the States; establishment of education savings +accounts that will give middle and lower-income families an incentive to +save for their children's college education and, at the same time, +encourage a real increase in savings for economic growth; passage of +tuition tax credits for parents who want to send their children to private +or religiously affiliated schools; a constitutional amendment to permit +voluntary school prayer. God should never have been expelled from America's +classrooms in the first place. + +Our commitment to fairness means that we must assure legal and economic +equity for women, and eliminate, once and for all, all traces of unjust +discrimination against women from the United States Code. We will not +tolerate wage discrimination based on sex, and we intend to strengthen +enforcement of child support laws to ensure that single parents, most of +whom are women, do not suffer unfair financial hardship. We will also take +action to remedy inequities in pensions. These initiatives will be joined +by others to continue our efforts to promote equity for women. + +Also in the area of fairness and equity, we will ask for extension of the +Civil Rights Commission, which is due to expire this year. The Commission +is an important part of the ongoing struggle for justice in America, and we +strongly support its reauthorization. Effective enforcement of our nation's +fair housing laws is also essential to ensuring equal opportunity. In the +year ahead, we'll work to strengthen enforcement of fair housing laws for +all Americans. + +The time has also come for major reform of our criminal justice statutes +and acceleration of the drive against organized crime and drug trafficking. +It's high time that we make our cities safe again. This administration +hereby declares an all-out war on big-time organized crime and the drug +racketeers who are poisoning our young people. We will also implement +recommendations of our Task Force on Victims of Crime, which will report to +me this week. + +American agriculture, the envy of the world, has become the victim of its +own successes. With one farmer now producing enough food to feed himself +and 77 other people, America is confronted with record surplus crops and +commodity prices below the cost of production. We must strive, through +innovations like the payment-in-kind crop swap approach and an aggressive +export policy, to restore health and vitality to rural America. Meanwhile, +I have instructed the Department of Agriculture to work individually with +farmers with debt problems to help them through these tough times. + +Over the past year, our Task Force on Private Sector Initiatives has +successfully forged a working partnership involving leaders of business, +labor, education, and government to address the training needs of American +workers. Thanks to the Task Force, private sector initiatives are now +underway in all 50 States of the Union, and thousands of working people +have been helped in making the shift from dead-end jobs and low-demand +skills to the growth areas of high technology and the service economy. +Additionally, a major effort will be focused on encouraging the expansion +of private community child care. The new advisory council on private sector +initiatives will carry on and extend this vital work of encouraging private +initiative in 1983. + +In the coming year, we will also act to improve the quality of life for +Americans by curbing the skyrocketing cost of health care that is becoming +an unbearable financial burden for so many. And we will submit legislation +to provide catastrophic illness insurance coverage for older Americans. + +I will also shortly submit a comprehensive federalism proposal that will +continue our efforts to restore to States and local governments their roles +as dynamic laboratories of change in a creative society. + +During the next several weeks, I will send to the Congress a series of +detailed proposals on these and other topics and look forward to working +with you on the development of these initiatives. + +So far, now, I've concentrated mainly on the problems posed by the future. +But in almost every home and workplace in America, we're already witnessing +reason for great hope--the first flowering of the manmade miracles of high +technology, a field pioneered and still led by our country. + +To many of us now, computers, silicon chips, data processing, cybernetics, +and all the other innovations of the dawning high technology age are as +mystifying as the workings of the combustion engine must have been when +that first Model T rattled down Main Street, U.S.A. But as surely as +America's pioneer spirit made us the industrial giant of the 20th century, +the same pioneer spirit today is opening up on another vast front of +opportunity, the frontier of high technology. + +In conquering the frontier we cannot write off our traditional industries, +but we must develop the skills and industries that will make us a pioneer +of tomorrow. This administration is committed to keeping America the +technological leader of the world now and into the 21st century. + +But let us turn briefly to the international arena. America's leadership in +the world came to us because of our own strength and because of the values +which guide us as a society: free elections, a free press, freedom of +religious choice, free trade unions, and above all, freedom for the +individual and rejection of the arbitrary power of the state. These values +are the bedrock of our strength. They unite us in a stewardship of peace +and freedom with our allies and friends in NATO, in Asia, in Latin America, +and elsewhere. They are also the values which in the recent past some among +us had begun to doubt and view with a cynical eye. + +Fortunately, we and our allies have rediscovered the strength of our common +democratic values, and we're applying them as a cornerstone of a +comprehensive strategy for peace with freedom. In London last year, I +announced the commitment of the United States to developing the +infrastructure of democracy throughout the world. We intend to pursue this +democratic initiative vigorously. The future belongs not to governments and +ideologies which oppress their peoples, but to democratic systems of +self-government which encourage individual initiative and guarantee +personal freedom. + +But our strategy for peace with freedom must also be based on +strength--economic strength and military strength. A strong American +economy is essential to the well-being and security of our friends and +allies. The restoration of a strong, healthy American economy has been and +remains one of the central pillars of our foreign policy. The progress I've +been able to report to you tonight will, I know, be as warmly welcomed by +the rest of the world as it is by the American people. + +We must also recognize that our own economic well-being is inextricably +linked to the world economy. We export over 20 percent of our industrial +production, and 40 percent of our farmland produces for export. We will +continue to work closely with the industrialized democracies of Europe and +Japan and with the International Monetary Fund to ensure it has adequate +resources to help bring the world economy back to strong, noninflationary +growth. + +As the leader of the West and as a country that has become great and rich +because of economic freedom, America must be an unrelenting advocate of +free trade. As some nations are tempted to turn to protectionism, our +strategy cannot be to follow them, but to lead the way toward freer trade. +To this end, in May of this year America will host an economic summit +meeting in Williamsburg, Virginia. + +As we begin our third year, we have put in place a defense program that +redeems the neglect of the past decade. We have developed a realistic +military strategy to deter threats to peace and to protect freedom if +deterrence fails. Our Armed Forces are finally properly paid; after years +of neglect are well trained and becoming better equipped and supplied. And +the American uniform is once again worn with pride. Most of the major +systems needed for modernizing our defenses are already underway, and we +will be addressing one key system, the MX missile, in consultation with the +Congress in a few months. + +America's foreign policy is once again based on bipartisanship, on realism, +strength, full partnership, in consultation with our allies, and +constructive negotiation with potential adversaries. From the Middle East +to southern Africa to Geneva, American diplomats are taking the initiative +to make peace and lower arms levels. We should be proud of our role as +peacemakers. + +In the Middle East last year, the United States played the major role in +ending the tragic fighting in Lebanon and negotiated the withdrawal of the +PLO from Beirut. + +Last September, I outlined principles to carry on the peace process begun +so promisingly at Camp David. All the people of the Middle East should know +that in the year ahead we will not flag in our efforts to build on that +foundation to bring them the blessings of peace. + +In Central America and the Caribbean Basin, we are likewise engaged in a +partnership for peace, prosperity, and democracy. Final passage of the +remaining portions of our Caribbean Basin Initiative, which passed the +House last year, is one of this administration's top legislative priorities +for 1983. + +The security and economic assistance policies of this administration in +Latin America and elsewhere are based on realism and represent a critical +investment in the future of the human race. This undertaking is a joint +responsibility of the executive and legislative branches, and I'm counting +on the cooperation and statesmanship of the Congress to help us meet this +essential foreign policy goal. + +At the heart of our strategy for peace is our relationship with the Soviet +Union. The past year saw a change in Soviet leadership. We're prepared for +a positive change in Soviet-American relations. But the Soviet Union must +show by deeds as well as words a sincere commitment to respect the rights +and sovereignty of the family of nations. Responsible members of the world +community do not threaten or invade their neighbors. And they restrain +their allies from aggression. + +For our part, we're vigorously pursuing arms reduction negotiations with +the Soviet Union. Supported by our allies, we've put forward draft +agreements proposing significant weapon reductions to equal and verifiable +lower levels. We insist on an equal balance of forces. And given the +overwhelming evidence of Soviet violations of international treaties +concerning chemical and biological weapons, we also insist that any +agreement we sign can and will be verifiable. + +In the case of intermediate-range nuclear forces, we have proposed the +complete elimination of the entire class of land-based missiles. We're also +prepared to carefully explore serious Soviet proposals. At the same time, +let me emphasize that allied steadfastness remains a key to achieving arms +reductions. + +With firmness and dedication, we'll continue to negotiate. Deep down, the +Soviets must know it's in their interest as well as ours to prevent a +wasteful arms race. And once they recognize our unshakable resolve to +maintain adequate deterrence, they will have every reason to join us in the +search for greater security and major arms reductions. When that moment +comes--and I'm confident that it will--we will have taken an important step +toward a more peaceful future for all the world's people. + +A very wise man, Bernard Baruch, once said that America has never forgotten +the nobler things that brought her into being and that light her path. Our +country is a special place, because we Americans have always been +sustained, through good times and bad, by a noble vision--a vision not only +of what the world around us is today but what we as a free people can make +it be tomorrow. + +We're realists; we solve our problems instead of ignoring them, no matter +how loud the chorus of despair around us. But we're also idealists, for it +was an ideal that brought our ancestors to these shores from every corner +of the world. + +Right now we need both realism and idealism. Millions of our neighbors are +without work. It is up to us to see they aren't without hope. This is a +task for all of us. And may I say, Americans have rallied to this cause, +proving once again that we are the most generous people on Earth. + +We who are in government must take the lead in restoring the economy. And +here all that time, I thought you were reading the paper. + +The single thing--the single thing that can start the wheels of industry +turning again is further reduction of interest rates. Just another 1 or 2 +points can mean tens of thousands of jobs. + +Right now, with inflation as low as it is, 3.9 percent, there is room for +interest rates to come down. Only fear prevents their reduction. A lender, +as we know, must charge an interest rate that recovers the depreciated +value of the dollars loaned. And that depreciation is, of course, the +amount of inflation. Today, interest rates are based on fear--fear that +government will resort to measures, as it has in the past, that will send +inflation zooming again. + +We who serve here in this Capital must erase that fear by making it +absolutely clear that we will not stop fighting inflation; that, together, +we will do only those things that will lead to lasting economic growth. + +Yes, the problems confronting us are large and forbidding. And, certainly, +no one can or should minimize the plight of millions of our friends and +neighbors who are living in the bleak emptiness of unemployment. But we +must and can give them good reason to be hopeful. + +Back over the years, citizens like ourselves have gathered within these +walls when our nation was threatened; sometimes when its very existence was +at stake. Always with courage and common sense, they met the crises of +their time and lived to see a stronger, better, and more prosperous +country. The present situation is no worse and, in fact, is not as bad as +some of those they faced. Time and again, they proved that there is nothing +we Americans cannot achieve as free men and women. + +Yes, we still have problems--plenty of them. But it's just plain +wrong--unjust to our country and unjust to our people--to let those +problems stand in the way of the most important truth of all: America is on +the mend. + +We owe it to the unfortunate to be aware of their plight and to help them +in every way we can. No one can quarrel with that. We must and do have +compassion for all the victims of this economic crisis. But the big story +about America today is the way that millions of confident, caring +people-those extraordinary "ordinary" Americans who never make the +headlines and will never be interviewed--are laying the foundation, not +just for recovery from our present problems but for a better tomorrow for +all our people. + +From coast to coast, on the job and in classrooms and laboratories, at new +construction sites and in churches and community groups, neighbors are +helping neighbors. And they've already begun the building, the research, +the work, and the giving that will make our country great again. + +I believe this, because I believe in them-in the strength of their hearts +and minds, in the commitment that each one of them brings to their daily +lives, be they high or humble. The challenge for us in government is to be +worthy of them--to make government a help, not a hindrance to our people in +the challenging but promising days ahead. + +If we do that, if we care what our children and our children's children +will say of us, if we want them one day to be thankful for what we did here +in these temples of freedom, we will work together to make America better +for our having been here-not just in this year or this decade but in the +next century and beyond. + +Thank you, and God bless you. NOTE: The President spoke at 9:03 p.m. in the +House Chamber of the Capitol. He was introduced by Thomas P. O'Neill, Jr., +Speaker of the House of Representatives. The address was broadcast live on +nationwide radio and television. + +*** + +State of the Union Address +Ronald Reagan +January 25, 1984 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +Once again, in keeping with time-honored tradition, I have come to report +to you on the state of the Union, and I'm pleased to report that America is +much improved, and there's good reason to believe that improvement will +continue through the days to come. + +You and I have had some honest and open differences in the year past. But +they didn't keep us from joining hands in bipartisan cooperation to stop a +long decline that had drained this nation's spirit and eroded its health. +There is renewed energy and optimism throughout the land. America is back, +standing tall, looking to the eighties with courage, confidence, and hope. + +The problems we're overcoming are not the heritage of one person, party, or +even one generation. It's just the tendency of government to grow, for +practices and programs to become the nearest thing to eternal life we'll +ever see on this Earth. And there's always that well-intentioned chorus of +voices saying, "With a little more power and a little more money, we could +do so much for the people." For a time we forgot the American dream isn't +one of making government bigger; it's keeping faith with the mighty spirit +of free people under God. + +As we came to the decade of the eighties, we faced the worst crisis in our +postwar history. In the seventies were years of rising problems and falling +confidence. There was a feeling government had grown beyond the consent of +the governed. Families felt helpless in the face of mounting inflation and +the indignity of taxes that reduced reward for hard work, thrift, and +risktaking. All this was overlaid by an evergrowing web of rules and +regulations. + +On the international scene, we had an uncomfortable feeling that we'd lost +the respect of friend and foe. Some questioned whether we had the will to +defend peace and freedom. But America is too great for small dreams. There +was a hunger in the land for a spiritual revival; if you will, a crusade +for renewal. The American people said: Let us look to the future with +confidence, both at home and abroad. Let us give freedom a chance. + +Americans were ready to make a new beginning, and together we have done it. +We're confronting our problems one by one. Hope is alive tonight for +millions of young families and senior citizens set free from unfair tax +increases and crushing inflation. Inflation has been beaten down from 12.4 +to 3.2 percent, and that's a great victory for all the people. The prime +rate has been cut almost in half, and we must work together to bring it +down even more. + +Together, we passed the first across-the-board tax reduction for everyone +since the Kennedy tax cuts. Next year, tax rates will be indexed so +inflation can't push people into higher brackets when they get +cost-of-living pay raises. Government must never again use inflation to +profit at the people's expense. + +Today a working family earning $25,000 has $1,100 more in purchasing power +than if tax and inflation rates were still at the 1980 levels. Real +after-tax income increased 5 percent last year. And economic deregulation +of key industries like transportation has offered more chances---or +choices, I should say, to consumers and new changes---or chances for +entrepreneurs and protecting safety. Tonight, we can report and be proud of +one of the best recoveries in decades. Send away the handwringers and the +doubting Thomases. Hope is reborn for couples dreaming of owning homes and +for risktakers with vision to create tomorrow's opportunities. + +The spirit of enterprise is sparked by the sunrise industries of high-tech +and by small business people with big ideas--people like Barbara Proctor, +who rose from a ghetto to build a multimillion-dollar advertising agency in +Chicago; Carlos Perez, a Cuban refugee, who turned $27 and a dream into a +successful importing business in Coral Gables, Florida. + +People like these are heroes for the eighties. They helped 4 million +Americans find jobs in 1983. More people are drawing paychecks tonight than +ever before. And Congress helps--or progress helps everyone-well, Congress +does too----everyone. In 1983 women filled 73 percent of all the new jobs +in managerial, professional, and technical fields. + +But we know that many of our fellow countrymen are still out of work, +wondering what will come of their hopes and dreams. Can we love America and +not reach out to tell them: You are not forgotten; we will not rest until +each of you can reach as high as your God-given talents will take you. + +The heart of America is strong; it's good and true. The cynics were wrong; +America never was a sick society. We're seeing rededication to bedrock +values of faith, family, work, neighborhood, peace, and freedom--values +that help bring us together as one people, from the youngest child to the +most senior citizen. + +The Congress deserves America's thanks for helping us restore pride and +credibility to our military. And I hope that you're as proud as I am of the +young men and women in uniform who have volunteered to man the ramparts in +defense of freedom and whose dedication, valor, and skill increases so much +our chance of living in a world at peace. + +People everywhere hunger for peace and a better life. The tide of the +future is a freedom tide, and our struggle for democracy cannot and will +not be denied. This nation champions peace that enshrines liberty, +democratic rights, and dignity for every individual. America's new +strength, confidence, and purpose are carrying hope and opportunity far +from our shores. A world economic recovery is underway. It began here. + +We've journeyed far, but we have much farther to go. Franklin Roosevelt +told us 50 years ago this month: "Civilization can not go back; +civilization must not stand still. We have undertaken new methods. It is +our task to perfect, to improve, to alter when necessary, but in all cases +to go forward." + +It's time to move forward again, time for America to take freedom's next +step. Let us unite tonight behind four great goals to keep America free, +secure, and at peace in the eighties together. + +We can ensure steady economic growth. We can develop America's next +frontier. We can strengthen our traditional values. And we can build a +meaningful peace to protect our loved ones and this shining star of faith +that has guided millions from tyranny to the safe harbor of freedom, +progress, and hope. + +Doing these things will open wider the gates of opportunity, provide +greater security for all, with no barriers of bigotry or discrimination. + +The key to a dynamic decade is vigorous economic growth, our first great +goal. We might well begin with common sense in Federal budgeting: +government spending no more than government takes in. + +We must bring Federal deficits down. But how we do that makes all the +difference. + +We can begin by limiting the size and scope of government. Under the +leadership of Vice President Bush, we have reduced the growth of Federal +regulations by more than 25 percent and cut well over 300 million hours of +government-required paperwork each year. This will save the public more +than $150 billion over the next 10 years. + +The Grace commission has given us some 2,500 recommendations for reducing +wasteful spending, and they're being examined throughout the +administration. Federal spending growth has been cut from 17.4 percent in +1980 to less than half of that today, and we have already achieved over +$300 billion in budget savings for the period of 1982 to '86. But that's +only a little more than half of what we sought. Government is still +spending too large a percentage of the total economy. + +Now, some insist that any further budget savings must be obtained by +reducing the portion spent on defense. This ignores the fact that national +defense is solely the responsibility of the Federal Government; indeed, it +is its prime responsibility. And yet defense spending is less than a third +of the total budget. During the years of President Kennedy and of the years +before that, defense was almost half the total budget. And then came +several years in which our military capability was allowed to deteriorate +to a very dangerous degree. We are just now restoring, through the +essential modernization of our conventional and strategic forces, our +capability to meet our present and future security needs. We dare not shirk +our responsibility to keep America free, secure, and at peace. + +The last decade saw domestic spending surge literally out of control. But +the basis for such spending had been laid in previous years. A pattern of +overspending has been in place for half a century. As the national debt +grew, we were told not to worry, that we owed it to ourselves. + +Now we know that deficits are a cause for worry. But there's a difference +of opinion as to whether taxes should be increased, spending cut, or some +of both. Fear is expressed that government borrowing to fund the deficit +could inhibit the economic recovery by taking capital needed for business +and industrial expansion. Well, I think that debate is missing an important +point. Whether government borrows or increases taxes, it will be taking the +same amount of money from the private sector, and, either way, that's too +much. Simple fairness dictates that government must not raise taxes on +families struggling to pay their bills. The root of the problem is that +government's share is more than we can afford if we're to have a sound +economy. + +We must bring down the deficits to ensure continued economic growth. In the +budget that I will submit on February 1st, I will recommend measures that +will reduce the deficit over the next 5 years. Many of these will be +unfinished business from last year's budget. + +Some could be enacted quickly if we could join in a serious effort to +address this problem. I spoke today with Speaker of the House O'Neill, +Senate Majority Leader Baker, Senate Minority Leader Byrd, and House +Minority Leader Michel. I asked them if they would designate congressional +representatives to meet with representatives of the administration to try +to reach prompt agreement on a bipartisan deficit reduction plan. I know it +would take a long, hard struggle to agree on a full-scale plan. So, what I +have proposed is that we first see if we can agree on a down payment. + +Now, I believe there is basis for such an agreement, one that could reduce +the deficits by about a hundred billion dollars over the next 3 years. We +could focus on some of the less contentious spending cuts that are still +pending before the Congress. These could be combined with measures to close +certain tax loopholes, measures that the Treasury Department has previously +said to be worthy of support. In addition, we could examine the possibility +of achieving further outlay savings based on the work of the Grace +commission. + +If the congressional leadership is willing, my representatives will be +prepared to meet with theirs at the earliest possible time. I would hope +the leadership might agree on an expedited timetable in which to develop +and enact that down payment. + +But a down payment alone is not enough to break us out of the deficit +problem. It could help us start on the right path. Yet, we must do more. +So, I propose that we begin exploring how together we can make structural +reforms to curb the built-in growth of spending. + +I also propose improvements in the budgeting process. Some 43 of our 50 +States grant their Governors the right to veto individual items in +appropriation bills without having to veto the entire bill. California is +one of those 43 States. As Governor, I found this line-item veto was a +powerful tool against wasteful or extravagant spending. It works in 43 +States. Let's put it to work in Washington for all the people. + +It would be most effective if done by constitutional amendment. The +majority of Americans approve of such an amendment, just as they and I +approve of an amendment mandating a balanced Federal budget. Many States +also have this protection in their constitutions. + +To talk of meeting the present situation by increasing taxes is a Band-Aid +solution which does nothing to cure an illness that's been coming on for +half a century--to say nothing of the fact that it poses a real threat to +economic recovery. Let's remember that a substantial amount of income tax +is presently owed and not paid by people in the underground economy. It +would be immoral to make those who are paying taxes pay more to compensate +for those who aren't paying their share. + +There's a better way. Let us go forward with an historic reform for +fairness, simplicity, and incentives for growth. I am asking Secretary Don +Regan for a plan for action to simplify the entire tax code, so all +taxpayers, big and small, are treated more fairly. And I believe such a +plan could result in that underground economy being brought into the +sunlight of honest tax compliance. And it could make the tax base broader, +so personal tax rates could come down, not go up. I've asked that specific +recommendations, consistent with those objectives, be presented to me by +December 1984. + +Our second great goal is to build on America's pioneer spirit--I said +something funny? I said America's next frontier--and that's to develop that +frontier. A sparkling economy spurs initiatives, sunrise industries, and +makes older ones more competitive. + +Nowhere is this more important than our next frontier: space. Nowhere do we +so effectively demonstrate our technological leadership and ability to make +life better on Earth. The Space Age is barely a quarter of a century old. +But already we've pushed civilization forward with our advances in science +and technology. Opportunities and jobs will multiply as we cross new +thresholds of knowledge and reach deeper into the unknown. + +Our progress in space--taking giant steps for all mankind--is a tribute to +American teamwork and excellence. Our finest minds in government, industry, +and academia have all pulled together. And we can be proud to say: We are +first; we are the best; and we are so because we're free. + +America has always been greatest when we dared to be great. We can reach +for greatness again. We can follow our dreams to distant stars, living and +working in space for peaceful, economic, and scientific gain. Tonight, I am +directing NASA to develop a permanently manned space station and to do it +within a decade. + +A space station will permit quantum leaps in our research in science, +communications, in metals, and in lifesaving medicines which could be +manufactured only in space. We want our friends to help us meet these +challenges and share in their benefits. NASA will invite other countries to +participate so we can strengthen peace, build prosperity, and expand +freedom for all who share our goals. + +Just as the oceans opened up a new world for clipper ships and Yankee +traders, space holds enormous potential for commerce today. The market for +space transportation could surpass our capacity to develop it. Companies +interested in putting payloads into space must have ready access to private +sector launch services. The Department of Transportation will help an +expendable launch services industry to get off the ground. We'll soon +implement a number of executive initiatives, develop proposals to ease +regulatory constraints, and, with NASA's help, promote private sector +investment in space. + +And as we develop the frontier of space, let us remember our responsibility +to preserve our older resources here on Earth. Preservation of our +environment is not a liberal or conservative challenge, it's common sense. + +Though this is a time of budget constraints, I have requested for EPA one +of the largest percentage budget increases of any agency. We will begin the +long, necessary effort to clean up a productive recreational area and a +special national resource--the Chesapeake Bay. + +To reduce the threat posed by abandoned hazardous waste dumps, EPA will +spend $410 million. And I will request a supplemental increase of 50 +million. And because the Superfund law expires in 1985, I've asked Bill +Ruckelshaus to develop a proposal for its extension so there'll be +additional time to complete this important task. + +On the question of acid rain, which concerns people in many areas of the +United States and Canada, I'm proposing a research program that doubles our +current funding. And we'll take additional action to restore our lakes and +develop new technology to reduce pollution that causes acid rain. + +We have greatly improved the conditions of our natural resources. We'll ask +the Congress for $157 million beginning in 1985 to acquire new park and +conservation lands. The Department of the Interior will encourage careful, +selective exploration and production on our vital resources in an Exclusive +Economic Zone within the 200-mile limit off our coasts--but with strict +adherence to environmental laws and with fuller State and public +participation. + +But our most precious resources, our greatest hope for the future, are the +minds and hearts of our people, especially our children. We can help them +build tomorrow by strengthening our community of shared values. This must +be our third great goal. For us, faith, work, family, neighborhood, +freedom, and peace are not just words; they're expressions of what America +means, definitions of what makes us a good and loving people. + +Families stand at the center of our society. And every family has a +personal stake in promoting excellence in education. Excellence does not +begin in Washington. A 600-percent increase in Federal spending on +education between 1960 and 1980 was accompanied by a steady decline in +Scholastic Aptitude Test scores. Excellence must begin in our homes and +neighborhood schools, where it's the responsibility of every parent and +teacher and the right of every child. + +Our children come first, and that's why I established a bipartisan National +Commission on Excellence in Education, to help us chart a commonsense +course for better education. And already, communities are implementing the +Commission's recommendations. Schools are reporting progress in math and +reading skills. But we must do more to restore discipline to schools; and +we must encourage the teaching of new basics, reward teachers of merit, +enforce tougher standards, and put our parents back in charge. + +I will continue to press for tuition tax credits to expand opportunities +for families and to soften the double payment for those paying public +school taxes and private school tuition. Our proposal would target +assistance to low- and middle-income families. Just as more incentives are +needed within our schools, greater competition is needed among our schools. +Without standards and competition, there can be no champions, no records +broken, no excellence in education or any other walk of life. + +And while I'm on this subject, each day your Members observe a 200-year-old +tradition meant to signify America is one nation under God. I must ask: If +you can begin your day with a member of the clergy standing right here +leading you in prayer, then why can't freedom to acknowledge God be enjoyed +again by children in every schoolroom across this land? + +America was founded by people who believed that God was their rock of +safety. He is ours. I recognize we must be cautious in claiming that God is +on our side, but I think it's all right to keep asking if we're on His +side. + +During our first 3 years, we have joined bipartisan efforts to restore +protection of the law to unborn children. Now, I know this issue is very +controversial. But unless and until it can be proven that an unborn child +is not a living human being, can we justify assuming without proof that it +isn't? No one has yet offered such proof; indeed, all the evidence is to +the contrary. We should rise above bitterness and reproach, and if +Americans could come together in a spirit of understanding and helping, +then we could find positive solutions to the tragedy of abortion. + +Economic recovery, better education, rededication to values, all show the +spirit of renewal gaining the upper hand. And all will improve family life +in the eighties. But families need more. They need assurance that they and +their loved ones can walk the streets of America without being afraid. +Parents need to know their children will not be victims of child +pornography and abduction. This year we will intensify our drive against +these and other horrible crimes like sexual abuse and family violence. + +Already our efforts to crack down on career criminals, organized crime, +drugpushers, and to enforce tougher sentences and paroles are having +effect. In 1982 the crime rate dropped by 4.3 percent, the biggest decline +since 1972. Protecting victims is just as important as safeguarding the +rights of defendants. + +Opportunities for all Americans will increase if we move forward in fair +housing and work to ensure women's rights, provide for equitable treatment +in pension benefits and Individual Retirement Accounts, facilitate child +care, and enforce delinquent parent support payments. + +It's not just the home but the workplace and community that sustain our +values and shape our future. So, I ask your help in assisting more +communities to break the bondage of dependency. Help us to free enterprise +by permitting debate and voting "yes" on our proposal for enterprise zones +in America. This has been before you for 2 years. Its passage can help +high-unemployment areas by creating jobs and restoring neighborhoods. + +A society bursting with opportunities, reaching for its future with +confidence, sustained by faith, fair play, and a conviction that good and +courageous people will flourish when they're free--these are the secrets of +a strong and prosperous America at peace with itself and the world. + +A lasting and meaningful peace is our fourth great goal. It is our highest +aspiration. And our record is clear: Americans resort to force only when we +must. We have never been aggressors. We have always struggled to defend +freedom and democracy. + +We have no territorial ambitions. We occupy no countries. We build no walls +to lock people in. Americans build the future. And our vision of a better +life for farmers, merchants, and working people, from the Americas to Asia, +begins with a simple premise: The future is best decided by ballots, not +bullets. + +Governments which rest upon the consent of the governed do not wage war on +their neighbors. Only when people are given a personal stake in deciding +their own destiny, benefiting from their own risks, do they create +societies that are prosperous, progressive, and free. Tonight, it is +democracies that offer hope by feeding the hungry, prolonging life, and +eliminating drudgery. + +When it comes to keeping America strong, free, and at peace, there should +be no Republicans or Democrats, just patriotic Americans. We can decide the +tough issues not by who is right, but by what is right. + +Together, we can continue to advance our agenda for peace. We can establish +a more stable basis for peaceful relations with the Soviet Union; +strengthen allied relations across the board; achieve real and equitable +reductions in the levels of nuclear arms; reinforce our peacemaking efforts +in the Middle East, Central America, and southern Africa; or assist +developing countries, particularly our neighbors in the Western Hemisphere; +and assist in the development of democratic institutions throughout the +world. + +The wisdom of our bipartisan cooperation was seen in the work of the +Scowcroft commission, which strengthened our ability to deter war and +protect peace. In that same spirit, I urge you to move forward with the +Henry Jackson plan to implement the recommendations of the Bipartisan +Commission on Central America. + +Your joint resolution on the multinational peacekeeping force in Lebanon is +also serving the cause of peace. We are making progress in Lebanon. For +nearly 10 years, the Lebanese have lived from tragedy to tragedy with no +hope for their future. Now the multinational peacekeeping force and our +marines are helping them break their cycle of despair. There is hope for a +free, independent, and sovereign Lebanon. We must have the courage to give +peace a chance. And we must not be driven from our objectives for peace in +Lebanon by state-sponsored terrorism. We have seen this ugly specter in +Beirut, Kuwait, and Rangoon. It demands international attention. I will +forward shortly legislative proposals to help combat terrorism. And I will +be seeking support from our allies for concerted action. + +Our NATO alliance is strong. 1983 was a banner year for political courage. +And we have strengthened our partnerships and our friendships in the Far +East. We're committed to dialog, deterrence, and promoting prosperity. +We'll work with our trading partners for a new round of negotiations in +support of freer world trade, greater competition, and more open markets. + +A rebirth of bipartisan cooperation, of economic growth, and military +deterrence, and a growing spirit of unity among our people at home and our +allies abroad underline a fundamental and far-reaching change: The United +States is safer, stronger, and more secure in 1984 than before. We can now +move with confidence to seize the opportunities for peace, and we will. + +Tonight, I want to speak to the people of the Soviet Union, to tell them +it's true that our governments have had serious differences, but our sons +and daughters have never fought each other in war. And if we Americans have +our way, they never will. + +People of the Soviet Union, there is only one sane policy, for your country +and mine, to preserve our civilization in this modern age: A nuclear war +cannot be won and must never be fought. The only value in our two nations +possessing nuclear weapons is to make sure they will never be used. But +then would it not be better to do away with them entirely? + +People of the Soviet, President Dwight Eisenhower, who fought by your side +in World War II, said the essential struggle "is not merely man against man +or nation against nation. It is man against war." Americans are people of +peace. If your government wants peace, there will be peace. We can come +together in faith and friendship to build a safer and far better world for +our children and our children's children. And the whole world will rejoice. +That is my message to you. + +Some days when life seems hard and we reach out for values to sustain us or +a friend to help us, we find a person who reminds us what it means to be +Americans. + +Sergeant Stephen Trujillo, a medic in the 2d Ranger Battalion, 75th +Infantry, was in the first helicopter to land at the compound held by Cuban +forces in Grenada. He saw three other helicopters crash. Despite the +imminent explosion of the burning aircraft, he never hesitated. He ran +across 25 yards of open terrain through enemy fire to rescue wounded +soldiers. He directed two other medics, administered first aid, and +returned again and again to the crash site to carry his wounded friends to +safety. + +Sergeant Trujillo, you and your fellow service men and women not only saved +innocent lives; you set a nation free. You inspire us as a force for +freedom, not for despotism; and, yes, for peace, not conquest. God bless +you. + +And then there are unsung heroes: single parents, couples, church and civic +volunteers. Their hearts carry without complaint the pains of family and +community problems. They soothe our sorrow, heal our wounds, calm our +fears, and share our joy. + +A person like Father Ritter is always there. His Covenant House programs in +New York and Houston provide shelter and help to thousands of frightened +and abused children each year. The same is true of Dr. Charles Carson. +Paralyzed in a plane crash, he still believed nothing is impossible. Today +in Minnesota, he works 80 hours a week without pay, helping pioneer the +field of computer-controlled walking. He has given hope to 500,000 +paralyzed Americans that some day they may walk again. + +How can we not believe in the greatness of America? How can we not do what +is right and needed to preserve this last best hope of man on Earth? After +all our struggles to restore America, to revive confidence in our country, +hope for our future, after all our hard-won victories earned through the +patience and courage of every citizen, we cannot, must not, and will not +turn back. We will finish our job. How could we do less? We're Americans. + +Carl Sandburg said, "I see America not in the setting sun of a black night +of despair · . . I see America in the crimson light of a rising sun fresh +from the burning, creative hand of God... I see great days ahead for men +and women of will and vision." + +I've never felt more strongly that America's best days and democracy's best +days lie ahead. We're a powerful force for good. With faith and courage, we +can perform great deeds and take freedom's next step. And we will. We will +carry on the tradition of a good and worthy people who have brought light +where there was darkness, warmth where there was cold, medicine where there +was disease, food where there was hunger, and peace where there was only +bloodshed. + +Let us be sure that those who come after will say of us in our time, that +in our time we did everything that could be done. We finished the race; we +kept them free; we kept the faith. + +Thank you very much. God bless you, and God bless America. NOTE: The +President spoke at 9:02 p.m. in the House Chamber of the Capitol He was +introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio and +television. + +*** + +State of the Union Address +Ronald Reagan +February 6, 1985 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +I come before you to report on the state of our Union, and I'm pleased to +report that after 4 years of united effort, the American people have +brought forth a nation renewed, stronger, freer, and more secure than +before. + +Four years ago we began to change, forever I hope, our assumptions about +government and its place in our lives. Out of that change has come great +and robust growth-in our confidence, our economy, and our role in the +world. + +Tonight America is stronger because of the values that we hold dear. We +believe faith and freedom must be our guiding stars, for they show us +truth, they make us brave, give us hope, and leave us wiser than we were. +Our progress began not in Washington, DC, but in the hearts of our +families, communities, workplaces, and voluntary groups which, together, +are unleashing the invincible spirit of one great nation under God. + +Four years ago we said we would invigorate our economy by giving people +greater freedom and incentives to take risks and letting them keep more of +what they earned. We did what we promised, and a great industrial giant is +reborn. + +Tonight we can take pride in 25 straight months of economic growth, the +strongest in 34 years; a 3-year inflation average of 3.9 percent, the +lowest in 17 years; and 7.3 million new jobs in 2 years, with more of our +citizens working than ever before. + +New freedom in our lives has planted the rich seeds for future success: + +For an America of wisdom that honors the family, knowing that if (as) the +family goes, so goes our civilization; + +For an America of vision that sees tomorrow's dreams in the learning and +hard work we do today; + +For an America of courage whose service men and women, even as we meet, +proudly stand watch on the frontiers of freedom; + +For an America of compassion that opens its heart to those who cry out for +help. + +We have begun well. But it's only a beginning. We're not here to +congratulate ourselves on what we have done but to challenge ourselves to +finish what has not yet been done. + +We're here to speak for millions in our inner cities who long for real +jobs, safe neighborhoods, and schools that truly teach. We're here to speak +for the American farmer, the entrepreneur, and every worker in industries +fighting to modernize and compete. And, yes, we're here to stand, and +proudly so, for all who struggle to break free from totalitarianism, for +all who know in their hearts that freedom is the one true path to peace and +human happiness. + +Proverbs tell us, without a vision the people perish. When asked what great +principle holds our Union together, Abraham Lincoln said: "Something in +(the) Declaration giving liberty, not alone to the people of this country, +but hope to the world for all future time." + +We honor the giants of our history not by going back but forward to the +dreams their vision foresaw. My fellow citizens, this nation is poised for +greatness. The time has come to proceed toward a great new challenge--a +second American Revolution of hope and opportunity; a revolution carrying +us to new heights of progress by pushing back frontiers of knowledge and +space; a revolution of spirit that taps the soul of America, enabling us to +summon greater strength than we've ever known; and a revolution that +carries beyond our shores the golden promise of human freedom in a world of +peace. + +Let us begin by challenging our conventional wisdom. There are no +constraints on the human mind, no walls around the human spirit, no +barriers to our progress except those we ourselves erect. Already, pushing +down tax rates has freed our economy to vault forward to record growth. + +In Europe, they're calling it "the American Miracle." Day by day, we're +shattering accepted notions of what is possible. When I was growing up, we +failed to see how a new thing called radio would transform our marketplace. +Well, today, many have not yet seen how advances in technology are +transforming our lives. + +In the late 1950's workers at the AT&T semiconductor plant in Pennsylvania +produced five transistors a day for $7.50 apiece. They now produce over a +million for less than a penny apiece. + +New laser techniques could revolutionize heart bypass surgery, cut +diagnosis time for viruses linked to cancer from weeks to minutes, reduce +hospital costs dramatically, and hold out new promise for saving human +lives. + +Our automobile industry has overhauled assembly lines, increased worker +productivity, and is competitive once again. + +We stand on the threshold of a great ability to produce more, do more, be +more. Our economy is not getting older and weaker; it's getting younger and +stronger. It doesn't need rest and supervision; it needs new challenge, +greater freedom. And that word "freedom" is the key to the second American +revolution that we need to bring about. + +Let us move together with an historic reform of tax simplification for +fairness and growth. Last year I asked Treasury Secretary-then-Regan to +develop a plan to simplify the tax code, so all taxpayers would be treated +more fairly and personal tax rates could come further down. + +We have cut tax rates by almost 25 percent, yet the tax system remains +unfair and limits our potential for growth. Exclusions and exemptions cause +similar incomes to be taxed at different levels. Low-income families face +steep tax barriers that make hard lives even harder. The Treasury +Department has produced an excellent reform plan, whose principles will +guide the final proposal that we will ask you to enact. + +One thing that tax reform will not be is a tax increase in disguise. We +will not jeopardize the mortgage interest deduction that families need. We +will reduce personal tax rates as low as possible by removing many tax +preferences. We will propose a top rate of no more than 35 percent, and +possibly lower. And we will propose reducing corporate rates, while +maintaining incentives for capital formation. + +To encourage opportunity and jobs rather than dependency and welfare, we +will propose that individuals living at or near the poverty line be totally +exempt from Federal income tax. To restore fairness to families, we will +propose increasing significantly the personal exemption. + +And tonight, I am instructing Treasury Secretary James Baker--I have to get +used to saying that--to begin working with congressional authors and +committees for bipartisan legislation conforming to these principles. We +will call upon the American people for support and upon every man and woman +in this Chamber. Together, we can pass, this year, a tax bill for fairness, +simplicity, and growth, making this economy the engine of our dreams and +America the investment capital of the world. So let us begin. + +Tax simplification will be a giant step toward unleashing the tremendous +pent-up power of our economy. But a second American revolution must carry +the promise of opportunity for all. It is time to liberate the spirit of +enterprise in the most distressed areas of our country. + +This government will meet its responsibility to help those in need. But +policies that increase dependency, break up families, and destroy +self-respect are not progressive; they're reactionary. Despite our strides +in civil rights, blacks, Hispanics, and all minorities will not have full +and equal power until they have full economic power. + +We have repeatedly sought passage of enterprise zones to help those in the +abandoned corners of our land find jobs, learn skills, and build better +lives. This legislation is supported by a majority of you. + +Mr. Speaker, I know we agree that 'there must be no forgotten Americans. +Let us place new dreams in a million hearts and create a new generation of +entrepreneurs by passing enterprise zones this year. And, Tip, you could +make that a birthday present. + +Nor must we lose the chance to pass our youth employment opportunity wage +proposal. We can help teenagers, who have the highest unemployment rate, +find summer jobs, so they can know the pride of work and have confidence in +their futures. + +We'll continue to support the Job Training Partnership Act, which has a +nearly two-thirds job placement rate. Credits in education and health care +vouchers will help working families shop for services that they need. + +Our administration is already encouraging certain low-income public housing +residents to own and manage their own dwellings. It's time that all public +housing residents have that opportunity of ownership. + +The Federal Government can help create a new atmosphere of freedom. But +States and localities, many of which enjoy surpluses from the recovery, +must not permit their tax and regulatory policies to stand as barriers to +growth. + +Let us resolve that we will stop spreading dependency and start spreading +opportunity; that we will stop spreading bondage and start spreading +freedom. + +There are some who say that growth initiatives must await final action on +deficit reductions. Well, the best way to reduce deficits is through +economic growth. More businesses will be started, more investments made, +more jobs created, and more people will be on payrolls paying taxes. The +best way to reduce government spending is to reduce the need for spending +by increasing prosperity. Each added percentage point per year of real GNP +growth will lead to cumulative reduction in deficits of nearly $200 billion +over 5 years. + +To move steadily toward a balanced budget, we must also lighten +government's claim on our total economy. We will not do this by raising +taxes. We must make sure that our economy grows faster than the growth in +spending by the Federal Government. In our fiscal year 1986 budget, overall +government program spending will be frozen at the current level. It must +not be one dime higher than fiscal year 1985, and three points are key. + +First, the social safety net for the elderly, the needy, the disabled, and +unemployed will be left intact. Growth of our major health care programs, +Medicare and Medicaid, will be slowed, but protections for the elderly and +needy will be preserved. + +Second, we must not relax our efforts to restore military strength just as +we near our goal of a fully equipped, trained, and ready professional +corps. National security is government's first responsibility; so in past +years defense spending took about half the Federal budget. Today it takes +less than a third. We've already reduced our planned defense expenditures +by nearly a hundred billion dollars over the past 4 years and reduced +projected spending again this year. + +You know, we only have a military-industrial complex until a time of +danger, and then it becomes the arsenal of democracy. Spending for defense +is investing in things that are priceless--peace and freedom. + +Third, we must reduce or eliminate costly government subsidies. For +example, deregulation of the airline industry has led to cheaper airfares, +but on Amtrak taxpayers pay about $35 per passenger every time an Amtrak +train leaves the station, It's time we ended this huge Federal subsidy. + +Our farm program costs have quadrupled in recent years. Yet I know from +visiting farmers, many in great financial distress, that we need an orderly +transition to a market-oriented farm economy. We can help farmers best not +by expanding Federal payments but by making fundamental reforms, keeping +interest rates heading down, and knocking down foreign trade barriers to +American farm exports. + +We're moving ahead with Grace commission reforms to eliminate waste and +improve government's management practices. In the long run, we must protect +the taxpayers from government. And I ask again that you pass, as 32 States +have now called for, an amendment mandating the Federal Government spend no +more than it takes in. And I ask for the authority, used responsibly by 43 +Governors, to veto individual items in appropriation bills. Senator +Mattingly has introduced a bill permitting a 2-year trial run of the +line-item veto. I hope you'll pass and send that legislation to my desk. + +Nearly 50 years of government living beyond its means has brought us to a +time of reckoning. Ours is but a moment in history. But one moment of +courage, idealism, and bipartisan unity can change American history +forever. + +Sound monetary policy is key to long-running economic strength and +stability. We will continue to cooperate with the Federal Reserve Board, +seeking a steady policy that ensures price stability without keeping +interest rates artificially high or needlessly holding down growth. + +Reducing unneeded red tape and regulations, and deregulating the energy, +transportation, and financial industries have unleashed new competition, +giving consumers more choices, better services, and lower prices. In just +one set of grant programs we have reduced 905 pages of regulations to 31. +We seek to fully deregulate natural gas to bring on new supplies and bring +us closer to energy independence. Consistent with safety standards, we will +continue removing restraints on the bus and railroad industries, we will +soon end up legislation---or send up legislation, I should say--to return +Conrail to the private sector where it belongs, and we will support further +deregulation of the trucking industry. + +Every dollar the Federal Government does not take from us, every decision +it does not make for us will make our economy stronger, our lives more +abundant, our future more free. + +Our second American revolution will push on to new possibilities not only +on Earth but in the next frontier of space. Despite budget restraints, we +will seek record funding for research and development. + +We've seen the success of the space shuttle. Now we're going to develop a +permanently manned space station and new opportunities for free enterprise, +because in the next decade Americans and our friends around the world will +be living and working together in space. + +In the zero gravity of space, we could manufacture in 30 days lifesaving +medicines it would take 30 years to make on Earth. We can make crystals of +exceptional purity to produce super computers, creating jobs, technologies, +and medical breakthroughs beyond anything we ever dreamed possible. + +As we do all this, we'll continue to protect our natural resources. We will +seek reauthorization and expanded funding for the Superfund program to +continue cleaning up hazardous waste sites which threaten human health and +the environment. + +Now, there's another great heritage to speak of this evening. Of all the +changes that have swept America the past 4 years, none brings greater +promise than our rediscovery of the values of faith, freedom, family, work, +and neighborhood. + +We see signs of renewal in increased attendance in places of worship; +renewed optimism and faith in our future; love of country rediscovered by +our young, who are leading the way. We've rediscovered that work is good in +and of itself, that it ennobles us to create and contribute no matter how +seemingly humble our jobs. We've seen a powerful new current from an old +and honorable tradition--American generosity. + +From thousands answering Peace Corps appeals to help boost food production +in Africa, to millions volunteering time, corporations adopting schools, +and communities pulling together to help the neediest among us at home, we +have refound our values. Private sector initiatives are crucial to our +future. + +I thank the Congress for passing equal access legislation giving religious +groups the same right to use classrooms after school that other groups +enjoy. But no citizen need tremble, nor the world shudder, if a child +stands in a classroom and breathes a prayer. We ask you again, give +children back a right they had for a century and a half or more in this +country. + +The question of abortion grips our nation. Abortion is either the taking of +a human life or it isn't. And if it is--and medical technology is +increasingly showing it is--it must be stopped. It is a terrible irony that +while some turn to abortion, so many others who cannot become parents cry +out for children to adopt. We have room for these children. We can fill the +cradles of those who want a child to love. And tonight I ask you in the +Congress to move this year on legislation to protect the unborn. + +In the area of education, we're returning to excellence, and again, the +heroes are our people, not government. We're stressing basics of +discipline, rigorous testing, and homework, while helping children become +computer-smart as well. For 20 years scholastic aptitude test scores of our +high school students went down, but now they have gone up 2 of the last 3 +years. We must go forward in our commitment to the new basics, giving +parents greater authority and making sure good teachers are rewarded for +hard work and achievement through merit pay. + +Of all the changes in the past 20 years, none has more threatened our sense +of national well-being than the explosion of violent crime. One does not +have to be attacked to be a victim. The woman who must run to her car after +shopping at night is a victim. The couple draping their door with locks and +chains are victims; as is the tired, decent cleaning woman who can't ride a +subway home without being afraid. + +We do not seek to violate the rights of defendants. But shouldn't we feel +more compassion for the victims of crime than for those who commit crime? +For the first time in 20 years, the crime index has fallen 2 years in a +row. We've convicted over 7,400 drug offenders and put them, as well as +leaders of organized crime, behind bars in record numbers. + +But we must do more. I urge the House to follow the Senate and enact +proposals permitting use of all reliable evidence that police officers +acquire in good faith. These proposals would also reform the habeas corpus +laws and allow, in keeping with the will of the overwhelming majority of +Americans, the use of the death penalty where necessary. + +There can be no economic revival in ghettos when the most violent among us +are allowed to roam free. It's time we restored domestic tranquility. And +we mean to do just that. + +Just as we're positioned as never before to secure justice in our economy, +we're poised as never before to create a safer, freer, more peaceful world. +Our alliances are stronger than ever. Our economy is stronger than ever. We +have resumed our historic role as a leader of the free world. And all of +these together are a great force for peace. + +Since 1981 we've been committed to seeking fair and verifiable arms +agreements that would lower the risk of war and reduce the size of nuclear +arsenals. Now our determination to maintain a strong defense has influenced +the Soviet Union to return to the bargaining table. Our negotiators must be +able to go to that table with the united support of the American people. +All of us have no greater dream than to see the day when nuclear weapons +are banned from this Earth forever. + +Each Member of the Congress has a role to play in modernizing our defenses, +thus supporting our chances for a meaningful arms agreement. Your vote this +spring on the Peacekeeper missile will be a critical test of our resolve to +maintain the strength we need and move toward mutual and verifiable arms +reductions. + +For the past 20 years we've believed that no war will be launched as long +as each side knows it can retaliate with a deadly counterstrike. Well, I +believe there's a better way of eliminating the threat of nuclear war. It +is a Strategic Defense Initiative aimed ultimately at finding a nonnuclear +defense against ballistic missiles. It's the most hopeful possibility of +the nuclear age. But it's not very well understood. + +Some say it will bring war to the heavens, but its purpose is to deter war +in the heavens and on Earth. Now, some say the research would be expensive. +Perhaps, but it could save millions of lives, indeed humanity itself. And +some say if we build such a system, the Soviets will build a defense system +of their own. Well, they already have strategic defenses that surpass ours; +a civil defense system, where we have almost none; and a research program +covering roughly the same areas of technology that we're now exploring. And +finally some say the research will take a long time. Well, the answer to +that is: Let's get started. + +Harry Truman once said that, ultimately, our security and the world's hopes +for peace and human progress "lie not in measures of defense or in the +control of weapons, but in the growth and expansion of freedom and +self-government." + +And tonight, we declare anew to our fellow citizens of the world: Freedom +is not the sole prerogative of a chosen few; it is the universal right of +all God's children. Look to where peace and prosperity flourish today. It +is in homes that freedom built. Victories against poverty are greatest and +peace most secure where people live by laws that ensure free press, free +speech, and freedom to worship, vote, and create wealth. + +Our mission is to nourish and defend freedom and democracy, and to +communicate these ideals everywhere we can. America's economic success is +freedom's success; it can be repeated a hundred times in a hundred +different nations. Many countries in east Asia and the Pacific have few +resources other than the enterprise of their own people. But through low +tax rates and free markets they've soared ahead of centralized economies. +And now China is opening up its economy to meet its needs. + +We need a stronger and simpler approach to the process of making and +implementing trade policy, and we'll be studying potential changes in that +process in the next few weeks. We've seen the benefits of free trade and +lived through the disasters of protectionism. Tonight I ask all our trading +partners, developed and developing alike, to join us in a new round of +trade negotiations to expand trade and competition and strengthen the +global economy--and to begin it in this next year. + +There are more than 3 billion human beings living in Third World countries +with an average per capita income of $650 a year. Many are victims of +dictatorships that impoverished them with taxation and corruption. Let us +ask our allies to join us in a practical program of trade and assistance +that fosters economic development through personal incentives to help these +people climb from poverty on their own. + +We cannot play innocents abroad in a world that's not innocent; nor can we +be passive when freedom is under siege. Without resources, diplomacy cannot +succeed. Our security assistance programs help friendly governments defend +themselves and give them confidence to work for peace. And I hope that you +in the Congress will understand that, dollar for dollar, security +assistance contributes as much to global security as our own defense +budget. + +We must stand by all our democratic allies. And we must not break faith +with those who are risking their lives---on every continent, from +Afghanistan to Nicaragua--to defy Soviet-supported aggression and secure +rights which have been ours from birth. + +The Sandinista dictatorship of Nicaragua, with full Cuban-Soviet bloc +support, not only persecutes its people, the church, and denies a free +press, but arms and provides bases for Communist terrorists attacking +neighboring states. Support for freedom fighters is self-defense and +totally consistent with the OAS and U.N. Charters. It is essential that the +Congress continue all facets of our assistance to Central America. I want +to work with you to support the democratic forces whose struggle is tied to +our own security. + +And tonight, I've spoken of great plans and great dreams. They're dreams we +can make come true. Two hundred years of American history should have +taught us that nothing is impossible. + +Ten years ago a young girl left Vietnam with her family, part of the exodus +that followed the fall of Saigon. They came to the United States with no +possessions and not knowing a word of English. Ten years ago--the young +girl studied hard, learned English, and finished high school in the top of +her class. And this May, May 22d to be exact, is a big date on her +calendar. Just 10 years from the time she left Vietnam, she will graduate +from the United States Military Academy at West Point. I thought you might +like to meet an American hero named Jean Nguyen. + +Now, there's someone else here tonight, born 79 years ago. She lives in the +inner city, where she cares for infants born of mothers who are heroin +addicts. The children, born in withdrawal, are sometimes even dropped on +her doorstep. She helps them with love. Go to her house some night, and +maybe you'll see her silhouette against the window as she walks the floor +talking softly, soothing a child in her arms-Mother Hale of Harlem, and +she, too, is an American hero. + +Jean, Mother Hale, your lives tell us that the oldest American saying is +new again: Anything is possible in America if we have the faith, the will, +and the heart. History is asking us once again to be a force for good in +the world. Let us begin in unity, with justice, and love. + +Thank you, and God bless you. NOTE: The President spoke at 9:05 p.m. in the +House Chamber of the Capitol. He was introduced by Thomas P. O'Neill, Jr., +Speaker of the House of Representatives. The address was broadcast live on +nationwide radio and television. + +*** + +State of the Union Address +Ronald Reagan +February 4, 1986 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +Thank you for allowing me to delay my address until this evening. We paused +together to mourn and honor the valor of our seven Challenger heroes. And I +hope that we are now ready to do what they would want us to do: Go forward, +America, and reach for the stars. We will never forget those brave seven, +but we shall go forward. + +Mr. Speaker, before I begin my prepared remarks, may I point out that +tonight marks the 10th and last State of the Union Message that you've +presided over. And on behalf of the American people, I want to salute you +for your service to Congress and country. Here's to you! + +I have come to review with you the progress of our nation, to speak of +unfinished work, and to set our sights on the future. I am pleased to +report the state of our Union is stronger than a year ago and growing +stronger each day. Tonight we look out on a rising America, firm of heart, +united in spirit, powerful in pride and patriotism. America is on the move! +But it wasn't long ago that we looked out on a different land: locked +factory gates, long gasoline lines, intolerable prices, and interest rates +turning the greatest country on Earth into a land of broken dreams. +Government growing beyond our consent had become a lumbering giant, +slamming shut the gates of opportunity, threatening to crush the very roots +of our freedom. What brought America back? The American people brought us +back with quiet courage and common sense, with undying faith that in this +nation under God the future will be ours; for the future belongs to the +free. + +Tonight the American people deserve our thanks for 37 straight months of +economic growth, for sunrise firms and modernized industries creating 9 +million new jobs in 3 years, interest rates cut in half, inflation falling +over from 12 percent in 1980 to under 4 today, and a mighty river of good +works-a record $74 billion in voluntary giving just last year alone. And +despite the pressures of our modern world, family and community remain the +moral core of our society, guardians of our values and hopes for the +future. Family and community are the costars of this great American +comeback. They are why we say tonight: Private values must be at the heart +of public policies. + +What is true for families in America is true for America in the family of +free nations. History is no captive of some inevitable force. History is +made by men and women of vision and courage. Tonight freedom is on the +march. The United States is the economic miracle, the model to which the +world once again turns. We stand for an idea whose time is now: Only by +lifting the weights from the shoulders of all can people truly prosper and +can peace among all nations be secure. Teddy Roosevelt said that a nation +that does great work lives forever. We have done well, but we cannot stop +at the foothills when Everest beckons. It's time for America to be all that +we can be. + +We speak tonight of an agenda for the future, an agenda for a safer, more +secure world. And we speak about the necessity for actions to steel us for +the challenges of growth, trade, and security in the next decade and the +year 2000. And we will do it--not by breaking faith with bedrock principles +but by breaking free from failed policies. Let us begin where storm clouds +loom darkest--right here in Washington, DC. This week I will send you our +detailed proposals; tonight let us speak of our responsibility to redefine +government's role: not to control, not to demand or command, not to contain +us, but to help in times of need and, above all, to create a ladder of +opportunity to full employment so that all Americans can climb toward +economic power and justice on their own. + +But we cannot win the race to the future shackled to a system that can't +even pass a Federal budget. We cannot win that race held back by +horse-and-buggy programs that waste tax dollars and squander human +potential. We cannot win that race if we're swamped in a sea of red ink. +Now, Mr. Speaker, you know, I know, and the American people know the +Federal budget system is broken. It doesn't work. Before we leave this +city, let's you and I work together to fix it, and then we can finally give +the American people a balanced budget. + +Members of Congress, passage of Gramm-Rudman-Hollings gives us an historic +opportunity to achieve what has eluded our national leadership for decades: +forcing the Federal Government to live within its means. Your schedule now +requires that the budget resolution be passed by April 15th, the very day +America's families have to foot the bill for the budgets that you produce. +How often we read of a husband and wife both working, struggling from +paycheck to paycheck to raise a family, meet a mortgage, pay their taxes +and bills. And yet some in Congress say taxes must be raised. Well, I'm +sorry; they're asking the wrong people to tighten their belts. It's time we +reduce the Federal budget and left the family budget alone. We do not face +large deficits because American families are undertaxed; we face those +deficits because the Federal Government overspends. + +The detailed budget that we will submit will meet the Gramm-Rudman-Hollings +target for deficit reductions, meet our commitment to ensure a strong +national defense, meet our commitment to protect Social Security and the +truly less fortunate, and, yes, meet our commitment to not raise taxes. How +should we accomplish this? Well, not by taking from those in need. As +families take care of their own, government must provide shelter and +nourishment for those who cannot provide for themselves. But we must revise +or replace programs enacted in the name of compassion that degrade the +moral worth of work, encourage family breakups, and drive entire +communities into a bleak and heartless dependency. Gramm-Rudman-Hollings +can mark a dramatic improvement. But experience shows that simply setting +deficit targets does not assure they'll be met. We must proceed with Grace +commission reforms against waste. + +And tonight I ask you to give me what 43 Governors have: Give me a +line-item veto this year. Give me the authority to veto waste, and I'll +take the responsibility, I'll make the cuts, I'll take the heat. This +authority would not give me any monopoly power, but simply prevent spending +measures from sneaking through that could not pass on their own merit. And +you can sustain or override my veto; that's the way the system should work. +Once we've made the hard choices, we should lock in our gains with a +balanced budget amendment to the Constitution. + +I mentioned that we will meet our commitment to national defense. We must +meet it. Defense is not just another budget expense. Keeping America +strong, free, and at peace is solely the responsibility of the Federal +Government; it is government's prime responsibility. We have devoted 5 +years trying to narrow a dangerous gap born of illusion and neglect, and +we've made important gains. Yet the threat from Soviet forces, conventional +and strategic, from the Soviet drive for domination, from the increase in +espionage and state terror remains great. This is reality. Closing our eyes +will not make reality disappear. We pledged together to hold real growth in +defense spending to the bare minimum. My budget honors that pledge, and I'm +now asking you, the Congress, to keep its end of the bargain. The Soviets +must know that if America reduces her defenses, it will be because of a +reduced threat, not a reduced resolve. + +Keeping America strong is as vital to the national security as controlling +Federal spending is to our economic security. But, as I have said before, +the most powerful force we can enlist against the Federal deficit is an +ever-expanding American economy, unfettered and free. The magic of +opportunity-unreserved, unfailing, unrestrained-isn't this the calling that +unites us? I believe our tax rate cuts for the people have done more to +spur a spirit of risk-taking and help America's economy break free than any +program since John Kennedy's tax cut almost a quarter century ago. + +Now history calls us to press on, to complete efforts for an historic tax +reform providing new opportunity for all and ensuring that all pay their +fair share, but no more. We've come this far. Will you join me now, and +we'll walk this last mile together? You know my views on this. We cannot +and we will not accept tax reform that is a tax increase in disguise. True +reform must be an engine of productivity and growth, and that means a top +personal rate no higher than 35 percent. True reform must be truly fair, +and that means raising personal exemptions to $2,000. True reform means a +tax system that at long last is profamily, projobs, profuture, and +pro-America. + +As we knock down the barriers to growth, we must redouble our efforts for +freer and fairer trade. We have already taken actions to counter unfair +trading practices and to pry open closed foreign markets. We will continue +to do so. We will also oppose legislation touted as providing protection +that in reality pits one American worker against another, one industry +against another, one community against another, and that raises prices for +us all. If the United States can trade with other nations on a level +playing field, we can outproduce, outcompete, and outsell anybody, anywhere +in the world. + +The constant expansion of our economy and exports requires a sound and +stable dollar at home and reliable exchange rates around the world. We must +never again permit wild currency swings to cripple our farmers and other +exporters. Farmers, in particular, have suffered from past unwise +government policies. They must not be abandoned with problems they did not +create and cannot control. We've begun coordinating economic and monetary +policy among our major trading partners. But there's more to do, and +tonight I am directing Treasury Secretary Jim Baker to determine if the +nations of the world should convene to discuss the role and relationship of +our currencies. + +Confident in our future and secure in our values, Americans are striving +forward to embrace the future. We see it not only in our recovery but in 3 +straight years of falling crime rates, as families and communities band +together to fight pornography, drugs, and lawlessness and to give back to +their children the safe and, yes, innocent childhood they deserve. We see +it in the renaissance in education, the rising SAT scores for 3 years--last +year's increase, the greatest since 1963. It wasn't government and +Washington lobbies that turned education around; it was the American people +who, in reaching for excellence, knew to reach back to basics. We must +continue the advance by supporting discipline in our schools, vouchers that +give parents freedom of choice; and we must give back to our children their +lost right to acknowledge God in their classrooms. + +We are a nation of idealists, yet today there is a wound in our national +conscience. America will never be whole as long as the right to life +granted by our Creator is denied to the unborn. For the rest of my time, I +shall do what I can to see that this wound is one day healed. + +As we work to make the American dream real for all, we must also look to +the condition of America's families. Struggling parents today worry how +they will provide their children the advantages that their parents gave +them. In the welfare culture, the breakdown of the family, the most basic +support system, has reached crisis proportions---'m female and child +poverty, child abandonment, horrible crimes, and deteriorating schools. +After hundreds of billions of dollars in poverty programs, the plight of +the poor grows more painful. But the waste in dollars and cents pales +before the most tragic loss: the sinful waste of human spirit and +potential. We can ignore this terrible truth no longer. As Franklin +Roosevelt warned 51 years ago, standing before this Chamber, he said, +"Welfare is a narcotic, a subtle destroyer of the human spirit." And we +must now escape the spider's web of dependency. + +Tonight I am charging the White House Domestic Council to present me by +December 1, 1986, an evaluation of programs and a strategy for immediate +action to meet the financial, educational, social, and safety concerns of +poor families. I'm talking about real and lasting emancipation, because the +success of welfare should be judged by how many of its recipients become +independent of welfare. Further, after seeing how devastating illness can +destroy the financial security of the family, I am directing the Secretary +of Health and Human Services, Dr. Otis Bowen, to report to me by year end +with recommendations on how the private sector and government can work +together to address the problems of affordable insurance for those whose +life savings would otherwise be threatened when catastrophic illness +strikes. + +And tonight I want to speak directly to America's younger generation, +because you hold the destiny of our nation in your hands. With all the +temptations young people face, it sometimes seems the allure of the +permissive society requires superhuman feats of self-control. But the call +of the future is too strong, the challenge too great to get lost in the +blind alleyways of dissolution, drugs, and despair. Never has there been a +more exciting time to be alive, a time of rousing wonder and heroic +achievement. As they said in the film "Back to the Future," "Where we're +going, we don't need roads." + +Well, today physicists peering into the infinitely small realms of +subatomic particles find reaffirmations of religious faith. Astronomers +build a space telescope that can see to the edge of the universe and +possibly back to the moment of creation. So, yes, this nation remains fully +committed to America's space program. We're going forward with our shuttle +flights. We're going forward to build our space station. And we are going +forward with research on a new Orient Express that could, by the end of the +next decade, take off from Dulles Airport, accelerate up to 25 times the +speed of sound, attaining low Earth orbit or flying to Tokyo within 2 +hours. And the same technology transforming our lives can solve the +greatest problem of the 20th century. A security shield can one day render +nuclear weapons obsolete and free mankind from the prison of nuclear +terror. America met one historic challenge and went to the Moon. Now +America must meet another: to make our strategic defense real for all the +citizens of planet Earth. + +Let us speak of our deepest longing for the future: to leave our children a +land that is free and just and a world at peace. It is my hope that our +fireside summit in Geneva and Mr. Gorbachev's upcoming visit to America can +lead to a more stable relationship. Surely no people on Earth hate war or +love peace more than we Americans. But we cannot stroll into the future +with childlike faith. Our differences with a system that openly proclaims +and practices an alleged right to command people's lives and to export its +ideology by force are deep and abiding. Logic and history compel us to +accept that our relationship be guided by realism--rock-hard, cleareyed, +steady, and sure. Our negotiators in Geneva have proposed a radical cut in +offensive forces by each side with no cheating. They have made clear that +Soviet compliance with the letter and spirit of agreements is essential. If +the Soviet Government wants an agreement that truly reduces nuclear arms, +there will be such an agreement. + +But arms control is no substitute for peace. We know that peace follows in +freedom's path and conflicts erupt when the will of the people is denied. +So, we must prepare for peace not only by reducing weapons but by +bolstering prosperity, liberty, and democracy however and wherever we can. +We advance the promise of opportunity every time we speak out on behalf of +lower tax rates, freer markets, sound currencies around the world. We +strengthen the family of freedom every time we work with allies and come to +the aid of friends under siege. And we can enlarge the family of free +nations if we will defend the unalienable rights of all God's children to +follow their dreams. + +To those imprisoned in regimes held captive, to those beaten for daring to +fight for freedom and democracy--for their right to worship, to speak, to +live, and to prosper in the family of free nations--we say to you tonight: +You are not alone, freedom fighters. America will support with moral and +material assistance your right not just to fight and die for freedom but to +fight and win freedom--to win freedom in Afghanistan, in Angola, in +Cambodia, and in Nicaragua. This is a great moral challenge for the entire +free world. + +Surely no issue is more important for peace in our own hemisphere, for the +security of our frontiers, for the protection of our vital interests, than +to achieve democracy in Nicaragua and to protect Nicaragua's democratic +neighbors. This year I will be asking Congress for the means to do what +must be done for that great and good cause. As (former Senator Henry +M.)Scoop Jackson, the inspiration for our Bipartisan Commission on Central +America, once said, "In matters of national security, the best politics is +no politics." + +What we accomplish this year, in each challenge we face, will set our +course for the balance of the decade, indeed, for the remainder of the +century. After all we've done so far, let no one say that this nation +cannot reach the destiny of our dreams. America believes, America is ready, +America can win the race to the future--and we shall. The American dream is +a song of hope that rings through night winter air; vivid, tender music +that warms our hearts when the least among us aspire to the greatest +things: to venture a daring enterprise; to unearth new beauty in music, +literature, and art; to discover a new universe inside a tiny silicon chip +or a single human cell. + +We see the dream coming true in the spirit of discovery of Richard Cavoli. +All his life he's been enthralled by the mysteries of medicine. And, +Richard, we know that the experiment that you began in high school was +launched and lost last week, yet your dream lives. And as long as it's +real, work of noble note will yet be done, work that could reduce the +harmful effects of x rays on patients and enable astronomers to view the +golden gateways of the farthest stars. + +We see the dream glow in the towering talent of a 12-year-old, Tyrone Ford. +A child prodigy of gospel music, he has surmounted personal adversity to +become an accomplished pianist and singer. He also directs the choirs of +three churches and has performed at the Kennedy Center. With God as your +composer, Tyrone, your music will be the music of angels. + +We see the dream being saved by the courage of the 13-year-old Shelby +Butler, honor student and member of her school's safety patrol. Seeing +another girl freeze in terror before an out-of-control school bus, she +risked her life and pulled her to safety. With bravery like yours, Shelby, +America need never fear for our future. + +And we see the dream born again in the joyful compassion of a 13 year old, +Trevor Ferrell. Two years ago, age 11, watching men and women bedding down +in abandoned doorways--on television he was watching--Trevor left his +suburban Philadelphia home to bring blankets and food to the helpless and +homeless. And now 250 people help him fulfill his nightly vigil. Trevor, +yours is the living spirit of brotherly love. + +Would you four stand up for a moment? Thank you, thank you. You are heroes +of our hearts. We look at you and know it's true: In this land of dreams +fulfilled, where greater dreams may be imagined, nothing is impossible, no +victory is beyond our reach, no glory will ever be too great. + +So, now it's up to us, all of us, to prepare America for that day when our +work will pale before the greatness of America's champions in the 21st +century. The world's hopes rest with America's future; America's hopes rest +with us. So, let us go forward to create our world of tomorrow in faith, in +unity, and in love. + +God bless you, and God bless America. NOTE: The President spoke at 8:04 +p.m. in the House Chamber of the Capitol. He was introduced by Thomas P. +O'Neill, Jr., Speaker of the House of Representatives. The address was +broadcast live on nationwide radio and television. + +*** + +State of the Union Address +Ronald Reagan +January 27, 1987 + +Mr. Speaker, Mr. President, distinguished Members of Congress, honored +guests, and fellow citizens: + +May I congratulate all of you who are Members of this historic 100th +Congress of the United States of America. In this 200th anniversary year of +our Constitution, you and I stand on the shoulders of giants--men whose +words and deeds put wind in the sails of freedom. However, we must always +remember that our Constitution is to be celebrated not for being old, but +for being young--young with the same energy, spirit, and promise that +filled each eventful day in Philadelphia's statehouse. We will be guided +tonight by their acts, and we will be guided forever by their words. + +Now, forgive me, but I can't resist sharing a story from those historic +days. Philadelphia was bursting with civic pride in the spring of 1787, and +its newspapers began embellishing the arrival of the Convention delegates +with elaborate social classifications. Governors of States were called +Excellency. Justices and Chancellors had reserved for them honorable with a +capital "H." For Congressmen, it was honorable with a small "h." And all +others were referred to as "the following respectable characters." Well, +for this 100th Congress, I invoke special executive powers to declare that +each of you must never be titled less than honorable with a capital "H." +Incidentally, I'm delighted you are celebrating the 100th birthday of the +Congress. It's always a pleasure to congratulate someone with more +birthdays than I've had. + +Now, there's a new face at this place of honor tonight. And please join me +in warm congratulations to the Speaker of the House, Jim Wright. Mr. +Speaker, you might recall a similar situation in your very first session of +Congress 32 years ago. Then, as now, the speakership had changed hands and +another great son of Texas, Sam Rayburn--"Mr. Sam"--sat in your chair. I +cannot find better words than those used by President Eisenhower that +evening. He said, "We shall have much to do together; I am sure that we +will get it done and that we shall do it in harmony and good will." Tonight +I renew that pledge. To you, Mr. Speaker, and to Senate Majority Leader +Robert Byrd, who brings 34 years of distinguished service to the Congress, +may I say: Though there are changes in the Congress, America's interests +remain the same. And I am confident that, along with Republican leaders Bob +Michel and Bob Dole, this Congress can make history. + +Six years ago I was here to ask the Congress to join me in America's new +beginning. Well, the results are something of which we can all be proud. +Our inflation rate is now the lowest in a quarter of a century. The prime +interest rate has fallen from the 21 1/2 percent the month before we took +office to 7 1/2 percent today. And those rates have triggered the most +housing starts in 8 years. The unemployment rate--still too high--is the +lowest in nearly 7 years, and our people have created nearly 13 million new +jobs. Over 61 percent of everyone over the age of 16, male and female, is +employed--the highest percentage on record. Let's roll up our sleeves and +go to work and put America's economic engine at full throttle. We can also +be heartened by our progress across the world. Most important, America is +at peace tonight, and freedom is on the march. And we've done much these +past years to restore our defenses, our alliances, and our leadership in +the world. Our sons and daughters in the services once again wear their +uniforms with pride. + +But though we've made much progress, I have one major regret: I took a risk +with regard to our action in Iran. It did not work, and for that I assume +full responsibility. The goals were worthy. I do not believe it was wrong +to try to establish contacts with a country of strategic importance or to +try to save lives. And certainly it was not wrong to try to secure freedom +for our citizens held in barbaric captivity. But we did not achieve what we +wished, and serious mistakes were made in trying to do so. We will get to +the bottom of this, and I will take whatever action is called for. But in +debating the past, we must not deny ourselves the successes of the future. +Let it never be said of this generation of Americans that we became so +obsessed with failure that we refused to take risks that could further the +cause of peace and freedom in the world. Much is at stake here, and the +Nation and the world are watching to see if we go forward together in the +national interest or if we let partisanship weaken us. And let there be no +mistake about American policy: We will not sit idly by if our interests or +our friends in the Middle East are threatened, nor will we yield to +terrorist blackmail. + +And now, ladies and gentlemen of the Congress, why don't we get to work? I +am pleased to report that because of our efforts to rebuild the strength of +America, the world is a safer place. Earlier this month I submitted a +budget to defend America and maintain our momentum to make up for neglect +in the last decade. Well, I ask you to vote out a defense and foreign +affairs budget that says yes to protecting our country. While the world is +safer, it is not safe. + +Since 1970 the Soviets have invested $500 billion more on their military +forces than we have. Even today, though nearly 1 in 3 Soviet families is +without running hot water and the average family spends 2 hours a day +shopping for the basic necessities of life, their government still found +the resources to transfer $75 billion in weapons to client states in the +past 5 years--clients like Syria, Vietnam, Cuba, Libya, Angola, Ethiopia, +Afghanistan, and Nicaragua. With 120,000 Soviet combat and military +personnel and 15,000 military advisers in Asia, Africa, and Latin America, +can anyone still doubt their single-minded determination to expand their +power? Despite this, the Congress cut my request for critical U.S. security +assistance to free nations by 21 percent this year, and cut defense +requests by $85 billion in the last 3 years. + +These assistance programs serve our national interests as well as mutual +interests. And when the programs are devastated, American interests are +harmed. My friends, it's my duty as President to say to you again tonight +that there is no surer way to lose freedom than to lose our resolve. Today +the brave people of Afghanistan are showing that resolve. The Soviet Union +says it wants a peaceful settlement in Afghanistan, yet it continues a +brutal war and props up a regime whose days are clearly numbered. We are +ready to support a political solution that guarantees the rapid withdrawal +of all Soviet troops and genuine self-determination for the Afghan people. + +In Central America, too, the cause of freedom is being tested. And our +resolve is being tested there as well. Here, especially, the world is +watching to see how this nation responds. Today over 90 percent of the +people of Latin America live in democracy. Democracy is on the march in +Central and South America. Communist Nicaragua is the odd man +out--suppressing the church, the press, and democratic dissent and +promoting subversion in the region. We support diplomatic efforts, but +these efforts can never succeed if the Sandinistas win their war against +the Nicaraguan people. + +Our commitment to a Western Hemisphere safe from aggression did not occur +by spontaneous generation on the day that we took office. It began with the +Monroe Doctrine in 1823 and continues our historic bipartisan American +policy. Franklin Roosevelt said we "are determined to do everything +possible to maintain peace on this hemisphere." President Truman was very +blunt: "International communism seeks to crush and undermine and destroy +the independence of the Americas. We cannot let that happen here." And John +F. Kennedy made clear that "Communist domination in this hemisphere can +never be negotiated." Some in this Congress may choose to depart from this +historic commitment, but I will not. + +This year we celebrate the second century of our Constitution. The +Sandinistas just signed theirs 2 weeks ago, and then suspended it. We won't +know how my words tonight will be reported there for one simple reason: +There is no free press in Nicaragua. Nicaraguan freedom fighters have never +asked us to wage their battle, but I will fight any effort to shut off +their lifeblood and consign them to death, defeat, or a life without +freedom. There must be no Soviet beachhead in Central America. + +You know, we Americans have always preferred dialog to conflict, and so, we +always remain open to more constructive relations with the Soviet Union. +But more responsible Soviet conduct around the world is a key element of +the U.S.-Soviet agenda. Progress is also required on the other items of our +agenda as well--real respect for human rights and more open contacts +between our societies and, of course, arms reduction. + +In Iceland, last October, we had one moment of opportunity that the Soviets +dashed because they sought to cripple our Strategic Defense Initiative, +SDI. I wouldn't let them do it then; I won't let them do it now or in the +future. This is the most positive and promising defense program we have +undertaken. It's the path, for both sides, to a safer future--a system that +defends human life instead of threatening it. SDI will go forward. The +United States has made serious, fair, and far-reaching proposals to the +Soviet Union, and this is a moment of rare opportunity for arms reduction. +But I will need, and American negotiators in Geneva will need, Congress' +support. Enacting the Soviet negotiating position into American law would +not be the way to win a good agreement. So, I must tell you in this +Congress I will veto any effort that undercuts our national security and +our negotiating leverage. + +Now, today, we also find ourselves engaged in expanding peaceful commerce +across the world. We will work to expand our opportunities in international +markets through the Uruguay round of trade negotiations and to complete an +historic free trade arrangement between the world's two largest trading +partners, Canada and the United States. Our basic trade policy remains the +same: We remain opposed as ever to protectionism, because America's growth +and future depend on trade. But we would insist on trade that is fair and +free. We are always willing to be trade partners but never trade patsies. + +Now, from foreign borders let us return to our own, because America in the +world is only as strong as America at home. This 100th Congress has high +responsibilities. I begin with a gentle reminder that many of these are +simply the incomplete obligations of the past. The American people deserve +to be impatient, because we do not yet have the public house in order. +We've had great success in restoring our economic integrity, and we've +rescued our nation from the worst economic mess since the Depression. But +there's more to do. For starters, the Federal deficit is outrageous. For +years I've asked that we stop pushing onto our children the excesses of our +government. And what the Congress finally needs to do is pass a +constitutional amendment that mandates a balanced budget and forces +government to live within its means. States, cities, and the families of +America balance their budgets. Why can't we? + +Next, the budget process is a sorry spectacle. The missing of deadlines and +the nightmare of monstrous continuing resolutions packing hundreds of +billions of dollars of spending into one bill must be stopped. We ask the +Congress once again: Give us the same tool that 43 Governors have--a +lineitem veto so we can carve out the boondoggles and pork, those items +that would never survive on their own. I will send the Congress broad +recommendations on the budget, but first I'd like to see yours. Let's go to +work and get this done together. + +But now let's talk about this year's budget. Even though I have submitted +it within the Gramm-Rudman-Hollings deficit reduction target, I have seen +suggestions that we might postpone that timetable. Well, I think the +American people are tired of hearing the same old excuses. Together we made +a commitment to balance the budget. Now let's keep it. As for those +suggestions that the answer is higher taxes, the American people have +repeatedly rejected that shop-worn advice. They know that we don't have +deficits because people are taxed too little. We have deficits because big +government spends too much. + +Now, next month I'll place two additional reforms before the Congress. +We've created a welfare monster that is a shocking indictment of our sense +of priorities. Our national welfare system consists of some 59 major +programs and over 6,000 pages of Federal laws and regulations on which more +than $132 billion was spent in 1985. I will propose a new national welfare +strategy, a program of welfare reform through State-sponsored, +community-based demonstration projects. This is the time to reform this +outmoded social dinosaur and finally break the poverty trap. Now, we will +never abandon those who, through no fault of their own, must have our help. +But let us work to see how many can be freed from the dependency of welfare +and made self-supporting, which the great majority of welfare recipients +want more than anything else. Next, let us remove a financial specter +facing our older Americans: the fear of an illness so expensive that it can +result in having to make an intolerable choice between bankruptcy and +death. I will submit legislation shortly to help free the elderly from the +fear of catastrophic illness. + +Now let's turn to the future. It's widely said that America is losing her +competitive edge. Well, that won't happen if we act now. How well prepared +are we to enter the 21st century? In my lifetime, America set the standard +for the world. It is now time to determine that we should enter the next +century having achieved a level of excellence unsurpassed in history. We +will achieve this, first, by guaranteeing that government does everything +possible to promote America's ability to compete. Second, we must act as +individuals in a quest for excellence that will not be measured by new +proposals or billions in new funding. Rather, it involves an expenditure of +American spirit and just plain American grit. The Congress will soon +receive my comprehensive proposals to enhance our competitiveness, +including new science and technology centers and strong new funding for +basic research. The bill will include legal and regulatory reforms and +weapons to fight unfair trade practices. Competitiveness also means giving +our farmers a shot at participating fairly and fully in a changing world +market. + +Preparing for the future must begin, as always, with our children. We need +to set for them new and more rigorous goals. We must demand more of +ourselves and our children by raising literacy levels dramatically by the +year 2000. Our children should master the basic concepts of math and +science, and let's insist that students not leave high school until they +have studied and understood the basic documents of our national heritage. +There's one more thing we can't let up on: Let's redouble our personal +efforts to provide for every child a safe and drug-free learning +environment. If our crusade against drugs succeeds with our children, we +will defeat that scourge all over the country. + +Finally, let's stop suppressing the spiritual core of our national being. +Our nation could not have been conceived without divine help. Why is it +that we can build a nation with our prayers, but we can't use a schoolroom +for voluntary prayer? The 100th Congress of the United States should be +remembered as the one that ended the expulsion of God from America's +classrooms. + +The quest for excellence into the 21st century begins in the schoolroom but +must go next to the workplace. More than 20 million new jobs will be +created before the new century unfolds, and by then, our economy should be +able to provide a job for everyone who wants to work. We must also enable +our workers to adapt to the rapidly changing nature of the workplace. And I +will propose substantial, new Federal commitments keyed to retraining and +job mobility. + +Over the next few weeks, I'll be sending the Congress a complete series of +these special messages--on budget reform, welfare reform, competitiveness, +including education, trade, worker training and assistance, agriculture, +and other subjects. The Congress can give us these tools, but to make these +tools work, it really comes down to just being our best. And that is the +core of American greatness. The responsibility of freedom presses us +towards higher knowledge and, I believe, moral and spiritual greatness. +Through lower taxes and smaller government, government has its ways of +freeing people's spirits. But only we, each of us, can let the spirit soar +against our own individual standards. Excellence is what makes freedom +ring. And isn't that what we do best? + +We're entering our third century now, but it's wrong to judge our nation by +its years. The calendar can't measure America because we were meant to be +an endless experiment in freedom--with no limit to our reaches, no +boundaries to what we can do, no end point to our hopes. The United States +Constitution is the impassioned and inspired vehicle by which we travel +through history. It grew out of the most fundamental inspiration of our +existence: that we are here to serve Him by living free--that living free +releases in us the noblest of impulses and the best of our abilities; that +we would use these gifts for good and generous purposes and would secure +them not just for ourselves and for our children but for all mankind. + +Over the years--I won't count if you don't--nothing has been so +heartwarming to me as speaking to America's young, and the little ones +especially, so fresh-faced and so eager to know. Well, from time to time +I've been with them--they will ask about our Constitution. And I hope you +Members of Congress will not deem this a breach of protocol if you'll +permit me to share these thoughts again with the young people who might be +listening or watching this evening. I've read the constitutions of a number +of countries, including the Soviet Union's. Now, some people are surprised +to hear that they have a constitution, and it even supposedly grants a +number of freedoms to its people. Many countries have written into their +constitution provisions for freedom of speech and freedom of assembly. +Well, if this is true, why is the Constitution of the United States so +exceptional? + +Well, the difference is so small that it almost escapes you, but it's so +great it tells you the whole story in just three words: We the people. In +those other constitutions, the Government tells the people of those +countries what they're allowed to do. In our Constitution, we the people +tell the Government what it can do, and it can do only those things listed +in that document and no others. Virtually every other revolution in history +has just exchanged one set of rulers for another set of rulers. Our +revolution is the first to say the people are the masters and government is +their servant. And you young people out there, don't ever forget that. +Someday you could be in this room, but wherever you are, America is +depending on you to reach your highest and be your best--because here in +America, we the people are in charge. + +Just three words: We the people--those are the kids on Christmas Day +looking out from a frozen sentry post on the 38th parallel in Korea or +aboard an aircraft carrier in the Mediterranean. A million miles from home, +but doing their duty. + +We the people--those are the warmhearted whose numbers we can't begin to +count, who'll begin the day with a little prayer for hostages they will +never know and MIA families they will never meet. Why? Because that's the +way we are, this unique breed we call Americans. + +We the people--they're farmers on tough times, but who never stop feeding a +hungry world. They're the volunteers at the hospital choking back their +tears for the hundredth time, caring for a baby struggling for life because +of a mother who used drugs. And you'll forgive me a special memory--it's a +million mothers like Nelle Reagan who never knew a stranger or turned a +hungry person away from her kitchen door. + +We the people--they refute last week's television commentary downgrading +our optimism and our idealism. They are the entrepreneurs, the builders, +the pioneers, and a lot of regular folks--the true heroes of our land who +make up the most uncommon nation of doers in history. You know they're +Americans because their spirit is as big as the universe and their hearts +are bigger than their spirits. + +We the people--starting the third century of a dream and standing up to +some cynic who's trying to tell us we're not going to get any better. Are +we at the end? Well, I can't tell it any better than the real thing--a +story recorded by James Madison from the final moments of the +Constitutional Convention, September 17th, 1787. As the last few members +signed the document, Benjamin Franklin--the oldest delegate at 81 years and +in frail health--looked over toward the chair where George Washington daily +presided. At the back of the chair was painted the picture of a Sun on the +horizon. And turning to those sitting next to him, Franklin observed that +artists found it difficult in their painting to distinguish between a +rising and a setting Sun. + +Well, I know if we were there, we could see those delegates sitting around +Franklin-leaning in to listen more closely to him. And then Dr. Franklin +began to share his deepest hopes and fears about the outcome of their +efforts, and this is what he said: "I have often looked at that picture +behind the President without being able to tell whether it was a rising or +setting Sun: But now at length I have the happiness to know that it is a +rising and not a setting Sun." Well, you can bet it's rising because, my +fellow citizens, America isn't finished. Her best days have just begun. + +Thank you, God bless you, and God bless America. NOTE: The President spoke +at 9:03 p.m. in the House Chamber of the Capitol. He was introduced by Jim +Wright, Speaker of the House of Representatives. The address was broadcast +live on nationwide radio and television. + +*** + +State of the Union Address +Ronald Reagan +January 25, 1988 + +Mr. Speaker, Mr. President, and distinguished Members of the House and +Senate: When we first met here 7 years ago-many of us for the first +time--it was with the hope of beginning something new for America. We meet +here tonight in this historic Chamber to continue that work. If anyone +expects just a proud recitation of the accomplishments of my +administration, I say let's leave that to history; we're not finished yet. +So, my message to you tonight is put on your work shoes; we're still on the +job. + +History records the power of the ideas that brought us here those 7 years +ago-ideas like the individual's right to reach as far and as high as his or +her talents will permit; the free market as an engine of economic progress. +And as an ancient Chinese philosopher, Lao-tzu, said: "Govern a great +nation as you would cook a small fish; do not overdo it." Well, these ideas +were part of a larger notion, a vision, if you will, of America +herself---an America not only rich in opportunity for the individual but an +America, too, of strong families and vibrant neighborhoods; an America +whose divergent but harmonizing communities were a reflection of a deeper +community of values: the value of work, of family, of religion, and of the +love of freedom that God places in each of us and whose defense He has +entrusted in a special way to this nation. + +All of this was made possible by an idea I spoke of when Mr. Gorbachev was +here-the belief that the most exciting revolution ever known to humankind +began with three simple words: "We the People," the revolutionary notion +that the people grant government its rights, and not the other way around. +And there's one lesson that has come home powerfully to me, which I would +offer to you now. Just as those who created this Republic pledged to each +other their lives, their fortunes, and their sacred honor, so, too, +America's leaders today must pledge to each other that we will keep +foremost in our hearts and minds not what is best for ourselves or for our +party but what is best for America. + +In the spirit of Jefferson, let us affirm that in this Chamber tonight +there are no Republicans, no Democrats--just Americans. Yes, we will have +our differences, but let us always remember what unites us far outweighs +whatever divides us. Those who sent us here to serve them--the millions of +Americans watching and listening tonight-expect this of us. Let's prove to +them and to ourselves that democracy works even in an election year. We've +done this before. And as we have worked together to bring down spending, +tax rates, and inflation, employment has climbed to record heights; America +has created more jobs and better, higher paying jobs; family income has +risen for 4 straight years, and America's poor climbed out of poverty at +the fastest rate in more than 10 years. + +Our record is not just the longest peacetime expansion in history but an +economic and social revolution of hope based on work, incentives, growth, +and opportunity; a revolution of compassion that led to private sector +initiatives and a 77-percent increase in charitable giving; a revolution +that at a critical moment in world history reclaimed and restored the +American dream. + +In international relations, too, there's only one description for what, +together, we have achieved: a complete turnabout, a revolution. Seven years +ago, America was weak, and freedom everywhere was under siege. Today +America is strong, and democracy is everywhere on the move. From Central +America to East Asia, ideas like free markets and democratic reforms and +human rights are taking hold. We've replaced "Blame America" with "Look up +to America." We've rebuilt our defenses. And of all our accomplishments, +none can give us more satisfaction than knowing that our young people are +again proud to wear our country's uniform. + +And in a few moments, I'm going to talk about three developments--arms +reduction, the Strategic Defense Initiative, and the global democratic +revolution--that, when taken together, offer a chance none of us would have +dared imagine 7 years ago, a chance to rid the world of the two great +nightmares of the postwar era. I speak of the startling hope of giving our +children a future free of both totalitarianism and nuclear terror. + +Tonight, then, we're strong, prosperous, at peace, and we are free. This is +the state of our Union. And if we will work together this year, I believe +we can give a future President and a future Congress the chance to make +that prosperity, that peace, that freedom not just the state of our Union +but the state of our world. + +Toward this end, we have four basic objectives tonight. First, steps we can +take this year to keep our economy strong and growing, to give our children +a future of low inflation and full employment. Second, let's check our +progress in attacking social problems, where important gains have been +made, but which still need critical attention. I mean schools that work, +economic independence for the poor, restoring respect for family life and +family values. Our third objective tonight is global: continuing the +exciting economic and democratic revolutions we've seen around the world. +Fourth and finally, our nation has remained at peace for nearly a decade +and a half, as we move toward our goals of world prosperity and world +freedom. We must protect that peace and deter war by making sure the next +President inherits what you and I have a moral obligation to give that +President: a national security that is unassailable and a national defense +that takes full advantage of new technology and is fully funded. + +This is a full agenda. It's meant to be. You see, my thinking on the next +year is quite simple: Let's make this the best of 8. And that means it's +all out--right to the finish line. I don't buy the idea that this is the +last year of anything, because we're not talking here tonight about +registering temporary gains but ways of making permanent our successes. And +that's why our focus is the values, the principles, and ideas that made +America great. Let's be clear on this point. We're for limited government, +because we understand, as the Founding Fathers did, that it is the best way +of ensuring personal liberty and empowering the individual so that every +American of every race and region shares fully in the flowering of American +prosperity and freedom. + +One other thing we Americans like--the future--like the sound of it, the +idea of it, the hope of it. Where others fear trade and economic growth, we +see opportunities for creating new wealth and undreamed-of opportunities +for millions in our own land and beyond. Where others seek to throw up +barriers, we seek to bring them down. Where others take counsel of their +fears, we follow our hopes. Yes, we Americans like the future and like +making the most of it. Let's do that now. + +And let's begin by discussing how to maintain economic growth by +controlling and eventually eliminating the problem of Federal deficits. We +have had a balanced budget only eight times in the last 57 years. For the +first time in 14 years, the Federal Government spent less in real terms +last year than the year before. We took $73 billion off last year's deficit +compared to the year before. The deficit itself has moved from 6.3 percent +of the gross national product to only 3.4 percent. And perhaps the most +important sign of progress has been the change in our view of deficits. You +know, a few of us can remember when, not too many years ago, those who +created the deficits said they would make us prosperous and not to worry +about the debt, because we owe it to ourselves. Well, at last there is +agreement that we can't spend ourselves rich. + +Our recent budget agreement, designed to reduce Federal deficits by $76 +billion over the next 2 years, builds on this consensus. But this agreement +must be adhered to without slipping into the errors of the past: more +broken promises and more unchecked spending. As I indicated in my first +State of the Union, what ails us can be simply put: The Federal Government +is too big, and it spends too much money. I can assure you, the bipartisan +leadership of Congress, of my help in fighting off any attempt to bust our +budget agreement. And this includes the swift and certain use of the veto +power. + +Now, it's also time for some plain talk about the most immediate obstacle +to controlling Federal deficits. The simple but frustrating problem of +making expenses match revenues--something American families do and the +Federal Government can't--has caused crisis after crisis in this city. Mr. +Speaker, Mr. President, I will say to you tonight what I have said before +and will continue to say: The budget process has broken down; it needs a +drastic overhaul. With each ensuing year, the spectacle before the American +people is the same as it was this Christmas: budget deadlines delayed or +missed completely, monstrous continuing resolutions that pack hundreds of +billions of dollars worth of spending into one bill, and a Federal +Government on the brink of default. + +I know I'm echoing what you here in the Congress have said, because you +suffered so directly. But let's recall that in 7 years, of 91 +appropriations bills scheduled to arrive on my desk by a certain date, only +10 made it on time. Last year, of the 13 appropriations bills due by +October 1st, none of them made it. Instead, we had four continuing +resolutions lasting 41 days, then 36 days, and 2 days, and 3 days, +respectively. + +And then, along came these behemoths. This is the conference report--1,053 +pages, report weighing 14 pounds. Then this--a reconciliation bill 6 months +late that was 1,186 pages long, weighing 15 pounds. And the long-term +continuing resolution--this one was 2 months late, and it's 1,057 pages +long, weighing 14 pounds. That was a total of 43 pounds of paper and ink. +You had 3 hours--yes, 3 hours--to consider each, and it took 300 people at +my Office of Management and Budget just to read the bill so the Government +wouldn't shut down. Congress shouldn't send another one of these. No, and +if you do, I will not sign it. + +Let's change all this. Instead of a Presidential budget that gets discarded +and a congressional budget resolution that is not enforced, why not a +simple partnership, a joint agreement that sets out the spending priorities +within the available revenues? And let's remember our deadline is October +1st, not Christmas. Let's get the people's work done in time to avoid a +footrace with Santa Claus. And, yes, this year--to coin a phrase--a new +beginning: 13 individual bills, on time and fully reviewed by Congress. + +I'm also certain you join me in saying: Let's help ensure our future of +prosperity by giving the President a tool that, though I will not get to +use it, is one I know future Presidents of either party must have. Give the +President the same authority that 43 Governors use in their States: the +right to reach into massive appropriation bills, pare away the waste, and +enforce budget discipline. Let's approve the line-item veto. + +And let's take a partial step in this direction. Most of you in this +Chamber didn't know what was in this catchall bill and report. Over the +past few weeks, we've all learned what was tucked away behind a little +comma here and there. For example, there's millions for items such as +cranberry research, blueberry research, the study of crawfish, and the +commercialization of wildflowers. And that's not to mention the five or so +million ($.5 million) that--so that people from developing nations could +come here to watch Congress at work. I won't even touch that. So, tonight I +offer you this challenge. In 30 days I will send back to you those items as +rescissions, which if I had the authority to line them out I would do so. + +Now, review this multibillion-dollar package that will not undercut our +bipartisan budget agreement. As a matter of fact, if adopted, it will +improve our deficit reduction goals. And what an example we can set, that +we're serious about getting our financial accounts in order. By acting and +approving this plan, you have the opportunity to override a congressional +process that is out of control. + +There is another vital reform. Yes, Gramm-Rudman-Hollings has been +profoundly helpful, but let us take its goal of a balanced budget and make +it permanent. Let us do now what so many States do to hold down spending +and what 32 State legislatures have asked us to do. Let us heed the wishes +of an overwhelming plurality of Americans and pass a constitutional +amendment that mandates a balanced budget and forces the Federal Government +to live within its means. Reform of the budget process--including the +line-item veto and balanced budget amendment--will, together with real +restraint on government spending, prevent the Federal budget from ever +again ravaging the family budget. + +Let's ensure that the Federal Government never again legislates against the +family and the home. Last September 1 signed an Executive order on the +family requiring that every department and agency review its activities in +light of seven standards designed to promote and not harm the family. But +let us make certain that the family is always at the center of the public +policy process not just in this administration but in all future +administrations. It's time for Congress to consider, at the beginning, a +statement of the impact that legislation will have on the basic unit of +American society, the family. + +And speaking of the family, let's turn to a matter on the mind of every +American parent tonight: education. We all know the sorry story of the +sixties and seventies-soaring spending, plummeting test scores-and that +hopeful trend of the eighties, when we replaced an obsession with dollars +with a commitment to quality, and test scores started back up. There's a +lesson here that we all should write on the blackboard a hundred times: In +a child's education, money can never take the place of basics like +discipline, hard work, and, yes, homework. + +As a nation we do, of course, spend heavily on education--more than we +spend on defense. Yet across our country, Governors like New Jersey's Tom +Kean are giving classroom demonstrations that how we spend is as important +as how much we spend. Opening up the teaching profession to all qualified +candidates, merit pay--so that good teachers get A's as well as apples--and +stronger curriculum, as Secretary Bennett has proposed for high +schools--these imaginative reforms are making common sense the most popular +new kid in America's schools. How can we help? Well, we can talk about and +push for these reforms. But the most important thing we can do is to +reaffirm that control of our schools belongs to the States, local +communities and, most of all, to the parents and teachers. + +My friends, some years ago, the Federal Government declared war on poverty, +and poverty won. Today the Federal Government has 59 major welfare programs +and spends more than $100 billion a year on them. What has all this money +done? Well, too often it has only made poverty harder to escape. Federal +welfare programs have created a massive social problem. With the best of +intentions, government created a poverty trap that wreaks havoc on the very +support system the poor need most to lift themselves out of poverty: the +family. Dependency has become the one enduring heirloom, passed from one +generation to the next, of too many fragmented families. + +It is time--this may be the most radical thing I've said in 7 years in this +office--it's time for Washington to show a little humility. There are a +thousand sparks of genius in 50 States and a thousand communities around +the Nation. It is time to nurture them and see which ones can catch fire +and become guiding lights. States have begun to show us the way. They've +demonstrated that successful welfare programs can be built around more +effective child support enforcement practices and innovative programs +requiring welfare recipients to work or prepare for work. Let us give the +States more flexibility and encourage more reforms. Let's start making our +welfare system the first rung on America's ladder of opportunity, a boost +up from dependency, not a graveyard but a birthplace of hope. + +And now let me turn to three other matters vital to family values and the +quality of family life. The first is an untold American success story. +Recently, we released our annual survey of what graduating high school +seniors have to say about drugs. Cocaine use is declining, and marijuana +use was the lowest since surveying began. We can be proud that our students +are just saying no to drugs. But let us remember what this menace requires: +commitment from every part of America and every single American, a +commitment to a drugfree America. The war against drugs is a war of +individual battles, a crusade with many heroes, including America's young +people and also someone very special to me. She has helped so many of our +young people to say no to drugs. Nancy, much credit belongs to you, and I +want to express to you your husband's pride and your country's thanks.'. +Surprised you, didn't I? + +Well, now we come to a family issue that we must have the courage to +confront. Tonight, I call America--a good nation, a moral people--to +charitable but realistic consideration of the terrible cost of abortion on +demand. To those who say this violates a woman's right to control of her +own body: Can they deny that now medical evidence confirms the unborn child +is a living human being entitled to life, liberty, and the pursuit of +happiness? Let us unite as a nation and protect the unborn with legislation +that would stop all Federal funding for abortion and with a human life +amendment making, of course, an exception where the unborn child threatens +the life of the mother. Our Judeo-Christian tradition recognizes the right +of taking a life in self-defense. But with that one exception, let us look +to those others in our land who cry out for children to adopt. I pledge to +you tonight I will work to remove barriers to adoption and extend full +sharing in family life to millions of Americans so that children who need +homes can be welcomed to families who want them and love them. + +And let me add here: So many of our greatest statesmen have reminded us +that spiritual values alone are essential to our nation's health and vigor. +The Congress opens its proceedings each day, as does the Supreme Court, +with an acknowledgment of the Supreme Being. Yet we are denied the right to +set aside in our schools a moment each day for those who wish to pray. I +believe Congress should pass our school prayer amendment. + +Now, to make sure there is a full nine member Supreme Court to interpret +the law, to protect the rights of all Americans, I urge the Senate to move +quickly and decisively in confirming Judge Anthony Kennedy to the highest +Court in the land and to also confirm 27 nominees now waiting to fill +vacancies in the Federal judiciary. + +Here then are our domestic priorities. Yet if the Congress and the +administration work together, even greater opportunities lie ahead to +expand a growing world economy, to continue to reduce the threat of nuclear +arms, and to extend the frontiers of freedom and the growth of democratic +institutions. + +Our policies consistently received the strongest support of the late +Congressman Dan Daniel of Virginia. I'm sure all of you join me in +expressing heartfelt condolences on his passing. + +One of the greatest contributions the United States can make to the world +is to promote freedom as the key to economic growth. A creative, +competitive America is the answer to a changing world, not trade wars that +would close doors, create greater barriers, and destroy millions of jobs. +We should always remember: Protectionism is destructionism. America's jobs, +America's growth, America's future depend on trade--trade that is free, +open, and fair. + +This year, we have it within our power to take a major step toward a +growing global economy and an expanding cycle of prosperity that reaches to +all the free nations of this Earth. I'm speaking of the historic free trade +agreement negotiated between our country and Canada. And I can also tell +you that we're determined to expand this concept, south as well as north. +Next month I will be traveling to Mexico, where trade matters will be of +foremost concern. And over the next several months, our Congress and the +Canadian Parliament can make the start of such a North American accord a +reality. Our goal must be a day when the free flow of trade, from the tip +of Tierra del Fuego to the Arctic Circle, unites the people of the Western +Hemisphere in a bond of mutually beneficial exchange, when all borders +become what the U.S.-Canadian border so long has been: a meeting place +rather than a dividing line. + +This movement we see in so many places toward economic freedom is +indivisible from the worldwide movement toward political freedom and +against totalitarian rule. This global democratic revolution has removed +the specter, so frightening a decade ago, of democracy doomed to permanent +minority status in the world. In South and Central America, only a third of +the people enjoyed democratic rule in 1976. Today over 90 percent of Latin +Americans live in nations committed to democratic principles. And the +resurgence of democracy is owed to these courageous people on almost every +continent who have struggled to take control of their own destiny. + +In Nicaragua the struggle has extra meaning, because that nation is so near +our own borders. The recent revelations of a former high-level Sandinista +major, Roger Miranda, show us that, even as they talk peace, the Communist +Sandinista government of Nicaragua has established plans for a large +600,000-man army. Yet even as these plans are made, the Sandinista regime +knows the tide is turning, and the cause of Nicaraguan freedom is riding at +its crest. Because of the freedom fighters, who are resisting Communist +rule, the Sandinistas have been forced to extend some democratic rights, +negotiate with church authorities, and release a few political prisoners. + +The focus is on the Sandinistas, their promises and their actions. There is +a consensus among the four Central American democratic Presidents that the +Sandinistas have not complied with the plan to bring peace and democracy to +all of Central America. The Sandinistas again have promised reforms. Their +challenge is to take irreversible steps toward democracy. On Wednesday my +request to sustain the freedom fighters will be submitted, which reflects +our mutual desire for peace, freedom, and democracy in Nicaragua. I ask +Congress to pass this request. Let us be for the people of Nicaragua what +Lafayette, Pulaski, and Von Steuben were for our forefathers and the cause +of American independence. + +So, too, in Afghanistan, the freedom fighters are the key to peace. We +support the Mujahidin. There can be no settlement unless all Soviet troops +are removed and the Afghan people are allowed genuine self-determination. I +have made my views on this matter known to Mr. Gorbachev. But not just +Nicaragua or Afghanistan--yes, everywhere we see a swelling freedom tide +across the world: freedom fighters rising up in Cambodia and Angola, +fighting and dying for the same democratic liberties we hold sacred. Their +cause is our cause: freedom. + +Yet even as we work to expand world freedom, we must build a safer peace +and reduce the danger of nuclear war. But let's have no illusions. Three +years of steady decline in the value of our annual defense investment have +increased the risk of our most basic security interests, jeopardizing +earlier hard-won goals. We must face squarely the implications of this +negative trend and make adequate, stable defense spending a top goal both +this year and in the future. + +This same concern applies to economic and security assistance programs as +well. But the resolve of America and its NATO allies has opened the way for +unprecedented achievement in arms reduction. Our recently signed INF treaty +is historic, because it reduces nuclear arms and establishes the most +stringent verification regime in arms control history, including several +forms of short-notice, on-site inspection. I submitted the treaty today, +and I urge the Senate to give its advice and consent to ratification of +this landmark agreement. Thank you very much. + +In addition to the INF treaty, we're within reach of an even more +significant START agreement that will reduce U.S. and Soviet long-range +missile--or strategic arsenals by half. But let me be clear. Our approach +is not to seek agreement for agreement's sake but to settle only for +agreements that truly enhance our national security and that of our allies. +We will never put our security at risk--or that of our allies-just to reach +an agreement with the Soviets. No agreement is better than a bad +agreement. + +As I mentioned earlier, our efforts are to give future generations what we +never had--a future free of nuclear terror. Reduction of strategic +offensive arms is one step, SDI another. Our funding request for our +Strategic Defense Initiative is less than 2 percent of the total defense +budget. SDI funding is money wisely appropriated and money well spent. SDI +has the same purpose and supports the same goals of arms reduction. It +reduces the risk of war and the threat of nuclear weapons to all mankind. +Strategic defenses that threaten no one could offer the world a safer, more +stable basis for deterrence. We must also remember that SDI is our +insurance policy against a nuclear accident, a Chernobyl of the sky, or an +accidental launch or some madman who might come along. + +We've seen such changes in the world in 7 years. As totalitarianism +struggles to avoid being overwhelmed by the forces of economic advance and +the aspiration for human freedom, it is the free nations that are resilient +and resurgent. As the global democratic revolution has put totalitarianism +on the defensive, we have left behind the days of retreat. America is again +a vigorous leader of the free world, a nation that acts decisively and +firmly in the furtherance of her principles and vital interests. No legacy +would make me more proud than leaving in place a bipartisan consensus for +the cause of world freedom, a consensus that prevents a paralysis of +American power from ever occurring again. + +But my thoughts tonight go beyond this, and I hope you'll let me end this +evening with a personal reflection. You know, the world could never be +quite the same again after Jacob Shallus, a trustworthy and dependable +clerk of the Pennsylvania General Assembly, took his pen and engrossed +those words about representative government in the preamble of our +Constitution. And in a quiet but final way, the course of human events was +forever altered when, on a ridge overlooking the Emmitsburg Pike in an +obscure Pennsylvania town called Gettysburg, Lincoln spoke of our duty to +government of and by the people and never letting it perish from the +Earth. + +At the start of this decade, I suggested that we live in equally momentous +times, that it is up to us now to decide whether our form of government +would endure and whether history still had a place of greatness for a +quiet, pleasant, greening land called America. Not everything has been made +perfect in 7 years, nor will it be made perfect in seven times 70 years, +but before us, this year and beyond, are great prospects for the cause of +peace and world freedom. + +It means, too, that the young Americans I spoke of 7 years ago, as well as +those who might be coming along the Virginia or Maryland shores this night +and seeing for the first time the lights of this Capital City--the lights +that cast their glow on our great halls of government and the monuments to +the memory of our great men--it means those young Americans will find a +city of hope in a land that is free. + +We can be proud that for them and for us, as those lights along the Potomac +are still seen this night signaling as they have for nearly two centuries +and as we pray God they always will, that another generation of Americans +has protected and passed on lovingly this place called America, this +shining city on a hill, this government of, by, and for the people. + +Thank you, and God bless you. NOTE: The President spoke at 9:07 p.m. in the +House Chamber of the Capitol. He was introduced by Jim Wright, Speaker of +the House of Representatives. The address was broadcast live on nationwide +radio and television. + + + +*** END OF THE PROJECT GUTENBERG EBOOK OF ADDRESSES BY RONALD REAGAN *** + +This file should be named surea10.txt or surea10.zip +Corrected EDITIONS of our eBooks get a new NUMBER, surea11.txt +VERSIONS based on separate sources get new LETTER, surea10a.txt + +Project Gutenberg eBooks are often created from several printed +editions, all of which are confirmed as Public Domain in the US +unless a copyright notice is included. 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Please do not remove it. Do not change or edit the +header without written permission. + +Please read the "legal small print," and other information about the +eBook and Project Gutenberg at the bottom of this file. Included is +important information about your specific rights and restrictions in +how the file may be used. You can also find out about how to make a +donation to Project Gutenberg, and how to get involved. + + +**Welcome To The World of Free Plain Vanilla Electronic Texts** + +**eBooks Readable By Both Humans and By Computers, Since 1971** + +*****These eBooks Were Prepared By Thousands of Volunteers!***** + + +Title: State of the Union Addresses of Ronald Reagan + +Author: Ronald Reagan + +Release Date: February, 2004 [EBook #5046] +[Yes, we are more than one year ahead of schedule] +[This file was first posted on April 11, 2002] +[Date last updated: December 16, 2004] + +Edition: 11 + +Language: English + +Character set encoding: ASCII + +*** START OF THE PROJECT GUTENBERG EBOOK OF ADDRESSES BY RONALD REAGAN *** + + + + +This eBook was produced by James Linden. + +The addresses are separated by three asterisks: *** + +Dates of addresses by Ronald Reagan in this eBook: + January 26, 1982 + January 25, 1983 + January 25, 1984 + February 6, 1985 + February 4, 1986 + January 27, 1987 + January 25, 1988 + + + +*** + +State of the Union Address +Ronald Reagan +January 26, 1982 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +Today marks my first State of the Union address to you, a constitutional +duty as old as our Republic itself. + +President Washington began this tradition in 1790 after reminding the +Nation that the destiny of self-government and the "preservation of the +sacred fire of liberty" is "finally staked on the experiment entrusted to +the hands of the American people." For our friends in the press, who place +a high premium on accuracy, let me say: I did not actually hear George +Washington say that. But it is a matter of historic record. + +But from this podium, Winston Churchill asked the free world to stand +together against the onslaught of aggression. Franklin Delano Roosevelt +spoke of a day of infamy and summoned a nation to arms. Douglas MacArthur +made an unforgettable farewell to a country he loved and served so well. +Dwight Eisenhower reminded us that peace was purchased only at the price of +strength. And John F. Kennedy spoke of the burden and glory that is +freedom. + +When I visited this Chamber last year as a newcomer to Washington, critical +of past policies which I believed had failed, I proposed a new spirit of +partnership between this Congress and this administration and between +Washington and our State and local governments. In forging this new +partnership for America, we could achieve the oldest hopes of our +Republic--prosperity for our nation, peace for the world, and the blessings +of individual liberty for our children and, someday, for all of humanity. + +It's my duty to report to you tonight on the progress that we have made in +our relations with other nations, on the foundation we've carefully laid +for our economic recovery, and finally, on a bold and spirited initiative +that I believe can change the face of American government and make it again +the servant of the people. + +Seldom have the stakes been higher for America. What we do and say here +will make all the difference to autoworkers in Detroit, lumberjacks in the +Northwest, steelworkers in Steubenville who are in the unemployment lines; +to black teenagers in Newark and Chicago; to hard-pressed farmers and small +businessmen; and to millions of everyday Americans who harbor the simple +wish of a safe and financially secure future for their children. To +understand the state of the Union, we must look not only at where we are +and where we're going but where we've been. The situation at this time last +year was truly ominous. + +The last decade has seen a series of recessions. There was a recession in +1970, in 1974, and again in the spring of 1980. Each time, unemployment +increased and inflation soon turned up again. We coined the word +"stagflation" to describe this. + +Government's response to these recessions was to pump up the money supply +and increase spending. In the last 6 months of 1980, as an example, the +money supply increased at the fastest rate in postwar history--13 percent. +Inflation remained in double digits, and government spending increased at +an annual rate of 17 percent. Interest rates reached a staggering 21.5 +percent. There were 8 million unemployed. + +Late in 1981 we sank into the present recession, largely because continued +high interest rates hurt the auto industry and construction. And there was +a drop in productivity, and the already high unemployment increased. + +This time, however, things are different. We have an economic program in +place, completely different from the artificial quick fixes of the past. It +calls for a reduction of the rate of increase in government spending, and +already that rate has been cut nearly in half. But reduced spending the +first and smallest phase of a 3-year tax rate reduction designed to +stimulate the economy and create jobs. Already interest rates are down to +15 3/4 percent, but they must still go lower. Inflation is down from 12.4 +percent to 8.9, and for the month of December it was running at an +annualized rate of 5.2 percent. If we had not acted as we did, things would +be far worse for all Americans than they are today. Inflation, taxes, and +interest rates would all be higher. + +A year ago, Americans' faith in their governmental process was steadily +declining. Six out of 10 Americans were saying they were pessimistic about +their future. A new kind of defeatism was heard. Some said our domestic +problems were uncontrollable, that we had to learn to live with this +seemingly endless cycle of high inflation and high unemployment. + +There were also pessimistic predictions about the relationship between our +administration and this Congress. It was said we could never work together. +Well, those predictions were wrong. The record is clear, and I believe that +history will remember this as an era of American renewal, remember this +administration as an administration of change, and remember this Congress +as a Congress of destiny. + +Together, we not only cut the increase in government spending nearly in +half, we brought about the largest tax reductions and the most sweeping +changes in our tax structure since the beginning of this century. And +because we indexed future taxes to the rate of inflation, we took away +government's built-in profit on inflation and its hidden incentive to grow +larger at the expense of American workers. + +Together, after 50 years of taking power away from the hands of the people +in their States and local communities, we have started returning power and +resources to them. + +Together, we have cut the growth of new Federal regulations nearly in half. +In 1981 there were 23,000 fewer pages in the Federal Register, which lists +new regulations, than there were in 1980. By deregulating oil we've come +closer to achieving energy independence and helped bring down the cost of +gasoline and heating fuel. + +Together, we have created an effective Federal strike force to combat waste +and fraud in government. In just 6 months it has saved the taxpayers more +than $2 billion, and it's only getting started. + +Together we've begun to mobilize the private sector, not to duplicate +wasteful and discredited government programs, but to bring thousands of +Americans into a volunteer effort to help solve many of America's social +problems. + +Together we've begun to restore that margin of military safety that ensures +peace. Our country's uniform is being worn once again with pride. + +Together we have made a New Beginning, but we have only begun. + +No one pretends that the way ahead will be easy. In my Inaugural Address +last year, I warned that the "ills we suffer have come upon us over several +decades. They will not go away in days, weeks, or months, but they will go +away . . . because we as Americans have the capacity now, as we've had it +in the past, to do whatever needs to be done to preserve this last and +greatest bastion of freedom." + +The economy will face difficult moments in the months ahead. But the +program for economic recovery that is in place will pull the economy out of +its slump and put us on the road to prosperity and stable growth by the +latter half of this year. And that is why I can report to you tonight that +in the near future the state of the Union and the economy will be +better--much better--if we summon the strength to continue on the course +that we've charted. + +And so, the question: If the fundamentals are in place, what now? Well, two +things. First, we must understand what's happening at the moment to the +economy. Our current problems are not the product of the recovery program +that's only just now getting underway, as some would have you believe; they +are the inheritance of decades of tax and tax and spend and spend. + +Second, because our economic problems are deeply rooted and will not +respond to quick political fixes, we must stick to our carefully integrated +plan for recovery. That plan is based on four commonsense fundamentals: +continued reduction of the growth in Federal spending; preserving the +individual and business tax reductions that will stimulate saving and +investment; removing unnecessary Federal regulations to spark productivity; +and maintaining a healthy dollar and a stable monetary policy, the latter a +responsibility of the Federal Reserve System. + +The only alternative being offered to this economic program is a return to +the policies that gave us a trillion-dollar debt, runaway inflation, +runaway interest rates and unemployment. The doubters would have us turn +back the clock with tax increases that would offset the personal tax rate +reductions already passed by this Congress. Raise present taxes to cut +future deficits, they tell us. Well, I don't believe we should buy that +argument. + +There are too many imponderables for anyone to predict deficits or +surpluses several years ahead with any degree of accuracy. The budget in +place, when I took office, had been projected as balanced. It turned out to +have one of the biggest deficits in history. Another example of the +imponderables that can make deficit projections highly questionable--a +change of only one percentage point in unemployment can alter a deficit up +or down by some $25 billion. + +As it now stands, our forecast, which we're required by law to make, will +show major deficits starting at less than a hundred billion dollars and +declining, but still too high. More important, we're making progress with +the three keys to reducing deficits: economic growth, lower interest rates, +and spending control. The policies we have in place will reduce the deficit +steadily, surely, and in time, completely. + +Higher taxes would not mean lower deficits. If they did, how would we +explain that tax revenues more than doubled just since 1976; yet in that +same 6-year period we ran the largest series of deficits in our history. In +1980 tax revenues increased by $54 billion, and in 1980 we had one of our +all-time biggest deficits. Raising taxes won't balance the budget; it will +encourage more government spending and less private investment. Raising +taxes will slow economic growth, reduce production, and destroy future +jobs, making it more difficult for those without jobs to find them and more +likely that those who now have jobs could lose them. So, I will not ask you +to try to balance the budget on the backs of the American taxpayers. + +I will seek no tax increases this year, and I have no intention of +retreating from our basic program of tax relief. I promise to bring the +American people--to bring their tax rates down and to keep them down, to +provide them incentives to rebuild our economy, to save, to invest in +America's future. I will stand by my word. Tonight I'm urging the American +people: Seize these new opportunities to produce, to save, to invest, and +together we'll make this economy a mighty engine of freedom, hope, and +prosperity again. + +Now, the budget deficit this year will exceed our earlier expectations. The +recession did that. It lowered revenues and increased costs. To some +extent, we're also victims of our own success. We've brought inflation down +faster than we thought we could, and in doing this, we've deprived +government of those hidden revenues that occur when inflation pushes people +into higher income tax brackets. And the continued high interest rates last +year cost the government about $5 billion more than anticipated. + +We must cut out more nonessential government spending and rout out more +waste, and we will continue our efforts to reduce the number of employees +in the Federal work force by 75,000. + +The budget plan I submit to you on February 8th will realize major savings +by dismantling the Departments of Energy and Education and by eliminating +ineffective subsidies for business. We'll continue to redirect our +resources to our two highest budget priorities--a strong national defense +to keep America free and at peace and a reliable safety net of social +programs for those who have contributed and those who are in need. + +Contrary to some of the wild charges you may have heard, this +administration has not and will not turn its back on America's elderly or +America's poor. Under the new budget, funding for social insurance programs +will be more than double the amount spent only 6 years ago. But it would be +foolish to pretend that these or any programs cannot be made more efficient +and economical. + +The entitlement programs that make up our safety net for the truly needy +have worthy goals and many deserving recipients. We will protect them. But +there's only one way to see to it that these programs really help those +whom they were designed to help. And that is to bring their spiraling costs +under control. + +Today we face the absurd situation of a Federal budget with three-quarters +of its expenditures routinely referred to as "uncontrollable." And a large +part of this goes to entitlement programs. + +Committee after committee of this Congress has heard witness after witness +describe many of these programs as poorly administered and rife with waste +and fraud. Virtually every American who shops in a local supermarket is +aware of the daily abuses that take place in the food stamp program, which +has grown by 16,000 percent in the last 15 years. Another example is +Medicare and Medicaid--programs with worthy goals but whose costs have +increased from 11.2 billion to almost 60 billion, more than 5 times as +much, in just 10 years. + +Waste and fraud are serious problems. Back in 1980 Federal investigators +testified before one of your committees that "corruption has permeated +virtually every area of the Medicare and Medicaid health care industry." +One official said many of the people who are cheating the system were "very +confident that nothing was going to happen to them." Well, something is +going to happen. Not only the taxpayers are defrauded; the people with real +dependency on these programs are deprived of what they need, because +available resources are going not to the needy, but to the greedy. + +The time has come to control the uncontrollable. In August we made a start. +I signed a bill to reduce the growth of these programs by $44 billion over +the next 3 years while at the same time preserving essential services for +the truly needy. Shortly you will receive from me a message on further +reforms we intend to install--some new, but others long recommended by your +own congressional committees. I ask you to help make these savings for the +American taxpayer. + +The savings we propose in entitlement programs will total some $63 billion +over 4 Years and will, without affecting social t security, go a long way +toward bringing Federal spending under control. + +But don't be fooled by those who proclaim that spending cuts will deprive +the elderly, the needy, and the helpless. The. Federal Government will +still subsidize 95 million meals every day. That's one out of seven of all +the meals served in America. Head Start, senior nutrition programs, and +child welfare programs will not be cut from the levels we proposed last +year. More than one-half billion dollars has been proposed for minority +business assistance. And research at the National Institute of Health will +be increased by over $100 million. While meeting all these needs, we intend +to plug unwarranted tax loopholes and strengthen the law which requires all +large corporations to pay a minimum tax. + +I am confident the economic program we've put into operation will protect +the needy while it triggers a recovery that will benefit all Americans. It +will stimulate the economy, result in increased savings and provide capital +for expansion, mortgages for homebuilding, and jobs for the unemployed. + +Now that the essentials of that program are in place, our next major +undertaking must be a program--just as bold, just as innovative--to make +government again accountable to the people, to make our system of +federalism work again. + +Our citizens feel they've lost control of even the most basic decisions +made about the essential services of government, such as schools, welfare, +roads, and even garbage collection. And they're right. A maze of +interlocking jurisdictions and levels of government confronts average +citizens in trying to solve even the simplest of problems. They don't know +where to turn for answers, who to hold accountable, who to praise, who to +blame, who to vote for or against. The main reason for this is the +overpowering growth of Federal grants-in-aid programs during the past few +decades. + +In 1960 the Federal Government had 132 categorical grant programs, costing +$7 billion. When I took office, there were approximately 500, costing +nearly a hundred billion dollars--13 programs for energy, 36 for pollution +control, 66 for social services, 90 for education. And here in the +Congress, it takes at least 166 committees just to try to keep track of +them. + +You know and I know that neither the President nor the Congress can +properly oversee this jungle of grants-in-aid; indeed, the growth of these +grants has led to the distortion in the vital functions of government. As +one Democratic Governor put it recently: The National Government should be +worrying about "arms control, not potholes." + +The growth in these Federal programs has--in the words of one +intergovernmental commission--made the Federal Government "more pervasive, +more intrusive, more unmanageable, more ineffective and costly, and above +all, more (un) accountable." Let's solve this problem with a single, bold +stroke: the return of some $47 billion in Federal programs to State and +local government, together with the means to finance them and a transition +period of nearly 10 years to avoid unnecessary disruption. + +I will shortly send this Congress a message describing this program. I want +to emphasize, however, that its full details will have been worked out only +after close consultation with congressional, State, and local officials. + +Starting in fiscal 1984, the Federal Government will assume full +responsibility for the cost of the rapidly growing Medicaid program to go +along with its existing responsibility for Medicare. As part of a +financially equal swap, the States will simultaneously take full +responsibility for Aid to Families with Dependent Children and food stamps. +This will make welfare less costly and more responsive to genuine need, +because it'll be designed and administered closer to the grass roots and +the people it serves. + +In 1984 the Federal Government will apply the full proceeds from certain +excise taxes to a grass roots trust fund that will belong in fair shares to +the 50 States. The total amount flowing into this fund will be $28 billion +a year. Over the next 4 years the States can use this money in either of +two ways. If they want to continue receiving Federal grants in such areas +as transportation, education, and social services, they can use their trust +fund money to pay for the grants. Or to the extent they choose to forgo the +Federal grant programs, they can use their trust fund money on their own +for those or other purposes. There will be a mandatory pass-through of part +of these funds to local governments. + +By 1988 the States will be in complete control of over 40 Federal grant +programs. The trust fund will start to phase out, eventually to disappear, +and the excise taxes will be turned over to the States. They can then +preserve, lower, or raise taxes on their own and fund and manage these +programs as they see fit. + +In a single stroke we will be accomplishing a realignment that will end +cumbersome administration and spiraling costs at the Federal level while we +ensure these programs will be more responsive to both the people they're +meant to help and the people who pay for them. + +Hand in hand with this program to strengthen the discretion and flexibility +of State and local governments, we're proposing legislation for an +experimental effort to improve and develop our depressed urban areas in the +1980's and '90's. This legislation will permit States and localities to +apply to the Federal Government for designation as urban enterprise zones. +A broad range of special economic incentives in the zones will help attract +new business, new jobs, new opportunity to America's inner cities and rural +towns. Some will say our mission is to save free enterprise. Well, I say we +must free enterprise so that together we can save America. + +Some will also say our States and local communities are not up to the +challenge of a new and creative partnership. Well, that might have been +true 20 years ago before reforms like reapportionment and the Voting Rights +Act, the 10-year extension of which I strongly support. It's no longer true +today. This administration has faith in State and local governments and the +constitutional balance envisioned by the Founding Fathers. We also believe +in the integrity, decency, and sound, good sense of grass roots Americans. + +Our faith in the American people is reflected in another major endeavor. +Our private sector initiatives task force is seeking out successful +community models of school, church, business, union, foundation, and civic +programs that help community needs. Such groups are almost invariably far +more efficient than government in running social programs. + +We're not asking them to replace discarded and often discredited government +programs dollar for dollar, service for service. We just want to help them +perform the good works they choose and help others to profit by their +example. Three hundred and eighty-five thousand corporations and private +organizations are already working on social programs ranging from drug +rehabilitation to job training, and thousands more Americans have written +us asking how they can help. The volunteer spirit is still alive and well +in America. + +Our nation's long journey towards civil rights for all our citizens--once +a source of discord, now a source of pride--must continue with no +backsliding or slowing down. We must and shall see that those basic laws +that guarantee equal rights are preserved and, when necessary, +strengthened. + +Our concern for equal rights for women is firm and unshakable. We launched +a new Task Force on Legal Equity for Women and a Fifty States Project that +will examine State laws for discriminatory language. And for the first time +in our history, a woman sits on the highest court in the land. + +So, too, the problem of crime--one as real and deadly serious as any in +America today. It demands that we seek transformation of our legal system, +which overly protects the rights of criminals while it leaves society and +the innocent victims of crime without justice. + +We look forward to the enactment of a responsible clean air act to increase +jobs while continuing to improve the quality of our air. We're encouraged +by the bipartisan initiative of the House and are hopeful of further +progress as the Senate continues its deliberations. + +So far, I've concentrated largely, now, on domestic matters. To view the +state of the Union in perspective, we must not ignore the rest of the +world. There isn't time tonight for a lengthy treatment of social--or +foreign policy, I should say, a subject I intend to address in detail in +the near future. A few words, however, are in order on the progress we've +made over the past year, reestablishing respect for our nation around the +globe and some of the challenges and goals that we will approach in the +year ahead. + +At Ottawa and Cancun, I met with leaders of the major industrial powers and +developing nations. Now, some of those I met with were a little surprised +that I didn't apologize for America's wealth. Instead, I spoke of the +strength of the free marketplace system and how that system could help them +realize their aspirations for economic development and political freedom. I +believe lasting friendships were made, and the foundation was laid for +future cooperation. + +In the vital region of the Caribbean Basin, we're developing a program of +aid, trade, and investment incentives to promote self-sustaining growth and +a better, more secure life for our neighbors to the south. Toward those who +would export terrorism and subversion in the Caribbean and elsewhere, +especially Cuba and Libya, we will act with firmness. + +Our foreign policy is a policy of strength, fairness, and balance. By +restoring America's military credibility, by pursuing peace at the +negotiating table wherever both sides are willing to sit down in good +faith, and by regaining the respect of America's allies and adversaries +alike, we have strengthened our country's position as a force for peace and +progress in the world. + +When action is called for, we're taking it. Our sanctions against the +military dictatorship that has attempted to crush human rights in +Poland--and against the Soviet regime behind that military +dictatorship--clearly demonstrated to the world that America will not +conduct "business as usual" with the forces of oppression. If the events in +Poland continue to deteriorate, further measures will follow. + +Now, let me also note that private American groups have taken the lead in +making January 30th a day of solidarity with the people of Poland. So, too, +the European Parliament has called for March 21st to be an international +day of support for Afghanistan. Well, I urge all peace-loving peoples to +join together on those days, to raise their voices, to speak and pray for +freedom. + +Meanwhile, we're working for reduction of arms and military activities, as +I announced in my address to the Nation last November 18th. We have +proposed to the Soviet Union a far-reaching agenda for mutual reduction of +military forces and have already initiated negotiations with them in Geneva +on intermediate-range nuclear forces. In those talks it is essential that +we negotiate from a position of strength. There must be a real incentive +for the Soviets to take these talks seriously. This requires that we +rebuild our defenses. + +In the last decade, while we sought the moderation of Soviet power through +a process of restraint and accommodation, the Soviets engaged in an +unrelenting buildup of their military forces. The protection of our +national security has required that we undertake a substantial program to +enhance our military forces. + +We have not neglected to strengthen our traditional alliances in Europe and +Asia, or to develop key relationships with our partners in the Middle East +and other countries. Building a more peaceful world requires a sound +strategy and the national resolve to back it up. When radical forces +threaten our friends, when economic misfortune creates conditions of +instability, when strategically vital parts of the world fall under the +shadow of Soviet power, our response can make the difference between +peaceful change or disorder and violence. That's why we've laid such stress +not only on our own defense but on our vital foreign assistance program. +Your recent passage of the Foreign Assistance Act sent a signal to the +world that America will not shrink from making the investments necessary +for both peace and security. Our foreign policy must be rooted in realism, +not naivete or self-delusion. + +A recognition of what the Soviet empire is about is the starting point. +Winston Churchill, in negotiating with the Soviets, observed that they +respect only strength and resolve in their dealings with other nations. +That's why we've moved to reconstruct our national defenses. We intend to +keep the peace. We will also keep our freedom. + +We have made pledges of a new frankness in our public statements and +worldwide broadcasts. In the face of a climate of falsehood and +misinformation, we've promised the world a season of truth--the truth of +our great civilized ideas: individual liberty, representative government, +the rule of law under God. We've never needed walls or minefields or barbed +wire to keep our people in. Nor do we declare martial law to keep our +people from voting for the kind of government they want. + +Yes, we have our problems; yes, we're in a time of recession. And it's +true, there's no quick fix, as I said, to instantly end the tragic pain of +unemployment. But we will end it. The process has already begun, and we'll +see its effect as the year goes on. + +We speak with pride and admiration of that little band of Americans who +overcame insuperable odds to set this nation on course 200 years ago. But +our glory didn't end with them. Americans ever since have emulated their +deeds. + +We don't have to turn to our history books for heroes. They're all around +us. One who sits among you here tonight epitomized that heroism at the end +of the longest imprisonment ever inflicted on men of our Armed Forces. Who +will ever forget that night when we waited for television to bring us the +scene of that first plane landing at Clark Field in the Philippines, +bringing our POW's home? The plane door opened and Jeremiah Denton came +slowly down the ramp. He caught sight of our flag, saluted it, said, "God +bless America," and then thanked us for bringing him home. + +Just 2 weeks ago, in the midst of a terrible tragedy on the Potomac, we saw +again the spirit of American heroism at its finest--the heroism of +dedicated rescue workers saving crash victims from icy waters. And we saw +the heroism of one of our young government employees, Lenny Skutnik, who, +when he saw a woman lose her grip on the helicopter line, dived into the +water and dragged her to safety. + +And then there are countless, quiet, everyday heroes of American who +sacrifice long and hard so their children will know a better life than +they've known; church and civic volunteers who help to feed, clothe, nurse, +and teach the needy; millions who've made our nation and our nation's +destiny so very special--unsung heroes who may not have realized their own +dreams themselves but then who reinvest those dreams in their children. +Don't let anyone tell you that America's best days are behind her, that the +American spirit has been vanquished. We've seen it triumph too often in our +lives to stop believing in it now. + +A hundred and twenty years ago, the greatest of all our Presidents +delivered his second State of the Union message in this Chamber. "We cannot +escape history," Abraham Lincoln warned. "We of this Congress and this +administration will be remembered in spite of ourselves." The "trial +through which we pass will light us down, in honor or dishonor, to the +latest (last) generation." + +Well, that President and that Congress did not fail the American people. +Together they weathered the storm and preserved the Union. Let it be said +of us that we, too, did not fail; that we, too, worked together to bring +America through difficult times. Let us so conduct ourselves that two +centuries from now, another Congress and another President, meeting in this +Chamber as we are meeting, will speak of us with pride, saying that we met +the test and preserved for them in their day the sacred flame of +liberty--this last, best hope of man on Earth. + +God bless you, and thank you. + +NOTE: The President spoke at 9 p.m. in the House Chamber at the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. + +*** + +State of the Union Address +Ronald Reagan +January 25, 1983 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +This solemn occasion marks the 196th time that a President of the United +States has reported on the State of the Union since George Washington first +did so in 1790. That's a lot of reports, but there's no shortage of new +things to say about the State of the Union. The very key to our success has +been our ability, foremost among nations, to preserve our lasting values by +making change work for us rather than against us. + +I would like to talk with you this evening about what we can do +together--not as Republicans and Democrats, but as Americans--to make +tomorrow's America happy and prosperous at home, strong and respected +abroad, and at peace in the world. + +As we gather here tonight, the state of our Union is strong, but our +economy is troubled. For too many of our fellow citizens--farmers, steel and +auto workers, lumbermen, black teenagers, working mothers--this is a painful +period. We must all do everything in our power to bring their ordeal to an +end. It has fallen to us, in our time, to undo damage that was a long time +in the making, and to begin the hard but necessary task of building a +better future for ourselves and our children. + +We have a long way to go, but thanks to the courage, patience, and strength +of our people, America is on the mend. + +But let me give you just one important reason why I believe this--it +involves many members of this body. + +Just 10 days ago, after months of debate and deadlock, the bipartisan +Commission on Social Security accomplished the seemingly impossible. Social +security, as some of us had warned for so long, faced disaster. I, myself, +have been talking about this problem for almost 30 years. As 1983 began, +the system stood on the brink of bankruptcy, a double victim of our +economic ills. First, a decade of rampant inflation drained its reserves as +we tried to protect beneficiaries from the spiraling cost of living. Then +the recession and the sudden end of inflation withered the expanding wage +base and increasing revenues the system needs to support the 36 million +Americans who depend on it. + +When the Speaker of the House, the Senate majority leader, and I performed +the bipartisan--or formed the bipartisan Commission on Social Security, +pundits and experts predicted that party divisions and conflicting +interests would prevent the Commission from agreeing on a plan to save +social security. Well, sometimes, even here in Washington, the cynics are +wrong. Through compromise and cooperation, the members of the Commission +overcame their differences and achieved a fair, workable plan. They proved +that, when it comes to the national welfare, Americans can still pull +together for the common good. + +Tonight, I'm especially pleased to join with the Speaker and the Senate +majority leader in urging the Congress to enact this plan by Easter. + +There are elements in it, of course, that none of us prefers, but taken +together it performs a package that all of us can support. It asks for some +sacrifice by all--the self-employed, beneficiaries, workers, government +employees, and the better-off among the retired--but it imposes an undue +burden on none. And, in supporting it, we keep an important pledge to the +American people: The integrity of the social security system will be +preserved, and no one's payments will be reduced. + +The Commission's plan will do the job; indeed, it must do the job. We owe +it to today's older Americans and today's younger workers. So, before we go +any further, I ask you to join with me in saluting the members of the +Commission who are here tonight and Senate Majority Leader Howard Baker and +Speaker Tip O'Neill for a job well done. I hope and pray the bipartisan +spirit that guided you in this endeavor will inspire all of us as we face +the challenges of the year ahead. + +Nearly half a century ago, in this Chamber, another American President, +Franklin Delano Roosevelt, in his second State of the Union message, urged +America to look to the future, to meet the challenge of change and the need +for leadership that looks forward, not backward. + +"Throughout the world," he said, "change is the order of the day. In every +nation economic problems long in the making have brought crises to (of) +many kinds for which the masters of old practice and theory were +unprepared." He also reminded us that "the future lies with those wise +political leaders who realize that the great public is interested more in +Government than in politics." + +So, let us, in these next 2 years--men and women of both parties, every +political shade--concentrate on the long-range, bipartisan responsibilities +of government, not the short-range or short-term temptations of partisan +politics. + +The problems we inherited were far worse than most inside and out of +government had expected; the recession was deeper than most inside and out +of government had predicted. Curing those problems has taken more time and +a higher toll than any of us wanted. Unemployment is far too high. +Projected Federal spending--if government refuses to tighten its own +belt--will also be far too high and could weaken and shorten the economic +recovery now underway. + +This recovery will bring with it a revival of economic confidence and +spending for consumer items and capital goods--the stimulus we need to +restart our stalled economic engines. The American people have already +stepped up their rate of saving, assuring that the funds needed to +modernize our factories and improve our technology will once again flow to +business and industry. + +The inflationary expectations that led to a 21 1/2-percent interest prime +rate and soaring mortgage rates 2 years ago are now reduced by almost half. +Leaders have started to realize that double-digit inflation is no longer a +way of life. I misspoke there. I should have said "lenders." + +So, interest rates have tumbled, paving the way for recovery in vital +industries like housing and autos. + +The early evidence of that recovery has started coming in. Housing starts +for the fourth quarter of 1982 were up 45 percent from a year ago, and +housing permits, a sure indicator of future growth, were up a whopping 60 +percent. + +We're witnessing an upsurge of productivity and impressive evidence that +American industry will once again become competitive in markets at home and +abroad, ensuring more jobs and better incomes for the Nation's work force. +But our confidence must also be tempered by realism and patience. Quick +fixes and artificial stimulants repeatedly applied over decades are what +brought us the inflationary disorders that we've now paid such a heavy +price to cure. + +The permanent recovery in employment, production, and investment we seek +won't come in a sharp, short spurt. It'll build carefully and steadily in +the months and years ahead. In the meantime, the challenge of government is +to identify the things that we can do now to ease the massive economic +transition for the American people. + +The Federal budget is both a symptom and a cause of our economic problems. +Unless we reduce the dangerous growth rate in government spending, we could +face the prospect of sluggish economic growth into the indefinite future. +Failure to cope with this problem now could mean as much as a trillion +dollars more in national debt in the next 4 years alone. That would average +$4,300 in additional debt for every man, woman, child, and baby in our +nation. + +To assure a sustained recovery, we must continue getting runaway spending +under control to bring those deficits down. If we don't, the recovery will +be too short, unemployment will remain too high, and we will leave an +unconscionable burden of national debt for our children. That we must not +do. + +Let's be clear about where the deficit problem comes from. Contrary to the +drumbeat we've been hearing for the last few months, the deficits we face +are not rooted in defense spending. Taken as a percentage of the gross +national product, our defense spending happens to be only about four-fifths +of what it was in 1970. Nor is the deficit, as some would have it, rooted +in tax cuts. Even with our tax cuts, taxes as a fraction of gross national +product remain about the same as they were in 1970. The fact is, our +deficits come from the uncontrolled growth of the budget for domestic +spending. + +During the 1970's, the share of our national income devoted to this +domestic spending increased by more than 60 percent, from 10 cents out of +every dollar produced by the American people to 16 cents. In spite of all +our economies and efficiencies, and without adding any new programs, basic, +necessary domestic spending provided for in this year's budget will grow to +almost a trillion dollars over the next 5 years. + +The deficit problem is a clear and present danger to the basic health of +our Republic. We need a plan to overcome this danger--a plan based on these +principles. It must be bipartisan. Conquering the deficits and putting the +Government's house in order will require the best effort of all of us. It +must be fair. Just as all will share in the benefits that will come from +recovery, all would share fairly in the burden of transition. It must be +prudent. The strength of our national defense must be restored so that we +can pursue prosperity and peace and freedom while maintaining our +commitment to the truly needy. And finally, it must be realistic. We can't +rely on hope alone. + +With these guiding principles in mind, let me outline a four-part plan to +increase economic growth and reduce deficits. + +First, in my budget message, I will recommend a Federal spending freeze. I +know this is strong medicine, but so far, we have only cut the rate of +increase in Federal spending. The Government has continued to spend more +money each year, though not as much more as it did in the past. Taken as a +whole, the budget I'm proposing for the fiscal year will increase no more +than the rate of inflation. In other words, the Federal Government will +hold the line on real spending. Now, that's far less than many American +families have had to do in these difficult times. + +I will request that the proposed 6-month freeze in cost-of-living +adjustments recommended by the bipartisan Social Security Commission be +applied to other government-related retirement programs. I will, also, +propose a 1-year freeze on a broad range of domestic spending programs, and +for Federal civilian and military pay and pension programs. And let me say +right here, I'm sorry, with regard to the military, in asking that of them, +because for so many years they have been so far behind and so low in reward +for what the men and women in uniform are doing. But I'm sure they will +understand that this must be across the board and fair. + +Second, I will ask the Congress to adopt specific measures to control the +growth of the so-called uncontrollable spending programs. These are the +automatic spending programs, such as food stamps, that cannot be simply +frozen and that have grown by over 400 percent since 1970. They are the +largest single cause of the built-in or structural deficit problem. Our +standard here will be fairness, ensuring that the taxpayers' hard-earned +dollars go only to the truly needy; that none of them are turned away, but +that fraud and waste are stamped out. And I'm sorry to say, there's a lot +of it out there. In the food stamp program alone, last year, we identified +almost $1.1 billion in overpayments. The taxpayers aren't the only victims +of this kind of abuse. The truly needy suffer as funds intended for them +are taken not by the needy, but by the greedy. For everyone's sake, we must +put an end to such waste and corruption. + +Third, I will adjust our program to restore America's defenses by proposing +$55 billion in defense savings over the next 5 years. These are savings +recommended to me by the Secretary of Defense, who has assured me they can +be safely achieved and will not diminish our ability to negotiate arms +reductions or endanger America's security. We will not gamble with our +national survival. + +And fourth, because we must ensure reduction and eventual elimination of +deficits over the next several years, I will propose a standby tax, limited +to no more than 1 percent of the gross national product, to start in fiscal +1986. It would last no more than 3 years, and it would start only if the +Congress has first approved our spending freeze and budget control program. +And there are several other conditions also that must be met, all of them +in order for this program to be triggered. + +Now, you could say that this is an insurance policy for the future, a +remedy that will be at hand if needed but only resorted to if absolutely +necessary. In the meantime, we'll continue to study ways to simplify the +tax code and make it more fair for all Americans. This is a goal that every +American who's ever struggled with a tax form can understand. + +At the same time, however, I will oppose any efforts to undo the basic tax +reforms that we've already enacted, including the 10-percent tax break +coming to taxpayers this July and the tax indexing which will protect all +Americans from inflationary bracket creep in the years ahead. + +Now, I realize that this four-part plan is easier to describe than it will +be to enact. But the looming deficits that hang over us and over America's +future must be reduced. The path I've outlined is fair, balanced, and +realistic. If enacted, it will ensure a steady decline in deficits, aiming +toward a balanced budget by the end of the decade. It's the only path that +will lead to a strong, sustained recovery. Let us follow that path +together. + +No domestic challenge is more crucial than providing stable, permanent jobs +for all Americans who want to work. The recovery program will provide jobs +for most, but others will need special help and training for new skills. +Shortly, I will submit to the Congress the Employment Act of 1983, designed +to get at the special problems of the long-term unemployed, as well as +young people trying to enter the job market. I'll propose extending +unemployment benefits, including special incentives to employers who hire +the long-term unemployed, providing programs for displaced workers, and +helping federally funded and State-administered unemployment insurance +programs provide workers with training and relocation assistance. Finally, +our proposal will include new incentives for summer youth employment to +help young people get a start in the job market. + +We must offer both short-term help and long-term hope for our unemployed. I +hope we can work together on this. I hope we can work together as we did +last year in enacting the landmark Job Training Partnership Act. Regulatory +reform legislation, a responsible clean air act, and passage of enterprise +zone legislation will also create new incentives for jobs and opportunity. + +One of out of every five jobs in our country depends on trade. So, I will +propose a broader strategy in the field of international trade--one that +increases the openness of our trading system and is fairer to America's +farmers and workers in the world marketplace. We must have adequate export +financing to sell American products overseas. I will ask for new +negotiating authority to remove barriers and to get more of our products +into foreign markets. We must strengthen the organization of our trade +agencies and make changes in our domestic laws and international trade +policy to promote free trade and the increased flow of American goods, +services, and investments. + +Our trade position can also be improved by making our port system more +efficient. Better, more active harbors translate into stable jobs in our +coalfields, railroads, trucking industry, and ports. After 2 years of +debate, it's time for us to get together and enact a port modernization +bill. + +Education, training, and retraining are fundamental to our success as are +research and development and productivity. Labor, management, and +government at all levels can and must participate in improving these tools +of growth. Tax policy, regulatory practices, and government programs all +need constant reevaluation in terms of our competitiveness. Every American +has a role and a stake in international trade. + +We Americans are still the technological leaders in most fields. We must +keep that edge, and to do so we need to begin renewing the basics--starting +with our educational system. While we grew complacent, others have acted. +Japan, with a population only about half the size of ours, graduates from +its universities more engineers than we do. If a child doesn't receive +adequate math and science teaching by the age of 16, he or she has lost the +chance to be a scientist or an engineer. We must join together--parents, +teachers, grass roots groups, organized labor, and the business +community--to revitalize American education by setting a standard of +excellence. + +In 1983 we seek four major education goals: a quality education initiative +to encourage a substantial upgrading of math and science instruction +through block grants to the States; establishment of education savings +accounts that will give middle and lower-income families an incentive to +save for their children's college education and, at the same time, +encourage a real increase in savings for economic growth; passage of +tuition tax credits for parents who want to send their children to private +or religiously affiliated schools; a constitutional amendment to permit +voluntary school prayer. God should never have been expelled from America's +classrooms in the first place. + +Our commitment to fairness means that we must assure legal and economic +equity for women, and eliminate, once and for all, all traces of unjust +discrimination against women from the United States Code. We will not +tolerate wage discrimination based on sex, and we intend to strengthen +enforcement of child support laws to ensure that single parents, most of +whom are women, do not suffer unfair financial hardship. We will also take +action to remedy inequities in pensions. These initiatives will be joined +by others to continue our efforts to promote equity for women. + +Also in the area of fairness and equity, we will ask for extension of the +Civil Rights Commission, which is due to expire this year. The Commission +is an important part of the ongoing struggle for justice in America, and we +strongly support its reauthorization. Effective enforcement of our nation's +fair housing laws is also essential to ensuring equal opportunity. In the +year ahead, we'll work to strengthen enforcement of fair housing laws for +all Americans. + +The time has also come for major reform of our criminal justice statutes +and acceleration of the drive against organized crime and drug trafficking. +It's high time that we make our cities safe again. This administration +hereby declares an all-out war on big-time organized crime and the drug +racketeers who are poisoning our young people. We will also implement +recommendations of our Task Force on Victims of Crime, which will report to +me this week. + +American agriculture, the envy of the world, has become the victim of its +own successes. With one farmer now producing enough food to feed himself +and 77 other people, America is confronted with record surplus crops and +commodity prices below the cost of production. We must strive, through +innovations like the payment-in-kind crop swap approach and an aggressive +export policy, to restore health and vitality to rural America. Meanwhile, +I have instructed the Department of Agriculture to work individually with +farmers with debt problems to help them through these tough times. + +Over the past year, our Task Force on Private Sector Initiatives has +successfully forged a working partnership involving leaders of business, +labor, education, and government to address the training needs of American +workers. Thanks to the Task Force, private sector initiatives are now +underway in all 50 States of the Union, and thousands of working people +have been helped in making the shift from dead-end jobs and low-demand +skills to the growth areas of high technology and the service economy. +Additionally, a major effort will be focused on encouraging the expansion +of private community child care. The new advisory council on private sector +initiatives will carry on and extend this vital work of encouraging private +initiative in 1983. + +In the coming year, we will also act to improve the quality of life for +Americans by curbing the skyrocketing cost of health care that is becoming +an unbearable financial burden for so many. And we will submit legislation +to provide catastrophic illness insurance coverage for older Americans. + +I will also shortly submit a comprehensive federalism proposal that will +continue our efforts to restore to States and local governments their roles +as dynamic laboratories of change in a creative society. + +During the next several weeks, I will send to the Congress a series of +detailed proposals on these and other topics and look forward to working +with you on the development of these initiatives. + +So far, now, I've concentrated mainly on the problems posed by the future. +But in almost every home and workplace in America, we're already witnessing +reason for great hope--the first flowering of the manmade miracles of high +technology, a field pioneered and still led by our country. + +To many of us now, computers, silicon chips, data processing, cybernetics, +and all the other innovations of the dawning high technology age are as +mystifying as the workings of the combustion engine must have been when +that first Model T rattled down Main Street, U.S.A. But as surely as +America's pioneer spirit made us the industrial giant of the 20th century, +the same pioneer spirit today is opening up on another vast front of +opportunity, the frontier of high technology. + +In conquering the frontier we cannot write off our traditional industries, +but we must develop the skills and industries that will make us a pioneer +of tomorrow. This administration is committed to keeping America the +technological leader of the world now and into the 21st century. + +But let us turn briefly to the international arena. America's leadership in +the world came to us because of our own strength and because of the values +which guide us as a society: free elections, a free press, freedom of +religious choice, free trade unions, and above all, freedom for the +individual and rejection of the arbitrary power of the state. These values +are the bedrock of our strength. They unite us in a stewardship of peace +and freedom with our allies and friends in NATO, in Asia, in Latin America, +and elsewhere. They are also the values which in the recent past some among +us had begun to doubt and view with a cynical eye. + +Fortunately, we and our allies have rediscovered the strength of our common +democratic values, and we're applying them as a cornerstone of a +comprehensive strategy for peace with freedom. In London last year, I +announced the commitment of the United States to developing the +infrastructure of democracy throughout the world. We intend to pursue this +democratic initiative vigorously. The future belongs not to governments and +ideologies which oppress their peoples, but to democratic systems of +self-government which encourage individual initiative and guarantee +personal freedom. + +But our strategy for peace with freedom must also be based on +strength--economic strength and military strength. A strong American +economy is essential to the well-being and security of our friends and +allies. The restoration of a strong, healthy American economy has been and +remains one of the central pillars of our foreign policy. The progress I've +been able to report to you tonight will, I know, be as warmly welcomed by +the rest of the world as it is by the American people. + +We must also recognize that our own economic well-being is inextricably +linked to the world economy. We export over 20 percent of our industrial +production, and 40 percent of our farmland produces for export. We will +continue to work closely with the industrialized democracies of Europe and +Japan and with the International Monetary Fund to ensure it has adequate +resources to help bring the world economy back to strong, noninflationary +growth. + +As the leader of the West and as a country that has become great and rich +because of economic freedom, America must be an unrelenting advocate of +free trade. As some nations are tempted to turn to protectionism, our +strategy cannot be to follow them, but to lead the way toward freer trade. +To this end, in May of this year America will host an economic summit +meeting in Williamsburg, Virginia. + +As we begin our third year, we have put in place a defense program that +redeems the neglect of the past decade. We have developed a realistic +military strategy to deter threats to peace and to protect freedom if +deterrence fails. Our Armed Forces are finally properly paid; after years +of neglect are well trained and becoming better equipped and supplied. And +the American uniform is once again worn with pride. Most of the major +systems needed for modernizing our defenses are already underway, and we +will be addressing one key system, the MX missile, in consultation with the +Congress in a few months. + +America's foreign policy is once again based on bipartisanship, on realism, +strength, full partnership, in consultation with our allies, and +constructive negotiation with potential adversaries. From the Middle East +to southern Africa to Geneva, American diplomats are taking the initiative +to make peace and lower arms levels. We should be proud of our role as +peacemakers. + +In the Middle East last year, the United States played the major role in +ending the tragic fighting in Lebanon and negotiated the withdrawal of the +PLO from Beirut. + +Last September, I outlined principles to carry on the peace process begun +so promisingly at Camp David. All the people of the Middle East should know +that in the year ahead we will not flag in our efforts to build on that +foundation to bring them the blessings of peace. + +In Central America and the Caribbean Basin, we are likewise engaged in a +partnership for peace, prosperity, and democracy. Final passage of the +remaining portions of our Caribbean Basin Initiative, which passed the +House last year, is one of this administration's top legislative priorities +for 1983. + +The security and economic assistance policies of this administration in +Latin America and elsewhere are based on realism and represent a critical +investment in the future of the human race. This undertaking is a joint +responsibility of the executive and legislative branches, and I'm counting +on the cooperation and statesmanship of the Congress to help us meet this +essential foreign policy goal. + +At the heart of our strategy for peace is our relationship with the Soviet +Union. The past year saw a change in Soviet leadership. We're prepared for +a positive change in Soviet-American relations. But the Soviet Union must +show by deeds as well as words a sincere commitment to respect the rights +and sovereignty of the family of nations. Responsible members of the world +community do not threaten or invade their neighbors. And they restrain +their allies from aggression. + +For our part, we're vigorously pursuing arms reduction negotiations with +the Soviet Union. Supported by our allies, we've put forward draft +agreements proposing significant weapon reductions to equal and verifiable +lower levels. We insist on an equal balance of forces. And given the +overwhelming evidence of Soviet violations of international treaties +concerning chemical and biological weapons, we also insist that any +agreement we sign can and will be verifiable. + +In the case of intermediate-range nuclear forces, we have proposed the +complete elimination of the entire class of land-based missiles. We're also +prepared to carefully explore serious Soviet proposals. At the same time, +let me emphasize that allied steadfastness remains a key to achieving arms +reductions. + +With firmness and dedication, we'll continue to negotiate. Deep down, the +Soviets must know it's in their interest as well as ours to prevent a +wasteful arms race. And once they recognize our unshakable resolve to +maintain adequate deterrence, they will have every reason to join us in the +search for greater security and major arms reductions. When that moment +comes--and I'm confident that it will--we will have taken an important step +toward a more peaceful future for all the world's people. + +A very wise man, Bernard Baruch, once said that America has never forgotten +the nobler things that brought her into being and that light her path. Our +country is a special place, because we Americans have always been +sustained, through good times and bad, by a noble vision--a vision not only +of what the world around us is today but what we as a free people can make +it be tomorrow. + +We're realists; we solve our problems instead of ignoring them, no matter +how loud the chorus of despair around us. But we're also idealists, for it +was an ideal that brought our ancestors to these shores from every corner +of the world. + +Right now we need both realism and idealism. Millions of our neighbors are +without work. It is up to us to see they aren't without hope. This is a +task for all of us. And may I say, Americans have rallied to this cause, +proving once again that we are the most generous people on Earth. + +We who are in government must take the lead in restoring the economy. And +here all that time, I thought you were reading the paper. + +The single thing--the single thing that can start the wheels of industry +turning again is further reduction of interest rates. Just another 1 or 2 +points can mean tens of thousands of jobs. + +Right now, with inflation as low as it is, 3.9 percent, there is room for +interest rates to come down. Only fear prevents their reduction. A lender, +as we know, must charge an interest rate that recovers the depreciated +value of the dollars loaned. And that depreciation is, of course, the +amount of inflation. Today, interest rates are based on fear--fear that +government will resort to measures, as it has in the past, that will send +inflation zooming again. + +We who serve here in this Capital must erase that fear by making it +absolutely clear that we will not stop fighting inflation; that, together, +we will do only those things that will lead to lasting economic growth. + +Yes, the problems confronting us are large and forbidding. And, certainly, +no one can or should minimize the plight of millions of our friends and +neighbors who are living in the bleak emptiness of unemployment. But we +must and can give them good reason to be hopeful. + +Back over the years, citizens like ourselves have gathered within these +walls when our nation was threatened; sometimes when its very existence was +at stake. Always with courage and common sense, they met the crises of +their time and lived to see a stronger, better, and more prosperous +country. The present situation is no worse and, in fact, is not as bad as +some of those they faced. Time and again, they proved that there is nothing +we Americans cannot achieve as free men and women. + +Yes, we still have problems--plenty of them. But it's just plain +wrong--unjust to our country and unjust to our people--to let those +problems stand in the way of the most important truth of all: America is on +the mend. + +We owe it to the unfortunate to be aware of their plight and to help them +in every way we can. No one can quarrel with that. We must and do have +compassion for all the victims of this economic crisis. But the big story +about America today is the way that millions of confident, caring +people--those extraordinary "ordinary" Americans who never make the +headlines and will never be interviewed--are laying the foundation, not +just for recovery from our present problems but for a better tomorrow for +all our people. + +From coast to coast, on the job and in classrooms and laboratories, at new +construction sites and in churches and community groups, neighbors are +helping neighbors. And they've already begun the building, the research, +the work, and the giving that will make our country great again. + +I believe this, because I believe in them--in the strength of their hearts +and minds, in the commitment that each one of them brings to their daily +lives, be they high or humble. The challenge for us in government is to be +worthy of them--to make government a help, not a hindrance to our people in +the challenging but promising days ahead. + +If we do that, if we care what our children and our children's children +will say of us, if we want them one day to be thankful for what we did here +in these temples of freedom, we will work together to make America better +for our having been here--not just in this year or this decade but in the +next century and beyond. + +Thank you, and God bless you. + +NOTE: The President spoke at 9:03 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. + +*** + +State of the Union Address +Ronald Reagan +January 25, 1984 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +Once again, in keeping with time-honored tradition, I have come to report +to you on the state of the Union, and I'm pleased to report that America is +much improved, and there's good reason to believe that improvement will +continue through the days to come. + +You and I have had some honest and open differences in the year past. But +they didn't keep us from joining hands in bipartisan cooperation to stop a +long decline that had drained this nation's spirit and eroded its health. +There is renewed energy and optimism throughout the land. America is back, +standing tall, looking to the eighties with courage, confidence, and hope. + +The problems we're overcoming are not the heritage of one person, party, or +even one generation. It's just the tendency of government to grow, for +practices and programs to become the nearest thing to eternal life we'll +ever see on this Earth. And there's always that well-intentioned chorus of +voices saying, "With a little more power and a little more money, we could +do so much for the people." For a time we forgot the American dream isn't +one of making government bigger; it's keeping faith with the mighty spirit +of free people under God. + +As we came to the decade of the eighties, we faced the worst crisis in our +postwar history. In the seventies were years of rising problems and falling +confidence. There was a feeling government had grown beyond the consent of +the governed. Families felt helpless in the face of mounting inflation and +the indignity of taxes that reduced reward for hard work, thrift, and +risktaking. All this was overlaid by an evergrowing web of rules and +regulations. + +On the international scene, we had an uncomfortable feeling that we'd lost +the respect of friend and foe. Some questioned whether we had the will to +defend peace and freedom. But America is too great for small dreams. There +was a hunger in the land for a spiritual revival; if you will, a crusade +for renewal. The American people said: Let us look to the future with +confidence, both at home and abroad. Let us give freedom a chance. + +Americans were ready to make a new beginning, and together we have done it. +We're confronting our problems one by one. Hope is alive tonight for +millions of young families and senior citizens set free from unfair tax +increases and crushing inflation. Inflation has been beaten down from 12.4 +to 3.2 percent, and that's a great victory for all the people. The prime +rate has been cut almost in half, and we must work together to bring it +down even more. + +Together, we passed the first across-the-board tax reduction for everyone +since the Kennedy tax cuts. Next year, tax rates will be indexed so +inflation can't push people into higher brackets when they get +cost-of-living pay raises. Government must never again use inflation to +profit at the people's expense. + +Today a working family earning $25,000 has $1,100 more in purchasing power +than if tax and inflation rates were still at the 1980 levels. Real +after-tax income increased 5 percent last year. And economic deregulation +of key industries like transportation has offered more chances--or +choices, I should say, to consumers and new changes--or chances for +entrepreneurs and protecting safety. Tonight, we can report and be proud of +one of the best recoveries in decades. Send away the handwringers and the +doubting Thomases. Hope is reborn for couples dreaming of owning homes and +for risktakers with vision to create tomorrow's opportunities. + +The spirit of enterprise is sparked by the sunrise industries of high-tech +and by small business people with big ideas--people like Barbara Proctor, +who rose from a ghetto to build a multimillion-dollar advertising agency in +Chicago; Carlos Perez, a Cuban refugee, who turned $27 and a dream into a +successful importing business in Coral Gables, Florida. + +People like these are heroes for the eighties. They helped 4 million +Americans find jobs in 1983. More people are drawing paychecks tonight than +ever before. And Congress helps--or progress helps everyone--well, Congress +does too----everyone. In 1983 women filled 73 percent of all the new jobs +in managerial, professional, and technical fields. + +But we know that many of our fellow countrymen are still out of work, +wondering what will come of their hopes and dreams. Can we love America and +not reach out to tell them: You are not forgotten; we will not rest until +each of you can reach as high as your God-given talents will take you. + +The heart of America is strong; it's good and true. The cynics were wrong; +America never was a sick society. We're seeing rededication to bedrock +values of faith, family, work, neighborhood, peace, and freedom--values +that help bring us together as one people, from the youngest child to the +most senior citizen. + +The Congress deserves America's thanks for helping us restore pride and +credibility to our military. And I hope that you're as proud as I am of the +young men and women in uniform who have volunteered to man the ramparts in +defense of freedom and whose dedication, valor, and skill increases so much +our chance of living in a world at peace. + +People everywhere hunger for peace and a better life. The tide of the +future is a freedom tide, and our struggle for democracy cannot and will +not be denied. This nation champions peace that enshrines liberty, +democratic rights, and dignity for every individual. America's new +strength, confidence, and purpose are carrying hope and opportunity far +from our shores. A world economic recovery is underway. It began here. + +We've journeyed far, but we have much farther to go. Franklin Roosevelt +told us 50 years ago this month: "Civilization can not go back; +civilization must not stand still. We have undertaken new methods. It is +our task to perfect, to improve, to alter when necessary, but in all cases +to go forward." + +It's time to move forward again, time for America to take freedom's next +step. Let us unite tonight behind four great goals to keep America free, +secure, and at peace in the eighties together. + +We can ensure steady economic growth. We can develop America's next +frontier. We can strengthen our traditional values. And we can build a +meaningful peace to protect our loved ones and this shining star of faith +that has guided millions from tyranny to the safe harbor of freedom, +progress, and hope. + +Doing these things will open wider the gates of opportunity, provide +greater security for all, with no barriers of bigotry or discrimination. + +The key to a dynamic decade is vigorous economic growth, our first great +goal. We might well begin with common sense in Federal budgeting: +government spending no more than government takes in. + +We must bring Federal deficits down. But how we do that makes all the +difference. + +We can begin by limiting the size and scope of government. Under the +leadership of Vice President Bush, we have reduced the growth of Federal +regulations by more than 25 percent and cut well over 300 million hours of +government-required paperwork each year. This will save the public more +than $150 billion over the next 10 years. + +The Grace commission has given us some 2,500 recommendations for reducing +wasteful spending, and they're being examined throughout the +administration. Federal spending growth has been cut from 17.4 percent in +1980 to less than half of that today, and we have already achieved over +$300 billion in budget savings for the period of 1982 to '86. But that's +only a little more than half of what we sought. Government is still +spending too large a percentage of the total economy. + +Now, some insist that any further budget savings must be obtained by +reducing the portion spent on defense. This ignores the fact that national +defense is solely the responsibility of the Federal Government; indeed, it +is its prime responsibility. And yet defense spending is less than a third +of the total budget. During the years of President Kennedy and of the years +before that, defense was almost half the total budget. And then came +several years in which our military capability was allowed to deteriorate +to a very dangerous degree. We are just now restoring, through the +essential modernization of our conventional and strategic forces, our +capability to meet our present and future security needs. We dare not shirk +our responsibility to keep America free, secure, and at peace. + +The last decade saw domestic spending surge literally out of control. But +the basis for such spending had been laid in previous years. A pattern of +overspending has been in place for half a century. As the national debt +grew, we were told not to worry, that we owed it to ourselves. + +Now we know that deficits are a cause for worry. But there's a difference +of opinion as to whether taxes should be increased, spending cut, or some +of both. Fear is expressed that government borrowing to fund the deficit +could inhibit the economic recovery by taking capital needed for business +and industrial expansion. Well, I think that debate is missing an important +point. Whether government borrows or increases taxes, it will be taking the +same amount of money from the private sector, and, either way, that's too +much. Simple fairness dictates that government must not raise taxes on +families struggling to pay their bills. The root of the problem is that +government's share is more than we can afford if we're to have a sound +economy. + +We must bring down the deficits to ensure continued economic growth. In the +budget that I will submit on February 1st, I will recommend measures that +will reduce the deficit over the next 5 years. Many of these will be +unfinished business from last year's budget. + +Some could be enacted quickly if we could join in a serious effort to +address this problem. I spoke today with Speaker of the House O'Neill, +Senate Majority Leader Baker, Senate Minority Leader Byrd, and House +Minority Leader Michel. I asked them if they would designate congressional +representatives to meet with representatives of the administration to try +to reach prompt agreement on a bipartisan deficit reduction plan. I know it +would take a long, hard struggle to agree on a full-scale plan. So, what I +have proposed is that we first see if we can agree on a down payment. + +Now, I believe there is basis for such an agreement, one that could reduce +the deficits by about a hundred billion dollars over the next 3 years. We +could focus on some of the less contentious spending cuts that are still +pending before the Congress. These could be combined with measures to close +certain tax loopholes, measures that the Treasury Department has previously +said to be worthy of support. In addition, we could examine the possibility +of achieving further outlay savings based on the work of the Grace +commission. + +If the congressional leadership is willing, my representatives will be +prepared to meet with theirs at the earliest possible time. I would hope +the leadership might agree on an expedited timetable in which to develop +and enact that down payment. + +But a down payment alone is not enough to break us out of the deficit +problem. It could help us start on the right path. Yet, we must do more. +So, I propose that we begin exploring how together we can make structural +reforms to curb the built-in growth of spending. + +I also propose improvements in the budgeting process. Some 43 of our 50 +States grant their Governors the right to veto individual items in +appropriation bills without having to veto the entire bill. California is +one of those 43 States. As Governor, I found this line-item veto was a +powerful tool against wasteful or extravagant spending. It works in 43 +States. Let's put it to work in Washington for all the people. + +It would be most effective if done by constitutional amendment. The +majority of Americans approve of such an amendment, just as they and I +approve of an amendment mandating a balanced Federal budget. Many States +also have this protection in their constitutions. + +To talk of meeting the present situation by increasing taxes is a Band-Aid +solution which does nothing to cure an illness that's been coming on for +half a century--to say nothing of the fact that it poses a real threat to +economic recovery. Let's remember that a substantial amount of income tax +is presently owed and not paid by people in the underground economy. It +would be immoral to make those who are paying taxes pay more to compensate +for those who aren't paying their share. + +There's a better way. Let us go forward with an historic reform for +fairness, simplicity, and incentives for growth. I am asking Secretary Don +Regan for a plan for action to simplify the entire tax code, so all +taxpayers, big and small, are treated more fairly. And I believe such a +plan could result in that underground economy being brought into the +sunlight of honest tax compliance. And it could make the tax base broader, +so personal tax rates could come down, not go up. I've asked that specific +recommendations, consistent with those objectives, be presented to me by +December 1984. + +Our second great goal is to build on America's pioneer spirit--I said +something funny? I said America's next frontier--and that's to develop that +frontier. A sparkling economy spurs initiatives, sunrise industries, and +makes older ones more competitive. + +Nowhere is this more important than our next frontier: space. Nowhere do we +so effectively demonstrate our technological leadership and ability to make +life better on Earth. The Space Age is barely a quarter of a century old. +But already we've pushed civilization forward with our advances in science +and technology. Opportunities and jobs will multiply as we cross new +thresholds of knowledge and reach deeper into the unknown. + +Our progress in space--taking giant steps for all mankind--is a tribute to +American teamwork and excellence. Our finest minds in government, industry, +and academia have all pulled together. And we can be proud to say: We are +first; we are the best; and we are so because we're free. + +America has always been greatest when we dared to be great. We can reach +for greatness again. We can follow our dreams to distant stars, living and +working in space for peaceful, economic, and scientific gain. Tonight, I am +directing NASA to develop a permanently manned space station and to do it +within a decade. + +A space station will permit quantum leaps in our research in science, +communications, in metals, and in lifesaving medicines which could be +manufactured only in space. We want our friends to help us meet these +challenges and share in their benefits. NASA will invite other countries to +participate so we can strengthen peace, build prosperity, and expand +freedom for all who share our goals. + +Just as the oceans opened up a new world for clipper ships and Yankee +traders, space holds enormous potential for commerce today. The market for +space transportation could surpass our capacity to develop it. Companies +interested in putting payloads into space must have ready access to private +sector launch services. The Department of Transportation will help an +expendable launch services industry to get off the ground. We'll soon +implement a number of executive initiatives, develop proposals to ease +regulatory constraints, and, with NASA's help, promote private sector +investment in space. + +And as we develop the frontier of space, let us remember our responsibility +to preserve our older resources here on Earth. Preservation of our +environment is not a liberal or conservative challenge, it's common sense. + +Though this is a time of budget constraints, I have requested for EPA one +of the largest percentage budget increases of any agency. We will begin the +long, necessary effort to clean up a productive recreational area and a +special national resource--the Chesapeake Bay. + +To reduce the threat posed by abandoned hazardous waste dumps, EPA will +spend $410 million. And I will request a supplemental increase of 50 +million. And because the Superfund law expires in 1985, I've asked Bill +Ruckelshaus to develop a proposal for its extension so there'll be +additional time to complete this important task. + +On the question of acid rain, which concerns people in many areas of the +United States and Canada, I'm proposing a research program that doubles our +current funding. And we'll take additional action to restore our lakes and +develop new technology to reduce pollution that causes acid rain. + +We have greatly improved the conditions of our natural resources. We'll ask +the Congress for $157 million beginning in 1985 to acquire new park and +conservation lands. The Department of the Interior will encourage careful, +selective exploration and production on our vital resources in an Exclusive +Economic Zone within the 200-mile limit off our coasts--but with strict +adherence to environmental laws and with fuller State and public +participation. + +But our most precious resources, our greatest hope for the future, are the +minds and hearts of our people, especially our children. We can help them +build tomorrow by strengthening our community of shared values. This must +be our third great goal. For us, faith, work, family, neighborhood, +freedom, and peace are not just words; they're expressions of what America +means, definitions of what makes us a good and loving people. + +Families stand at the center of our society. And every family has a +personal stake in promoting excellence in education. Excellence does not +begin in Washington. A 600-percent increase in Federal spending on +education between 1960 and 1980 was accompanied by a steady decline in +Scholastic Aptitude Test scores. Excellence must begin in our homes and +neighborhood schools, where it's the responsibility of every parent and +teacher and the right of every child. + +Our children come first, and that's why I established a bipartisan National +Commission on Excellence in Education, to help us chart a commonsense +course for better education. And already, communities are implementing the +Commission's recommendations. Schools are reporting progress in math and +reading skills. But we must do more to restore discipline to schools; and +we must encourage the teaching of new basics, reward teachers of merit, +enforce tougher standards, and put our parents back in charge. + +I will continue to press for tuition tax credits to expand opportunities +for families and to soften the double payment for those paying public +school taxes and private school tuition. Our proposal would target +assistance to low- and middle-income families. Just as more incentives are +needed within our schools, greater competition is needed among our schools. +Without standards and competition, there can be no champions, no records +broken, no excellence in education or any other walk of life. + +And while I'm on this subject, each day your Members observe a 200-year-old +tradition meant to signify America is one nation under God. I must ask: If +you can begin your day with a member of the clergy standing right here +leading you in prayer, then why can't freedom to acknowledge God be enjoyed +again by children in every schoolroom across this land? + +America was founded by people who believed that God was their rock of +safety. He is ours. I recognize we must be cautious in claiming that God is +on our side, but I think it's all right to keep asking if we're on His +side. + +During our first 3 years, we have joined bipartisan efforts to restore +protection of the law to unborn children. Now, I know this issue is very +controversial. But unless and until it can be proven that an unborn child +is not a living human being, can we justify assuming without proof that it +isn't? No one has yet offered such proof; indeed, all the evidence is to +the contrary. We should rise above bitterness and reproach, and if +Americans could come together in a spirit of understanding and helping, +then we could find positive solutions to the tragedy of abortion. + +Economic recovery, better education, rededication to values, all show the +spirit of renewal gaining the upper hand. And all will improve family life +in the eighties. But families need more. They need assurance that they and +their loved ones can walk the streets of America without being afraid. +Parents need to know their children will not be victims of child +pornography and abduction. This year we will intensify our drive against +these and other horrible crimes like sexual abuse and family violence. + +Already our efforts to crack down on career criminals, organized crime, +drugpushers, and to enforce tougher sentences and paroles are having +effect. In 1982 the crime rate dropped by 4.3 percent, the biggest decline +since 1972. Protecting victims is just as important as safeguarding the +rights of defendants. + +Opportunities for all Americans will increase if we move forward in fair +housing and work to ensure women's rights, provide for equitable treatment +in pension benefits and Individual Retirement Accounts, facilitate child +care, and enforce delinquent parent support payments. + +It's not just the home but the workplace and community that sustain our +values and shape our future. So, I ask your help in assisting more +communities to break the bondage of dependency. Help us to free enterprise +by permitting debate and voting "yes" on our proposal for enterprise zones +in America. This has been before you for 2 years. Its passage can help +high-unemployment areas by creating jobs and restoring neighborhoods. + +A society bursting with opportunities, reaching for its future with +confidence, sustained by faith, fair play, and a conviction that good and +courageous people will flourish when they're free--these are the secrets of +a strong and prosperous America at peace with itself and the world. + +A lasting and meaningful peace is our fourth great goal. It is our highest +aspiration. And our record is clear: Americans resort to force only when we +must. We have never been aggressors. We have always struggled to defend +freedom and democracy. + +We have no territorial ambitions. We occupy no countries. We build no walls +to lock people in. Americans build the future. And our vision of a better +life for farmers, merchants, and working people, from the Americas to Asia, +begins with a simple premise: The future is best decided by ballots, not +bullets. + +Governments which rest upon the consent of the governed do not wage war on +their neighbors. Only when people are given a personal stake in deciding +their own destiny, benefiting from their own risks, do they create +societies that are prosperous, progressive, and free. Tonight, it is +democracies that offer hope by feeding the hungry, prolonging life, and +eliminating drudgery. + +When it comes to keeping America strong, free, and at peace, there should +be no Republicans or Democrats, just patriotic Americans. We can decide the +tough issues not by who is right, but by what is right. + +Together, we can continue to advance our agenda for peace. We can establish +a more stable basis for peaceful relations with the Soviet Union; +strengthen allied relations across the board; achieve real and equitable +reductions in the levels of nuclear arms; reinforce our peacemaking efforts +in the Middle East, Central America, and southern Africa; or assist +developing countries, particularly our neighbors in the Western Hemisphere; +and assist in the development of democratic institutions throughout the +world. + +The wisdom of our bipartisan cooperation was seen in the work of the +Scowcroft commission, which strengthened our ability to deter war and +protect peace. In that same spirit, I urge you to move forward with the +Henry Jackson plan to implement the recommendations of the Bipartisan +Commission on Central America. + +Your joint resolution on the multinational peacekeeping force in Lebanon is +also serving the cause of peace. We are making progress in Lebanon. For +nearly 10 years, the Lebanese have lived from tragedy to tragedy with no +hope for their future. Now the multinational peacekeeping force and our +marines are helping them break their cycle of despair. There is hope for a +free, independent, and sovereign Lebanon. We must have the courage to give +peace a chance. And we must not be driven from our objectives for peace in +Lebanon by state-sponsored terrorism. We have seen this ugly specter in +Beirut, Kuwait, and Rangoon. It demands international attention. I will +forward shortly legislative proposals to help combat terrorism. And I will +be seeking support from our allies for concerted action. + +Our NATO alliance is strong. 1983 was a banner year for political courage. +And we have strengthened our partnerships and our friendships in the Far +East. We're committed to dialog, deterrence, and promoting prosperity. +We'll work with our trading partners for a new round of negotiations in +support of freer world trade, greater competition, and more open markets. + +A rebirth of bipartisan cooperation, of economic growth, and military +deterrence, and a growing spirit of unity among our people at home and our +allies abroad underline a fundamental and far-reaching change: The United +States is safer, stronger, and more secure in 1984 than before. We can now +move with confidence to seize the opportunities for peace, and we will. + +Tonight, I want to speak to the people of the Soviet Union, to tell them +it's true that our governments have had serious differences, but our sons +and daughters have never fought each other in war. And if we Americans have +our way, they never will. + +People of the Soviet Union, there is only one sane policy, for your country +and mine, to preserve our civilization in this modern age: A nuclear war +cannot be won and must never be fought. The only value in our two nations +possessing nuclear weapons is to make sure they will never be used. But +then would it not be better to do away with them entirely? + +People of the Soviet, President Dwight Eisenhower, who fought by your side +in World War II, said the essential struggle "is not merely man against man +or nation against nation. It is man against war." Americans are people of +peace. If your government wants peace, there will be peace. We can come +together in faith and friendship to build a safer and far better world for +our children and our children's children. And the whole world will rejoice. +That is my message to you. + +Some days when life seems hard and we reach out for values to sustain us or +a friend to help us, we find a person who reminds us what it means to be +Americans. + +Sergeant Stephen Trujillo, a medic in the 2d Ranger Battalion, 75th +Infantry, was in the first helicopter to land at the compound held by Cuban +forces in Grenada. He saw three other helicopters crash. Despite the +imminent explosion of the burning aircraft, he never hesitated. He ran +across 25 yards of open terrain through enemy fire to rescue wounded +soldiers. He directed two other medics, administered first aid, and +returned again and again to the crash site to carry his wounded friends to +safety. + +Sergeant Trujillo, you and your fellow service men and women not only saved +innocent lives; you set a nation free. You inspire us as a force for +freedom, not for despotism; and, yes, for peace, not conquest. God bless +you. + +And then there are unsung heroes: single parents, couples, church and civic +volunteers. Their hearts carry without complaint the pains of family and +community problems. They soothe our sorrow, heal our wounds, calm our +fears, and share our joy. + +A person like Father Ritter is always there. His Covenant House programs in +New York and Houston provide shelter and help to thousands of frightened +and abused children each year. The same is true of Dr. Charles Carson. +Paralyzed in a plane crash, he still believed nothing is impossible. Today +in Minnesota, he works 80 hours a week without pay, helping pioneer the +field of computer-controlled walking. He has given hope to 500,000 +paralyzed Americans that some day they may walk again. + +How can we not believe in the greatness of America? How can we not do what +is right and needed to preserve this last best hope of man on Earth? After +all our struggles to restore America, to revive confidence in our country, +hope for our future, after all our hard-won victories earned through the +patience and courage of every citizen, we cannot, must not, and will not +turn back. We will finish our job. How could we do less? We're Americans. + +Carl Sandburg said, "I see America not in the setting sun of a black night +of despair... I see America in the crimson light of a rising sun fresh +from the burning, creative hand of God... I see great days ahead for men +and women of will and vision." + +I've never felt more strongly that America's best days and democracy's best +days lie ahead. We're a powerful force for good. With faith and courage, we +can perform great deeds and take freedom's next step. And we will. We will +carry on the tradition of a good and worthy people who have brought light +where there was darkness, warmth where there was cold, medicine where there +was disease, food where there was hunger, and peace where there was only +bloodshed. + +Let us be sure that those who come after will say of us in our time, that +in our time we did everything that could be done. We finished the race; we +kept them free; we kept the faith. + +Thank you very much. God bless you, and God bless America. + +NOTE: The President spoke at 9:02 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio and +television. + +*** + +State of the Union Address +Ronald Reagan +February 6, 1985 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +I come before you to report on the state of our Union, and I'm pleased to +report that after 4 years of united effort, the American people have +brought forth a nation renewed, stronger, freer, and more secure than +before. + +Four years ago we began to change, forever I hope, our assumptions about +government and its place in our lives. Out of that change has come great +and robust growth--in our confidence, our economy, and our role in the +world. + +Tonight America is stronger because of the values that we hold dear. We +believe faith and freedom must be our guiding stars, for they show us +truth, they make us brave, give us hope, and leave us wiser than we were. +Our progress began not in Washington, DC, but in the hearts of our +families, communities, workplaces, and voluntary groups which, together, +are unleashing the invincible spirit of one great nation under God. + +Four years ago we said we would invigorate our economy by giving people +greater freedom and incentives to take risks and letting them keep more of +what they earned. We did what we promised, and a great industrial giant is +reborn. + +Tonight we can take pride in 25 straight months of economic growth, the +strongest in 34 years; a 3-year inflation average of 3.9 percent, the +lowest in 17 years; and 7.3 million new jobs in 2 years, with more of our +citizens working than ever before. + +New freedom in our lives has planted the rich seeds for future success: + +For an America of wisdom that honors the family, knowing that if (as) the +family goes, so goes our civilization; + +For an America of vision that sees tomorrow's dreams in the learning and +hard work we do today; + +For an America of courage whose service men and women, even as we meet, +proudly stand watch on the frontiers of freedom; + +For an America of compassion that opens its heart to those who cry out for +help. + +We have begun well. But it's only a beginning. We're not here to +congratulate ourselves on what we have done but to challenge ourselves to +finish what has not yet been done. + +We're here to speak for millions in our inner cities who long for real +jobs, safe neighborhoods, and schools that truly teach. We're here to speak +for the American farmer, the entrepreneur, and every worker in industries +fighting to modernize and compete. And, yes, we're here to stand, and +proudly so, for all who struggle to break free from totalitarianism, for +all who know in their hearts that freedom is the one true path to peace and +human happiness. + +Proverbs tell us, without a vision the people perish. When asked what great +principle holds our Union together, Abraham Lincoln said: "Something in +(the) Declaration giving liberty, not alone to the people of this country, +but hope to the world for all future time." + +We honor the giants of our history not by going back but forward to the +dreams their vision foresaw. My fellow citizens, this nation is poised for +greatness. The time has come to proceed toward a great new challenge--a +second American Revolution of hope and opportunity; a revolution carrying +us to new heights of progress by pushing back frontiers of knowledge and +space; a revolution of spirit that taps the soul of America, enabling us to +summon greater strength than we've ever known; and a revolution that +carries beyond our shores the golden promise of human freedom in a world of +peace. + +Let us begin by challenging our conventional wisdom. There are no +constraints on the human mind, no walls around the human spirit, no +barriers to our progress except those we ourselves erect. Already, pushing +down tax rates has freed our economy to vault forward to record growth. + +In Europe, they're calling it "the American Miracle." Day by day, we're +shattering accepted notions of what is possible. When I was growing up, we +failed to see how a new thing called radio would transform our marketplace. +Well, today, many have not yet seen how advances in technology are +transforming our lives. + +In the late 1950's workers at the AT&T semiconductor plant in Pennsylvania +produced five transistors a day for $7.50 apiece. They now produce over a +million for less than a penny apiece. + +New laser techniques could revolutionize heart bypass surgery, cut +diagnosis time for viruses linked to cancer from weeks to minutes, reduce +hospital costs dramatically, and hold out new promise for saving human +lives. + +Our automobile industry has overhauled assembly lines, increased worker +productivity, and is competitive once again. + +We stand on the threshold of a great ability to produce more, do more, be +more. Our economy is not getting older and weaker; it's getting younger and +stronger. It doesn't need rest and supervision; it needs new challenge, +greater freedom. And that word "freedom" is the key to the second American +revolution that we need to bring about. + +Let us move together with an historic reform of tax simplification for +fairness and growth. Last year I asked Treasury Secretary-then-Regan to +develop a plan to simplify the tax code, so all taxpayers would be treated +more fairly and personal tax rates could come further down. + +We have cut tax rates by almost 25 percent, yet the tax system remains +unfair and limits our potential for growth. Exclusions and exemptions cause +similar incomes to be taxed at different levels. Low-income families face +steep tax barriers that make hard lives even harder. The Treasury +Department has produced an excellent reform plan, whose principles will +guide the final proposal that we will ask you to enact. + +One thing that tax reform will not be is a tax increase in disguise. We +will not jeopardize the mortgage interest deduction that families need. We +will reduce personal tax rates as low as possible by removing many tax +preferences. We will propose a top rate of no more than 35 percent, and +possibly lower. And we will propose reducing corporate rates, while +maintaining incentives for capital formation. + +To encourage opportunity and jobs rather than dependency and welfare, we +will propose that individuals living at or near the poverty line be totally +exempt from Federal income tax. To restore fairness to families, we will +propose increasing significantly the personal exemption. + +And tonight, I am instructing Treasury Secretary James Baker--I have to get +used to saying that--to begin working with congressional authors and +committees for bipartisan legislation conforming to these principles. We +will call upon the American people for support and upon every man and woman +in this Chamber. Together, we can pass, this year, a tax bill for fairness, +simplicity, and growth, making this economy the engine of our dreams and +America the investment capital of the world. So let us begin. + +Tax simplification will be a giant step toward unleashing the tremendous +pent-up power of our economy. But a second American revolution must carry +the promise of opportunity for all. It is time to liberate the spirit of +enterprise in the most distressed areas of our country. + +This government will meet its responsibility to help those in need. But +policies that increase dependency, break up families, and destroy +self-respect are not progressive; they're reactionary. Despite our strides +in civil rights, blacks, Hispanics, and all minorities will not have full +and equal power until they have full economic power. + +We have repeatedly sought passage of enterprise zones to help those in the +abandoned corners of our land find jobs, learn skills, and build better +lives. This legislation is supported by a majority of you. + +Mr. Speaker, I know we agree that there must be no forgotten Americans. +Let us place new dreams in a million hearts and create a new generation of +entrepreneurs by passing enterprise zones this year. And, Tip, you could +make that a birthday present. + +Nor must we lose the chance to pass our youth employment opportunity wage +proposal. We can help teenagers, who have the highest unemployment rate, +find summer jobs, so they can know the pride of work and have confidence in +their futures. + +We'll continue to support the Job Training Partnership Act, which has a +nearly two-thirds job placement rate. Credits in education and health care +vouchers will help working families shop for services that they need. + +Our administration is already encouraging certain low-income public housing +residents to own and manage their own dwellings. It's time that all public +housing residents have that opportunity of ownership. + +The Federal Government can help create a new atmosphere of freedom. But +States and localities, many of which enjoy surpluses from the recovery, +must not permit their tax and regulatory policies to stand as barriers to +growth. + +Let us resolve that we will stop spreading dependency and start spreading +opportunity; that we will stop spreading bondage and start spreading +freedom. + +There are some who say that growth initiatives must await final action on +deficit reductions. Well, the best way to reduce deficits is through +economic growth. More businesses will be started, more investments made, +more jobs created, and more people will be on payrolls paying taxes. The +best way to reduce government spending is to reduce the need for spending +by increasing prosperity. Each added percentage point per year of real GNP +growth will lead to cumulative reduction in deficits of nearly $200 billion +over 5 years. + +To move steadily toward a balanced budget, we must also lighten +government's claim on our total economy. We will not do this by raising +taxes. We must make sure that our economy grows faster than the growth in +spending by the Federal Government. In our fiscal year 1986 budget, overall +government program spending will be frozen at the current level. It must +not be one dime higher than fiscal year 1985, and three points are key. + +First, the social safety net for the elderly, the needy, the disabled, and +unemployed will be left intact. Growth of our major health care programs, +Medicare and Medicaid, will be slowed, but protections for the elderly and +needy will be preserved. + +Second, we must not relax our efforts to restore military strength just as +we near our goal of a fully equipped, trained, and ready professional +corps. National security is government's first responsibility; so in past +years defense spending took about half the Federal budget. Today it takes +less than a third. We've already reduced our planned defense expenditures +by nearly a hundred billion dollars over the past 4 years and reduced +projected spending again this year. + +You know, we only have a military-industrial complex until a time of +danger, and then it becomes the arsenal of democracy. Spending for defense +is investing in things that are priceless--peace and freedom. + +Third, we must reduce or eliminate costly government subsidies. For +example, deregulation of the airline industry has led to cheaper airfares, +but on Amtrak taxpayers pay about $35 per passenger every time an Amtrak +train leaves the station, It's time we ended this huge Federal subsidy. + +Our farm program costs have quadrupled in recent years. Yet I know from +visiting farmers, many in great financial distress, that we need an orderly +transition to a market-oriented farm economy. We can help farmers best not +by expanding Federal payments but by making fundamental reforms, keeping +interest rates heading down, and knocking down foreign trade barriers to +American farm exports. + +We're moving ahead with Grace commission reforms to eliminate waste and +improve government's management practices. In the long run, we must protect +the taxpayers from government. And I ask again that you pass, as 32 States +have now called for, an amendment mandating the Federal Government spend no +more than it takes in. And I ask for the authority, used responsibly by 43 +Governors, to veto individual items in appropriation bills. Senator +Mattingly has introduced a bill permitting a 2-year trial run of the +line-item veto. I hope you'll pass and send that legislation to my desk. + +Nearly 50 years of government living beyond its means has brought us to a +time of reckoning. Ours is but a moment in history. But one moment of +courage, idealism, and bipartisan unity can change American history +forever. + +Sound monetary policy is key to long-running economic strength and +stability. We will continue to cooperate with the Federal Reserve Board, +seeking a steady policy that ensures price stability without keeping +interest rates artificially high or needlessly holding down growth. + +Reducing unneeded red tape and regulations, and deregulating the energy, +transportation, and financial industries have unleashed new competition, +giving consumers more choices, better services, and lower prices. In just +one set of grant programs we have reduced 905 pages of regulations to 31. +We seek to fully deregulate natural gas to bring on new supplies and bring +us closer to energy independence. Consistent with safety standards, we will +continue removing restraints on the bus and railroad industries, we will +soon end up legislation--or send up legislation, I should say--to return +Conrail to the private sector where it belongs, and we will support further +deregulation of the trucking industry. + +Every dollar the Federal Government does not take from us, every decision +it does not make for us will make our economy stronger, our lives more +abundant, our future more free. + +Our second American revolution will push on to new possibilities not only +on Earth but in the next frontier of space. Despite budget restraints, we +will seek record funding for research and development. + +We've seen the success of the space shuttle. Now we're going to develop a +permanently manned space station and new opportunities for free enterprise, +because in the next decade Americans and our friends around the world will +be living and working together in space. + +In the zero gravity of space, we could manufacture in 30 days lifesaving +medicines it would take 30 years to make on Earth. We can make crystals of +exceptional purity to produce super computers, creating jobs, technologies, +and medical breakthroughs beyond anything we ever dreamed possible. + +As we do all this, we'll continue to protect our natural resources. We will +seek reauthorization and expanded funding for the Superfund program to +continue cleaning up hazardous waste sites which threaten human health and +the environment. + +Now, there's another great heritage to speak of this evening. Of all the +changes that have swept America the past 4 years, none brings greater +promise than our rediscovery of the values of faith, freedom, family, work, +and neighborhood. + +We see signs of renewal in increased attendance in places of worship; +renewed optimism and faith in our future; love of country rediscovered by +our young, who are leading the way. We've rediscovered that work is good in +and of itself, that it ennobles us to create and contribute no matter how +seemingly humble our jobs. We've seen a powerful new current from an old +and honorable tradition--American generosity. + +From thousands answering Peace Corps appeals to help boost food production +in Africa, to millions volunteering time, corporations adopting schools, +and communities pulling together to help the neediest among us at home, we +have refound our values. Private sector initiatives are crucial to our +future. + +I thank the Congress for passing equal access legislation giving religious +groups the same right to use classrooms after school that other groups +enjoy. But no citizen need tremble, nor the world shudder, if a child +stands in a classroom and breathes a prayer. We ask you again, give +children back a right they had for a century and a half or more in this +country. + +The question of abortion grips our nation. Abortion is either the taking of +a human life or it isn't. And if it is--and medical technology is +increasingly showing it is--it must be stopped. It is a terrible irony that +while some turn to abortion, so many others who cannot become parents cry +out for children to adopt. We have room for these children. We can fill the +cradles of those who want a child to love. And tonight I ask you in the +Congress to move this year on legislation to protect the unborn. + +In the area of education, we're returning to excellence, and again, the +heroes are our people, not government. We're stressing basics of +discipline, rigorous testing, and homework, while helping children become +computer-smart as well. For 20 years scholastic aptitude test scores of our +high school students went down, but now they have gone up 2 of the last 3 +years. We must go forward in our commitment to the new basics, giving +parents greater authority and making sure good teachers are rewarded for +hard work and achievement through merit pay. + +Of all the changes in the past 20 years, none has more threatened our sense +of national well-being than the explosion of violent crime. One does not +have to be attacked to be a victim. The woman who must run to her car after +shopping at night is a victim. The couple draping their door with locks and +chains are victims; as is the tired, decent cleaning woman who can't ride a +subway home without being afraid. + +We do not seek to violate the rights of defendants. But shouldn't we feel +more compassion for the victims of crime than for those who commit crime? +For the first time in 20 years, the crime index has fallen 2 years in a +row. We've convicted over 7,400 drug offenders and put them, as well as +leaders of organized crime, behind bars in record numbers. + +But we must do more. I urge the House to follow the Senate and enact +proposals permitting use of all reliable evidence that police officers +acquire in good faith. These proposals would also reform the habeas corpus +laws and allow, in keeping with the will of the overwhelming majority of +Americans, the use of the death penalty where necessary. + +There can be no economic revival in ghettos when the most violent among us +are allowed to roam free. It's time we restored domestic tranquility. And +we mean to do just that. + +Just as we're positioned as never before to secure justice in our economy, +we're poised as never before to create a safer, freer, more peaceful world. +Our alliances are stronger than ever. Our economy is stronger than ever. We +have resumed our historic role as a leader of the free world. And all of +these together are a great force for peace. + +Since 1981 we've been committed to seeking fair and verifiable arms +agreements that would lower the risk of war and reduce the size of nuclear +arsenals. Now our determination to maintain a strong defense has influenced +the Soviet Union to return to the bargaining table. Our negotiators must be +able to go to that table with the united support of the American people. +All of us have no greater dream than to see the day when nuclear weapons +are banned from this Earth forever. + +Each Member of the Congress has a role to play in modernizing our defenses, +thus supporting our chances for a meaningful arms agreement. Your vote this +spring on the Peacekeeper missile will be a critical test of our resolve to +maintain the strength we need and move toward mutual and verifiable arms +reductions. + +For the past 20 years we've believed that no war will be launched as long +as each side knows it can retaliate with a deadly counterstrike. Well, I +believe there's a better way of eliminating the threat of nuclear war. It +is a Strategic Defense Initiative aimed ultimately at finding a nonnuclear +defense against ballistic missiles. It's the most hopeful possibility of +the nuclear age. But it's not very well understood. + +Some say it will bring war to the heavens, but its purpose is to deter war +in the heavens and on Earth. Now, some say the research would be expensive. +Perhaps, but it could save millions of lives, indeed humanity itself. And +some say if we build such a system, the Soviets will build a defense system +of their own. Well, they already have strategic defenses that surpass ours; +a civil defense system, where we have almost none; and a research program +covering roughly the same areas of technology that we're now exploring. And +finally some say the research will take a long time. Well, the answer to +that is: Let's get started. + +Harry Truman once said that, ultimately, our security and the world's hopes +for peace and human progress "lie not in measures of defense or in the +control of weapons, but in the growth and expansion of freedom and +self-government." + +And tonight, we declare anew to our fellow citizens of the world: Freedom +is not the sole prerogative of a chosen few; it is the universal right of +all God's children. Look to where peace and prosperity flourish today. It +is in homes that freedom built. Victories against poverty are greatest and +peace most secure where people live by laws that ensure free press, free +speech, and freedom to worship, vote, and create wealth. + +Our mission is to nourish and defend freedom and democracy, and to +communicate these ideals everywhere we can. America's economic success is +freedom's success; it can be repeated a hundred times in a hundred +different nations. Many countries in east Asia and the Pacific have few +resources other than the enterprise of their own people. But through low +tax rates and free markets they've soared ahead of centralized economies. +And now China is opening up its economy to meet its needs. + +We need a stronger and simpler approach to the process of making and +implementing trade policy, and we'll be studying potential changes in that +process in the next few weeks. We've seen the benefits of free trade and +lived through the disasters of protectionism. Tonight I ask all our trading +partners, developed and developing alike, to join us in a new round of +trade negotiations to expand trade and competition and strengthen the +global economy--and to begin it in this next year. + +There are more than 3 billion human beings living in Third World countries +with an average per capita income of $650 a year. Many are victims of +dictatorships that impoverished them with taxation and corruption. Let us +ask our allies to join us in a practical program of trade and assistance +that fosters economic development through personal incentives to help these +people climb from poverty on their own. + +We cannot play innocents abroad in a world that's not innocent; nor can we +be passive when freedom is under siege. Without resources, diplomacy cannot +succeed. Our security assistance programs help friendly governments defend +themselves and give them confidence to work for peace. And I hope that you +in the Congress will understand that, dollar for dollar, security +assistance contributes as much to global security as our own defense +budget. + +We must stand by all our democratic allies. And we must not break faith +with those who are risking their lives--on every continent, from +Afghanistan to Nicaragua--to defy Soviet-supported aggression and secure +rights which have been ours from birth. + +The Sandinista dictatorship of Nicaragua, with full Cuban-Soviet bloc +support, not only persecutes its people, the church, and denies a free +press, but arms and provides bases for Communist terrorists attacking +neighboring states. Support for freedom fighters is self-defense and +totally consistent with the OAS and U.N. Charters. It is essential that the +Congress continue all facets of our assistance to Central America. I want +to work with you to support the democratic forces whose struggle is tied to +our own security. + +And tonight, I've spoken of great plans and great dreams. They're dreams we +can make come true. Two hundred years of American history should have +taught us that nothing is impossible. + +Ten years ago a young girl left Vietnam with her family, part of the exodus +that followed the fall of Saigon. They came to the United States with no +possessions and not knowing a word of English. Ten years ago--the young +girl studied hard, learned English, and finished high school in the top of +her class. And this May, May 22d to be exact, is a big date on her +calendar. Just 10 years from the time she left Vietnam, she will graduate +from the United States Military Academy at West Point. I thought you might +like to meet an American hero named Jean Nguyen. + +Now, there's someone else here tonight, born 79 years ago. She lives in the +inner city, where she cares for infants born of mothers who are heroin +addicts. The children, born in withdrawal, are sometimes even dropped on +her doorstep. She helps them with love. Go to her house some night, and +maybe you'll see her silhouette against the window as she walks the floor +talking softly, soothing a child in her arms--Mother Hale of Harlem, and +she, too, is an American hero. + +Jean, Mother Hale, your lives tell us that the oldest American saying is +new again: Anything is possible in America if we have the faith, the will, +and the heart. History is asking us once again to be a force for good in +the world. Let us begin in unity, with justice, and love. + +Thank you, and God bless you. + +NOTE: The President spoke at 9:05 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. + +*** + +State of the Union Address +Ronald Reagan +February 4, 1986 + +Mr. Speaker, Mr. President, distinguished Members of the Congress, honored +guests, and fellow citizens: + +Thank you for allowing me to delay my address until this evening. We paused +together to mourn and honor the valor of our seven Challenger heroes. And I +hope that we are now ready to do what they would want us to do: Go forward, +America, and reach for the stars. We will never forget those brave seven, +but we shall go forward. + +Mr. Speaker, before I begin my prepared remarks, may I point out that +tonight marks the 10th and last State of the Union Message that you've +presided over. And on behalf of the American people, I want to salute you +for your service to Congress and country. Here's to you! + +I have come to review with you the progress of our nation, to speak of +unfinished work, and to set our sights on the future. I am pleased to +report the state of our Union is stronger than a year ago and growing +stronger each day. Tonight we look out on a rising America, firm of heart, +united in spirit, powerful in pride and patriotism. America is on the move! +But it wasn't long ago that we looked out on a different land: locked +factory gates, long gasoline lines, intolerable prices, and interest rates +turning the greatest country on Earth into a land of broken dreams. +Government growing beyond our consent had become a lumbering giant, +slamming shut the gates of opportunity, threatening to crush the very roots +of our freedom. What brought America back? The American people brought us +back with quiet courage and common sense, with undying faith that in this +nation under God the future will be ours; for the future belongs to the +free. + +Tonight the American people deserve our thanks for 37 straight months of +economic growth, for sunrise firms and modernized industries creating 9 +million new jobs in 3 years, interest rates cut in half, inflation falling +over from 12 percent in 1980 to under 4 today, and a mighty river of good +works--a record $74 billion in voluntary giving just last year alone. And +despite the pressures of our modern world, family and community remain the +moral core of our society, guardians of our values and hopes for the +future. Family and community are the costars of this great American +comeback. They are why we say tonight: Private values must be at the heart +of public policies. + +What is true for families in America is true for America in the family of +free nations. History is no captive of some inevitable force. History is +made by men and women of vision and courage. Tonight freedom is on the +march. The United States is the economic miracle, the model to which the +world once again turns. We stand for an idea whose time is now: Only by +lifting the weights from the shoulders of all can people truly prosper and +can peace among all nations be secure. Teddy Roosevelt said that a nation +that does great work lives forever. We have done well, but we cannot stop +at the foothills when Everest beckons. It's time for America to be all that +we can be. + +We speak tonight of an agenda for the future, an agenda for a safer, more +secure world. And we speak about the necessity for actions to steel us for +the challenges of growth, trade, and security in the next decade and the +year 2000. And we will do it--not by breaking faith with bedrock principles +but by breaking free from failed policies. Let us begin where storm clouds +loom darkest--right here in Washington, DC. This week I will send you our +detailed proposals; tonight let us speak of our responsibility to redefine +government's role: not to control, not to demand or command, not to contain +us, but to help in times of need and, above all, to create a ladder of +opportunity to full employment so that all Americans can climb toward +economic power and justice on their own. + +But we cannot win the race to the future shackled to a system that can't +even pass a Federal budget. We cannot win that race held back by +horse-and-buggy programs that waste tax dollars and squander human +potential. We cannot win that race if we're swamped in a sea of red ink. +Now, Mr. Speaker, you know, I know, and the American people know the +Federal budget system is broken. It doesn't work. Before we leave this +city, let's you and I work together to fix it, and then we can finally give +the American people a balanced budget. + +Members of Congress, passage of Gramm-Rudman-Hollings gives us an historic +opportunity to achieve what has eluded our national leadership for decades: +forcing the Federal Government to live within its means. Your schedule now +requires that the budget resolution be passed by April 15th, the very day +America's families have to foot the bill for the budgets that you produce. +How often we read of a husband and wife both working, struggling from +paycheck to paycheck to raise a family, meet a mortgage, pay their taxes +and bills. And yet some in Congress say taxes must be raised. Well, I'm +sorry; they're asking the wrong people to tighten their belts. It's time we +reduce the Federal budget and left the family budget alone. We do not face +large deficits because American families are undertaxed; we face those +deficits because the Federal Government overspends. + +The detailed budget that we will submit will meet the Gramm-Rudman-Hollings +target for deficit reductions, meet our commitment to ensure a strong +national defense, meet our commitment to protect Social Security and the +truly less fortunate, and, yes, meet our commitment to not raise taxes. How +should we accomplish this? Well, not by taking from those in need. As +families take care of their own, government must provide shelter and +nourishment for those who cannot provide for themselves. But we must revise +or replace programs enacted in the name of compassion that degrade the +moral worth of work, encourage family breakups, and drive entire +communities into a bleak and heartless dependency. Gramm-Rudman-Hollings +can mark a dramatic improvement. But experience shows that simply setting +deficit targets does not assure they'll be met. We must proceed with Grace +commission reforms against waste. + +And tonight I ask you to give me what 43 Governors have: Give me a +line-item veto this year. Give me the authority to veto waste, and I'll +take the responsibility, I'll make the cuts, I'll take the heat. This +authority would not give me any monopoly power, but simply prevent spending +measures from sneaking through that could not pass on their own merit. And +you can sustain or override my veto; that's the way the system should work. +Once we've made the hard choices, we should lock in our gains with a +balanced budget amendment to the Constitution. + +I mentioned that we will meet our commitment to national defense. We must +meet it. Defense is not just another budget expense. Keeping America +strong, free, and at peace is solely the responsibility of the Federal +Government; it is government's prime responsibility. We have devoted 5 +years trying to narrow a dangerous gap born of illusion and neglect, and +we've made important gains. Yet the threat from Soviet forces, conventional +and strategic, from the Soviet drive for domination, from the increase in +espionage and state terror remains great. This is reality. Closing our eyes +will not make reality disappear. We pledged together to hold real growth in +defense spending to the bare minimum. My budget honors that pledge, and I'm +now asking you, the Congress, to keep its end of the bargain. The Soviets +must know that if America reduces her defenses, it will be because of a +reduced threat, not a reduced resolve. + +Keeping America strong is as vital to the national security as controlling +Federal spending is to our economic security. But, as I have said before, +the most powerful force we can enlist against the Federal deficit is an +ever-expanding American economy, unfettered and free. The magic of +opportunity--unreserved, unfailing, unrestrained--isn't this the calling +that unites us? I believe our tax rate cuts for the people have done more +to spur a spirit of risk-taking and help America's economy break free than +any program since John Kennedy's tax cut almost a quarter century ago. + +Now history calls us to press on, to complete efforts for an historic tax +reform providing new opportunity for all and ensuring that all pay their +fair share, but no more. We've come this far. Will you join me now, and +we'll walk this last mile together? You know my views on this. We cannot +and we will not accept tax reform that is a tax increase in disguise. True +reform must be an engine of productivity and growth, and that means a top +personal rate no higher than 35 percent. True reform must be truly fair, +and that means raising personal exemptions to $2,000. True reform means a +tax system that at long last is profamily, projobs, profuture, and +pro-America. + +As we knock down the barriers to growth, we must redouble our efforts for +freer and fairer trade. We have already taken actions to counter unfair +trading practices and to pry open closed foreign markets. We will continue +to do so. We will also oppose legislation touted as providing protection +that in reality pits one American worker against another, one industry +against another, one community against another, and that raises prices for +us all. If the United States can trade with other nations on a level +playing field, we can outproduce, outcompete, and outsell anybody, anywhere +in the world. + +The constant expansion of our economy and exports requires a sound and +stable dollar at home and reliable exchange rates around the world. We must +never again permit wild currency swings to cripple our farmers and other +exporters. Farmers, in particular, have suffered from past unwise +government policies. They must not be abandoned with problems they did not +create and cannot control. We've begun coordinating economic and monetary +policy among our major trading partners. But there's more to do, and +tonight I am directing Treasury Secretary Jim Baker to determine if the +nations of the world should convene to discuss the role and relationship of +our currencies. + +Confident in our future and secure in our values, Americans are striving +forward to embrace the future. We see it not only in our recovery but in 3 +straight years of falling crime rates, as families and communities band +together to fight pornography, drugs, and lawlessness and to give back to +their children the safe and, yes, innocent childhood they deserve. We see +it in the renaissance in education, the rising SAT scores for 3 years--last +year's increase, the greatest since 1963. It wasn't government and +Washington lobbies that turned education around; it was the American people +who, in reaching for excellence, knew to reach back to basics. We must +continue the advance by supporting discipline in our schools, vouchers that +give parents freedom of choice; and we must give back to our children their +lost right to acknowledge God in their classrooms. + +We are a nation of idealists, yet today there is a wound in our national +conscience. America will never be whole as long as the right to life +granted by our Creator is denied to the unborn. For the rest of my time, I +shall do what I can to see that this wound is one day healed. + +As we work to make the American dream real for all, we must also look to +the condition of America's families. Struggling parents today worry how +they will provide their children the advantages that their parents gave +them. In the welfare culture, the breakdown of the family, the most basic +support system, has reached crisis proportions--in female and child +poverty, child abandonment, horrible crimes, and deteriorating schools. +After hundreds of billions of dollars in poverty programs, the plight of +the poor grows more painful. But the waste in dollars and cents pales +before the most tragic loss: the sinful waste of human spirit and +potential. We can ignore this terrible truth no longer. As Franklin +Roosevelt warned 51 years ago, standing before this Chamber, he said, +"Welfare is a narcotic, a subtle destroyer of the human spirit." And we +must now escape the spider's web of dependency. + +Tonight I am charging the White House Domestic Council to present me by +December 1, 1986, an evaluation of programs and a strategy for immediate +action to meet the financial, educational, social, and safety concerns of +poor families. I'm talking about real and lasting emancipation, because the +success of welfare should be judged by how many of its recipients become +independent of welfare. Further, after seeing how devastating illness can +destroy the financial security of the family, I am directing the Secretary +of Health and Human Services, Dr. Otis Bowen, to report to me by year end +with recommendations on how the private sector and government can work +together to address the problems of affordable insurance for those whose +life savings would otherwise be threatened when catastrophic illness +strikes. + +And tonight I want to speak directly to America's younger generation, +because you hold the destiny of our nation in your hands. With all the +temptations young people face, it sometimes seems the allure of the +permissive society requires superhuman feats of self-control. But the call +of the future is too strong, the challenge too great to get lost in the +blind alleyways of dissolution, drugs, and despair. Never has there been a +more exciting time to be alive, a time of rousing wonder and heroic +achievement. As they said in the film "Back to the Future," "Where we're +going, we don't need roads." + +Well, today physicists peering into the infinitely small realms of +subatomic particles find reaffirmations of religious faith. Astronomers +build a space telescope that can see to the edge of the universe and +possibly back to the moment of creation. So, yes, this nation remains fully +committed to America's space program. We're going forward with our shuttle +flights. We're going forward to build our space station. And we are going +forward with research on a new Orient Express that could, by the end of the +next decade, take off from Dulles Airport, accelerate up to 25 times the +speed of sound, attaining low Earth orbit or flying to Tokyo within 2 +hours. And the same technology transforming our lives can solve the +greatest problem of the 20th century. A security shield can one day render +nuclear weapons obsolete and free mankind from the prison of nuclear +terror. America met one historic challenge and went to the Moon. Now +America must meet another: to make our strategic defense real for all the +citizens of planet Earth. + +Let us speak of our deepest longing for the future: to leave our children a +land that is free and just and a world at peace. It is my hope that our +fireside summit in Geneva and Mr. Gorbachev's upcoming visit to America can +lead to a more stable relationship. Surely no people on Earth hate war or +love peace more than we Americans. But we cannot stroll into the future +with childlike faith. Our differences with a system that openly proclaims +and practices an alleged right to command people's lives and to export its +ideology by force are deep and abiding. Logic and history compel us to +accept that our relationship be guided by realism--rock-hard, cleareyed, +steady, and sure. Our negotiators in Geneva have proposed a radical cut in +offensive forces by each side with no cheating. They have made clear that +Soviet compliance with the letter and spirit of agreements is essential. If +the Soviet Government wants an agreement that truly reduces nuclear arms, +there will be such an agreement. + +But arms control is no substitute for peace. We know that peace follows in +freedom's path and conflicts erupt when the will of the people is denied. +So, we must prepare for peace not only by reducing weapons but by +bolstering prosperity, liberty, and democracy however and wherever we can. +We advance the promise of opportunity every time we speak out on behalf of +lower tax rates, freer markets, sound currencies around the world. We +strengthen the family of freedom every time we work with allies and come to +the aid of friends under siege. And we can enlarge the family of free +nations if we will defend the unalienable rights of all God's children to +follow their dreams. + +To those imprisoned in regimes held captive, to those beaten for daring to +fight for freedom and democracy--for their right to worship, to speak, to +live, and to prosper in the family of free nations--we say to you tonight: +You are not alone, freedom fighters. America will support with moral and +material assistance your right not just to fight and die for freedom but to +fight and win freedom--to win freedom in Afghanistan, in Angola, in +Cambodia, and in Nicaragua. This is a great moral challenge for the entire +free world. + +Surely no issue is more important for peace in our own hemisphere, for the +security of our frontiers, for the protection of our vital interests, than +to achieve democracy in Nicaragua and to protect Nicaragua's democratic +neighbors. This year I will be asking Congress for the means to do what +must be done for that great and good cause. As (former Senator Henry +M.)Scoop Jackson, the inspiration for our Bipartisan Commission on Central +America, once said, "In matters of national security, the best politics is +no politics." + +What we accomplish this year, in each challenge we face, will set our +course for the balance of the decade, indeed, for the remainder of the +century. After all we've done so far, let no one say that this nation +cannot reach the destiny of our dreams. America believes, America is ready, +America can win the race to the future--and we shall. The American dream is +a song of hope that rings through night winter air; vivid, tender music +that warms our hearts when the least among us aspire to the greatest +things: to venture a daring enterprise; to unearth new beauty in music, +literature, and art; to discover a new universe inside a tiny silicon chip +or a single human cell. + +We see the dream coming true in the spirit of discovery of Richard Cavoli. +All his life he's been enthralled by the mysteries of medicine. And, +Richard, we know that the experiment that you began in high school was +launched and lost last week, yet your dream lives. And as long as it's +real, work of noble note will yet be done, work that could reduce the +harmful effects of x rays on patients and enable astronomers to view the +golden gateways of the farthest stars. + +We see the dream glow in the towering talent of a 12-year-old, Tyrone Ford. +A child prodigy of gospel music, he has surmounted personal adversity to +become an accomplished pianist and singer. He also directs the choirs of +three churches and has performed at the Kennedy Center. With God as your +composer, Tyrone, your music will be the music of angels. + +We see the dream being saved by the courage of the 13-year-old Shelby +Butler, honor student and member of her school's safety patrol. Seeing +another girl freeze in terror before an out-of-control school bus, she +risked her life and pulled her to safety. With bravery like yours, Shelby, +America need never fear for our future. + +And we see the dream born again in the joyful compassion of a 13 year old, +Trevor Ferrell. Two years ago, age 11, watching men and women bedding down +in abandoned doorways--on television he was watching--Trevor left his +suburban Philadelphia home to bring blankets and food to the helpless and +homeless. And now 250 people help him fulfill his nightly vigil. Trevor, +yours is the living spirit of brotherly love. + +Would you four stand up for a moment? Thank you, thank you. You are heroes +of our hearts. We look at you and know it's true: In this land of dreams +fulfilled, where greater dreams may be imagined, nothing is impossible, no +victory is beyond our reach, no glory will ever be too great. + +So, now it's up to us, all of us, to prepare America for that day when our +work will pale before the greatness of America's champions in the 21st +century. The world's hopes rest with America's future; America's hopes rest +with us. So, let us go forward to create our world of tomorrow in faith, in +unity, and in love. + +God bless you, and God bless America. + +NOTE: The President spoke at 8:04 p.m. in the House Chamber of the Capitol. +He was introduced by Thomas P. O'Neill, Jr., Speaker of the House of +Representatives. The address was broadcast live on nationwide radio +and television. + +*** + +State of the Union Address +Ronald Reagan +January 27, 1987 + +Mr. Speaker, Mr. President, distinguished Members of Congress, honored +guests, and fellow citizens: + +May I congratulate all of you who are Members of this historic 100th +Congress of the United States of America. In this 200th anniversary year of +our Constitution, you and I stand on the shoulders of giants--men whose +words and deeds put wind in the sails of freedom. However, we must always +remember that our Constitution is to be celebrated not for being old, but +for being young--young with the same energy, spirit, and promise that +filled each eventful day in Philadelphia's statehouse. We will be guided +tonight by their acts, and we will be guided forever by their words. + +Now, forgive me, but I can't resist sharing a story from those historic +days. Philadelphia was bursting with civic pride in the spring of 1787, and +its newspapers began embellishing the arrival of the Convention delegates +with elaborate social classifications. Governors of States were called +Excellency. Justices and Chancellors had reserved for them honorable with a +capital "H." For Congressmen, it was honorable with a small "h." And all +others were referred to as "the following respectable characters." Well, +for this 100th Congress, I invoke special executive powers to declare that +each of you must never be titled less than honorable with a capital "H." +Incidentally, I'm delighted you are celebrating the 100th birthday of the +Congress. It's always a pleasure to congratulate someone with more +birthdays than I've had. + +Now, there's a new face at this place of honor tonight. And please join me +in warm congratulations to the Speaker of the House, Jim Wright. Mr. +Speaker, you might recall a similar situation in your very first session of +Congress 32 years ago. Then, as now, the speakership had changed hands and +another great son of Texas, Sam Rayburn--"Mr. Sam"--sat in your chair. I +cannot find better words than those used by President Eisenhower that +evening. He said, "We shall have much to do together; I am sure that we +will get it done and that we shall do it in harmony and good will." Tonight +I renew that pledge. To you, Mr. Speaker, and to Senate Majority Leader +Robert Byrd, who brings 34 years of distinguished service to the Congress, +may I say: Though there are changes in the Congress, America's interests +remain the same. And I am confident that, along with Republican leaders Bob +Michel and Bob Dole, this Congress can make history. + +Six years ago I was here to ask the Congress to join me in America's new +beginning. Well, the results are something of which we can all be proud. +Our inflation rate is now the lowest in a quarter of a century. The prime +interest rate has fallen from the 21 1/2 percent the month before we took +office to 7 1/2 percent today. And those rates have triggered the most +housing starts in 8 years. The unemployment rate--still too high--is the +lowest in nearly 7 years, and our people have created nearly 13 million new +jobs. Over 61 percent of everyone over the age of 16, male and female, is +employed--the highest percentage on record. Let's roll up our sleeves and +go to work and put America's economic engine at full throttle. We can also +be heartened by our progress across the world. Most important, America is +at peace tonight, and freedom is on the march. And we've done much these +past years to restore our defenses, our alliances, and our leadership in +the world. Our sons and daughters in the services once again wear their +uniforms with pride. + +But though we've made much progress, I have one major regret: I took a risk +with regard to our action in Iran. It did not work, and for that I assume +full responsibility. The goals were worthy. I do not believe it was wrong +to try to establish contacts with a country of strategic importance or to +try to save lives. And certainly it was not wrong to try to secure freedom +for our citizens held in barbaric captivity. But we did not achieve what we +wished, and serious mistakes were made in trying to do so. We will get to +the bottom of this, and I will take whatever action is called for. But in +debating the past, we must not deny ourselves the successes of the future. +Let it never be said of this generation of Americans that we became so +obsessed with failure that we refused to take risks that could further the +cause of peace and freedom in the world. Much is at stake here, and the +Nation and the world are watching to see if we go forward together in the +national interest or if we let partisanship weaken us. And let there be no +mistake about American policy: We will not sit idly by if our interests or +our friends in the Middle East are threatened, nor will we yield to +terrorist blackmail. + +And now, ladies and gentlemen of the Congress, why don't we get to work? I +am pleased to report that because of our efforts to rebuild the strength of +America, the world is a safer place. Earlier this month I submitted a +budget to defend America and maintain our momentum to make up for neglect +in the last decade. Well, I ask you to vote out a defense and foreign +affairs budget that says yes to protecting our country. While the world is +safer, it is not safe. + +Since 1970 the Soviets have invested $500 billion more on their military +forces than we have. Even today, though nearly 1 in 3 Soviet families is +without running hot water and the average family spends 2 hours a day +shopping for the basic necessities of life, their government still found +the resources to transfer $75 billion in weapons to client states in the +past 5 years--clients like Syria, Vietnam, Cuba, Libya, Angola, Ethiopia, +Afghanistan, and Nicaragua. With 120,000 Soviet combat and military +personnel and 15,000 military advisers in Asia, Africa, and Latin America, +can anyone still doubt their single-minded determination to expand their +power? Despite this, the Congress cut my request for critical U.S. security +assistance to free nations by 21 percent this year, and cut defense +requests by $85 billion in the last 3 years. + +These assistance programs serve our national interests as well as mutual +interests. And when the programs are devastated, American interests are +harmed. My friends, it's my duty as President to say to you again tonight +that there is no surer way to lose freedom than to lose our resolve. Today +the brave people of Afghanistan are showing that resolve. The Soviet Union +says it wants a peaceful settlement in Afghanistan, yet it continues a +brutal war and props up a regime whose days are clearly numbered. We are +ready to support a political solution that guarantees the rapid withdrawal +of all Soviet troops and genuine self-determination for the Afghan people. + +In Central America, too, the cause of freedom is being tested. And our +resolve is being tested there as well. Here, especially, the world is +watching to see how this nation responds. Today over 90 percent of the +people of Latin America live in democracy. Democracy is on the march in +Central and South America. Communist Nicaragua is the odd man +out--suppressing the church, the press, and democratic dissent and +promoting subversion in the region. We support diplomatic efforts, but +these efforts can never succeed if the Sandinistas win their war against +the Nicaraguan people. + +Our commitment to a Western Hemisphere safe from aggression did not occur +by spontaneous generation on the day that we took office. It began with the +Monroe Doctrine in 1823 and continues our historic bipartisan American +policy. Franklin Roosevelt said we "are determined to do everything +possible to maintain peace on this hemisphere." President Truman was very +blunt: "International communism seeks to crush and undermine and destroy +the independence of the Americas. We cannot let that happen here." And John +F. Kennedy made clear that "Communist domination in this hemisphere can +never be negotiated." Some in this Congress may choose to depart from this +historic commitment, but I will not. + +This year we celebrate the second century of our Constitution. The +Sandinistas just signed theirs 2 weeks ago, and then suspended it. We won't +know how my words tonight will be reported there for one simple reason: +There is no free press in Nicaragua. Nicaraguan freedom fighters have never +asked us to wage their battle, but I will fight any effort to shut off +their lifeblood and consign them to death, defeat, or a life without +freedom. There must be no Soviet beachhead in Central America. + +You know, we Americans have always preferred dialog to conflict, and so, we +always remain open to more constructive relations with the Soviet Union. +But more responsible Soviet conduct around the world is a key element of +the U.S.-Soviet agenda. Progress is also required on the other items of our +agenda as well--real respect for human rights and more open contacts +between our societies and, of course, arms reduction. + +In Iceland, last October, we had one moment of opportunity that the Soviets +dashed because they sought to cripple our Strategic Defense Initiative, +SDI. I wouldn't let them do it then; I won't let them do it now or in the +future. This is the most positive and promising defense program we have +undertaken. It's the path, for both sides, to a safer future--a system that +defends human life instead of threatening it. SDI will go forward. The +United States has made serious, fair, and far-reaching proposals to the +Soviet Union, and this is a moment of rare opportunity for arms reduction. +But I will need, and American negotiators in Geneva will need, Congress' +support. Enacting the Soviet negotiating position into American law would +not be the way to win a good agreement. So, I must tell you in this +Congress I will veto any effort that undercuts our national security and +our negotiating leverage. + +Now, today, we also find ourselves engaged in expanding peaceful commerce +across the world. We will work to expand our opportunities in international +markets through the Uruguay round of trade negotiations and to complete an +historic free trade arrangement between the world's two largest trading +partners, Canada and the United States. Our basic trade policy remains the +same: We remain opposed as ever to protectionism, because America's growth +and future depend on trade. But we would insist on trade that is fair and +free. We are always willing to be trade partners but never trade patsies. + +Now, from foreign borders let us return to our own, because America in the +world is only as strong as America at home. This 100th Congress has high +responsibilities. I begin with a gentle reminder that many of these are +simply the incomplete obligations of the past. The American people deserve +to be impatient, because we do not yet have the public house in order. +We've had great success in restoring our economic integrity, and we've +rescued our nation from the worst economic mess since the Depression. But +there's more to do. For starters, the Federal deficit is outrageous. For +years I've asked that we stop pushing onto our children the excesses of our +government. And what the Congress finally needs to do is pass a +constitutional amendment that mandates a balanced budget and forces +government to live within its means. States, cities, and the families of +America balance their budgets. Why can't we? + +Next, the budget process is a sorry spectacle. The missing of deadlines and +the nightmare of monstrous continuing resolutions packing hundreds of +billions of dollars of spending into one bill must be stopped. We ask the +Congress once again: Give us the same tool that 43 Governors have--a +lineitem veto so we can carve out the boondoggles and pork, those items +that would never survive on their own. I will send the Congress broad +recommendations on the budget, but first I'd like to see yours. Let's go to +work and get this done together. + +But now let's talk about this year's budget. Even though I have submitted +it within the Gramm-Rudman-Hollings deficit reduction target, I have seen +suggestions that we might postpone that timetable. Well, I think the +American people are tired of hearing the same old excuses. Together we made +a commitment to balance the budget. Now let's keep it. As for those +suggestions that the answer is higher taxes, the American people have +repeatedly rejected that shop-worn advice. They know that we don't have +deficits because people are taxed too little. We have deficits because big +government spends too much. + +Now, next month I'll place two additional reforms before the Congress. +We've created a welfare monster that is a shocking indictment of our sense +of priorities. Our national welfare system consists of some 59 major +programs and over 6,000 pages of Federal laws and regulations on which more +than $132 billion was spent in 1985. I will propose a new national welfare +strategy, a program of welfare reform through State-sponsored, +community-based demonstration projects. This is the time to reform this +outmoded social dinosaur and finally break the poverty trap. Now, we will +never abandon those who, through no fault of their own, must have our help. +But let us work to see how many can be freed from the dependency of welfare +and made self-supporting, which the great majority of welfare recipients +want more than anything else. Next, let us remove a financial specter +facing our older Americans: the fear of an illness so expensive that it can +result in having to make an intolerable choice between bankruptcy and +death. I will submit legislation shortly to help free the elderly from the +fear of catastrophic illness. + +Now let's turn to the future. It's widely said that America is losing her +competitive edge. Well, that won't happen if we act now. How well prepared +are we to enter the 21st century? In my lifetime, America set the standard +for the world. It is now time to determine that we should enter the next +century having achieved a level of excellence unsurpassed in history. We +will achieve this, first, by guaranteeing that government does everything +possible to promote America's ability to compete. Second, we must act as +individuals in a quest for excellence that will not be measured by new +proposals or billions in new funding. Rather, it involves an expenditure of +American spirit and just plain American grit. The Congress will soon +receive my comprehensive proposals to enhance our competitiveness, +including new science and technology centers and strong new funding for +basic research. The bill will include legal and regulatory reforms and +weapons to fight unfair trade practices. Competitiveness also means giving +our farmers a shot at participating fairly and fully in a changing world +market. + +Preparing for the future must begin, as always, with our children. We need +to set for them new and more rigorous goals. We must demand more of +ourselves and our children by raising literacy levels dramatically by the +year 2000. Our children should master the basic concepts of math and +science, and let's insist that students not leave high school until they +have studied and understood the basic documents of our national heritage. +There's one more thing we can't let up on: Let's redouble our personal +efforts to provide for every child a safe and drug-free learning +environment. If our crusade against drugs succeeds with our children, we +will defeat that scourge all over the country. + +Finally, let's stop suppressing the spiritual core of our national being. +Our nation could not have been conceived without divine help. Why is it +that we can build a nation with our prayers, but we can't use a schoolroom +for voluntary prayer? The 100th Congress of the United States should be +remembered as the one that ended the expulsion of God from America's +classrooms. + +The quest for excellence into the 21st century begins in the schoolroom but +must go next to the workplace. More than 20 million new jobs will be +created before the new century unfolds, and by then, our economy should be +able to provide a job for everyone who wants to work. We must also enable +our workers to adapt to the rapidly changing nature of the workplace. And I +will propose substantial, new Federal commitments keyed to retraining and +job mobility. + +Over the next few weeks, I'll be sending the Congress a complete series of +these special messages--on budget reform, welfare reform, competitiveness, +including education, trade, worker training and assistance, agriculture, +and other subjects. The Congress can give us these tools, but to make these +tools work, it really comes down to just being our best. And that is the +core of American greatness. The responsibility of freedom presses us +towards higher knowledge and, I believe, moral and spiritual greatness. +Through lower taxes and smaller government, government has its ways of +freeing people's spirits. But only we, each of us, can let the spirit soar +against our own individual standards. Excellence is what makes freedom +ring. And isn't that what we do best? + +We're entering our third century now, but it's wrong to judge our nation by +its years. The calendar can't measure America because we were meant to be +an endless experiment in freedom--with no limit to our reaches, no +boundaries to what we can do, no end point to our hopes. The United States +Constitution is the impassioned and inspired vehicle by which we travel +through history. It grew out of the most fundamental inspiration of our +existence: that we are here to serve Him by living free--that living free +releases in us the noblest of impulses and the best of our abilities; that +we would use these gifts for good and generous purposes and would secure +them not just for ourselves and for our children but for all mankind. + +Over the years--I won't count if you don't--nothing has been so +heartwarming to me as speaking to America's young, and the little ones +especially, so fresh-faced and so eager to know. Well, from time to time +I've been with them--they will ask about our Constitution. And I hope you +Members of Congress will not deem this a breach of protocol if you'll +permit me to share these thoughts again with the young people who might be +listening or watching this evening. I've read the constitutions of a number +of countries, including the Soviet Union's. Now, some people are surprised +to hear that they have a constitution, and it even supposedly grants a +number of freedoms to its people. Many countries have written into their +constitution provisions for freedom of speech and freedom of assembly. +Well, if this is true, why is the Constitution of the United States so +exceptional? + +Well, the difference is so small that it almost escapes you, but it's so +great it tells you the whole story in just three words: We the people. In +those other constitutions, the Government tells the people of those +countries what they're allowed to do. In our Constitution, we the people +tell the Government what it can do, and it can do only those things listed +in that document and no others. Virtually every other revolution in history +has just exchanged one set of rulers for another set of rulers. Our +revolution is the first to say the people are the masters and government is +their servant. And you young people out there, don't ever forget that. +Someday you could be in this room, but wherever you are, America is +depending on you to reach your highest and be your best--because here in +America, we the people are in charge. + +Just three words: We the people--those are the kids on Christmas Day +looking out from a frozen sentry post on the 38th parallel in Korea or +aboard an aircraft carrier in the Mediterranean. A million miles from home, +but doing their duty. + +We the people--those are the warmhearted whose numbers we can't begin to +count, who'll begin the day with a little prayer for hostages they will +never know and MIA families they will never meet. Why? Because that's the +way we are, this unique breed we call Americans. + +We the people--they're farmers on tough times, but who never stop feeding a +hungry world. They're the volunteers at the hospital choking back their +tears for the hundredth time, caring for a baby struggling for life because +of a mother who used drugs. And you'll forgive me a special memory--it's a +million mothers like Nelle Reagan who never knew a stranger or turned a +hungry person away from her kitchen door. + +We the people--they refute last week's television commentary downgrading +our optimism and our idealism. They are the entrepreneurs, the builders, +the pioneers, and a lot of regular folks--the true heroes of our land who +make up the most uncommon nation of doers in history. You know they're +Americans because their spirit is as big as the universe and their hearts +are bigger than their spirits. + +We the people--starting the third century of a dream and standing up to +some cynic who's trying to tell us we're not going to get any better. Are +we at the end? Well, I can't tell it any better than the real thing--a +story recorded by James Madison from the final moments of the +Constitutional Convention, September 17th, 1787. As the last few members +signed the document, Benjamin Franklin--the oldest delegate at 81 years and +in frail health--looked over toward the chair where George Washington daily +presided. At the back of the chair was painted the picture of a Sun on the +horizon. And turning to those sitting next to him, Franklin observed that +artists found it difficult in their painting to distinguish between a +rising and a setting Sun. + +Well, I know if we were there, we could see those delegates sitting around +Franklin--leaning in to listen more closely to him. And then Dr. Franklin +began to share his deepest hopes and fears about the outcome of their +efforts, and this is what he said: "I have often looked at that picture +behind the President without being able to tell whether it was a rising or +setting Sun: But now at length I have the happiness to know that it is a +rising and not a setting Sun." Well, you can bet it's rising because, my +fellow citizens, America isn't finished. Her best days have just begun. + +Thank you, God bless you, and God bless America. + +NOTE: The President spoke at 9:03 p.m. in the House Chamber of the Capitol. +He was introduced by Jim Wright, Speaker of the House of Representatives. +The address was broadcast live on nationwide radio and television. + +*** + +State of the Union Address +Ronald Reagan +January 25, 1988 + +Mr. Speaker, Mr. President, and distinguished Members of the House and +Senate: When we first met here 7 years ago--many of us for the first +time--it was with the hope of beginning something new for America. We meet +here tonight in this historic Chamber to continue that work. If anyone +expects just a proud recitation of the accomplishments of my +administration, I say let's leave that to history; we're not finished yet. +So, my message to you tonight is put on your work shoes; we're still on the +job. + +History records the power of the ideas that brought us here those 7 years +ago--ideas like the individual's right to reach as far and as high as his or +her talents will permit; the free market as an engine of economic progress. +And as an ancient Chinese philosopher, Lao-tzu, said: "Govern a great +nation as you would cook a small fish; do not overdo it." Well, these ideas +were part of a larger notion, a vision, if you will, of America +herself--an America not only rich in opportunity for the individual but an +America, too, of strong families and vibrant neighborhoods; an America +whose divergent but harmonizing communities were a reflection of a deeper +community of values: the value of work, of family, of religion, and of the +love of freedom that God places in each of us and whose defense He has +entrusted in a special way to this nation. + +All of this was made possible by an idea I spoke of when Mr. Gorbachev was +here--the belief that the most exciting revolution ever known to humankind +began with three simple words: "We the People," the revolutionary notion +that the people grant government its rights, and not the other way around. +And there's one lesson that has come home powerfully to me, which I would +offer to you now. Just as those who created this Republic pledged to each +other their lives, their fortunes, and their sacred honor, so, too, +America's leaders today must pledge to each other that we will keep +foremost in our hearts and minds not what is best for ourselves or for our +party but what is best for America. + +In the spirit of Jefferson, let us affirm that in this Chamber tonight +there are no Republicans, no Democrats--just Americans. Yes, we will have +our differences, but let us always remember what unites us far outweighs +whatever divides us. Those who sent us here to serve them--the millions of +Americans watching and listening tonight--expect this of us. Let's prove to +them and to ourselves that democracy works even in an election year. We've +done this before. And as we have worked together to bring down spending, +tax rates, and inflation, employment has climbed to record heights; America +has created more jobs and better, higher paying jobs; family income has +risen for 4 straight years, and America's poor climbed out of poverty at +the fastest rate in more than 10 years. + +Our record is not just the longest peacetime expansion in history but an +economic and social revolution of hope based on work, incentives, growth, +and opportunity; a revolution of compassion that led to private sector +initiatives and a 77-percent increase in charitable giving; a revolution +that at a critical moment in world history reclaimed and restored the +American dream. + +In international relations, too, there's only one description for what, +together, we have achieved: a complete turnabout, a revolution. Seven years +ago, America was weak, and freedom everywhere was under siege. Today +America is strong, and democracy is everywhere on the move. From Central +America to East Asia, ideas like free markets and democratic reforms and +human rights are taking hold. We've replaced "Blame America" with "Look up +to America." We've rebuilt our defenses. And of all our accomplishments, +none can give us more satisfaction than knowing that our young people are +again proud to wear our country's uniform. + +And in a few moments, I'm going to talk about three developments--arms +reduction, the Strategic Defense Initiative, and the global democratic +revolution--that, when taken together, offer a chance none of us would have +dared imagine 7 years ago, a chance to rid the world of the two great +nightmares of the postwar era. I speak of the startling hope of giving our +children a future free of both totalitarianism and nuclear terror. + +Tonight, then, we're strong, prosperous, at peace, and we are free. This is +the state of our Union. And if we will work together this year, I believe +we can give a future President and a future Congress the chance to make +that prosperity, that peace, that freedom not just the state of our Union +but the state of our world. + +Toward this end, we have four basic objectives tonight. First, steps we can +take this year to keep our economy strong and growing, to give our children +a future of low inflation and full employment. Second, let's check our +progress in attacking social problems, where important gains have been +made, but which still need critical attention. I mean schools that work, +economic independence for the poor, restoring respect for family life and +family values. Our third objective tonight is global: continuing the +exciting economic and democratic revolutions we've seen around the world. +Fourth and finally, our nation has remained at peace for nearly a decade +and a half, as we move toward our goals of world prosperity and world +freedom. We must protect that peace and deter war by making sure the next +President inherits what you and I have a moral obligation to give that +President: a national security that is unassailable and a national defense +that takes full advantage of new technology and is fully funded. + +This is a full agenda. It's meant to be. You see, my thinking on the next +year is quite simple: Let's make this the best of 8. And that means it's +all out--right to the finish line. I don't buy the idea that this is the +last year of anything, because we're not talking here tonight about +registering temporary gains but ways of making permanent our successes. And +that's why our focus is the values, the principles, and ideas that made +America great. Let's be clear on this point. We're for limited government, +because we understand, as the Founding Fathers did, that it is the best way +of ensuring personal liberty and empowering the individual so that every +American of every race and region shares fully in the flowering of American +prosperity and freedom. + +One other thing we Americans like--the future--like the sound of it, the +idea of it, the hope of it. Where others fear trade and economic growth, we +see opportunities for creating new wealth and undreamed-of opportunities +for millions in our own land and beyond. Where others seek to throw up +barriers, we seek to bring them down. Where others take counsel of their +fears, we follow our hopes. Yes, we Americans like the future and like +making the most of it. Let's do that now. + +And let's begin by discussing how to maintain economic growth by +controlling and eventually eliminating the problem of Federal deficits. We +have had a balanced budget only eight times in the last 57 years. For the +first time in 14 years, the Federal Government spent less in real terms +last year than the year before. We took $73 billion off last year's deficit +compared to the year before. The deficit itself has moved from 6.3 percent +of the gross national product to only 3.4 percent. And perhaps the most +important sign of progress has been the change in our view of deficits. You +know, a few of us can remember when, not too many years ago, those who +created the deficits said they would make us prosperous and not to worry +about the debt, because we owe it to ourselves. Well, at last there is +agreement that we can't spend ourselves rich. + +Our recent budget agreement, designed to reduce Federal deficits by $76 +billion over the next 2 years, builds on this consensus. But this agreement +must be adhered to without slipping into the errors of the past: more +broken promises and more unchecked spending. As I indicated in my first +State of the Union, what ails us can be simply put: The Federal Government +is too big, and it spends too much money. I can assure you, the bipartisan +leadership of Congress, of my help in fighting off any attempt to bust our +budget agreement. And this includes the swift and certain use of the veto +power. + +Now, it's also time for some plain talk about the most immediate obstacle +to controlling Federal deficits. The simple but frustrating problem of +making expenses match revenues--something American families do and the +Federal Government can't--has caused crisis after crisis in this city. Mr. +Speaker, Mr. President, I will say to you tonight what I have said before +and will continue to say: The budget process has broken down; it needs a +drastic overhaul. With each ensuing year, the spectacle before the American +people is the same as it was this Christmas: budget deadlines delayed or +missed completely, monstrous continuing resolutions that pack hundreds of +billions of dollars worth of spending into one bill, and a Federal +Government on the brink of default. + +I know I'm echoing what you here in the Congress have said, because you +suffered so directly. But let's recall that in 7 years, of 91 +appropriations bills scheduled to arrive on my desk by a certain date, only +10 made it on time. Last year, of the 13 appropriations bills due by +October 1st, none of them made it. Instead, we had four continuing +resolutions lasting 41 days, then 36 days, and 2 days, and 3 days, +respectively. + +And then, along came these behemoths. This is the conference report--1,053 +pages, report weighing 14 pounds. Then this--a reconciliation bill 6 months +late that was 1,186 pages long, weighing 15 pounds. And the long-term +continuing resolution--this one was 2 months late, and it's 1,057 pages +long, weighing 14 pounds. That was a total of 43 pounds of paper and ink. +You had 3 hours--yes, 3 hours--to consider each, and it took 300 people at +my Office of Management and Budget just to read the bill so the Government +wouldn't shut down. Congress shouldn't send another one of these. No, and +if you do, I will not sign it. + +Let's change all this. Instead of a Presidential budget that gets discarded +and a congressional budget resolution that is not enforced, why not a +simple partnership, a joint agreement that sets out the spending priorities +within the available revenues? And let's remember our deadline is October +1st, not Christmas. Let's get the people's work done in time to avoid a +footrace with Santa Claus. And, yes, this year--to coin a phrase--a new +beginning: 13 individual bills, on time and fully reviewed by Congress. + +I'm also certain you join me in saying: Let's help ensure our future of +prosperity by giving the President a tool that, though I will not get to +use it, is one I know future Presidents of either party must have. Give the +President the same authority that 43 Governors use in their States: the +right to reach into massive appropriation bills, pare away the waste, and +enforce budget discipline. Let's approve the line-item veto. + +And let's take a partial step in this direction. Most of you in this +Chamber didn't know what was in this catchall bill and report. Over the +past few weeks, we've all learned what was tucked away behind a little +comma here and there. For example, there's millions for items such as +cranberry research, blueberry research, the study of crawfish, and the +commercialization of wildflowers. And that's not to mention the five or so +million ($.5 million) that--so that people from developing nations could +come here to watch Congress at work. I won't even touch that. So, tonight I +offer you this challenge. In 30 days I will send back to you those items as +rescissions, which if I had the authority to line them out I would do so. + +Now, review this multibillion-dollar package that will not undercut our +bipartisan budget agreement. As a matter of fact, if adopted, it will +improve our deficit reduction goals. And what an example we can set, that +we're serious about getting our financial accounts in order. By acting and +approving this plan, you have the opportunity to override a congressional +process that is out of control. + +There is another vital reform. Yes, Gramm-Rudman-Hollings has been +profoundly helpful, but let us take its goal of a balanced budget and make +it permanent. Let us do now what so many States do to hold down spending +and what 32 State legislatures have asked us to do. Let us heed the wishes +of an overwhelming plurality of Americans and pass a constitutional +amendment that mandates a balanced budget and forces the Federal Government +to live within its means. Reform of the budget process--including the +line-item veto and balanced budget amendment--will, together with real +restraint on government spending, prevent the Federal budget from ever +again ravaging the family budget. + +Let's ensure that the Federal Government never again legislates against the +family and the home. Last September 1 signed an Executive order on the +family requiring that every department and agency review its activities in +light of seven standards designed to promote and not harm the family. But +let us make certain that the family is always at the center of the public +policy process not just in this administration but in all future +administrations. It's time for Congress to consider, at the beginning, a +statement of the impact that legislation will have on the basic unit of +American society, the family. + +And speaking of the family, let's turn to a matter on the mind of every +American parent tonight: education. We all know the sorry story of the +sixties and seventies--soaring spending, plummeting test scores--and that +hopeful trend of the eighties, when we replaced an obsession with dollars +with a commitment to quality, and test scores started back up. There's a +lesson here that we all should write on the blackboard a hundred times: In +a child's education, money can never take the place of basics like +discipline, hard work, and, yes, homework. + +As a nation we do, of course, spend heavily on education--more than we +spend on defense. Yet across our country, Governors like New Jersey's Tom +Kean are giving classroom demonstrations that how we spend is as important +as how much we spend. Opening up the teaching profession to all qualified +candidates, merit pay--so that good teachers get A's as well as apples--and +stronger curriculum, as Secretary Bennett has proposed for high +schools--these imaginative reforms are making common sense the most popular +new kid in America's schools. How can we help? Well, we can talk about and +push for these reforms. But the most important thing we can do is to +reaffirm that control of our schools belongs to the States, local +communities and, most of all, to the parents and teachers. + +My friends, some years ago, the Federal Government declared war on poverty, +and poverty won. Today the Federal Government has 59 major welfare programs +and spends more than $100 billion a year on them. What has all this money +done? Well, too often it has only made poverty harder to escape. Federal +welfare programs have created a massive social problem. With the best of +intentions, government created a poverty trap that wreaks havoc on the very +support system the poor need most to lift themselves out of poverty: the +family. Dependency has become the one enduring heirloom, passed from one +generation to the next, of too many fragmented families. + +It is time--this may be the most radical thing I've said in 7 years in this +office--it's time for Washington to show a little humility. There are a +thousand sparks of genius in 50 States and a thousand communities around +the Nation. It is time to nurture them and see which ones can catch fire +and become guiding lights. States have begun to show us the way. They've +demonstrated that successful welfare programs can be built around more +effective child support enforcement practices and innovative programs +requiring welfare recipients to work or prepare for work. Let us give the +States more flexibility and encourage more reforms. Let's start making our +welfare system the first rung on America's ladder of opportunity, a boost +up from dependency, not a graveyard but a birthplace of hope. + +And now let me turn to three other matters vital to family values and the +quality of family life. The first is an untold American success story. +Recently, we released our annual survey of what graduating high school +seniors have to say about drugs. Cocaine use is declining, and marijuana +use was the lowest since surveying began. We can be proud that our students +are just saying no to drugs. But let us remember what this menace requires: +commitment from every part of America and every single American, a +commitment to a drugfree America. The war against drugs is a war of +individual battles, a crusade with many heroes, including America's young +people and also someone very special to me. She has helped so many of our +young people to say no to drugs. Nancy, much credit belongs to you, and I +want to express to you your husband's pride and your country's thanks.'. +Surprised you, didn't I? + +Well, now we come to a family issue that we must have the courage to +confront. Tonight, I call America--a good nation, a moral people--to +charitable but realistic consideration of the terrible cost of abortion on +demand. To those who say this violates a woman's right to control of her +own body: Can they deny that now medical evidence confirms the unborn child +is a living human being entitled to life, liberty, and the pursuit of +happiness? Let us unite as a nation and protect the unborn with legislation +that would stop all Federal funding for abortion and with a human life +amendment making, of course, an exception where the unborn child threatens +the life of the mother. Our Judeo-Christian tradition recognizes the right +of taking a life in self-defense. But with that one exception, let us look +to those others in our land who cry out for children to adopt. I pledge to +you tonight I will work to remove barriers to adoption and extend full +sharing in family life to millions of Americans so that children who need +homes can be welcomed to families who want them and love them. + +And let me add here: So many of our greatest statesmen have reminded us +that spiritual values alone are essential to our nation's health and vigor. +The Congress opens its proceedings each day, as does the Supreme Court, +with an acknowledgment of the Supreme Being. Yet we are denied the right to +set aside in our schools a moment each day for those who wish to pray. I +believe Congress should pass our school prayer amendment. + +Now, to make sure there is a full nine member Supreme Court to interpret +the law, to protect the rights of all Americans, I urge the Senate to move +quickly and decisively in confirming Judge Anthony Kennedy to the highest +Court in the land and to also confirm 27 nominees now waiting to fill +vacancies in the Federal judiciary. + +Here then are our domestic priorities. Yet if the Congress and the +administration work together, even greater opportunities lie ahead to +expand a growing world economy, to continue to reduce the threat of nuclear +arms, and to extend the frontiers of freedom and the growth of democratic +institutions. + +Our policies consistently received the strongest support of the late +Congressman Dan Daniel of Virginia. I'm sure all of you join me in +expressing heartfelt condolences on his passing. + +One of the greatest contributions the United States can make to the world +is to promote freedom as the key to economic growth. A creative, +competitive America is the answer to a changing world, not trade wars that +would close doors, create greater barriers, and destroy millions of jobs. +We should always remember: Protectionism is destructionism. America's jobs, +America's growth, America's future depend on trade--trade that is free, +open, and fair. + +This year, we have it within our power to take a major step toward a +growing global economy and an expanding cycle of prosperity that reaches to +all the free nations of this Earth. I'm speaking of the historic free trade +agreement negotiated between our country and Canada. And I can also tell +you that we're determined to expand this concept, south as well as north. +Next month I will be traveling to Mexico, where trade matters will be of +foremost concern. And over the next several months, our Congress and the +Canadian Parliament can make the start of such a North American accord a +reality. Our goal must be a day when the free flow of trade, from the tip +of Tierra del Fuego to the Arctic Circle, unites the people of the Western +Hemisphere in a bond of mutually beneficial exchange, when all borders +become what the U.S.-Canadian border so long has been: a meeting place +rather than a dividing line. + +This movement we see in so many places toward economic freedom is +indivisible from the worldwide movement toward political freedom and +against totalitarian rule. This global democratic revolution has removed +the specter, so frightening a decade ago, of democracy doomed to permanent +minority status in the world. In South and Central America, only a third of +the people enjoyed democratic rule in 1976. Today over 90 percent of Latin +Americans live in nations committed to democratic principles. And the +resurgence of democracy is owed to these courageous people on almost every +continent who have struggled to take control of their own destiny. + +In Nicaragua the struggle has extra meaning, because that nation is so near +our own borders. The recent revelations of a former high-level Sandinista +major, Roger Miranda, show us that, even as they talk peace, the Communist +Sandinista government of Nicaragua has established plans for a large +600,000-man army. Yet even as these plans are made, the Sandinista regime +knows the tide is turning, and the cause of Nicaraguan freedom is riding at +its crest. Because of the freedom fighters, who are resisting Communist +rule, the Sandinistas have been forced to extend some democratic rights, +negotiate with church authorities, and release a few political prisoners. + +The focus is on the Sandinistas, their promises and their actions. There is +a consensus among the four Central American democratic Presidents that the +Sandinistas have not complied with the plan to bring peace and democracy to +all of Central America. The Sandinistas again have promised reforms. Their +challenge is to take irreversible steps toward democracy. On Wednesday my +request to sustain the freedom fighters will be submitted, which reflects +our mutual desire for peace, freedom, and democracy in Nicaragua. I ask +Congress to pass this request. Let us be for the people of Nicaragua what +Lafayette, Pulaski, and Von Steuben were for our forefathers and the cause +of American independence. + +So, too, in Afghanistan, the freedom fighters are the key to peace. We +support the Mujahidin. There can be no settlement unless all Soviet troops +are removed and the Afghan people are allowed genuine self-determination. I +have made my views on this matter known to Mr. Gorbachev. But not just +Nicaragua or Afghanistan--yes, everywhere we see a swelling freedom tide +across the world: freedom fighters rising up in Cambodia and Angola, +fighting and dying for the same democratic liberties we hold sacred. Their +cause is our cause: freedom. + +Yet even as we work to expand world freedom, we must build a safer peace +and reduce the danger of nuclear war. But let's have no illusions. Three +years of steady decline in the value of our annual defense investment have +increased the risk of our most basic security interests, jeopardizing +earlier hard-won goals. We must face squarely the implications of this +negative trend and make adequate, stable defense spending a top goal both +this year and in the future. + +This same concern applies to economic and security assistance programs as +well. But the resolve of America and its NATO allies has opened the way for +unprecedented achievement in arms reduction. Our recently signed INF treaty +is historic, because it reduces nuclear arms and establishes the most +stringent verification regime in arms control history, including several +forms of short-notice, on-site inspection. I submitted the treaty today, +and I urge the Senate to give its advice and consent to ratification of +this landmark agreement. Thank you very much. + +In addition to the INF treaty, we're within reach of an even more +significant START agreement that will reduce U.S. and Soviet long-range +missile--or strategic arsenals by half. But let me be clear. Our approach +is not to seek agreement for agreement's sake but to settle only for +agreements that truly enhance our national security and that of our allies. +We will never put our security at risk--or that of our allies--just to reach +an agreement with the Soviets. No agreement is better than a bad +agreement. + +As I mentioned earlier, our efforts are to give future generations what we +never had--a future free of nuclear terror. Reduction of strategic +offensive arms is one step, SDI another. Our funding request for our +Strategic Defense Initiative is less than 2 percent of the total defense +budget. SDI funding is money wisely appropriated and money well spent. SDI +has the same purpose and supports the same goals of arms reduction. It +reduces the risk of war and the threat of nuclear weapons to all mankind. +Strategic defenses that threaten no one could offer the world a safer, more +stable basis for deterrence. We must also remember that SDI is our +insurance policy against a nuclear accident, a Chernobyl of the sky, or an +accidental launch or some madman who might come along. + +We've seen such changes in the world in 7 years. As totalitarianism +struggles to avoid being overwhelmed by the forces of economic advance and +the aspiration for human freedom, it is the free nations that are resilient +and resurgent. As the global democratic revolution has put totalitarianism +on the defensive, we have left behind the days of retreat. America is again +a vigorous leader of the free world, a nation that acts decisively and +firmly in the furtherance of her principles and vital interests. No legacy +would make me more proud than leaving in place a bipartisan consensus for +the cause of world freedom, a consensus that prevents a paralysis of +American power from ever occurring again. + +But my thoughts tonight go beyond this, and I hope you'll let me end this +evening with a personal reflection. You know, the world could never be +quite the same again after Jacob Shallus, a trustworthy and dependable +clerk of the Pennsylvania General Assembly, took his pen and engrossed +those words about representative government in the preamble of our +Constitution. And in a quiet but final way, the course of human events was +forever altered when, on a ridge overlooking the Emmitsburg Pike in an +obscure Pennsylvania town called Gettysburg, Lincoln spoke of our duty to +government of and by the people and never letting it perish from the +Earth. + +At the start of this decade, I suggested that we live in equally momentous +times, that it is up to us now to decide whether our form of government +would endure and whether history still had a place of greatness for a +quiet, pleasant, greening land called America. Not everything has been made +perfect in 7 years, nor will it be made perfect in seven times 70 years, +but before us, this year and beyond, are great prospects for the cause of +peace and world freedom. + +It means, too, that the young Americans I spoke of 7 years ago, as well as +those who might be coming along the Virginia or Maryland shores this night +and seeing for the first time the lights of this Capital City--the lights +that cast their glow on our great halls of government and the monuments to +the memory of our great men--it means those young Americans will find a +city of hope in a land that is free. + +We can be proud that for them and for us, as those lights along the Potomac +are still seen this night signaling as they have for nearly two centuries +and as we pray God they always will, that another generation of Americans +has protected and passed on lovingly this place called America, this +shining city on a hill, this government of, by, and for the people. + +Thank you, and God bless you. + +NOTE: The President spoke at 9:07 p.m. in the House Chamber of the Capitol. +He was introduced by Jim Wright, Speaker of the House of Representatives. +The address was broadcast live on nationwide radio and television. + + + +*** END OF THE PROJECT GUTENBERG EBOOK OF ADDRESSES BY RONALD REAGAN *** + +This file should be named surea11.txt or surea11.zip +Corrected EDITIONS of our eBooks get a new NUMBER, surea12.txt +VERSIONS based on separate sources get new LETTER, surea10a.txt + +Project Gutenberg eBooks are often created from several printed +editions, all of which are confirmed as Public Domain in the US +unless a copyright notice is included. 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