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2/28/76 - Lake County Lincoln Day Dinner
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1133456
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2/28/76 - Lake County Lincoln Day Dinner
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Carla A. Hills Speeches
Speeches
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1976
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1976-02-28
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1976
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The original documents are located in Box 2, folder "2/28/76 - Lake County Lincoln Day
Dinner" of the Carla A. Hills Speeches at the Gerald R. Ford Presidential Library.
Copyright Notice
The copyright law of the United States (Title 17, United States Code) governs the making of
photocopies or other reproductions of copyrighted material. Gerald Ford donated to the United
States of America his copyrights in all of his unpublished writings in National Archives collections.
Works prepared by U.S. Government employees as part of their official duties are in the public
domain. The copyrights to materials written by other individuals or organizations are presumed to
remain with them. If you think any of the information displayed in the PDF is subject to a valid
copyright claim, please contact the Gerald R. Ford Presidential Library.
Digitized from Box 2 of the Carla A. Hills Speeches at the Gerald R. Ford Presidential Library
LAKE COUNTY LINCOLN DAY DINNER
FEBRUARY 28, 1976
WHEN BILL STANTON ASKED ME IF I WOULD COME TO PAINESVILLE,
I WAS DELIGHTED. As YOU KNOW, BILL IS NOT ONLY A RANKING
MEMBER OF THE HOUSE BANKING COMMITTEE BUT ONE OF THE REALLY
SPLENDID, ABLE AND DEDICATED MEMBERS OF THE CONGRESSIONAL BODY.
HE IS ALSO ONE OF THE ARCHITECTS OF THE 1974 HOUSING
AND COMMUNITY DEVELOPMENT Act WHICH I AM NOW CHARGED WITH
ADMINISTERING.
So, BILL, MY PRESENCE HERE IS ONE SMALL WAY OF THANKING
YOU FOR ALL THE CARE, DELIBERATION AND HARD WORK THAT WENT
INTO THE BILL WHICH ESTABLISHED HUD's NEW DIRECTION AND PURPOSE
-- AND, I SUPPOSE, A SNEAKY WAY TO SHARE THE BLAME IN CASE OUR
ROSEBUD SPROUTS A FEW DANDELIONS.
I AM DELIGHTED TO BE HERE AT LAKE COUNTY'S LINCOLN DAY
DINNER.
EACH YEAR IN FEBRUARY, WE REPUBLICANS ALONG WITH ALL
AMERICANS REVISIT THE TIME OF LINCOLN TO PAY HIM AND OUR
COUNTRY HONOR -- TO EXPRESS OUR THANKSGIVING THAT OUR NATION
SURVIVED THAT MOST CONTENTIOUS TIME.
GERALD LIGHARY
-2-
TODAY, WE MARVEL AT THE STRENGTH AND THE FORESIGHT
THAT ENABLED LINCOLN TO STEER THE STEADY COURSE THAT PRESERVED
OUR UNION. YET, IF WE LOOK TO THAT PERIOD A HUNDRED AND
TWELVE YEARS AGO, WHICH PRECEDED HIS NOMINATION AND REELECTION,
WE CAN ONLY WINCE AT THE VICIOUS ATTACKS THAT WERE MADE ON
HIS GOVERNMENT AND HIS CAPACITY,
THE NEW YORK HERALD CALLED HIS REELECTION "IMPOSSIBLE".
HIS FISCAL POLICIES WERE CALLED "CAPRICIOUS AND SUPERFICIAL".
HIS SUPPORT FOR "HARD MONEY" ADVISORS WAS ATTACKED. HIS
APPOINTMENTS WERE CALLED THE WORK OF "A BACKWARD LAWYER
WITHOUT SUFFICIENT MENTAL ENLARGEMENT".
ONE OF HIS VETOES CAUSED HIS CONGRESSIONAL CRITICS TO
CHARGE:
"A MORE STUDIED OUTRAGE ON THE LEGISLATIVE AUTHORITY
OF THE PEOPLE HAS NEVER BEEN PERPETRATED -- THE
AUTHORITY OF THE CONGRESS IS PARAMOUNT AND MUST BE
RESPECTED."
-3-
THE NEW YORK WORLD SAID:
"HE WRITES WORSE ENGLISH THAN ANY PRESIDENT WE EVER
HAD. "
THE NEW YORK HERALD'S THEME WAS THAT:
"A CLOWN RAN THE GOVERNMENT."
IT IS FITTING THEREFORE, THAT WE HONOR TONIGHT THE
COURAGE OF PRESIDENT LINCOLN WHICH TEMPERED THE COUNTRY
AS WELL AS THE PARTY ENABLING THEM BOTH TO SURVIVE A
PERIOD OF INCOMPARABLE POLITICAL SAVAGERY.
IT IS EQUALLY FITTING THAT WE REFLECT ON THE PERSPECTIVE
OF THAT HISTORY AS WE DECIDE UPON THOSE POLICIES AND THOSE
PERSONS WHOM WE SHALL CHOOSE TO LEAD THIS COUNTRY IN THE
YEARS AHEAD.
LOOK BACK 18 MONTHS AND RECALL THE NATIONAL MOOD ---
THE DESPAIR, THE CYNICISM AND THE MUSHROOMING DOUBTS AS TO
THE DESTINY OF OUR COUNTRY.
-4-
MANY WILL ACKNOWLEDGE THAT PRESIDENT FORD LED THIS
NATION THROUGH ITS MOST SERIOUS CONSTITUTIONAL CRISIS AND
PROCEEDED TO RESTORE OUR CONFIDENCE IN THE INSTITUTIONS
WHICH DISTINGUISH OUR FORM OF GOVERNMENT FROM THOSE ENDURED
BY A MAJORITY OF THE WORLD'S PEOPLE.
BUT, IT IS ALL TOO EASY 18 MONTHS LATER TO MINIMIZE
THE STRENGTH OF THAT EARLY LEADERSHIP AND TO CRITICIZE HIM
FOR FAILING TO SOLVE MORE RAPIDLY THE OTHER -- LARGELY
ECONOMIC -- PROBLEMS NOW BEFORE US, MANY OF WHICH WERE
SPAWNED A DECADE EARLIER.
IT IS THE DEVELOPMENT UNDER PRESIDENT FORD OF AN ECONOMIC
POLICY WHICH BY ANY FAIR MEASURE IS WORKING AND WORKING WELL
THAT I WISH TO TREAT WITH TONIGHT.
WE ALL KNOW THAT THE ERA OF THE 1960's WAS ONE OF
INCREASING POPULATION, AND ONE IN WHICH THE INCREASING
COMPLEXITIES OF MODERN LIVING BECAME MORE APPARENT. ONE
WOULD EXPECT, THEREFORE, A STEADILY INCREASING FEDERAL
BUDGET.
-5-
BUT, WHO WOULD HAVE GUESSED IN 1962 THAT THE FEDERAL
BUDGET WHICH HAD BEEN BELOW $100 BILLION FROM THIS NATION'S
BIRTH TO THAT YEAR WOULD DOUBLE TO $200 BILLION BY 1971 AND
THEN TRIPLE TO $300 BILLION IN 1975?
By HINDSIGHT, WE CAN CLEARLY SEE WHAT HAPPENED TO AMERICA
IN THE PAST TEN YEARS -- A DECADE WHICH THE KNOWLEDGEABLE
SEERS OF THE SIXTIES HAD FORESEEN AS AN ERA OF GOOD WILL AND
GOOD LIVING FOR ALL AMERICANS.
IN THAT DECADE WE SQUANDERED OUR RESOURCES, DECIMATED
OUR CITIES, ROLLED UP A STAGGERING $350 BILLION FEDERAL DEBT,
FAILED TO BUY ANY REAL SOLUTIONS TO OUR COMPLEX ECONOMIC AND
SOCIAL PROBLEMS, FIRED A RAGING INFLATION, AND GENERATED A
PAINFUL RECESSION. AND IN so DOING, WE SEVERELY SHOOK PUBLIC
CONFIDENCE IN THE CREDIBILITY AND STABILITY OF BOTH BUSINESS
AND GOVERNMENT.
INDEED THE LACK OF VOTER CONFIDENCE IN THE ABILITY OF
EITHER THE PUBLIC OR PRIVATE SECTORS TO FIND ECONOMIC SOLUTIONS
HAS PLACED OUR FREE ENTERPRISE SYSTEM IN ITS GREATEST JEOPARDY
SINCE THE GREAT DEPRESSION.
-6-
IT IS STILL VERY "AMERICAN" TO SING THE PRAISES OF
OUR FREE ECONOMY THAT HAS MADE AMERICA THE ENVY OF THE
WORLD. AND, RECENT POLLS FINDING THAT MOST AMERICANS WOULD
MAKE SACRIFICES TO PRESERVE THE SYSTEM, MAKE WARM READING.
BUT, WHAT WE SAY ABOUT FREEING OUR ECONOMIC SYSTEM FROM
FEDERAL SHACKLES AND WHAT WE ACTUALLY DO DIFFER MEASURABLY.
TALK OF LIMITING "BIG GOVERNMENT" HAS INCREASED ON
BOTH SIDES OF THE POLITICAL AISLE; BUT, so HAS THE FLOW
OF LAWS, REGULATION AND APPROPRIATIONS THAT INCREASE
GOVERNMENT INTERVENTION AND INFLUENCE.
TALK OF CUTTING GOVERNMENT EXPENDITURES WHICH NOW
COUNT FOR ABOUT 40 PERCENT OF OUR GROSS NATIONAL PRODUCT
HAS INCREASED, BUT JUST A FORTNIGHT AGO, 321 CONGRESSMEN,
REPRESENTING A MAJORITY OF THE AMERICAN PEOPLE VOTED A
$6 BILLION BILL TO EXPAND PUBLIC WORKS AND PUBLIC SERVICE
JOBS -- A COSTLY ELECTION YEAR PORK BARREL BY ANY HISTORIC
STANDARD,
-7-
THERE WILL ALWAYS BE PIED PIPERS FOR PROSPERITY WHOSE
TUNE WILL FOREVER BE SPEND. THEIR TUNE FALLS PLEASANTLY
ON THE EAR BECAUSE IT FAILS TO REMIND THE LISTENERS THAT
THEY ARE THE GOVERNMENT -- AND THE SOURCE -- IN THE LAST
ANALYSIS OF GOVERNMENT MONEY.
BUT, THE PIPER'S TUNE HAS NO VERSE ABOUT WHAT HAPPENS
TO INTEREST RATES AND THE AVAILABILITY OF MORTGAGE MONEY,
AND NO REFRAIN THAT CAUTIONS ABOUT THE $100 MILLION WE PAY
EACH AND EVERY DAY JUST TO COVER THE INTEREST ON OUR EXISTING
FEDERAL DEBT -- WHICH NOW EXCEEDS $350 BILLION.
POLITICAL CAMPAIGNS HAVE BEEN WAGED AND WON ON THE
PROMISE OF "MORE FOR EVERYBODY". RESTRAINT AND REASON
HAVE NOT BEEN THE RHETORIC OF MOST CANDIDATES.
AND, IN FACT, MANY STILL SINCERELY BELIEVE IN THE
POWER OF GOVERNMENT TO RIGHT EVERY WRONG IN SPITE OF THE
EVIDENCE, You MAY RECALL THE CONTRAST BETWEEN SENATOR
MUSKIE'S RESPONSE TO THE PRESIDENT'S STATE OF THE UNION
MESSAGE WHEREIN HE SAID:
-8-
"WE CAN HAVE CONFIDENCE THAT GOVERNMENT
CAN
PUT PEOPLE BACK TO WORK."
WITH THE PRESIDENT'S THEME THAT MORE REAL AND LASTING JOBS
ARE CREATED THROUGH THE PRIVATE SECTOR.
THE AMERICAN PUBLIC CONFRONTED BY THIS CLASH IN IDEOLOGY
MUST MAKE A PROFOUND CHOICE GROUNDED IN ECONOMICS,
AND, IF IT IS VAGUE ABOUT THE FINE POINTS OF THE BUSINESS
PROFITS STRUCTURE -- AS POINTED OUT IN GALLOP'S OPINION
RESEARCH POLL QUOTED IN THE FEBRUARY 16TH ISSUE OF NEWSWEEK --
THERE ARE NEW SIGNS OF AN INTENSE INTEREST IN CURRENT ECONOMICS
ON THE PART OF THE PEOPLE.
THOSE SIGNS CAN BE SEEN IN MOST LIVING ROOMS OF THE
COUNTRY ON THE NIGHTLY NEWS SHOWS, AS ON-SCENE REPORTERS
AND ANCHOR MEN COVER THE BUSINESS AND FINANCIAL SCENE WITH
AS MUCH CARE AND DETAIL AS THEY GIVE TO THE TOP-BREAKING
NEWS EVENTS,
-9-
THE GNP; THE Dow JONES; HOUSING STARTS; STEEL OUTPUT;
DETROIT PRODUCTION; THE UNEMPLOYMENT RATE; THE PRESIDENT'S
BUDGET; MORTGAGE RATES -- ARE NOT JUST "ECONOMIC" NEWS
STORIES, BUT COMPETING NATIONAL NEWS.
THE PUBLIC INTEREST IS THERE, BUT, IT IS DISHEARTENING
TO CONCLUDE, AS WE MUST, THAT A GOOD MEASURE OF IT STEMS
FROM CYNICISM ROOTED IN A GROWING DISTRUST OF ALL INSTITUTIONS
-- AND -- THAT MORE AND MORE AMERICANS SEEM TO SEE THEIR
OPTIONS NARROWED TO A CHOICE BETWEEN EVILS: EXPANSIVE
GOVERNMENT WITH UNPRODUCTIVE INDUSTRY OR LIMITED GOVERNMENT
WITH IRRESPONSIBLE INDUSTRY.
UNLESS WE CAN TAKE STEPS TO MAKE THE ALTERNATIVES
MORE ATTRACTIVE, SOONER OR LATER THE GROWING WEIGHT OF
THESE CHOICES WILL BREAK DOWN THE FREE SYSTEM, WHICH WE
ALL ENDORSE, AND CREATE A CLIMATE IN WHICH EXTREME CALLS
FOR ECONOMIC RESTRUCTURING WILL SEEM LESS STRIDENT AND
MORE SENSIBLE.
-10-
IN HIS STATE OF THE UNION ADDRESS, PRESIDENT FORD
CALLED FOR "COMMON SENSE" GOVERNMENT. AND, HE PROPOSED
A FEDERAL BUDGET FOR FISCAL 1977 THAT "PROMISES NO MORE
THAN WE CAN DELIVER", YET, PROVIDES THE MEANS TO "DELIVER
ON ALL THAT WE PROMISE".
IT SOUNDS IN HORSE-AND-BUGGY ABSOLUTES TO ASK: How
MUCH OR HOW LITTLE GOVERNMENT DO WE NEED? THE ANALYSIS
SIMPLY MUST BE MORE QUALITATIVE: WHAT KIND OF GOVERNMENT
WILL WE HAVE IN THIS NATION'S THIRD CENTURY? WHERE, HOW
QUICKLY, AND HOW FAR DO WE MOVE THE BALANCE OF POWER FROM
PUBLIC TO THE PRIVATE SECTOR?
To SAY THAT THE GOVERNMENT SHOULD STOP THE WORLD AND
GET OFF -- AT THIS POINT IN OUR COMBINED HISTORY -- IS A
TURN-OF-THE-CENTURY ABSURDITY. FEDERAL STIMULANTS CAN BE
USED TO BOOST SAGGING SECTORS OF THE ECONOMY WHEN AND WHERE
NECESSARY WITHOUT FEDERALIZING THE ENTIRE ECONOMY.
-11-
BUT, AS WE MAKE OUR CHOICE OF LEADERS FOR THE FUTURE,
WE CANNOT IGNORE THE LESSON FOR WHICH WE PAID so DEARLY IN
THE 1960's -- THAT NO MATTER HOW MUCH WE MAY WILL IT -- A
"SOCIETY" IS NOT SUDDENLY MADE "GREAT" THROUGH WELL-MEANING
PROGRAMS WHOSE SOLE SOURCE OF SUSTENANCE IS THE FEDERAL
EXCHEQUER.
WE KNOW THAT OUR PRIVATE ECONOMY CANNOT SUSTAIN AN
AWESOME FEDERAL DEFICIT OF TODAY'S MAGNITUDE WITHOUT THE
EROSION OF THE VERY FINANCIAL RESOURCES THAT ARE VITAL TO
THE GROWTH AND PRODUCTIVITY OF OUR FREE ENTERPRISE SYSTEM.
How, FOR EXAMPLE, WILL AMERICA BUILD AND BUY HOMES
IN WHICH TO LIVE IF GOVERNMENT IS THE BIGGEST COMPETITIVE
BORROWER OF AVAILABLE MORTGAGE MONEY?
How WILL WE ACHIEVE REAL ECONOMIC GROWTH IF THE
GOVERNMENT CONTINUES TO COMPETE WITH THE PRIVATE SECTOR
FOR DOLLARS TO BUY PUBLIC SERVICE JOBS WHEN WE KNOW THAT
JOBS CREATED IN THE PRIVATE SECTOR HAVE A FAR GREATER AND
MOST LASTING IMPACT?
-12-
YET, YOU AND I KNOW THAT IT IS FAR MORE EXPEDIENT IN
THE POLITICS OF AN ELECTION CYCLE TO SAY "YES" TO MORE
FEDERAL EXPENDITURES. So, I AM VERY PROUD OF PRESIDENT
FORD'S COURAGE IN SAYING "NO" TO A SUCCESSION OF MEASURES
THAT WOULD HAVE FUELED THE INFLATION HE HAS CUT IN HALF.
I LOOK BACK WITH EQUAL PRIDE AT THE PRESIDENT'S
WILLINGNESS TO SAY "YES" TO CAREFULLY THOUGHT-CUT MEASURES
TO INDUCE ECONOMIC RECOVERY. THESE HAVE BEEN THE VERY
TOUGH POLICY CALLS THAT HAVE LED US TO THE TURN-ABOUT NOW
FIRMLY IN PROGRESS,
FOR EXAMPLE, IN THE FIELD OF HOUSING, HE SAID "YES"
TO THE USE OF MORTGAGE PURCHASE ASSISTANCE, ENABLING HUD
-- OVER THE PAST TWO YEARS -- TO OFFER TO BUY FOR RESALE
OVER 500,000 MORTGAGES BEARING BELOW-MARKET INTEREST RATES
- ENOUGH TO CRANK UP THE SINGLE-FAMILY HOUSING INDUSTRY,
WITHOUT CRANKING UP MORE INFLATION.
HE SAID "YES" AGAIN IN OCTOBER, ENABLING HUD TO
REACTIVATE ITS HOMEOWNERSHIP SUBSIDY PROGRAM UNDER WHICH
IT SUBSIDIZES DOWN TO 5 PERCENT THE INTEREST ON A MORTGAGE
IN THE RANGE OF $20,000 TO $25,000.
-13-
THIS PROGRAM TRANSLATES INTO HELP FOR 250,000 LOW AND
MODERATE HOMEBUYERS, GENERATES $6.5 BILLION IN CONSTRUCTION
ACTIVITY AND PUTS 500,000 PEOPLE BACK TO WORK,
THESE PROGRAMS SOUGHT NOT TO FEDERALIZE A SICK INDUSTRY
BUT RATHER TO ENCOURAGE RECOVERY THROUGH PRIVATE ENTERPRISE.
AND, THEY WORKED. TODAY, THE SINGLE-FAMILY HOUSING
MARKET IS BACK ON THE ROAD TO ROBUST HEALTH, WITH INDUSTRY
ECONOMISTS REVISING THEIR FORECASTS FOR 1976 WELL UPWARD
FROM THEIR END-OF-THE-YEAR ESTIMATES.
AND, LAST MONTH, TO REMEDY THE LAG IN THE RECOVERY IN
THE MULTI-FAMILY MARKET, PRESIDENT FORD APPROVED HUD's
RELEASE OF $3 BILLION OF FEDERAL FUNDS TO PURCHASE MULTI-
FAMILY MORTGAGES, -- WHICH COVERS ABOUT 120,000 HOUSING UNITS,
AGAIN, THE OBJECTIVE IS TO SPARK RECOVERY WITHOUT
RE-FIRING THE INFLATION,
BUT IN ALL INSTANCES, IT IS PRIVATE INDUSTRY HELPED
BY GOVERNMENT THAT IS RESTORING OUR HOUSING ECONOMY --
NOT THE OTHER WAY AROUND,
-14-
REMEMBER, HOWEVER, THAT LAST SPRING THE PRESIDENT
ISSUED A RESOUNDING "NO" TO CONGRESSIONAL EFFORTS TO PASS
A MULTI-BILLION DOLLAR HOUSING BILL THAT WOULD BY EVERY
REASONABLE STANDARD HAVE BEEN COUNTER-PRODUCTIVE.
WHAT WE HAVE NOW IS A GRADUAL BUT STEADY HOUSING
RECOVERY, WHAT WE COULD HAVE HAD WAS A DISASTROUS SPENDING
BILL HAD IT NOT BEEN FOR THE PRESIDENT'S STRENGTH IN ISSUING
A VETO UNPOPULAR AT THE TIME AND THE POLITICAL CAPACITY TO
MAKE THAT VETO HOLD.
AND, so IT IS WITH THE ECONOMY ACROSS THE BOARD.
YET, TOO FEW RECALL THE PRESIDENT'S PERSONAL OPPOSITION
AND VETO OF A SERIES OF SPENDING PROPOSALS DURING 1975, AND
TOO FEW GIVE HIM CREDIT FOR THE POLITICAL SHREWDNESS THAT
CAUSED MOST OF THOSE VETOES TO BE SUSTAINED IN THE FACE OF
THE SO-CALLED "VETO-PROOF" CONGRESS.
-15-
WITHSTANDING TREMENDOUS PRESSURES FROM ALL QUARTERS
THROUGHOUT 1975, PRESIDENT FORD HAS STUCK TO HIS GUNS,
LIMITING THE FEDERAL PRESENCE TO PROVIDING JUDICIOUS
STIMULANTS WHERE ABSOLUTELY INDICATED AND STAVING OFF
FURTHER INFLATION so THE PRIVATE SECTOR CAN GET ON WITH
ITS RIGHTFUL JOB.
THE PRESIDENT BELIEVES GOVERNMENT DECISIONS TO SPEND
CANNOT REPLACE PRIVATE DECISIONS TO INVEST.
As WE FACE ELECTION OF A GOVERNMENT TO CONTINUE THE JOB
OF NURTURING OUR RECUPERATING ECONOMY BACK TO HEALTH, WE
CANNOT IGNORE THE HARD CHOICES HE MADE LAST YEAR,
I OFFER THIS ANALYSIS OF THE PRESIDENT'S LEADERSHIP
IN ECONOMIC MATTERS AS A TESTAMENT TO MY OWN CONVICTION
THAT WE ARE ON A SOUND COURSE. PATIENCE NOW, SUPPORT NOW,
AND RESTRAINT NOW WILL RESTORE OUR FAITH IN OURSELVES AS A
NATION AND IN OUR LEADERSHIP IN A WORLD BADLY IN NEED OF A
REBIRTH OF FAITH IN FREE DEMOCRATIC GOVERNMENT.
-16-
WE MIGHT RECALL TONIGHT THAT IN THE CENTER OF THE STORM
OF PERSONAL ATTACKS ON PRESIDENT LINCOLN, HARRIET BEECHER
STOWE WROTE:
"LINCOLN'S STRENGTH IS OF A PECULIAR KIND, IT IS
NOT AGGRESSIVE so MUCH AS PASSIVE AND AMONG PASSIVE
THINGS IT IS LIKE THE STRENGTH NOT so MUCH OF A
STONE BUTTRESS, AS OF A WIRE CABLE,
***
"Surrounded BY ALL SORTS OF CONFLICTING CLAIMS
HE HAS LISTENED TO ALL, WEIGHED THE WORDS OF ALL,
WAITED, OBSERVED, YIELDED NOW HERE AND THERE, BUT
IN THE MAIN KEPT ONE INFLEXIBLE, HONEST PURPOSE,
AND DRAWN THE NATIONAL SHIP THROUGH."
WITHOUT FORCING ANY BROAD COMPARISIONS TO PRESIDENT
LINCOLN'S TIME AND NOW, I DO FIND A SUFFICIENT THREAD OF
COMPARABLE STRENGTH AND PURPOSE IN OUR PRESENT GOVERNMENT
FOR ME TO SEEK SUPPORT FOR ITS POSITIONS AND TO BE PROUD
TO BE A PART OF IT.