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December 22, 1999

Terrorism During Millennium Celebrations

    Mr. Rose. Mr. President, because of the recent arrest and heightened 
security concerns at airports, do you expect, worry, that

[[Page 2671]]

there will be an incident of terrorism before the first of the year?
    The President. Well, we are on a heightened state of alert, and 
we're doing a lot of work on this. But I would say to the American 
people, they should go on about their business and celebrate the 
holidays as they would, but they should be aware. You know, this whole 
millennial idea draws out a lot of people who are maybe, by our 
standards, deranged, and other people maybe want to use it for their own 
political ends. So if people see anything suspicious, they should report 
it to the authorities as quickly as possible. But otherwise, I should 
say, they should go on about their business. We're working very, very 
hard on this.
    Mr. Rose. It worries you?
    The President. No, I'm concerned, but I think we have, I think, the 
best law enforcement folks we could have, and they are working very 
hard. And we're doing quite well so far. So I have every hope that we'll 
get through it. But I think that what I would ask the American people to 
do is not to stay at home and hide but just to keep their eyes open. If 
they see something that looks fishy, tell the authorities and we'll get 
on it. But they should know that we're working this very hard.

Last Year of President's Term

    Mr. Rose. All right, let me--I look around this office, and I see a 
desk over there that President Kennedy sat at. And I remember the story 
he said about the Presidency, and one of the great things about the 
Presidency was he could walk to work. As you think about leaving this 
building, what will you miss the most?
    The President. I think what I'll miss the most is the work, the job, 
the contact with all kinds of people and all kinds of issues, the 
ability to make a difference, to solve problems, to open up 
opportunities for other people. There's almost no--not almost, I suppose 
there is no job like it in the world. It's been an unbelievable thrill 
and a profound honor, and I will miss it very much.
    I'll miss a lot of the other things. I love living in the White 
House. Hillary, I suppose, has done more work on the White House than 
anybody since the Truman administration, redoing rooms and building a 
sculpture garden and doing things like that. And we love living here. I 
love going to Camp David; I love Air Force One; I love all of the perks 
of the job. But the thing I love most is being President, doing the job 
every day. It just--to me, it's an almost indescribable honor. I would 
never grow tired of it, and I feel graced every day.

Term Limits

    Mr. Rose. If you could change the 22d amendment, would you?
    The President. I don't know. It's probably not fair to ask. On 
balance, I think the two-term tradition has served us well. I'm glad 
President Roosevelt served the third term, because of the war. But on 
balance, I think it's served us well.
    Now, you know, I'm young, and I'm strong, and I'm, as far I know, in 
good health. I love the job. And so if I could serve again, I probably 
would. But I think that's the reason we have this limit, so that people 
like me don't get to make that decision.
[Laughter]
    Mr. Rose. Are you going to leave a note in that desk over there for 
your successor, and what will you say?
    The President. I will, and I don't know what I'll say. But probably 
most of what I'll say will be predictable. I'll be wishing my successor 
well and talking a little bit about the job and offering to be available 
if I can ever be of any help.

National Economy

    Mr. Rose. Prosperity. Economic prosperity and growth has been a 
hallmark of this Presidency. How long can it last, and will it be a part 
of our future, our near future?
    The President. Well, it certainly will be part of our future. Now 
how long it will last--the truth is no one knows. I believed when I got 
here that there was a chance that we could have a very long period of 
economic growth. Now I couldn't have known, when we started and we 
started slashing the deficit and investing more in technology, that we 
would have the longest economic expansion in history that would even 
outstrip wartime when we had been fully mobilized. And in February we 
will.

[[Page 2672]]

    But I think that there are some fundamentally different things now. 
If the Government can follow good policies and the Federal Reserve will 
follow smart policies, there is this enormous power of productivity 
we're getting out of the revolution in technology and information 
technology. It's just now working its way into every sector of the 
economy, and it's also continually advancing itself. So I think if we 
can keep that going and if we can keep our markets open, that's very 
important, not just the exports we sell but the imports we buy, the open 
market keeps the American economy highly competitive and tends to keep 
inflation down. And I think that's one of the things that's been under 
appreciated about this. I never will forget, back in '94 I got really 
alarmed when lumber prices went way up in a hurry, and I thought 
homebuilding prices were going to explode. And then all of a sudden, we 
had this big infusion of less costly imports.
    Now we have to work on fair trade rules; we've got to have--we can't 
be taken advantage of, as some tried to during the Asian financial 
crisis, but on balance, these open markets are very good for us. They 
give us growth and competition, keeps inflation down. And I think that's 
very good.

Globalization and the Technology Gap

    Mr. Rose. What we want to do here in this conversation is really 
focus on the future. You've done a number of conversations about this 
century and your term in office. Thinking about the future and the 
economic health of the country, there is also this process. In 10 
years--10 years ago the wall came down; 5 years ago the web went up. 
Globalization is part of our life.
    The President. It is.
    Mr. Rose. Some worry--and Seattle might be an indication that we're 
looking at the possibility of a great gap between a two-tier system, 
between the haves and the have-nots of the world, those who get it with 
technology and those that don't.
    The President. Well, first of all, the worry is well-founded, but 
it's a constant. That is, we have had a great gap in opportunity, even 
though it's sometimes closed and sometimes open, but there has been a 
hug gap between the haves and have-nots since the dawn of the industrial 
revolution and the creation of middle class societies with mass wealth. 
Some have had it, and others have not ever created it.
    There is a chance that what will happen now is that it will become 
more pronounced across countries and within countries because of the 
advantages that technology-
literate people and entrepreneurs with access to money will have in a 
rapidly changing world. That is, it's liable to accelerate.
    But I would remind you that in the United States we had an 
increasing gap between the rich and the poor for about 20 years, as we 
moved into this new economic phase. The same thing happened when we 
changed from being an agricultural economy to an industrial economy. In 
the last 2 or 3 years, we started to see the gap close again. And the 
answer is not to run away from globalization. The answer is to make 
change our friend. The answer is to have broad access to information and 
information technology, to have broad-based systems of education and 
health care and family supports in every country, and to continue to try 
to shape the global economy.
    You mentioned Seattle. I think that you had a lot of people out 
there protesting globalization, but they can't reverse it, and it's done 
a lot more good than bad. It's created, over the last 50 years, as the 
world had become more interconnected, we've moved away from the specter 
of war as holocaust, even though there have been a lot of smaller wars, 
and we've seen millions--hundreds of millions of people lifted into the 
middle class. So the answer is how to make this globalization more 
human, more humane, and how to shape it so that everybody has a chance 
to be a part of it.

Response to American Hegemony

    Mr. Rose. Do you hear around the world now, as I'm sure you've heard 
from heads of state and others, this kind of unilateralist--America in 
the future is too strong, too dominant, and the fear of a backlash 
against us.
    The President.  I agree with that. And I think--I've tried to be 
very sensitive to that--I think we have--and to make sure that we 
fulfilled our responsibilities. I think that, on the one hand, people 
are glad that

[[Page 2673]]

we won the cold war, if you will; they're glad that the forces of 
freedom won. All over the world people are embracing democracy and 
market economics. But if you enjoy the level of military and economic 
strength we have and the level of political influence, people are going 
to resent you.
    And I must say--and again, I don't mean to be partisan here, but I 
think the resentment is deeper when the Congress takes as long as they 
did to pay our U.N. dues and puts the conditions on it they did, when we 
don't ratify the Comprehensive Test Ban Treaty, when we basically preach 
to other people around the world, you ought to do this, that, or the 
other thing. But instead of helping them, we continue to have a very 
large military budget, but we spend the smallest percentage of our 
income on assistance to other countries to help them succeed 
economically and politically of any advanced country in the world. So we 
do some things that breed this resentment.
    Now, a lot of them resented me at Seattle because they think that 
when the United States says we ought to have core labor standards and we 
ought to have good environmental standards in a world trading system, 
that I'm trying to keep poor countries down, that I just want them to 
open their markets to us, but they won't get rich because I'm going to 
try to force them to give up their comparative wage advantage or their 
ability to grow. That's not true. So some of the resentments against 
America are not fair. But it's all perfectly understandable. I mean, 
look how fortunate we are compared to most other countries. and when 
people get in a tight spot, they want us to come help--Bosnia, Kosovo, 
the Middle East, you name it.

Prospects for the 21st Century

    Mr. Rose. Do you think this century coming up will be America's 
century, as the 20th century has been described?
    The President. Well, I think it can be. But I think we have to think 
very carefully about how we want to define that. I mean, look what we 
know will happen. We know that, barring some completely unforeseen 
event, China, and sometime thereafter, India, will have economies that 
look bigger than ours, because they've got so many more people than we 
do--4 times as many people--in the case of China, even more. We know 
that Europe will grow more integrated, I think, in the 21st century. And 
the European Union will be more and more a union. And they have 50 
percent more people than we do, and they could have a lot more than that 
if they continue to bring in other countries.
    So I do not believe that we will have the relative economic 
dominance we have today. We've got about 4 percent of the world's people 
and almost 22 percent of the world's income. But I think we can be still 
very prosperous. I think we can still be the strongest individual 
country in the world in many ways. But I think we will have to build 
partnerships with some of those who resent us now. We will have to have 
an increasingly interdependent world. Because, whether we like it or 
not--it's like globalization, interdependence is another word for 
globalization--we will become more interdependent, and we'll have to 
learn to be adroit at that. We won't be able to just say, ``Well, if we 
like it, we're here, and if we don't, we'll walk away.'' We'll have to 
really work on our partnership skills.

Future Allies

    Mr. Rose. You touched on something that I've thought about. This 
century was marked by our friends becoming our enemies--France and 
Germany--our enemies becoming our friends. Is that going to be part of 
the 21st century, people we now look on as rivals become friends, 
friends become----
    The President. I think it is highly likely that some of the people 
that have been our most recent rivals will be our friends.
    Mr. Rose. Like?
    The President. Well, I know a lot of people are very skeptical about 
Russia now, because of the problems they've had. But they just had a 
genuinely democratic election with a lot of debate, vigorous opposition, 
brutal campaign ads, you know, the whole 9 yards.
    Mr. Rose. Did the results surprise you?
    The President. No. It's about what I thought they'd be. You know, 
still only 25 percent of them are voting for the old Communist Party; 
the rest of them are for something else, in spite of the economic 
hardship that they have faced in the last few years.

[[Page 2674]]

So I still think there's a chance that if the leaders of Russia define 
their national greatness in 21st century terms--that is, in terms of 
their ability to unleash the creative capacity of their people, rather 
than their ability to dominate their neighbors, which was their 19th and 
20th century definition of greatness--that they well be--we'll have a 
real partnership there. It's also possible that we'll have one with 
China.
    Mr. Rose. A partnership?
    The President. Absolutely. It just depends on how they view us and 
their own self-interest.

Future Rivals

    Mr. Rose. Do you see, on the other hand, people who we might 
consider friends, like Western Europe, becoming more rivals because----
    The President. I think the only way that would happen is if it were 
provoked by greater protectionism, economic protectionism outside the 
borders of Europe. That is, Europe could get so big, and they could 
integrate the economy of Europe, and they'll have a lot of poor 
countries coming in--just like we have poor States and poor regions. If 
they close their economy, rather than open it, that could be a difficult 
thing. But I think it's far more likely that our former enemies will 
become at least friendlier, if we're not friends, and that all of us 
together will face the enemies of the nation-state in the 21st century.
    Mr. Rose. The enemies of the nation-state?
    The President. Yes. The organized enemies of the nation-state that 
have vast money and vast access to weapons and technology and travel: 
the organized crime syndicates; the narcotraffickers; the terrorists. 
And I think the likelihood that all these people will be integrated--
there may be some rogue states that will support them, but I think 
you're more likely to see the nation-states trying to uphold stability 
in their national lives, increasingly open and democratic. Even China, I 
think, will become more open and more democratic. They're already 
electing mayors in a million little towns, literally.
    Mr. Rose. In democratic elections?
    The President. Yes. And so I think--by their standards. They don't 
have a Republican or a Democratic Party like we do, but they are having 
these elections. I think in the future the likelihood is that nation-
states will be allied against the enemies of the organized society and 
the open society.

Chemical and Biological Threats

    Mr. Rose. Do you expect in the next 10, 20 years to be a terrorist 
attack in the United States, thinking about the recent events, thinking 
about the potential for germ warfare, the potential for biological 
attacks, and the potential----
    The President. Oh, absolutely. I think that's a threat.
    Mr. Rose. A likelihood?
    The President. Well, I think it's highly likely that someone will 
try. And keep in mind, the World Trade Center was blown up just a few 
years ago. We were fortunate to catch the people who did it. Oklahoma 
City had the terrible explosion.
    What I think will happen--let me back up a minute. I have done 
everything I could as President to try to organize the permanent 
Government, the people who will be here when I am gone, and the Congress 
to deal with the long-term threat of biological, chemical, and small 
scale nuclear war, as well as the increasing sophistication of 
traditional weapons. And we are doing a massive amount of work now in 
preparation to try to minimize the chances that it will occur and--God 
forbid if it should occur--to try to minimize the impact of it. I think, 

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