    [Public Papers of the Presidents of the United States: George W. Bush (2004, Book II)]
    [August 30, 2004]
    [Pages 1810-1828]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Remarks in a Discussion in Nashua, New Hampshire
    August 30, 2004

        The President. Thank you all. Thanks for coming. Thank you all. Go
    ahead and be seated. Thanks for coming. Go ahead and take a seat. I've
    got some work to do. So I see your senior Senator--that would be Judd
    Gregg. He says, ``When you get up to New
    Hampshire, come up there and tell them what's on your mind and answer
    some of their questions.'' So I'm here to tell you what's on my mind,
    and I'm here to answer some of your questions. I'll tell you what's on
    my mind, first and foremost. With your help, we will carry New Hampshire
    again and we're going to win a great victory in November. [Applause]
    Thank you.
        So I'm here asking for the vote, see. That's what you've got to do.
    I think you've got to get out amongst the people and say, ``I want your
    vote. And I'm going to talk about how to make this a safer world and a
    more hopeful America. I'm asking for your vote because there's more work
    to be done to make America a safer place and America a more hopeful
    country for every citizen who lives here. I'm also here to ask for your
    help. See, I don't think you can win elections alone. I think it
    requires citizens who are willing to register people to vote, to put up
    the signs, to turn out the vote. And that's what I'm here to ask you to
    do. I'd like your help as we're coming down the stretch. There's no
    doubt

    [[Page 1811]]

    in my mind that with your help, we're going to win.
        I'm going to give you some reasons why I think you ought to put me
    back in. Perhaps the most important one of all is so that Laura is the First Lady for 4 more years. [Applause] All
    right. I love her dearly. She is a great mom. She is a really good First
    Lady. She's been a calm in the midst of storm. She has got a clear
    vision about a better America. I'll never forget the day she took on the
    Presidential radio address--for that morning, it became the First Lady's
    radio address--and she spoke to the women of Afghanistan. And because of
    her gentle and her strong words of support, she lifted the spirits of
    thousands of women in a country that had been brutalized by tyranny. And
    Laura has got that ability to do so, and I--thanks for coming--she is
    a--I can't wait for the country to hear her speech. She's giving a
    speech tomorrow night.
        Tonight, by the way, at our convention, we've got America's mayor,
    Rudy Giuliani, speaking. And a true
    American hero, John McCain, is speaking tonight
    too. They're kicking off the convention with positive speeches. This is
    going to be a positive experience for the people of this country to see
    what we believe.
        I talked to the Vice President this morning.
    He's getting ready to crank it up. I admit it, he's not the prettiest
    face on the ticket. [Laughter] I didn't pick him for his looks. I picked
    him because of his experience, his judgment, and because he can get the
    job done.
        I want to thank your Governor. I appreciate your Governor, Craig
    Benson. See, he's like the Governor of
    Massachusetts. These are people that did not
    have to run. They're not full-time politicians. They were successful
    entrepreneurs. Craig decided to leave a comfortable life and serve. I
    think it's a great and noble example. I hope you put him back into
    office as the Governor. And like me, he married well. The first lady,
    Denise, is doing a great job in this State as well. Thank you,
    Denise.
        I appreciate old Governor Romney sliding
    across the border. I'm proud of his leadership. Here is an example of
    strong, steady leadership. He stands for what he believes. And I want to
    thank his sweet wife, Ann, for joining us. Ann,
    thank you for being here. The mom of four--the mom of five--now, that's
    one first family, isn't it?
        I've already mentioned old Judd. He's a great
    United States Senator, I'm telling you. He is steady. He's strong. He's
    making a big, big difference in the Senate. He's fun to work with--most
    of the time. [Laughter] He's plenty capable, and he knows what he's
    doing, and he married well. We love Kathy a lot.
        It turns out when the President comes, a lot of people show up that
    you have to recognize. I'm working my way through. I can't wait to tell
    you why I'm running again. [Laughter] Before I do, I've got to talk
    about two Members of the United States Congress, as a matter of fact,
    the only Members of the United States Congress from New Hampshire but
    really fine people. First, Charlie Bass is
    with us today. Where are you, Bass? There he is, yes. I don't know what
    you did, but you deserve a better seat than that. [Laughter] Yes, okay,
    well--and Jeb Bradley. Thanks for coming,
    Congressman. I appreciate it.
        We've got the mayor, my friend Bernie Streeter, who is here. I appreciate you coming, Bernie. You know,
    people don't like advice from one politician to another, but here's my
    advice: Fill the potholes. [Laughter] You don't have to take it if you
    don't want to.
        Where's Cheryl? Cheryl McGuinness, sweet Cheryl
    McGuinness, the widow of American Airline
    Flight 11 pilot Tom McGuinness, one of the strongest characters of our
    country. I'm proud of you. Thanks for coming. God bless you. Thank you.
    You're a sweet girl. Thank you all for coming--a woman of enormous
    strength.

    [[Page 1812]]

        You know, I talk about a more hopeful America. Part of a more
    hopeful America is a better America. That's why we've got to make sure
    our education system is right. We worked hard in Washington, DC, to
    change an attitude of the Federal Government, an attitude that used to
    be, ``Here, we'll just give you some money and hope everything turns out
    right.'' And it hasn't worked. So when I went to Washington, I said,
    ``Why don't we challenge what I've called the soft bigotry of low
    expectations, raise the bar, expect results.''
        We've increased Federal funding, but in return for increase of
    Federal funding, we're finally asking the question, ``Can a child
    read?'' See, that's what we're asking. And we want to know. We want to
    know whether or not we're accomplishing the mission. And if a child
    can't read early, there's money in the budget to correct the problem
    before it is too late. We're challenging this notion that simply said,
    ``There's some kids you just can't educate, so move them through.''
    That's not good enough for a better America. That's not good enough for
    a hopeful America.
        And it's working. The system is working. There's an achievement gap
    in America, and it's beginning to close. You know how we know? Because
    we measure. It's working because school districts have found that
    certain curriculum can't work, and they're changing. You see,
    accountability is necessary to diagnose and solve a problem. You'll hear
    the critics say, ``Oh, measurement, all that does is punish.'' No,
    measurement saves lives. How can you correct a problem unless you
    measure?
        And there's more work to be done. We got to make sure there's math
    and science in our high school classrooms so our kids have the skills
    necessary to compete in this global economy. We need serious
    intervention programs for eighth and ninth graders who have been
    shuffled through the system so they've got at least the foundation
    necessary to learn and think. We need to make sure a high school diploma
    means something. There's more work to be done to make sure this
    education system raises expectations and meets expectations across the
    country. I believe strongly in local control of schools. I believe
    strongly in empowering parents. I believe strongly in challenging the
    status quo when schools will not teach.
        A better tomorrow is one where Government recognizes its
    limitations. See, I don't think Government can love. I think Government
    should dispense justice, but Government is not a loving organization.
    The strength of this country lies in the hearts and souls of our
    citizens. And a President and a Governors ought to rally that great
    compassion found in the hearts and souls of our citizens. That's why the
    Faith-Based and Community-Based Initiative is so vital for an optimistic
    future.
        I'll give you example of what I'm talking about. Sometimes a
    Government program can help heal an addict, and we ought to herald those
    programs. But sometimes an addict needs a change of heart before he or
    she changes behavior. And therefore, we ought to welcome those programs
    which have the capacity to change a person's heart into the social
    fabric of the American system. Government ought not to fear programs
    based on faith. We ought not to discriminate against faith--programs
    based on faith. We ought to welcome faith-based programs to help heal
    broken hearts in society.
        Today--where's Alison? Okay, hold on. We
    got too much work to do. We got too much work to do--too many
    interruptions here. [Laughter] Thank you.
        Audience member. We love you!
        The President. Well, I appreciate that. I love New Hampshire.
        Okay, one of the interesting ways that I try to make points is to
    have others make them for me. And Alison Brackett is with us today. She runs a program called Bridges of
    Learning. And where are you based?

    [[Page 1813]]

        Alison Brackett. Out of Greenland, New
    Hampshire.
        The President. Well, she's clearly from New Hampshire. [Laughter] So
    you probably never heard of Bridges of Learning nor Alison. She's here because she is a social entrepreneur. Tell
    us what you did.
        Ms. Brackett. We are a organization that
    collects and then distributes school materials, supplies, and needs
    throughout the world.
        The President. Right, okay. Isn't that amazing? Think about this.
    And so when did you start? Who told you to start this?
        Ms. Brackett. My children. [Laughter]
        The President. You've got some good kids. So it wasn't a Government
    program. The President didn't say, ``Start this.'' The Governor didn't say, ``We're going to pass a resolution in
    the New Hampshire House for you to do it.'' She heard a call.
        And so what do you do? I know you distribute school supplies. Give
    us a little--some details.
        Ms. Brackett. Well, my children and an
    army of volunteers go around to various schools and supply houses and
    families and churches and organizations, like the Seacoast Republican
    Women, and they collect the supplies we need. We box them up, and we
    ship them around the world. And currently, we ship them to our Army that
    is stationed in Afghanistan.
        The President. Yes, okay, wait a minute--yes. I think you're
    beginning to get the picture of what I'm talking about when I say,
    ``We're going to call upon the army of compassion in America to
    respond.'' See, this isn't a Government program. This is a program based
    upon the hearts of a family who said, ``What can we do to make a
    contribution in our society? How can we make America and the world a
    better place?''
        So think about this. They've collected school supplies. They're
    shipping them to Afghanistan. Some soldier is going to hand a school
    supply to a young girl who, by the way, now goes to school for the first
    time thanks to the United States of America.
        One other question. It says here that you ship 45 boxes every 2
    weeks.
        Ms. Brackett. Yes. Yes, sir.
        The President. Yes, fantastic. Listen, thanks for coming.
        Ms. Brackett. Thank you.
        The President. Here's why I've asked her
    to come. I know many of you here and people around New Hampshire also
    hear a call to help. But see, societies can change because the Alisons
    of the world take it upon themselves to change society. And the role of
    a President is to call upon and herald and thank the soldiers in the
    armies of compassion that will change this country one heart at a time.
        Thanks for coming.
        Ms. Brackett. Thank you.
        The President. A more hopeful America is one in which people can
    work. It's hard to be a hopeful society if you're not working and you
    want to work. So one of the most important parts of my job during the
    next 4 years will be to continue to create an environment that is
    conducive to job growth. See, I don't think the role of Government is to
    create wealth. The role of Government is to create an environment in
    which the entrepreneurial spirit is strong, in which small businesses
    can thrive and flourish.
        And as Mitt mentioned, our economy has been
    through a lot. When you're out there garnering the vote, remind your
    friends and neighbors what we have been through. We've been through a
    recession. That means we're going backwards. It's hard to be a small
    business in a recession, by the way. We've been through corporate
    scandals. That's when certain citizens forgot what it meant to be a
    responsible American and did not tell the truth. By the way, we've
    changed that attitude in America too. It's clear now we're not going to
    tolerate dishonesty in the boardrooms of America. And we've been through
    a terror attack, all of which affected our economy.

    [[Page 1814]]

        But the economy is growing, and it's getting better, and it's
    strengthening. Why? Because the entrepreneurial spirit is strong in
    America, because we've got the greatest workers in the world, because
    our farmers and ranchers are the best in the world. I happen to think as
    well it's because of two well-timed tax cuts.
        Benson tells me the unemployment rate here is 3.9 percent--3.8
    percent. It's dropping every second. [Laughter] The tax relief plan, the
    economic stimulus plan we passed is working here in the Granite State--
    3.8 percent. That's what we want in America, isn't it? We want people
    working.
        And so the question is how do we keep jobs here and how do we keep
    the economy growing. Well, I believe the most important thing is to make
    sure this is the best country in the world to do business. If you want
    businesses to expand, America has got to be the best place in the world
    to do business, which means--let me tell you what that means. It means
    we've got to have an energy policy. We've got to be less dependent on
    foreign sources of energy in order to make this a good place.
        We've got to have trade policy. We've opened up a good trade policy.
    We have trade policy. And here's what good trade policy means. We've
    opened up our markets. See, it's good for you that our markets are open,
    because the more products you have to choose from, the more likely it is
    you're going to get better quality at a better price. That's how the
    market works. So good trade policy says, ``We'll open up our markets.
    You open up yours. You treat us the way we treat you.'' And that's the
    policy of this administration. We're knocking down trade barriers. We're
    opening up doors. I believe the American worker and the American farmer
    can compete with anybody, anytime, anywhere so long as the rules are
    fair. So when you see us talking about unfair trade practices from
    China, that's what we're doing. We're making sure the rules are fair.
    That's all we want to be, is treated fairly.
        In order to make sure that this economy continues to grow, we've got
    to do something about the cost of health care. Most people get their
    health care through their jobs. Most new jobs are created by small
    businesses, and many small businesses are having trouble with the cost
    of health care. It's an issue. The way to deal with it is to put a
    strategy out that makes sure that patients and doctors are the
    decisionmakers for health care, not Government bureaucrats in
    Washington, DC.
        So we've done that. We have done that, and there's more work to be
    done. We have put in place community health centers for low-income
    Americans to get premium care--primary care, and that's important. We
    want to help. I think it's a legitimate use of taxpayers' money to help
    those who can't afford health care to have a place where they can go get
    primary care.
        Secondly, we will use the new technologies available for other
    industries. We'll promote them into health care industries so that we
    can wring out the inefficiencies in the health care system to reduce the
    costs. People say, ``What does that mean?'' Well, I'll tell you what it
    means. I heard the story of a guy who had to carry a file full of
    paperwork from one specialist to the next, see. That's not the way
    most--most industries are able to use the Internet in order to wring out
    those kind of inefficiencies, to reduce cost. He not only has to carry
    the file from one specialist to the next; he could barely read the
    writing in the files. Why? Because doctors wrote them. They can't write
    very well. And it leads to medical error. My point to you is, is that by
    the proper use of technology, we will reduce the cost of medicine all
    across this land.
        Thirdly, small businesses ought to be allowed to pool risk across
    jurisdictional boundaries so they can get the same discounts on health
    insurance that big businesses are able to get.
        Fourthly, people ought to look into health savings accounts. They
    are a way

    [[Page 1815]]

    to reduce the costs of health care and at the same time make sure that
    the patient is in charge of the decisionmaking process. I was talking to
    a guy in Ohio the other day. He said, ``I have a health savings
    account,'' which basically says that he buys a high-deductible insurance
    policy for catastrophic care and contributes tax-free for the balance.
    So it's an incentive for him to make good choices. It's incentive for
    him to say, ``I'm going''--and if he does go into the marketplace, to
    shop wisely. His premium was $1,100 a month. His premium now with the
    health savings account is $259 a month, and the company contributes tax-
    free into a savings account that is his own. Listen, this is an
    important opportunity for individuals and small businesses.
        Finally--I may go on for a long time on health care. What I'm
    telling you is we're not going to nationalize health care under George
    W. And my opponent is, see. That's the
    difference. My opponent will. We won't.
        Finally, I'll tell you one way to hold down costs--this is a--I'm
    telling you, I'm about to explain to you a national problem. You know
    how I know? I hear it everywhere I go--everywhere I go. I hear it from
    ob-gyns. I hear it from specialists. These frivolous lawsuits that are
    being filed against docs are running up your health care costs and are
    running good docs out of business.
        This is a national problem that requires a national solution. I do
    not think you can be pro-doctor and pro-patient and pro-hospital, and
    pro-plaintiff-attorney at the same time. I think you have to choose--I
    think you have to choose. My opponent made his
    choice, and he put him on the ticket. I made my
    choice. I am for medical liability reform--now.
        Let me make three other quick points; then I want to talk about how
    to make this country more secure. And then, if I don't filibuster, I'll
    answer some questions. [Laughter] I can see Laura
    beginning to grimace a little bit. She says, ``He's getting awfully
    windy''--[laughter]--Texas term. Anyway--[laughter]--look, in order to
    keep jobs here, we've got to use our community college systems wisely.
    We have a changing economy, and in a changing economy, there are new
    jobs available, higher paying jobs than the old jobs--jobs of the past.
    But people need skills in order to fill those jobs. So I support what I
    call a lifetime of learning, to help these workers go back to our
    community colleges so they can gain the skills necessary to fill the
    jobs of the 21st century.
        I'll tell you a classic example of what I'm talking about. We were
    at Mesa Community College in Arizona, and a lady stood up and she said,
    ``I'm a graphic design artist for 12 years, and then I heard of a
    program''--to help somebody in her status go back to the community
    college, Federal program. That where we provide money to help people go
    back to school if they want to go back to school. She went back to
    school, received an associate degree, I think it was after 18 months,
    and after 18 months of a community college experience, she made more
    money in her first year of working for her new company than she did in
    the 12th year of her previous job. You know why? Education enhances the
    productivity of the workforce. It makes people more likely to fill the
    jobs of the 21st century, and a more productive worker is a worker who
    will make more money.
        Finally, we got a plan to continue to grow this economy. I'm running
    because I understand how to put the conditions in place to encourage
    economic growth and vitality. And there's two other things we need to
    do. One is we got to be wise about how we spend your money. Be real
    careful about people who are running for office and say, ``Well, here's
    what we're going to do with Government money.'' See, if you have that
    mentality that we're spending the Government's money, they don't
    understand what they're talking about, because

    [[Page 1816]]

    it's not the Government's money we're talking about. It's your money.
    It's the people's money.
        And secondly, in order to make sure this economy grows, we've got to
    keep your taxes low. And there are some folks in Washington who do not
    want to keep your taxes low. Here's what I believe. I believe we can set
    priorities, meet those priorities, and then you can spend your money far
    better than the Federal Government can.
        And it's an issue in this campaign. We got ample money to meet our
    priorities, unless of course, you believe that the Federal Government
    ought to be the--ought to be giving the orders. [Laughter] And I'm
    running against a fellow who has already promised
    over $2 trillion of spending--new spending. And we're just--we haven't
    even gotten to the stretch run yet. [Laughter] Awfully tempting to get
    out there and tell people what they want to hear. And so they said,
    ``How are you going to pay for it?'' He said, ``Oh, I'm just going to
    tax the rich.'' We've heard that kind of talk before, ``tax the rich.''
    The rich dodge; you pay. But the good news is we're not going to let him
    tax you because we're going to win in November. [Applause] Okay, hold
    on.
        September the 11th changed America. I'm running for 4 more years
    because I want to make this country a safer place, change your sweet
    life. That day taught us that oceans no longer protect us from harm's
    way, that suddenly and unexpectedly, an enemy can strike us, and
    therefore, we've got to do a lot to protect the homeland, and we are.
    We've created the Department of Homeland Security to better coordinate
    between the Federal, State, and local jurisdictions how to respond to
    threats and how to deal with emergency.
        We're going to talk here in a minute to the district chief of the
    Manchester Fire Department, Nick Campasano. Right--yes, there he is. Let me just say a couple of
    things. You can stay standing. I'll give you a chance to warm up.
    [Laughter] Got to loosen up.
        A couple of things I want to say about protecting the homeland.
    We've got to make sure we've got the best intelligence-sharing possible.
    We are working hard to make sure the intelligence agencies are well
    coordinated and information makes it to my desk and to the other
    planners' desks. There's strategists' desks in Washington, DC. I've got
    great confidence in the Central Intelligence Agency. I just know we can
    make sure that we've got to do a better job of collecting information
    and analyzing information so that we can better protect you.
        It's very important that we enable the FBI and the CIA to share
    information. You're not going to believe this, but prior to September
    the 11th, the operators in the FBI could not share information with the
    intelligence gatherers of the FBI. That's just the way it was. So you
    might have an entity find out that something that looked like a
    terrorist activity was going on, but they couldn't tell the people who
    were responsible for busting the cell. That's why we passed the PATRIOT
    Act. The PATRIOT Act is a vital tool for our first-responders. They know
    it. And I want to assure you that anytime that we use the tools of the
    PATRIOT Act, we get court order. In other words, we go to a judge.
        What I'm telling you is, is that we've given law enforcement the
    same tools with the same constitutional guarantees for our citizens that
    we've given them to track down drug dealers and white-collar criminals.
    The terrorist act is important. You need me in there for 4 more years to
    make sure it's renewed so the people on the frontlines of busting these
    cells are able to do so.
        And so we're going to have a little talk with Nick here. One of the budgetary increases that we worked
    with Judd and the
    Congressmen on was to increase money for first-
    responders. Just--let me take a step back. Outside of funding for the
    war, and

    [[Page 1817]]

    I believe--you'll hear me talk about funding for the war--and homeland
    security, non-discretionary spending will increase by less than 1
    percent on the budget I submitted to the Congress. In other words, we're
    being wise with your money. But one of the places where we have
    increased the budget is with our first-responders--for a reason, and
    that is to best secure our homeland.
        What has it meant, Nick? Tell me--
    it's your mike. You run with it like you want to run with it. Here's
    your chance. Cameras everywhere. [Laughter]

    [At this point, Nick Campasano made brief remarks.]

        The President. Yes, let me stop him
    there. First of all, I want to thank the Governor and thank Nick for working on this. This is a very
    important statement he just made, because in order to better secure the
    homeland, there has to be the willingness of people to share assets
    across city boundaries or county boundaries, State lines as well. If
    something were to happen in Massachusetts, I can assure you, Craig
    Benson would say, ``Let's move some assets down there to protect.'' And
    this is a vital part of making sure the taxpayers' money is spent
    wisely, and I want to thank you for doing that.
        It's not a given, by the way. What he
    just said is not a given. It sounds simple, but we're talking
    Government. [Laughter] Seriously.

    [Mr. Campasano made further remarks.]

        The President. That's great. Yes. I appreciate it. Okay, I want you
    to do me a favor. I want to take--I want you to thank the people who
    work with you for their sacrifice to this community. Please.
        Mr. Campasano. I will. On behalf of
    the emergency responders in the State of New Hampshire, we would like to
    thank you, Mr. President, for your support.
        The President. All right, thanks.
        My most solemn duty and our most solemn duty in Washington is to
    protect the American people. And I'm going to share with you some
    lessons I learned. And then we'll talk to a couple of more folks, and
    I'll answer some questions.
        Lesson one is that the enemy is ruthless and coldblooded, and you
    cannot negotiate with them and hope for the best. They are--they don't
    have a conscience. We do. These are radical ideologues who have a
    hateful vision of the world and are willing to use terror to try to
    shake our will. That's the facts. And we've got to deal with it. And the
    best way to deal with them is to bring them to justice in foreign lands
    before they hurt us again. And that requires--[applause]--thank you all.
    Okay, thanks. Stay seated. Thank you. Thanks. Thank you all.
        That requires a couple of things. It requires full utilization of
    all our assets. It means we've got to work with friends and allies to
    cut off money, to share intelligence. It means we've got to deploy brave
    troops. It means we've got to work with law enforcement. It means a
    full-scale offensive campaign and an unrelenting campaign. It's
    necessary to be clear-visioned and never yielding to these people.
        The second lesson is that this is a different kind of war, and in
    order to make America more secure, we have to send a message to those
    who would provide safe haven for these killers. These are--they don't
    represent a country. These people represent an ideology. And what they
    look for are weak countries. They want to become the parasite, and they
    want the host nation to become infected with their dim vision. It's just
    the reality of the 21st century. And therefore, I thought it was very
    important to send a clear message that said, ``If you harbor a
    terrorist, if you provide safe haven for these people, you're just as
    guilty as they are.''
        Now, when the American President speaks, he must do so clearly and
    he must mean what he says in order to make the

    [[Page 1818]]

    world a more peaceful place. So I meant what I said--I meant what I
    said. And the Taliban didn't believe us. So we put together a coalition
    and removed them from power. And it's not easy work to do that, by the
    way. It was hard work, and I want to--if there's some troops here or
    families of troops here that have done this work, I want to thank them.
        But I want you--let me get on--let me talk to this point real quick.
    Afghanistan is a better place because the Taliban has been routed, and
    America is safer because Al Qaida can no longer train there.
        Now, let me talk about Afghanistan right quick. You might remember
    the incident when four women were pulled off a bus and killed because
    they were registering to vote or had registered to vote. And a lot of
    people said, ``Well, gosh, this is going to stop the movement of liberty
    in that country.'' It was going to intimidate. Those people did not
    understand how powerful freedom is to people who have been suppressed.
    Do you realize that in Afghanistan over 10 million citizens have
    registered to vote? It is a phenomenal--10 million.
        The Taliban can't stop this movement toward liberty because freedom
    is universal. Freedom is inherent in people's souls. They want to be
    free. Our job in Afghanistan is to provide enough security so they can
    have Presidential elections on October the 8th of this year. Think how
    far we have come from the days of Al Qaida being able to train and plot
    against the United States of America. And 3 short years later, they will
    have Presidential elections. Freedom is powerful in this world.
        Another lesson--and this is a vital lesson, and it's an important
    lesson that we must never forget--is that when we see a threat, we must
    take it seriously before it comes to be, before it fully materializes.
    That's one of the important lessons of September the 11th. This country
    must never forget it.
        So I saw a threat in Saddam Hussein. And
    let me tell you why I did. He was an enemy of the country. Step one in
    determining threats is whether or not they like us or hate us. He was an
    enemy. He was actually shooting missiles, weapons at our pilots who were
    enforcing the world's sanctions. In other words, he not only--we knew he
    was an enemy; he was taking hostile action against U.S. pilots. He
    harbored terrorists in his country. Remember Abu Nidal? Leon
    Klinghoffer? He was the guy that was murdered because he happened to be
    Jewish. The Abu Nidal organization was housed and based out of Baghdad.
    That is a terrorist organization. Zarqawi, the coldblooded person who beheads people just like that,
    was in and out of Baghdad. He's a terrorist. Saddam Hussein had used
    weapons of mass destruction. He was the kind of mentality where he not
    only had them; he used them against his own people. If he would use them
    against his own people, wouldn't he have used them against his enemy?
        And so I saw him as a threat and went to
    the Congress and said, ``9/11 has changed the world.'' We must take
    threats seriously--and went up the Congress. And the Congress debated
    the issue of whether or not we ought to deal with threats seriously and
    in a strong resolution said, ``We will deal with Saddam Hussein, and if
    need be, Mr. President, you've got the authorization to use force.''
    They looked at the intelligence I looked at. My opponent looked at the same intelligence and came to the same
    conclusion. He voted for the resolution.
        The last choice of any President ought to be to commit troops into
    combat. We ought to try everything possible before we commit one soul
    into combat, and that's why I went to the United Nations. I said, ``We
    see a threat. How about you?'' You've passed resolutions before--
    resolution after resolution after resolution. And I said--so I said,
    ``There's a new world here.'' After September the 11th, we must take
    threats seriously. And they looked at the intelligence, and they
    remembered the evidence

    [[Page 1819]]

    of Saddam Hussein. And with a 15-to-nothing
    vote in the United Nations Security Council, they said, ``Disclose,
    disarm, or face serious consequences.'' That is what the free world
    said.
        Saddam Hussein listened to the free world
    again and totally ignored it. You know, I don't want to put words in his
    mouth, but I guess it was something along these lines: ``Who cares what
    they say?'' And so there were some discussions about, ``Well, why don't
    we send inspectors into the country?'' I thought that made sense. Before
    we commit troops, we ought to try everything, everything possible. And
    so we sent inspectors in, and as history has shown, he systematically
    deceived the inspectors. So I have a choice to make at this point in
    history, whether to forget the lessons of September the 11th, take the
    word of a madman, or defend our country. Given that choice, I will
    defend America every time. [Applause] Thank you all.
        Is that your dad? Okay, thanks.
        Let me--a couple more points I want to make to you, and then I'll be
    glad to answer some questions. The goal in Afghanistan and Iraq is to
    provide enough security so the political process can get started and to
    train Iraqis and Afghans so they can do the hard work of defending their
    freedom. That's our goal. It's in our interest to achieve that goal.
        Liberty has--liberty is powerful. Liberty can transform societies.
    Free societies are peaceful societies. Free societies are societies that
    don't export terror. Free societies are societies that listen to the
    hopes and aspirations of their people. Liberty is a strong, strong,
    powerful force in this world. I believe it's transforming.
        I spent time with Prime Minister Koizumi. And Laura and I were having
    Kobe beef with him there in Tokyo. He's the Prime Minister of a country
    that my dad fought against. And your dads or grandfathers fought against
    them too. They were an enemy. I mean it was a rough war, and here we
    were sitting down talking about peace. See, we were talking about the
    North Korean Peninsula, how best to achieve peace. It dawned on me then
    that, thankfully, my predecessor and others believed in the power of
    liberty to change an enemy into a friend. And that's what happened after
    World War II. There was great vision and depth of feeling about what we
    believe. There was the courage not to waver in the face of serious
    criticism. And as a result, by sticking to what we believe, Japan became
    a self-governing, democratic nation. And here Koizumi and I are talking
    about peace. It's amazing, isn't it, what liberty can do. [Applause]
        Let me finish right quick. That's what is happening. That's why I
    say this is an historic moment. Someday an elected President will sit
    down with an elected Iraqi official talking about how to keep the peace.
    Liberties can transform societies. Liberty is a powerful, powerful agent
    of change. Freedom is not America's gift to the world; freedom is the
    Almighty God's gift to each man and woman in this world.
        Today we've got--[applause]--thank you all. Today--let me--okay,
    thanks. A couple of more points and we're going to talk to a mom whose
    son is there in Iraq. Just a couple of more points.
        The Iraqi citizens are watching us real carefully. They want to know
    whether or not we're going to stick to our word. Prime Minister
    Allawi is a good guy. He believes in democracy.
    He wants us to help. We're there to help them help themselves. That's
    what we're going to do. And we'll get the job done as quickly as
    possible, and then we'll bring our troops home, not one day longer than
    necessary.
        Speaking about troops, Christine Burritt is with us. I'll call her Mom, because that's what
    2d Lieutenant Adam Burritt calls her. Where is
    Adam and what does he do?
        Christine Burritt. Adam is a platoon
    leader. He's a 2d lieutenant with the Charlie Company mountain infantry
    unit from Manchester, New Hampshire.
        The President. Very good.

    [[Page 1820]]

        Ms. Burritt. He's stationed 40 miles
    north of Baghdad in a place called LSA Anaconda.
        The President. Right.
        Ms. Burritt. And they do convoy
    missions, security, and other missions as defined--which he doesn't tell
    his mom about.
        The President. That's good--[laughter]--particularly with all these
    cameras looking at you.
        Ms. Burritt. That's right.
        The President. So, have you heard from Adam?
        Ms. Burritt. We got an instant message
    from him a week ago----
        The President. Oh, good.
        Ms. Burritt. ----saying he was going
    out on the road.
        The President. Right. One of the things that's really important is
    for me to be able to look at the moms and say, ``Our Government is
    supporting your son so that he can complete his mission.'' That's why I
    went to the Congress and proposed an $87 billion supplemental, so that
    Adam would have what was needed to be able to
    complete his mission. That's for body armor and fuel and spare parts and
    health benefits and hazard pay. It's well-received on the floor of the
    Senate and the House--the request. As a matter, it received huge
    bipartisan support. That means Republicans and Democrats voted for it--
    so strong that only 12 Senators voted against it, 2 of whom are my
    opponent and his runningmate.
        Audience members. Boo-o-o!
        The President. I'm looking you in the eye and telling you, your
    son is going to have what he needs. And that's
    important that--when you're out gathering the vote, you might remind
    them what the explanation was. He said, ``I
    actually did vote for the $87 billion, right before I voted against
    it.'' [Laughter] I don't remember a lot of people talking like that in
    New Hampshire when I was campaigning up here in 2000. The people up here
    are straightforward. Then they pushed him hard, and he said he was proud
    of the vote and finally said, ``It was a complicated matter.'' There's
    nothing complicated about supporting her son in harm's way.
        Got anything else you want to say? Okay, go ahead.
        Ms. Burritt. The family support group
    from Mountain Company would like to thank you for your love, your
    support, and your care for our troops overseas, all the troops overseas.
    And just to add something to that, that yellow ribbon magnet that I gave
    to you earlier, we feel like those magnets are planting seeds of
    patriotism around the State and around the country.
        The President. Well, thank you very much. What Christine--
    she's involved--one of the things I find
    out where I travel is there's all kinds of support groups, which is so
    strong and so American, isn't it? They've got the Mountain Family
    Support Group. And for those of you who are involved with supporting the
    families of our troops, I want to thank you for that. It means a lot. It
    really means a lot for people to know that our fellow citizens care
    about a lonely soul who may be waiting for a loved one to return.
        Speaking about loved ones to return, Jackie Ceurvels is with us today. Jackie is--[laughter].
        Jackie Ceurvels. Going to have a baby.
        The President. She's going to be a
    mother again. [Laughter] All right, Jackie. We're talking about
    Jim.
        Ms. Ceurvels. Yes.
        The President. And?
        Ms. Ceurvels. Jim, my husband, he is
    with the 172d out of Nashua. He is a squad leader with the 3d Platoon.
    From the beginning, we don't want him to be there--just for our reasons,
    selfish reasons, and he misses home. But he feels the need--he says if
    we could see what he sees in Iraq, everyone would know why he's there.
    And he looks into the children's eyes, and he says the kids are so happy
    to see them come. And they help the kids out. Our

    [[Page 1821]]

    family support group is in the process of sending clothes over to the
    Iraqi children, and our support group is also doing a rally--a Support
    Our Troops rally on October 16th, here in Nashua, at Greeley Park. And
    that is how we are all getting through it, together as a family. And we
    just thank everyone, and just--support our troops because they're there
    as their duty, and they truly believe in what they're doing over there.
        The President. I appreciate you saying that. Thank you--thank you.
    Very good job.
        Ms. Ceurvels. Thank you.
        The President. I want to thank Jackie,
    thank Mom. We'll complete the mission. I
    think it's very important for the loved ones to hear from the Commander
    in Chief that we'll complete the mission. See, that's the best way we
    can honor their service, is to complete the mission, because the mission
    will make this world a more peaceful place. That's what we want. We long
    for peace. The enemy changed the dynamics, didn't they? They attacked
    us, and it calls us to a new duty. And the duty is to protect the
    country. And our duty--I believe it's our duty--is to lead the world
    toward peace, and that's exactly what I intend to do over the next 4
    years.
        So that's why I'm running. And that's why I'm asking for the vote.
    And now in the great New Hampshire tradition, I'll be glad to take some
    questions. Who's got a question?
        Yes, sir. We got a mike for you right there. Okay, hold on. We need
    to hear this one. Now crank it up.

    Defending and Spreading Freedom

        Q. Can you hear me?
        The President. Yes, sir.
        Q. I happen to be a Pearl Harbor survivor, and God was good to me
    over there.
        The President. Thank you.
        Q. I spent 41 months overseas. I enlisted for 2 years' foreign
    service, and I love my country to the bitter end. And I think you're
    doing a wonderful job. But just a minute--[applause]--just a minute. I
    got two young couples here that their sons are in Iraq, and they love
    you too.
        The President. I thank you. Thank you, sir. Thank you all.
        I'll get you in a minute. What do you got there? You're going to
    give me that banner? Okay. I'm going to come over and give you a kiss on
    the way out. [Laughter] Thank you for your service.
        It's interesting, isn't it--he survived Pearl Harbor. There are
    people today who, 30 years from now, are going to say, ``I survived the
    attack on September the 11th.'' And the fundamental question is that,
    will we have the same determination, the same desire to defend ourselves
    and to spread freedom and liberty like those who survived the attacks
    during that era? That's the fundamental question facing this country.
    You know where I stand. I believe that we must never yield. I believe we
    must have the absolute determination and resolve to not only defend
    ourself but to believe in the great transforming power of liberty to
    make this world a better place for all of us.
        The fundamental--you see, right after World War II, people said,
    ``Well, we're not so sure the Japanese can self-govern.'' They were our
    enemy. They weren't like us. But liberty is bigger than religion.
    Liberty is bigger than race. You heard where I think liberty comes from.
    It is a powerful part of the human soul. And I believe that the people
    in Iraq not only want to but can self-govern. That's what
    Jackie said her husband has seen. He said he looks in the eyes of kids who are
    thrilled their liberators are there.
        Let me tell you an interesting story. It's so good, I may use it
    next Thursday night. [Laughter] Ignore I said that. [Laughter] The Oval
    Office, first of all, is a powerful shrine to democracy. It's an
    intimidating place. There's only two people I've ever had in there that
    weren't intimated--or three: Barney--[laughter]--
    Judd--[laughter]--and Mother.[Laughter]

    [[Page 1822]]

        The door opens up, and in walks seven guys who have got Xs carved in
    their foreheads and their right hands had been cut off by Saddam
    Hussein's henchmen. And they came in to see
    me. They had been in Houston, Texas, where they had new hands put on
    because of the generosity and the compassion of people who live in the
    free world. It was a--I'm telling you, it was a powerful moment. It was
    a--such a stark contrast. I said to the guy, ``Why your hand--why did
    your hand get cut off?'' He said, ``Because I was a small-business
    owner, and the Saddam dinar had devalued, and he needed a scapegoat.''
    See, this guy went and sold Iraqi currency to buy another currency so he
    could buy gold so he could make jewelry. And he just happened to have a
    transaction the day the dictator decided to take action and teach people
    a lesson, in order to cover up his own deficiencies as a tyrant and a
    leader.
        So these guys walk in the Oval Office. You can imagine. I mean, it
    is--first of all, I told you, it's overwhelming. But it was overwhelming
    for me. I'm kind of a crier sometimes. [Laughter] And the contrast was
    so unbelievably powerful, the difference between a society where a
    tyrant can whimsically cut off a poor guy's hand and a society that is
    compassionate enough to help heal that hurt. This guy takes his pen, and
    he writes a prayer to America on it. I'm telling you, it is--we are
    saving lives and, in so doing, making the world a better place and, in
    so doing, making this country a more secure place.
        Tyranny--you know, the fact that people starve in this globe bothers
    me. Do you know your country has more food for starvation around the
    world, by far, than any country in the world? There is a pandemic of
    HIV/AIDS on the continent of Africa that we are leading the charge
    against. The United States of America has put up, by far, more money
    than any nation or collection of nations to help save lives. This
    country is leading. We're not only leading in the cause of freedom and
    security; we're leading in the cause of freedom by helping to defeat
    disease and hunger as well.
        We are a compassionate nation. To whom much is given, much is
    required, is what I believe of the United States of America. And we are
    leading this world.
        Let's see. Yes, ma'am. Crank her up. Start talking. They'll figure
    it out, yes.

    Decisionmaking

        Q. I'm a State rep from Nashua, New Hampshire, Mr. President. I want
    to thank you for being a man of action and a President of principle.
        The President. Thank you. I appreciate that. How is the
    Governor? Has he vetoed any of your bills?
    [Laughter] No, that's good.
        Q. No, I'm a great supporter of Governor Benson. I'd love to see 2
    more years with the Governor.
        The President. Okay, good, thank you.
        Q. It's nice to have an entrepreneur in there. My question is about
    decisionmaking. Sir, I had a radio show in Lowell, and I had Mr. Kerry
    on frequently, and I never saw a man before who actually changed his
    mind mid-sentence, but this man does it. [Laughter] How do you make
    decisions, sir? And what do you think about the importance in this era
    of making a strong and swift decision?
        The President. Yes, I appreciate it. That's a great question. It
    ought to be ``the'' question to people running for President. Because
    you know why? This is a job in which--requires a lot of decisionmaking.
    I make a lot of decisions. A lot of them you'll never know about.
    Obviously, some you do.
        Step one is, a good decisionmaker is somebody who knows what he
    believes and knows the principles by which he'll make decisions. You
    just heard something I believe. I believe that liberty can transform. I
    believe that. It is a core part of my soul and being. So part of my
    decisionmaking is to adhere to principle.

    [[Page 1823]]

        Secondly, a good decisionmaker is somebody who listens well and
    listens to capable, smart people. One of the things that can happen in
    Washington, DC, is that people walk in that Oval Office, and they like
    to look at you and say, ``Man, you're looking pretty.'' [Laughter] And
    you may not be so pretty. [Laughter] So you got to have people who walk
    in and tell you the truth. It's really important in Washington, DC,
    particularly in the complex world in which we live, is to surround
    yourself with capable, smart people. I have got capable, smart people.
    As a matter of fact, no administration has empowered more women in
    positions of power than the Bush administration has done. I like
    people--I don't want everybody sitting around the table to feel the same
    way. I want them to--I want people to feel comfortable saying, ``You're
    wrong,'' or ``You're right,'' ``Yes,'' ``No.'' I mean, it's important to
    have good, constructive debate in decisionmaking.
        Thirdly, you've got to be able to decide. When you get all the
    facts, you have to actually be able to make the decision. And when you
    make the decision, you've got to stand by your decision.
        That's a great question. I thank you for that very much. And in
    Washington, DC, when you make the decision, you best have people around
    you who say, ``Yes, sir, Mr. President,'' and go execute. And that's
    what I've got. I've got a great team and a wonderful group of people who
    have served our country.
        Yes, ma'am, in the blue shirt. Crank it out there. They're charging
    up there. They got mikes--mikes to the left of you, mikes to the right
    of you.

    Invitation to New England College

        Q. My name is Sarah, and I'm actually on the e-board for the New
    England College chapter of College Republicans in Henniker. And we've
    been doing everything we can to support our candidates, and what we have
    is a question--well, actually, we had a lot of the other candidates come
    and speak, and we were hoping that maybe you and your campaign--and this
    is for any other candidates, our Governors, our Senators--if you would
    come and speak to our school and let them hear your point of view,
    personally.
        The President. Okay. Well, I appreciate that. One option, in case I
    can't make it--[laughter]--is to, like--would you loan her a videotape
    of this, so she can show it, you know? [Laughter] We'll be back in New
    Hampshire. Thank you for the invitation. We'll be back a lot.
        Yes, sir. One reason they were here is you had a primary. You might
    remember 2000; we were here a lot. [Laughter]
        Yes, sir.

    Support for Veterans

        Q. Before my question I'd like to say thank you for your leadership
    and your strength. I appreciate it. One of the false charges from your
    opponents is that you've been neglecting veterans. I was wondering if
    you could address that criticism.
        The President. Yes, thanks, I appreciate you saying that. I made a
    commitment to our veterans that we would support them, and we met that
    commitment. And let me tell you, let me just give you the facts--that
    our spending for veterans during the last 4 years, when they approved
    this budget, during the 4 years I've been President, will be bigger than
    the spending for veterans under my predecessor during 8 years. It's a
    fact. The waiting time for our veterans has been reduced substantially.
    Concurrent receipts for our veterans is now law, and I signed it. We are
    making sure that the facilities for our veterans have been updated and
    modernized.
        No, my record on the veterans is a strong record. And one of the
    reasons why is I've had good support from the Members of Congress, and
    also I put a Secretary of Veterans Affair named Tony Principi in as the Secretary, who has done a fabulous job.

    [[Page 1824]]

        And I want to thank you for giving me a chance to talk about that.
    See, in Washington, one of the problems you got is, you got some good
    talkers. The question is, are they doers. And I'm looking forward to
    laying out my record on what we've accomplished, based upon the facts
    during the course of this campaign. We got a great record when it comes
    to veterans. And we'll have a great record over the next 4 years when it
    comes to veterans as well.
        Yes, sir, what have you got?

    Nancy Reagan

        Q. Mr. President, thank you for your leadership, Mr. President. God
    bless you. It's a difficult job, and you've done a great job for us. You
    brought us back after 9/11. It was a tremendous blow that day, and we
    were emotionally crushed as a country. But you brought us back all the
    way. And thank you, and God bless you.
        I watched the Reagan funeral, Mr. President, and a lot of what
    President Reagan had to deal with in bringing our country back, you have
    basically the same challenges, and you have the same challenges. And I
    was--just wanted to know, since this is Nashua, where he was famous in
    saying----
        The President. Yes, I remember that one well. [Laughter] Something
    about a microphone. [Laughter]
        Q. Mr. President, how is Mrs. Reagan doing? I know you met with her.
        The President. Thanks for asking, yes. She's doing great.
    Laura and I dropped by to see her. Thanks for the
    question. She is a very strong woman, and we admire her a lot. We went
    by to see her in her beautiful home in Los Angeles. She was--her spirits
    were up, after what had been a very difficult period in her life.
    Although I will tell you, the outpouring of support and love for
    President Reagan really lifted her spirits. I mean, it was a tremendous
    show of support for the guy she loved.
        Yes, ma'am. No question about her; she loved him. She loved Ronald
    Reagan a lot, and the country obviously loved him too. And it helped her
    a lot. We loved him. She had some beautiful trees she was showing us. It
    was an unbelievable yard, by the way. It was spectacular. [Laughter]

    Support for the President

        Q. Mr. President, thank you. I actually--I wanted to give you a
    little bit of what you said you want. I appreciate so much what you've
    done for the veterans. We still have a ways to go on the concurrent
    receipt. What you've done, we are most grateful for. You've made a great
    start on America keeping her promise to her veterans. I just want you to
    know that there is--a group drove today from as far away as they could
    in New Hampshire, troops' families. And this little girl, when you asked
    her if that was her dad, that was her granddad that is in Afghanistan.
    Her uncle is in Iraq. Her mother is on the U.S.S. Harry Truman. Her
    other uncle has already been to Iraq and is being deployed. And this is
    their grandma who is watching them so their mother can serve.
        The President. Fantastic.
        Q. And I was just--we also brought--we brought a lot of special
    supporters today. Do we have a--Blue Stars over there? We brought a lot
    of families that wanted to come to show you their support today for what
    you're doing for their families in Iraq. And in addition, we have Ellen
    Goodchild, whose daughter was on the second plane into the World Trade
    Center, that is a huge supporter of yours. And we want to thank you for
    all of that support.
        The President. Well, thanks. God bless. Yes, thank you very much. I
    appreciate it.
        Yes, ma'am. Go ahead and yell it out. The U.S.S. George H.W. Bush.
    That's pretty powerful. It fits well.

    Accomplishments in the War on Terror

        Q. [Inaudible]
        The President. Career sailor, right.
        Q. [Inaudible]

    [[Page 1825]]

        The President. Yes. She wants to know whether or not we're making
    progress. That's what she wants to know. You bet we are. Ten million
    people have registered to vote; young girls are going to school. I'll
    tell you an interesting story. My barber in Washington, DC,
    Zahira, she goes out and she raises $300,000 to
    build schools in Afghanistan. New schools are opening up. I think she
    told me yesterday--I hope it looks like I got a good haircut--
    [laughter]--that the schools will have 7,000 kids.
        So a major accomplishment is--you've got to know--and it's hard to
    envision or believe this is the truth--many young girls were not allowed
    to go to school. That's the way the Taliban viewed the world. That's the
    kind of vision of these people we're defeating. That's what they
    believe. They believe that girls shouldn't go to school. They believe
    that if you have a difference of opinion on religion, you're taken out
    into the public square and flogged. That's what they believe.
        I'm in--so I'm in Cleveland, Ohio, to kick off the International
    Children's Games. And a bunch of kids there, and I'm standing up there
    ready to talk, and right to my right, right on the front row, was the
    Afghanistan girls soccer team. You know, there is an accomplishment
    there. These kids would no more have been in the United States of
    America to play soccer had we not made the decision we made.
        I'll tell you a couple of other examples. Prior to September the
    11th and prior to our actions, the leader of Libya had a weapons-of-mass-destruction program. And he
    heard a clear message and voluntarily got rid of his weapons-of-mass-
    destruction program. There is an action that took place as a result of
    the actions we have taken to uphold doctrine and to secure ourself.
        Prior to September the 11th, Pakistan was friendly with the Taliban.
    And that could have been a very dangerous circumstance. Because of our
    action and because of our leadership, President Musharraf is an ally in the war on terror now. He's helping to
    chase down Al Qaida in remote regions of his country. He's helping to
    secure his borders as best as he can against the Taliban from
    infiltrating to kill people who are getting involved in the election. In
    other words, the world is changing, and it's going to change more as we
    continue to spread freedom.
        A trouble spot in the Middle East is, obviously, the Palestinian-
    Israeli conflict. We're strong supporters of Israel. Israel is our ally.
    And I believe the best way to bring peace to that part of the world is
    for a Palestinian State, based upon democracy, to emerge. And so our
    vision is two states living side by side in peace. A free Iraq will
    serve as a powerful example to the Palestinian people that there's a
    better hope for them. See, freedom and the example of freedom will
    empower women and reformers and exiles and people who have been put in
    prison. It will show that--what's possible.
        And I think it's a vital part of making sure this world is more
    peaceful over the long run. There are some success stories, and we're
    just getting started. There's more work--that's what I'm here to tell
    you. We've done a lot, but there's more to do. There's more to do to
    make this world a better place.
        Yes, ma'am.

    Situation in the Middle East

        Q. [Inaudible]
        The President. You did? She went to Libya, she said. Were you on the
    shores of Tripoli?
        Q. [Inaudible]--and I share their curiosity--oh, thank you. How can
    Ariel Sharon, as you've said, be a man of peace if he causes death and
    torture among innocent Palestinians every day? How can Ariel Sharon be a
    man of peace if he fits your definition of a terrorist? I'd be curious
    to hear how you plan to carry out the two-state solution.
        The President. Yes, good. No, that's a great question. First of all,
    Ariel Sharon

    [[Page 1826]]

    is defending his country against terrorist attacks, just like we will.
    He has made the conscious decision that a Palestinian state is in his
    nation's best interests. He's made that decision. Now, how do you--the
    right question is, how do you carry out the two-state solution. That's
    what we have the roadmap for. The roadmap says, here are the steps
    necessary in order for a Palestinian state to emerge.
        I also believe there's a leadership question involved with whether
    or not a Palestinian state will emerge. See, I think in order for a
    Palestinian state to emerge, there must be leadership that believes in
    the hopes and aspirations of the people and are willing to put
    institutions in place that are larger than mankind--in other words,
    willing to have a system based upon law and institutions that survive
    the people, as opposed to a system in which one person pretty well
    dictates the fate of the Palestinian people.
        And so the real challenge is to not only stay on the roadmap, which
    is institution-building--and, by the way, there's also a commitment to
    fight off terror--but it's for leadership to emerge that is committed to
    the aspirations of the people.
        Ariel Sharon is a duly elected official in
    a democracy. In other words, Israel is a democracy. We would hope that
    the Palestinians would have that same kind of democracy, which would
    lead to a more peaceful world.
        Yes, ma'am.

    Small Business and Health Care

        Q. Okay, I'm going to appear to be sophisticated, but I'm a wreck.
        The President. That's what I try to do too. I try to be
    sophisticated and--[laughter]--I have trouble pulling it off, though,
    you know? [Laughter]
        Q. I do want to say it's an honor to be here today to meet you, Mr.
    President. Okay--and New Hampshire chicks love you. I got to say that.
        The President. Okay. [Laughter] So far you haven't acted very
    sophisticated, I admit it, you know? [Laughter]
        Q. And if I knew nothing about politics, I would vote for you
    because of your moral values.
        The President. Thank you.
        Q. I'm bringing it back to the health care.
        The President. Okay.
        Q. My husband and I are small-business owners in New Hampshire. My
    daughter is here with me today, and her husband also is. I'm a breast
    cancer survivor of 10 years. That's the good news. The bad news is, we
    don't have health insurance. For me to have it would be $1,200 a year.
    Now, I did hear--and you touched on that a little bit.
        The President. Health savings accounts--yes.
        Q. I have made phone calls for 3 years and have gotten nowhere at
    all. And I wanted to know, as a small-business owner, what can we do as
    small-business owners to make a difference so that we can also be
    insured?
        The President. Sure. I appreciate that. Well, first of all, let me
    explain health savings accounts to you. And the reason why you've called
    for the last 3 years and nothing has happened is because they haven't
    been available until I signed the Medicare reform law. And that's part
    of the new law. There was something called medical savings accounts, but
    these health savings accounts replaced them. And I really think you
    ought to look into them. And I don't know if it will solve your
    particular issue, but it is a big difference in terms of cost of
    premium. And it also makes sure that, as I say, you're a part of the
    decisionmaking process, you're directly involved with what you spend and
    what you spend it on.
        Secondly, association health plans are a very important way to
    enable small businesses to pool risk. Now, what is your small--what do
    you do?
        Q. Heating and air-conditioning.

    [[Page 1827]]

        The President. Heating and air-conditioning.
        Q. Heating and air-conditioning.
        The President. Well, see, here's the problem and--is that you're not
    able to spread your risk across enough employees to be able to get
    insurance at a--yes, two, that's not a lot. So I think you ought to be
    able to take your business and pool together with other heating and air-
    conditioning businesses, whether they be in New Hampshire or in Maryland
    or in Texas or in California, so you've got more economies of risk. In
    other words, you've got--if you've got two employees you're trying to
    insure, your premium is going to be much higher than if you had a
    thousand employees you were spreading risk across. That's how it works.
    Insurance premiums are based upon risk and the spreading of risk. And so
    that's what--when I'm talking about what they call association health
    plans, admittedly it's kind of long Washington words--what that really
    means is, is that heating and air-conditioning companies of like size or
    small businesses can pool risk. And it's necessary, and it's an
    important part of you being able to find affordable insurance.
        You know, it's a very interesting point. You say, ``We're having
    trouble finding affordable insurance.'' The issue is cost. That's the
    issue. It's how do we control the cost of insurance. One way to do so is
    to spread risk, is how you control cost. If you've got two people to
    insure, you're going to pay more than if you have 1,000.
        A second way to control cost is what I told you about medical
    liability reform. I'm telling you, your premiums are high because of
    junk lawsuits. And I'll tell you why they're high because of junk
    lawsuits. A doctor says, ``I'm getting ready to practice medicine on
    you, and because the lawsuits are around, I'm likely to get hauled into
    court. Therefore, I'm going to practice more medicine than I should
    practice.'' It's called the defensive practice of medicine. In other
    words, he kind of shields himself or herself from a lawsuit. And
    therefore, the defensive practice of medicine, plus the fact that
    they're getting sued, runs your premiums up.
        Now look, I believe people ought to have their day in court. If you
    get harmed, you ought to have your day in court. But we need a system
    that's fair and balanced. And so--you know, when I first went to
    Washington, these Governors--one ex-Governor, three--two are sitting
    Governors--would say, you know, maybe it's none of your business in
    Washington, DC, on medical liability reform. Maybe this is a State
    prerogative. And I thought maybe they were right until I looked at what
    the cost of rising premiums and defensive medicine costs the Federal
    taxpayer. Remember, we pay a lot of money on Medicare. We pay a lot of
    money for the veterans. We pay a lot of money on Medicaid. And
    therefore, these lawsuits are running up the cost to the Federal
    taxpayer.
        So I said, ``This is a Federal issue,'' and went to the Congress. Of
    course, we get it passed out of House, and it gets stuck in the Senate.
    I'll tell you why it's stuck in the Senate. The plaintiff's bar are one
    of the most powerful--is one of the most powerful special interests in
    Washington, DC. Make no mistake about it. You try to get tort reform out
    of the United States Senate, it gets shut down just like that because of
    the special interests in Washington.
        So there are two ways to help you be able to afford a better plan--
    three ways, excuse me--HSAs, association health plans, medical liability
    reform. Those are three ways that will help reduce the cost of medicine
    and give you a chance to get a product that you can afford. [Applause]
    Thank you.
        Yes, sir. Final question. This has got to be the last question
    because Laura and I are headed to Motown. That
    would be Detroit.

    Prayers for the President

        Q. God bless you, Mr. President.
        The President. He has, thank you.

    [[Page 1828]]

        Q. Youngest of 11, 7 boys, all served in the military.
        The President. Fantastic.
        Q. The only thing I wanted to say--I don't have a question for you
    because you and I are on the same page, but I want you to go out
    throughout the country, and every time you ask for a vote, you ask for
    our prayers.
        The President. Thank you, sir. I appreciate that very much. I
    appreciate you saying that. Let me conclude on this note. I appreciate
    that very much. That is a--you know something about this country--
    amazing thing is I don't have to ask for the prayers. You know why? The
    people are praying anyway. And I want to thank you for your prayers. I
    appreciate that very much.
        God bless you all. Thanks for coming.

    Note: The President spoke at 1:17 p.m. at Nashua High School North. In
    his remarks, he referred to Rudolph W. Giuliani, former mayor of New
    York City; Gov. Craig R. Benson of New Hampshire and his wife, Denise;
    Gov. Mitt Romney of Massachusetts and his wife, Ann; Kathleen MacLellan
    Gregg, wife of Senator Judd Gregg; Mayor Bernard A. Streeter of Nashua,
    NH; senior Al Qaida associate Abu Musab Al Zarqawi; Prime Minister
    Junichiro Koizumi of Japan; Prime Minister Ayad Allawi of the Iraqi
    Interim Government; hairstylist Zahira Zahir; Col. Muammar Abu Minyar
    al-Qadhafi, leader of Libya; President Pervez Musharraf of Pakistan; and
    Prime Minister Ariel Sharon of Israel. A portion of these remarks could
    not be verified because the tape was incomplete.