    [Public Papers of the Presidents of the United States: William J. Clinton (1996, Book II)]
    [August 5, 1996]
    [Pages 1254-1255]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Remarks on Signing the Iran and Libya Sanctions Act of 1996 and an
    Exchange With Reporters
    August 5, 1996

         The President. Good morning, ladies and gentlemen. It's good to be
    joined today by Senator D'Amato and Congressmen Cardin, Gejdenson,
    Gilman, King, and Matsui; family members of the victims of Pan Am Flight
    103; and two brave Americans who suffered the nightmare of being taken
    hostage in the Middle East.
         We come together around the common commitment to strengthen our
    fight against terrorism. Terrorism has many faces, to be sure, but Iran
    and Libya are two of the most dangerous supporters of terrorism in the
    world. The Iran and Libya sanctions bill I sign today will help to deny
    those countries the money they need to finance international terrorism.
    It will limit the flow of resources necessary to obtain weapons of mass
    destruction. It will heighten pressure on Libya to extradite the
    suspects in the bombing of Pan Am Flight 103.
         From the skies over Lockerbie to Khobar Towers, from the World
    Trade Center to Centennial Park, America has felt the pain of terrorism
    abroad and at home. From the Tokyo subway to the streets of Tel Aviv, we
    know that no nation is immune. We have not yet solved all these
    tragedies. We will not rest until we do so. But one thing is clear: To
    succeed in this battle we need to wage it together, as one America
    leading the community of civilized nations.
         Our Nation is fighting terrorism on three fronts: first, abroad,
    through closer cooperation with our allies; second, at home, by giving
    our law enforcement officials the most powerful counterterrorism tools
    available; and, third, by improving security in our airports and on our
    airplanes. Last week in Paris, with America's leadership, the G-7
    nations and Russia agreed on a sweeping set of measures to prevent
    terrorists from acting and to catch them when they do. We have seen that
    when we pool our strength we can obtain results. We will continue to
    press our allies to join with us in increasing the pressure on Iran and
    Libya to stop their support of terrorists. We already have acted
    ourselves, through our own sanctions, and with this legislation we are
    asking our allies to join with us more effectively.
        With this legislation we strike hard where it counts, against those
    who target innocent lives and our very way of life. It shows we are
    fully prepared to act to restrict the funds to Iran and Libya that fuel
    terrorist attacks. America will not rest, and I resolve to hunt down,
    prosecute, and punish terrorists and to put pressure on states that
    support them. The survivors of terrorism, the families of its victims
    who surround me, and all the American people deserve nothing less.

    [At this point, the President signed the legislation.]

        The President.  Thank you all very much.

    Extraterritorial Impact of Sanctions

        Q. Mr. President, France says the Europeans will retaliate if this
    measure is implemented.
        The President.  Well, of course that's their decision to make. But
    every advanced country is going to have to make up its mind whether it
    can do business with people by day who turn around and fuel attacks on
    their innocent civilians by night. That's a decision that every
    country's going to have to make.
        I will say this: I am encouraged that we are doing more with our
    allies than before to fight terrorism and that there is broader
    agreement than there has been before on specific measures. But in
    extreme cases where we disagree and where it is obvious that basically
    turning away from the implications of state support of terrorism has not
    worked, the United States has to act. And I can only hope that some day
    soon, all countries will come to realize that you simply can't do
    business with people by day who are killing your people by night.

    [[Page 1255]]

    Bob Dole's Tax Cut Proposal

        Q. Mr. President, what do you think of Senator Dole's apparent plan
    to cut taxes 15 percent, 50 percent on capital gains, and so forth. Will
    it hurt you?
        The President. Well, the most important thing is, will it hurt the
    American people? And I favor targeted tax cuts for education that are
    paid for. I am unalterably opposed to going back to the mistake we made
    before in having big tax cuts that are not paid for. It will balloon the
    deficit, raise interest rates, and weaken the economy. That's the only
    thing that matters: What impact will it have on the American people?
        Thank you very much. Thank you.

     Note: The President spoke at 9:42 a.m. in the Oval Office at the White
    House. H.R. 3107, approved August 5, was assigned Public Law No. 104-
    172.