Jimmy Carter

"I appreciate the chance to come. You've probably noticed that I was a little late in arriving. I met Alex Haley outside, and I made the mistake of saying, "Alex, how's your family?" Unfortunately, he told me. And it took a while to get in."

"One thing that I want to talk about tonight is that we share, the Black Caucus, all of its supporters, and I, a common, ultimate dream for America. It's going to be a long time coming because this dream is so great. We want a time to come when all Americans will be well off enough to afford the same tailor that Ron Dellums has. Now, to be serious for a few minutes, I'd like to say that I've had a very interesting relationship with the Black Caucus in this first part of my administration. Sometimes we've been in complete harmony. Sometimes I haven't exactly satisfied Parren Mitchell and the other members of the Black Caucus. I can tell the difference when I get my mail. In the low times, the mail that comes from Parren Mitchell to the White House is just addressed to "Occupant." But I have to say that in many ways the partnership that I have formed with the Black Caucus has been good for me, good for my administration, good for the entire Government, and good for our country. We've got a long way to go. And expectations are high, and they ought to be high. But because of that, quite often achievements that a year ago or 5 years ago would have been greeted with a great sense of jubilation and a sigh of relief-that an enormous achievement had been accepted by the American people with only a response, "It should have been more.""

"The Congress and your President has done a great deal already. The programs that are in place now to improve the economic conditions of our people who need it most are beginning to bear fruit. We are now completing a thousand public works contracts every week, and because of the good work of the Black Caucus members, of course joined by other Members of the Congress, the law requires that 10 percent of all those contracts for the first time in the country have to be given to minority businesses, and that's the way it ought to be. And the rate of new jobs that are going into our urban centers now are at 35,000 per week, which exceeds even what was done during the depths of the Depression with the New Deal, the WPA, the CCC-35,000 a week. It's still not enough, but it's a great step forward, and we're now channeling those jobs deliberately and with a great commitment as they have not been channeled in the past to the young people of our country and, particularly, to young people who happen to be black. And that's the way it ought to be, and it's going to be more in the future. We've had a billion dollars put in the youth employment programs. I asked for a billion and a half. We are now going back to the Congress for the other half billion dollars. We are evolving an urban policy. Within the next week or 10 days, there will be a final decision made on the form of the Humphrey-Hawkins bill, so that for the first time in the history of our country we'll have, as a national policy, full employment. When we presented our welfare reform package to the Congress, which will be passed next year, an integral part of it, which can be phased in early, would be an additional 1.4 million jobs, and, of course, these jobs will be channeled to families that have in the past been supported by welfare."

"So, we are making some progress. And one of the things that we've done, too, is to direct by executive order that the rate of purchases of Government supplies from black enterprises must be doubled in the next year. Parren Mitchell and the Black Caucus members were gracious enough to help us prepare a recent brief in the Department of Justice. We confirmed strongly the principle of affirmative action, and we made it clear that race can be and ought to be an integral part in alleviating discrimination that has existed far too long. Where do we go from here? The progress has in the past been a source of pride to all of you assembled in this room, long before I became involved in our own Federal Government. But the extrapolation of what you have already accomplished to the future is a goal of yours and also a commitment of mine. Many of you suffered anguish of heart, and sometimes physically, in the years gone by, to achieve civil rights in our own country. And now, we're involved together on a concept of enhancing human rights, here and around the world. And the example you've set is now an inspiration to many throughout the globe."

"Just this past week, I publicly endorsed a concept, for the first time, of human rights for the District of Columbia. Thank you; you're welcome. The endorsement by the President, of course, is not the final step. The Congress must act, and the people have to ratify a change in the United States Constitution. As I say, we still have a long way to go. We join together in matters that affect all human beings--a search for peace in the world, a reduction in armaments, a channeling of scarce financial and human resources to give people a better life, a life with education possible, better health care, more human freedom, the rule by the black majorities in the African nations. And there has been a change among the developing nations of the world in their attitude toward us. And I would say that the crucial factors that have been involved are represented very well by the three men who stand behind me--Parren Mitchell, Alex Haley, and Andrew Young--and many others in this audience who have come before them and who have marched with them and will join with us in the future in a spirit of brotherhood to make sure that the great achievements that we've seen in our own country can be enhanced and that they can be made available to the needy and downtrodden people throughout the world."

"As Father Hernady said, I have visited his neighborhood, and, as some of you may remember, I got in trouble during the campaign talking about ethnic purity or ethnic heritage. I think it's very important for us Americans who are black or Spanish-speaking or Hungarian or Polish or Irish to have a continuing pride in our background, in our history, in our characteristics as human beings, and also in the preservation of the quality of our neighborhoods. I'm proud of where I live, the little town of Plains, Georgia. And I know that all of you, to the extent that one is proud of a family or community or a home, the quality of that family or community or home will be maintained. When pride leaves, then the neighborhood deteriorates. And I think one of the greatest contributions to our country, in my lifetime at least, has been the pride of black people in their own heritage and a refusal to accept the proposition that was put forward by many that there was an inferiority in being a minority. There's just as much pride and strength in a minority group of any kind as there can be in a majority group."

"We have a very deep concern about the destruction of the neighborhood fiber and strength. You mentioned banking. In this bill that I signed last week, which is now being put into effect by Housing and Urban Development, there is a tight constraint that will prevent the red-lining practices that have been implemented before. This was an amendment placed on the bill by Senator Proxmire. And I believe that that, combined with a voluntary effort to bring in the State and local governments, the Federal Government, and the private business leaders in a community, is the best way to stop a neighborhood deterioration. Here in Detroit, for instance, there's a superb example of that, where the downtown area is being rebuilt with local, State, and Federal funds, yes, but also with the support of neighborhood groups and also the support of the local banking and other leaders."

"One of the major contributing factors to the dramatic reduction in crime that does permit the children to walk to school and does permit people to go out on the front porch at night without being fearful is the close relationship between people who live in a neighborhood and the police officers who serve there. I rode in from the airport today with the mayor of Detroit, Coleman Young, and I asked him, "How in the world have you and the police officers had such an unprecedented reduction in the crime rate?" And he said that one of the major reasons is that the police officers now are closely related to the community in which they serve. And they become friends of the people who live there, and eventually that friendship is reciprocated. Quite often in a community that is very poor, that is going downhill, the people distrust the police officers and look on them almost as enemies instead of friends. I think that that permanent, friendly, mutually supportive relationship with the police officials among the neighbors who live in that community is a very vital part that can prevent a deterioration."

"We are now facing a major decision by the Congress and by the Nation on energy legislation. And one of the toughest battles that I have to fight is to protect the consumers and to make sure that the Congress doesn't give the oil companies all the financial breaks as we put into effect an energy package. I might say that I have had superb support from the Vice President, from the Members of Congress from your own State in the House and Senate, and I'm going to go by Sunday afternoon and pick up the finest American that I have ever known--Senator Hubert Humphrey--and he's going to go back to Washington with me. The Michigan delegation came with me. They are helping me, too, with this very difficult energy legislation. But it could mean, if we make a serious mistake, a devastating blow to the people who are not sometimes adequately represented by the lobbyists in Washington. And I hope that you all will look on me as your prime lobbyist in Washington for those who don't have strong representation at times."

"One thing that hasn't been mentioned yet is the welfare reform proposal that we've put to the Congress. This program is designed to give our people better jobs and income. That's the name of it--Better Jobs and Income Program. And we have in there a heavy allotment of funds and programs for daycare, for child care, that would specifically relate to women who want to work. And we also have included in the program 1.4 million jobs, Mr. Webb, for the heads of families. That is above and beyond anything that I've described here to you so far. We recognize that almost every person who is on welfare that's able to work would rather work if they are given an opportunity. And that will be the thrust of the welfare reform proposal that Congress will be working on and, hopefully, will pass next year. They already have the legislation on their desk. They have already' started hearings on the subject. So, to put people back to work that are able and want to work will be a major new thrust of the welfare proposals that Congress has now."

"When I think of Iowa, I think of people, mostly. I think about Marie Jahn, Soapy Owens, Harry Baxter, Floyd Gillotti, and literally dozens of other people who had confidence in me months and months before I was able to convince the rest of the world that I was a political figure who needed watching. Two years ago, I came to speak to the annual Jefferson-Jackson Day Dinner in Iowa at Ames. I was not the only main speaker on the program. But when the evening was over, we had won what proved to be a great national victory. I have to admit that most of my votes came from people who were sitting in the balcony in the $5 seats. And even now a lot of them are wondering whether or not they got their money's worth. But it formed a tie or a cement between myself and your State and your people that will last until the last day I live."

"Tonight, I'd like to mention two subjects that are important among all those others. One is the economy as it relates to agriculture. Yours is a great agricultural State. It provides one of the ties between me and you. The economy of our country is based upon agricultural production. We're the greatest nation on Earth in the production of food and feed and fiber. Your State is preeminent. But we have some problems in agriculture that we're also trying to address. Agriculture and the people who participate in this effort are not well understood. It would be a serious mistake to think that we have no inherent problems. We can't take for granted bountiful crops. We can't take for granted economic health. We can't take for granted food supplies. We are now forming efforts to bring about our hopes."

"There's another item I'd like to mention tonight, and that's the subject of energy. I presented to the Congress and to the American people last April, for the first time in the history of our Nation, a comprehensive energy policy. We had a severe blow in 1973 when the prices of oil were quadrupled almost overnight. And when an oil embargo was slapped on our country, that economically almost brought us to our knees. Other nations suffered the same challenge. They have reacted well. The consumption of oil in Germany, compared to 1973, is down. The consumption of oil in Sweden is down, France down, Italy down, Japan down. The consumption of oil in the United States since 1973 is up 87 percent. This year we are importing $45 billion worth of oil from overseas, half of the oil we use. And that's almost exactly the amount that we waste, that we don't have to waste. Notice that this is twice as much oil imported as all the agricultural products that we export. Something must be done."

"It's not easy to remove the hold on our government processes that have been in existence for a long time by the oil and gas companies, but I'm determined to do it with your help. In many ways, the acceptance by the American people and the acceptance by the American Congress of a comprehensive energy policy is a test of our strength and a test of our national will. The rest of the nations of the world watch us very closely to see if we can sacrifice in a time of international need. The proposal that we've put forward is bitter medicine, but it's not nearly so bitter as the catastrophe that might befall us if we don't take rapid action. We have put forward a well-balanced program that will induce our own selves to conserve energy of all kinds. It will induce us, without hurting us deeply, to shift to other forms of energy, away from oil and natural gas. I'm determined that the consumers of our Nation will not be hurt and that the oil suppliers, the companies that produce oil and gas, will not be enriched in an unwarranted fashion. We have built into our proposal adequate incentives to encourage oil and gas exploration and production. Under our own program new oil discovered by American companies in the future will have the highest price on Earth. But still the oil companies want more. And unless we stand firm, they may get it. And if they do, it will come out of the pockets of those who need it, who need the money and who need adequate energy supplies most. As a farmer, I know that we, just a small part of the American population, use $6 billion worth of oil and gas every year. About 75 percent of all the energy we use is oil and natural gas. This means that we have got to have a supply in the future, because it takes natural gas and propane to dry our crops. It takes oil to drive our tractors and our trucks and our other machinery. We can't very easily shift to coal. So, as we conserve and shift to other supplies of energy, in the production of electric power, for instance, it makes that much more available to farmers in the future when energy supplies become even more scarce."

"There are some myths that are exploited on your television set several times a day, sometimes several times an hour. The first myth is that the oil and gas industry is controlled by free market forces. All of us believe in the free enterprise system, but there is no free enterprise system in the oil and gas market. The prices are not established by competition. The prices are established arbitrarily when the OPEC nation leaders meet in secret and say, next year this is what we will charge for oil. And, as you well know, immediately that oil price prevails in new oil discoveries in our country. We have a need, at least for our Government, to play a stronger role, as is played in other countries. But we ought to get away from the proposition or the thought that free market forces control oil or natural gas prices. Another myth is that there's an inherent conflict between conservation and production. This is not true. We are making good progress in exploration for oil. There's about an 8-month waiting period right now for new oil drilling rigs. If we triple the price of oil and natural gas, there could be no substantial increase in the rate of exploration. It would be just an enormous windfall of profits. The cheapest oil is what we save, and the cheapest natural gas is what we save. Quite often it costs nothing to save the equivalent of one barrel of oil per day. When we add expensive conservation measures, it costs maybe from zero to $3,500 to provide the saving of one barrel of oil per day. The oil that we are now going to bring down from Alaska costs about $20,000 in capital investment for one barrel of oil per day, used at its final place to heat a home. For the production of electricity, the capital investment required is much greater, maybe $50,000 to $100,000 for the equivalent of one barrel of oil used in your home in electricity. For nuclear powerplants, the investment is $200,000 to $300,000 per barrel of oil per day, when it's actually delivered to your home for use. So, to conserve a barrel of oil is much better than producing that barrel of oil in investment alone. And at the same time it reserves for future use these extremely scarce supplies."

"I wanted to mention tonight especially those two among many subjects that fall on my shoulders--agriculture and energy. The tests of political strength are severe; the responsibilities are great; the complexities are very difficult; the questions are hard to answer. But what gives me a sense of assurance and confidence is the degree with which I am close to you. When I base my opinion and my decision and my efforts on what I know you feel and what I know that you want, to that degree I feel that I represent you and our Nation well. I have a feeling that we are making good progress in correcting some of the deep concerns that we felt a year, 2 years, 3 years ago. The spirit of our country had been damaged severely by the Vietnam war. It had been damaged severely by the Watergate revelations, by the CIA investigations. There was a sense of concern about what our Nation stood for."

"I think now there's a new spirit in our Nation. I believe with our stand on human rights, our efforts to bring peace, to reduce the nuclear threat, to alleviate the hatreds in the Middle East, to bring majority rule and peace to southern Africa, that there is a sense of purpose again. And in my own way as a human being with limits that you and I both recognize, but occupying the most important office perhaps in the whole world, I want to be sure that the American flag is once more lifted high and when anyone on Earth sees it, they think about freedom, they think about the worth of an individual human being, they think about hope, they think about a sense of compassion and love, they think about high ideals, they think about openness of government, they think about democratic principles, they think about compassion and concern, and they think about the worth of our people who live in harmony from so many different places on Earth. These are the hopes that I have as President. I thank you for your involvement in the democratic processes, your support of our party, your friendship toward me. I thank you for the fine congressional delegation that you've sent to Washington who represent you and our Nation so well. And I know that I can speak for them as I repeat a phrase that I used thousands of times in my long campaign: All I want and all they want is a government as good as the people of our country. Thank you very much."

"In the last few days we have seen, I believe, an historic breakthrough in the search for a permanent, lasting peace in the Middle East because of the true leadership qualities that have been exhibited by the courage of President Sadat and the gracious reception of him in Israel by Prime Minister Begin. This has been, already, a tremendous accomplishment. I think the importance of it is that there has been an initiation of direct, person-to-person negotiations between Israel and the major power in the Mideast among the Arab nations who are Israel's neighbors. Lebanon, Syria, Jordan have a total population of about 12 million; Egypt has a population of 36 million and has by far the greatest military force. And the fact that this strongest Arab country and the nation of Israel are now conducting direct negotiations is a major accomplishment in itself. Two of Israel's most cherished desires have already been met. One is this face-to-face negotiation possibility, and the other one is a recognition by a major Arab leader that Israel has a right to exist. In fact, President Sadat said, "We welcome you in our midst." The United States has been very pleased to see this reduction in distrust and a reduction in fear and a reduction in suspicion between the Arabs and the Israelis. We have played a close consultative role with both of these leaders."

"We look on this as a very constructive step. The road toward peace has already led through Jerusalem, will now go to Cairo and ultimately, we believe, to a comprehensive consultation at Geneva. It's not an easy thing to bring about a comprehensive peace settlement. Immediate expectations have sometimes been exaggerated. The definition of real peace--I think we've made good progress on that already. The resolution of the Palestinian question still has not been decided. And the solution to the problem concerning borders and national security has also not been decided. We have played, I think, a proper role. I have tried to convince, in the past, Prime Minister Begin of the good intentions of President Sadat and vice versa. When there has been no progress being made, the United States has taken the initiative. Now that progress is being made, a proper role for the United States is to support that progress and to give the credit to the strong leadership that's already been exhibited by Prime Minister Begin and President Sadat and to let our Nation be used, as called upon, to expedite the peace process. I believe that this is a move that the whole world looks upon with great appreciation. And again, I want to express my congratulations and my appreciation to these two strong leaders for the tremendous progress already made and for their commitment to future progress."

"Well, I think that President Sadat, in his private communications with me and even in his public statements, has said that he is trying as best he can to represent the Arab position concerning Israeli withdrawal from occupied territories and also the resolution of the Palestinian question. Obviously, the leaders in Syria, even Jordan, certainly the PLO, have not recognized that Egypt is speaking for them adequately. I think, though, that in his speech to the Knesset, in his followup speech to the People's Assembly in Egypt, President Sadat has evoked very clearly the basic Arab position that I have understood in my private conversations with President Asad from Syria and with the King of Jordan, Hussein. So, I believe that this is an exploratory effort that does accurately represent the basic differences between Israel and all their neighbors. And the fact that Jordan and Syria have not been willing to participate, I don't think has dampened President Sadat's commitment or enthusiasm at all. It is constructive, and I think what he discovers in his already completed discussions with Prime Minister Begin and those that might be taking place in Egypt in the middle of next month will certainly be conducive to pursuing the Arab cause. I think it's constructive, because for the first time, the Arab position on those controversial issues has been spelled out very clearly for worldwide understanding. And I think the differences that have been faced by us and others for long years are now much more clearly understood by the public. The differences are still sharp; the resolution of those differences is going to be very difficult. I think that to the best of his ability, President Sadat is speaking for the Arab world."

"Well, we and Egypt and Israel have all taken the position, publicly, and the same position privately among ourselves, that a separate peace agreement between Egypt and Israel to the exclusion of the other parties is not desirable. This is predicated upon the very viable hope that a comprehensive settlement can be reached among all the parties involved. If at some later date it becomes obvious that Jordan does not want peace or that Syria does not want peace or that Lebanon does not want peace in a settlement with Israel, then an alternative might have to be pursued. But we've certainly not reached that point yet. I think that the other Arab leaders do want peace with Israel. And I am certainly not even considering, and neither is Sadat nor Begin, any assumption that the possibilities for peace have narrowed down to just two nations."

"The Soviets have been involved in the peace negotiations ever since 1973. The entire Geneva conference concept was established through the United Nations with the United States and with the Soviet Union as cochairmen. So, this has been established now for at least 4 years. And this is a concept that has been adopted and approved by all the parties involved, including the United Nations overwhelmingly, perhaps even unanimously. In the past, I think it's accurate to say that the Soviets have not played a constructive role in many instances because they had espoused almost completely the more adamant Arab position. My own feeling is that in recent months, the Soviets have moved toward a much more balanced position as a prelude to the Geneva conference. We have tried to spell out very clearly-certainly since I've been in office and, I think, my predecessors as well--the United States position. We disagree in some of those issues with the Soviet Union. We've not concealed those differences. We disagree in some instances because of the procedural items that are being discussed. But there is no division between us and the Soviet Union now that didn't exist before, and I would say that their positions have been much more compatible recently. I wish that the Soviets had decided to go to Cairo. They've decided not to. But we'll make as much progress as we can, following the leadership of Sadat and Begin, to make real progress in Cairo with the Soviets not present. And my belief is that the desire of the whole world is so great for peace in the Middle East that the Soviets will follow along and take advantage of any constructive step toward peace. The fact that we do have differences of opinion is well known and I don't think is an obstacle to eventual peace in the Middle East. But we did not bring the Soviets in. They have been in since the very initiation of a Geneva conference."

"Well, I think that we or the Soviets ought to play a constructive role. And I think both of us will. We have been the nation then and, I think, now that is uniquely trusted by all the parties involved to act fairly and consistently concerning the Middle East questions. I don't believe that the Soviets occupy that position. And I don't have any doubt that if the nations surrounding Israel can work out an individual peace settlement with Israel leading to peace treaties, that the Soviets will play a constructive role, certainly at that point. It would be contrary to their own interest to be identified as an obstacle to peace. I don't think they are trying to be an obstacle to peace. Their perspective is just different from ours."

"Well, as I spelled out in my last fireside chat to the American people, there are three basic elements that I would require: One is fairness in dealing with consumers; the second one is meeting the goals of both conservation and production in the energy area; and, third, an energy proposal that won't bankrupt this Nation nor seriously disturb the future budgets of our country. That's a fairly broad base, and I think it's an adequate parameter within which the conferees can work. But if any of those principles are violated, I would not sign the bill."

"I'm trying to fulfill all my promises. And I think I was quite reticent in making those promises, certainly compared to some of my opponents. But we've put forward already to the Congress proposals that carry out the major promises that I made--reorganization, energy, welfare reform, and so forth. We've also been successful, I think-when an analysis is made of what the Congress achieved this year, I think there's going to be a very pleasant reaction from the American people when they see the progress that we've accomplished. So, I don't think I made too many promises, and I think I'm doing an adequate job in trying to fulfill those promises. There is a very heavy agenda for the Congress. And it's much easier for the administration to evolve a proposal or to present legislation to the Congress than it is for Congress actually to pass it. And so the Congress will inherently follow behind any administration in dealing with very controversial issues that have no easy solution. So, I think so far our relationship with the Congress has been good. The effort to carry out my promises has been adequate. I don't think I made too many promises to the American people."

"The revelations about October's balance-of-trade deficit were quite disturbing. We analyzed this and found that the same monthly rate of deficit that had existed ever since last May or June, about $2.4 billion per month, is exactly the average of September and October. So, we apparently have a fairly stable pattern per month of a $2.4 billion deficit, primarily caused by two factors: One is our extraordinary importation of foreign oil. We import $3.7 billion worth of oil every month. This means that we have, if we didn't import the oil, about a $15 billion trade surplus per year. And we have got to cut down on the excessive importing of oil from overseas before we can hope to get our trade balanced. The other reason for an adverse balance is that our own economy has improved in the last few years--few months, much more than has the rest of the world. Because of our improvement in the economy, we are much more able to buy and much more willing to buy goods from overseas than those nations are able to buy from us because their economies have not been restored as much as ours. We have one major element that can be introduced to cut down on our trade deficits-and that's obvious--and that is to reduce oil imports."

"I think the American public is in favor of a comprehensive energy package being passed. But they are not in favor of some of the specifics that need to go in the package to make it effective. And I think the Congress has shown a great deal of both hard work, dedication, and courage in bringing us as far as they are. I hope that we'll have the complete work by the committees and a chance to vote on the energy package before Christmas. It all depends on unpredictable kinds of agreements between the House and Senate conferees. The other thing is social security. We faced when I came into office, as was the case in energy, a longstanding problem that nobody had been willing to address. It's not an attractive thing to do to provide adequate taxes to bring the social security reserve funds back into a sound position. The integrity of the social security system is of intense importance to most Americans."

"My own ultimate goal is to eliminate the use or threat of nuclear weapons altogether. And I personally have been pleased in the last few months, at least since the summer, at the constructive attitude of the Soviet Union. We have to be very careful on technicalities and on major strategic elements of the negotiations to protect our own interests. We've got to be sure that we do have an equal or dominant position on all aspects of strategic deterrent. And I believe that we have that posture now, and I want to be sure to maintain it."

"Well, I think it's hard to pick out the accomplishments. We were very pleased to get the economy moving in the right direction. We had an economic stimulus package that the Congress passed with dispatch. The unemployment rate has dropped about 1 percent. Employment has increased more this year, I think, than ever before in history--4 million people net gain in employment this year; 900,000 last month alone. Since June, the inflation rate has leveled off at 4 percent. I wish I could predict that it was going to stay that low; I don't think it will. But this shows a good response. We formed a new Department of Energy, which brings order out of chaos in one of the most serious challenges that might affect our Nation in the future. Formerly, we had 50 different agencies in the Federal Government that were dealing with energy. It was almost impossible to get the answer to a question or to register a complaint or to make a beneficial suggestion.The Congress, I think, has dealt fairly with my programs. We've got a long-range, very well-considered farm bill that will be in effect now for about $ years. We've met all the challenges, so far as I know, that I've put to the Congress. We've made good progress in getting back on the track the negotiations with the Soviet Union. We've protected .our own interest; we've shown them that we are firm and can't be pushed around. We've begun some major reorganization effort, projects. It will take us about 3 years to finish them all; some require a great deal of time. But the Congress has given me almost unlimited authority, subject to subsequent congressional veto, to take over the executive branch now and to bring it into a manageable state. We've cut back tremendously on Government regulations, paperwork, reports to be required. This past week, OSHA, for instance, eliminated 1,100 regulations that they had evolved over the last number of years."

"I'm trying to approach the Government as a business manager and also as a small businessman who knows the defects in the Government. Our family has been brought very close together. We've had substantial success in the developing nations of the world in being reaccepted as a part of the world community who had some concern about them and who treated them with equality and mutual respect. I believe we've had a blessing in that we've not had a serious military threat. This, obviously, is something that I hope to maintain throughout my term in office. I hope that we've taken at least a small step forward in restoring the confidence of the American people in the integrity of the Government and the competence of Government. This is going to be a slow process. It's something that can't come in a year, or even 2 years, because with the horrible shocks of Vietnam and Watergate and the CIA revelations, the American people had lost confidence that there was something here in Washington that they could trust and admire. I think the most pleasant surprise to me has been the worldwide impact of our reemphasis on human rights. I really felt when I came into office that something needed to be done just to raise a banner for the American people to admire and of which they could be proud again. I think that the emphasis on human personal freedom and democratic principles is very important for us to espouse. And although a year ago, I think, very few national leaders anywhere in the world paid much attention to human rights, I don't believe there's a single one out of the roughly 150 that now doesn't consider, "Before we take action, what is the world going to think about me, the way I'm dealing with political prisoners or out-migration or the reunification of families or the persecution of human beings?" I think the human rights issue has been a great escalation. We've also made a major move toward nonproliferation of nuclear explosives. And again, I think a year ago there was great despair in the world about whether anybody could ever put the nuclear genie back in the bottle."

"This is an enormous job. It's one that taxes any individual human being to encompass the challenges and solutions to problems. The ones that arrive at my desk are obviously the ones that can't be solved in a home or in a city hall or at a State Governor's office, and they come to me. But I've really enjoyed it. It's been a reassuring thing to have a superb Cabinet. There's not a single weak person on it. I've really been pleasantly surprised with them. And the Congress has given me strong and good support. The differences that have arisen between me and the Congress have been that the much more easy job of my preparing a proposal and drafting legislation, than the Congress debating it and passing it. There's an inherent delay in the congressional process which I think is very good and very healthy. And as you know, I've never served in Washington before at all. I've got a good, sound White House staff. I use my Cabinet more than previous Presidents have. We have a full-scale, at least 2-hour session here every Monday morning, with the full Cabinet sitting around this table. Most of the time, we have a 100-percent attendance. And it's a lively discussion, and the Secretary of Agriculture, the Secretary of Health, Education, and Welfare, the Secretary of HUD have a chance to listen to an explanation of what Cy Vance is doing, what Bob Strauss is doing, what the Secretary of Treasury is doing. So, there's a good interchange and good team spirit. I don't have the same need for a chief of staff or a strong, powerful, autocratic White House staff that President Nixon felt. There will never be an Ehrlichman or a Haldeman in my White House staff that gives orders and commands to the Cabinet members who are trying to run the major agencies of Government. This is not the way I ran the Governor's office. in Georgia. It's not the way I am going to run it here. And some of the local press have deplored the fact that I don't have a similar set-up as was the case when President Nixon was in office. It's just not my way of running things."

"As you know, President Eisenhower also had a chief of staff, Sherman Adams, who ran things almost like a secondary President. But I've substituted for that an unprecedented use of the Vice President. He and I are close, personal friends. We have a harmonious partnership. I've grown to respect and like him more every day I've known him. And he has authority and responsibility in foreign and domestic affairs and also in helping to manage the White House staff that no Vice President has ever dreamed of having. And it takes a great deal of the burden off my shoulders. Formerly, Vice Presidents were over in the Executive Office Building across the street. I asked Fritz specifically to move over and occupy an office right down the hall from me. And so, in effect, he is the one who coordinates the staff work in the White House. He's thoroughly familiar with the Congress. He's been there for 12 years himself. He was on the Finance Committee and also the Budget Committee. So he's familiar with that. When I have budget hearings 2 1/2, 3 hours here in the afternoon--3 1/2 hours yesterday on defense--Fritz is there at my side. And I've incorporated him in this strategic military chain of command. No other Vice President has ever occupied those positions. And if something should happen to me, he would be thoroughly familiar with all the controversies, all of the foreign affairs considerations, all of the defense considerations, and be ready to act in a proper way. So, there are some different ways of management that I have brought into the White House that quite often have not been understood, but which I've very carefully evolved and of which I'm quite proud."

"The reason for raising this is that the Israeli position in the past was that they would withdraw from the West Bank, and I believe that Prime Minister Begin left the Cabinet over this issue."

"We believe in the right of every country to be free from interference in its own internal affairs by another country. And we believe that world peace can come — which we both devoutly hope to see — through mutual respect, even among those who have some differences between us. Our goals are also the same, to have a just system of economics and politics, to let the people of the world share in growth, in peace, in personal freedom, and in the benefits to be derived from the proper utilization of natural resources. We believe in enhancing human rights. We believe that we should enhance, as independent nations, the freedom of our own people."

"We have the heaviest concentration of lawyers on Earth —one for every five-hundred Americans; three times as many as are in England, four times as many as are in West Germany, twenty-one times as many as there are in Japan. We have more litigation, but I am not sure that we have more justice. No resources of talent and training in our own society, even including the medical care, is more wastefully or unfairly distributed than legal skills. Ninety percent of our lawyers serve 10 percent of our people. We are over-lawyered and under-represented."

"I want to stress again that human rights are not peripheral to the foreign policy of the United States. Our pursuit of human rights is part of a broad effort to use our great power and our tremendous influence in the service of creating a better world, a world in which human beings can live in peace, in freedom, and with their basic needs adequately met."

"Human rights is the soul of our foreign policy, because human rights is the very soul of our sense of nationhood."

"We've now finished a year as the administration in the White House and have learned a lot. I think I have a much better and easier and understanding relationship with the Congress, with my Cabinet-which I consider to be superb-and we've defined issues very carefully. We're trying to carry out our campaign commitments. There's a growing understanding among the American people of what we are trying to do. We're addressing some difficult questions that have been long unaddressed, or at least unsolved. We don't have any magic answers, but I think there's a growing comprehension around the world that we reestablished a true and accurate sense in foreign policy of what the American people stand for and what we want to have as a characteristic of our own Nation and our own Government."

"Well, we've tried to make this a joint, voluntary effort on the part of government, business, and labor, so that there could be a self-imposed restraint on escalating wages and prices. Here again, I'm not in favor of wage and price controls, either voluntary or mandatory, and the degree to which labor and business will cooperate is really up to them. I think the first step has already been taken, and that is to draft the proposal in writing and present it to the leaders in business and labor. The second step has been taken, that is, my public espousal of it in the State of the Union message. The third step is now under way, whereby, as decisions are made to increase prices and to demand wage increases, they measure the average increases of the last 2 years and try to make sure that the 1978 increases are at least less than they have had average in the last 2 years. In most cases, a patriotic motivation and one to assuage or to please the public will have at least as much or more effect than any jawboning or pressure from us. We'll offer the good service of the Council on Wage and Price Stability to assess the inflationary impact of proposals. We're not requiring, for instance-don't have any inclination nor authority to require—that labor unions propose in advance to us the demands that they'll make for fringe benefits, health programs, or for wages, but we just hope that it'll create a tone in the country of generally dampening the inflationary impact. We have now an underlying inflation rate of about 6 or 6 1/2 percent. So, that's as far as we are inclined to go. And I've met around this table with a fairly large number of the top business men and women in this country, and their response was favorable. I've had a luncheon last week with President Meany. He expressed some concern about the point that I just raised to you, that they can't submit ahead of time all of the labor union negotiating demands. We don't ask for that. But we hope that in Government, we can also set an example. But it's a strictly voluntary program that I think can work with the right sort of spirit and tone. If—the last thing I'll say about it is this—if we tried to be too intrusive in the private sector from the Government, I think there would be an adverse reaction, and the whole thing would fail. So, the degree of voluntary compliance in self-initiated compliance is the measure of whether it'll be successful. There's no way to answer your question specifically, because it's kind of an ephemeral thing, but I think it can be the source of tangible benefits."

"I think, first of all, that the Helsinki agreement has played a useful role. We've never acknowledged, as you know, the absorption by the Soviet Union of the groups to whom you refer. My wife's brother—his wife is an Estonian; she was born and raised there. And we've had a chance in the last few months at Belgrade to specify particular violations of human rights which were in conflict with the Helsinki agreement. As you know, the Soviets wanted to minimize the so-called third basket and not discuss human rights, but talk about military and political interrelationships. I think we're making some progress. In my private discussions with foreign leaders-and I set a record last year by meeting with 68 heads of state—hardly ever do we have a 10- or 15-minute or, certainly, not a 3-hour discussion that the subject of human rights doesn't arise. In most instances, they raise it. My guess is that 2 years ago, the subject of human rights would be a rarity among heads of state. But now, even the most abusive governments, there is a concern—"what does the rest of the world think about me, what will happen if I persecute this group or bring a legal charge against this person?" I think we are making success in a very slow, tedious way."

"I made the decision myself to contact the Soviets. We told them that we were aware of the problem, asked them for any information about the satellite, and told them unofficially that we would not try to capitalize on their misfortune in a propaganda way. We wanted to be sure that the adequate preparation was made for the reentry of the satellite into the atmosphere, and we notified some of our key allies around the world who would have the capability both to monitor the progress of the satellite and also to deal with radioactivity once it fell. I had a difficult decision to make in how much publicity to bring to this satellite, because it's almost impossible to let people know the facts without the threat being exaggerated, and we didn't want to create exaggerated fears. We monitored the satellite constantly. We shared with the Soviets estimates of when it would come down. the exact point of its penetration of the atmosphere was not known until just an hour or two before it crashed, because it was tumbling. And when a satellite of that kind enters the atmosphere, it can skip off and go several thousands of miles further than you have actually anticipated. We knew that it would fall somewhere between just north of Hawaii, northeast of Hawaii, or the eastern side of Africa. And it was making a great circle route up above the point where it finally fell. That was just about the northern point. The Soviets did tell us, in general, what kind of reactor it was. They told us that their best estimate was it would burn as it entered the atmosphere. So, I can't—without going back and checking the exact language of their report to us—I can't say whether they gave us all the facts. But I think it was handled properly; certainly, by us. I don't know who else the Soviets notified. When I found that it was going to hit Canada, early that morning—I come over here quite early in the morning—I called the Prime Minister of Canada and talked to him on the phone. And we were pretty lucky in telling him where it was going into the atmosphere. We had it on radar. But in retrospect, it may be that the Soviets could have given us more information. I think they probably gave us about what we would have given them in a similar circumstance."

"I've just talked to the Secretary of Labor about progress on the settlement of the coal strike. They are making good progress. No final agreement has been reached. I've been in coal mines in Pennsylvania and other places to see the miners at work. I know that they are hard-working and patriotic Americans. They and the industry leaders both recognize that there is a tremendous responsibility on their shoulders, because the future of the unions, the future of an effective collective bargaining process, the future of the coal industry, and the we]fare of our Nation depends upon the success of these negotiations. They've been bargaining now, steadily, since they began at the White House a day and a half ago. They continued in their discussions until 2 o'clock this morning, and then after that, management with the Secretary of Labor from 2:30 until 5 in the morning. And I've asked them to stay at the bargaining table until a final agreement is reached. I have confidence that they will be successful, because they and I want to avoid the necessity for me, as President, to take more serious action if the bargaining process is not effective. The whole Nation is looking to them with hope and with confidence."

"Also, we need tax reduction and tax reform. They go together. They add up to $25 billion in net cuts in the income taxes Americans have to pay, and they are also designed to create an additional 1 million new jobs. Seventeen billion dollars of this tax cut will be for working families in our country, personal income tax reductions, and the rest in corporate tax reductions. Corporations will also receive higher tax credits for investing in the sort of new plants, new equipment that will make New England and the rest of the Nation competitive with aggressive foreign exports. But we can't have these cuts in taxes unless we help pay for them by eliminating some of our unnecessary and unwarranted income tax subsidies. Two of these are the deferral subsidy and the DISC subsidies. Both have a particularly bad effect in New England, where competition from abroad has had such a terrible effect on businessmen and on workers alike. The deferral subsidy sets a situation in effect where multilateral corporations pay lower taxes on foreign profits than they pay on their U.S. profits. This amounts to subsidizing corporations to export jobs overseas. The so-called DISC subsidies are just as bad. They let U.S. corporations set up dummy corporations to handle foreign exports, so as to keep from paying U.S. taxes on half their profits. Both these giveaways go overwhelmingly to a few of the largest multinational corporations, and both mean that the average taxpayer has to pay the bill, more taxes, just to take up the slack caused by these subsidies. And both cost America, and particularly New England, jobs. Both loopholes should be closed. As for the famous three-martini lunch, I don't care how many martinis anyone has with lunch, but I am concerned about who picks up the check. I don't think a relatively small minority has some sort of divine right to have expensive meals, free theater tickets, country club dues, sporting events tickets paid for by heavier taxes on everybody else. If the Congress will help me by getting rid of these tax loopholes and by enacting the entire economic program, we can have a good start on correcting unemployment and inflation. The economy won't turn around overnight, of course, any more than an ocean liner can turn around on a dime. The job will require slow, careful planning, not dramatic master strokes. It will require small corrections, of course, that we adhere to very patiently. It will require careful planning, careful adjustment, careful tuning and cooperation. The machinery of the American economy is sound. We have a lot to be thankful for. It's worked well despite severe shocks, but it can work better, and that's our major goal in this country this year."

"Well, as you know, there are now no legal prohibitions at the Federal Government level from proceeding with the Seabrook plant. The Nuclear Regulatory Commission has not yet given a license. But the Environmental Protection Agency has ruled that the cooling system, as proposed, was adequate. I do think that a State, or the people within a State, should have the right to determine the degree of shifting to nuclear power as a source for energy. As you know, some States have had referenda on this subject. This is a prerogative that the State legislature and the Governor and, in some instances, through referenda, can be accomplished. But the Federal Government does not have and would not want to have the right to prohibit the construction of a nuclear powerplant in a State if the Federal laws were met. But I do think that in New Hampshire or Vermont or other States, that the legislature certainly should have a right to set the standards by which those plants should be built."

"This year we are faced with a deficit that's about $15 or $20 billion higher than it would have been because we're trying to give a tax break, tax reduction, to the American people. In every instance, you have to make a judgment on that. One of the reasons that we are giving the tax reduction is because the taxes are too high; another one is that it would result in a stimulated economy, a million more people at work and paying taxes rather than on the Federal dole. And so you have to make a judgment. We have expectations, with some fairly accurate projections, that the budget deficit next year, fiscal year 1980, will be considerably below 1979. And if the economy continues to progress, then I have good hopes that in 1981 we will reach my goal. Obviously, I don't have complete control over the economy. But I've not given up in trying to carry out the principles that Adam Smith espoused in your quote."

"Well, as you know, we are not introducing new weapons into the Middle East. F-15's are already being delivered into the Middle East. Also, I have pledged myself to cut down on the volume of weapons each succeeding year as long as I'm in office, barring some unpredictable, worldwide military outbreak. This year there will be less weapons sales than last year, and this will include, of course, the Middle East. I think it's very good for nations to turn to us for their security needs, instead of having to turn to the Soviet Union as they have in the past. I'm talking specifically about Egypt. And you have to remember that Saudi Arabia has never had any active aggression against Israel. Saudi Arabia is our ally and friend. Egypt is our ally and friend. Israel is our ally and friend. To maintain security in that region is important. Egypt has other threats against its security. The Soviets are shipping massive quantities of weapons into the Middle Eastern area now, into the Red Sea area—Ethiopia, into Syria, Iraq, Libya-and we cannot abandon our own friends. So, I don't think that it's wrong at all to ensure stability or the right to defend themselves in a region with arms sales. We are continuing multinational negotiations with other sellers of weapons to get them to join with us in a constant step-by-step, year-by-year reduction in total arms sales. If they do, I think the world will be much more peaceful in the future."

"We face this choice from a position of strength as the strongest nation on earth, economically, militarily and politically. Our alliances are firm and reliable. Our military forces are strong and ready. Our economic power is unmatched."

"Along with other industrial democracies who are our friends, we lead the way in technological innovation. Our combined economies are more than three times as productive as those Of the Soviet Union and all its allies. Our political institutions are based on human freedom. Our open system encourages individual initiative and creativity, and that in turn strengthens our entire society."

"Our values and our democratic way of life have a magnetic appeal for people all over the world which a materialistic and a totalitarian philosophy can never hope to challenge or to rival. For all these reasons we have a capacity for leadership in the world that surpasses that of any other nation. That leadership imposes many responsibilities on, us, on me, as President, and on you other leaders who shape opinion and the character of our country."

"I thought a lot about our Nation and what I should do as President. And Sunday night before last, I made a speech about two problems of our country — energy and malaise."