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Originally Processed With FOIA(s):
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MARKER
This is not a textual record. This is used as an
administrative marker by the George Bush Presidential
Library Staff.
Record Group/Collection:
George H.W. Bush Presidential Records
Collection/Office of Origin:
Speechwriting, White House Office of
Series:
Speech File Draft Files
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Chron File, 1989-1993
OA/ID Number:
13495
Folder ID Number:
13495-007
Folder Title:
Karl Marx University 7/12/89 [3]
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25
6
4
1
Davis
Comments
Davis/Martin
June 29, 1989
Title: Hungary
Draft: One
PRESIDENTIAL ADDRESS: KARL MARX UNIVERSITY
(Date, Time)
Ladies and gentlemen, Dr. Csaki (CHAH-kee). It's a pleasure
to be back in Budapest, and I am proud to be the first American
President to visit Hungary.
Some might find it ironic that I am speaking at a university
named after Karl Marx. ( (And I have to admit, from my vantage
point, he does seem to be staring right at me
)) But those
who know this great university know just how fitting this forum
is for an American President to address the people of Hungary.
After all, it is said that Tramline Number Two runs the
nation, since it originates at Karl Marx and makes stops at the
National Center, Parliament and the Central Committee. Many
great Hungarian leaders have also moved along this same route,
among them Miklos Nemeth (Namath) and Zsigmond (Zig-mund) Jarai
(JAR-ree). But before any of them, there was a teacher at Karl
Marx University, and his name was Imre ( (EEMH-ray) Nage (NAZH).
And
returned
As his slow procession moved through Heroes' Square, the
patient
rising voice of Hungary was heard in the singing of the Szozat
(SO-zat). And in this simple, somber ceremony the world saw
something more than a dignified act of reconciliation. We
witnessed an act of truth. It is on this foundation of truth,
one more solid than stone, that Hungarians have begun to build a
and though his only now courage is he will honored be an inspiration by the
last generation, DO the next generation
though the last had wait him
new future
generation waited to honor his courage;
hundred generations remember it. his courses will inspire the next
While Hungary rediscovers its natural role in the affairs of
Hensary.
Europe, America is rediscovering you. One of the ( (bestselling) )
non-fiction books in my country today is entitled Budapest 1900.
Dr. John Lukacs lovingly describes the Budapest of memory
( (Quote to come))
This
was city that rivaled Paris in its splendor; Vienna
in its music London in its literature. This was A center of
learning that enlightened the world, and gave America one kind of
genius in Joseph Pulitzer, and another in Bela Bartok. But for
decades, this great city, this great nation, so central to the
continent in every respect, was torn from Europe and the West.
Today Hengory is changing -
But the city and country I see today is again opening acain to the
West, again becoming a leading light in European culture. I see
people in motion. color and creativity replacing grey
There's electric
conformity. I sense an atmosphere that is electric alive with
^
optimism.
This is happening because your people and your leaders --
government and opposition alike -- have the courage to break with
the past, to act in the spirit of truth. And what better example
of this could there be than one simple fact: Karl Marx University
has dropped Das Kapital from its required reading list
Karl Marx traced only one thread of human existence, and
missed the rest of the tapestry -- the colorful and varied
themmar condition. 3
tapestry of sivilization. Marx regarded Man as an economic
being. But Man is more than that.
He is artistic,Man. He has an innate need to create and
enjoy beauty. He is a loving member of a family, and a loyal
patriot to his people. And Man is something else which cannot be
denied
he is a creature of God
The creative genius of the Hungarian people, long
suppressed, is again flourishing in your schools, your
businesses, your churches. This is more than a fleeting season
Itis
of freedom. It's a rebirth, a Renaissance of Hungary returning home
Voices long stilled are being heard again. An independent
daily newspaper is now sold on the streets. Commercial radio and
television stations, financed by American companies, will soon
broadcast everything from the news
to Huey Lewis and the
News. And even Radio Free Europe is opening its first Budapest
bureau.
More than one hundred thousand Americans visited Hungary
last year and more than 20,000 Hungarians have come to
America. This very university operates exchange programs with 23
U.S. schools. And For the first time, the Iron Curtain has begun to
leading the way.
part. Hungary is changing the world.
The Soviet Union has withdrawn many troops, which I take as
a first sign that Moscow truly respects your sovereignty. And as
they leave, let the Soviets know they have everything to gain,
and nothing to lose or fear, from peaceful change. Nor should we
4
fear new thinking from Mr. Gorbachev. We can work together to
move move beyond containment, beyond the Cold War.
But all of these developments, as significant as they are,
the fact ther
making
pale before this Hungary is at the threshold of doing what no
other Communist power has done in history. You are going to
become the first Warsaw Pact nation to ever hold a truly free
election.
This is possible because brave men and women have formed
opposition parties. And this is possible because Hungarian
leaders are showing the ultimate political courage -- the courage
to submit their names before the people.
is But you need partners - partners poised
WE are ready to help promote lasting change in Hungary. in I am
here to tell you that the inited States is possed and ready. I am here
three vital spheres - economics, cultural exchange and the
to tell you the united States can be pour partner.
environment. Hungary is embarking on an odyssey of change I am
here to tell you that the United States is with you.
cuttualeful
P Three vital spheres stand out - economic, the environ,
INVESTMENT IN HUNGARY
The United States believes aid should m accelerate change, not its
delay in. So this our guiding principle -- the United States of will
assistance
offers aid not to prop up the status quo, but to propel reform.
Of course, the dead weight of the past still burdens
care
Hungarian enterprise. The remnants of the Stalinist economy
-
1
with its huge, inefficient industrial plants; the bewildering
price system no one understands; the massive subsidies that cloud
economic decisions -- all of this slows what you could otherwise
achieve. It's an economic Rubik's Cube that defies solution.
5
And, ultimately, It a burden to be discarded. To make the
productive
transition to a market economy will test your mettle as a people.
The prices of some commodities will may rise. Some inefficient
And
factories will close Hard choices already awalt you.
the
creative drive of the people, once unleashed, will create a
momentum of its own. This will eventually bring you something
teame
a
greater A than the riches you will create. It will give you
control over your destiny
a Hungarian destiny.
Yout The Hungarian government has already started to leave the
business of running shops to shopkeepers and farms to farmers.
As you change, so will you integrate into the world economy.
P Just look to the West of the Danube -- your European neighbors
are forming a single market. Soon you will have the chance to
trade with this new economic colossus. But the United States
will also be your partner in this transformation to a successful
competitive economy
So with Because trade in mind, once your future Parliament legalizes
the free movement of its citizens, I will inform Congress that
Hungary is complying with the 1974 Trade Act. This will entitle
you to the maximum most-favored nation tariff status possible
these tiwomneasmes open am to
under U.S. law. Simply put, the largest single market in the
world. is opening its doors to you
your country
America is also prepared to include Hungary in the
generalized system of preferences, which provides duty-free entry
for certain goods Hungary can and should develop the same
6
trade access to the American market that your Western neighbors
enjoy. Some have raised the question 8 government And yro, assestance
we will offer
The United States will offer some government assistance,
including an entrepreneurial fund for economically depressed
regions of your country. In years past, loans were written and
However
accepted with little thought paid to their utility. We've all
learned that massive government and institutional loans hobble
whole nations with debt, while private investment liberates
creditor and debtor alike. The U.S. government can and will
match American private-sector investment in Hungary -- investment
and the strength rebrancy
where it counts, in Hungarian factories, products and jobs.
Therefore
I am pleased to note the recent U.S.-Hungarian agreement to
our
promote the formation and development of small, private
businesses all across your country. Called the Hungarian
Medicine vy
Enterprise Group, this center will match venture capital, both
foreign and Hungarian, with entrepreneurs -- the small
businessmen and -women with the grand ideas. Some of you here
today may have a few grand ideas of your own. Perhaps you will
benefit from just such a collaboration.
And, We will soon authorize the Overseas Private Investment
Corporation to encourage American investment in private
enterprises in Hungary. So far, however, little encouragement
has been needed. Consider the American investment company,
Bears-Stearn, which has already established a special "Hungary
Fund." This private pool of investment will purchase shares in
Hungarian companies, helping to develop a Hungarian stock market.
7
What does private investment mean for Hungary? Yesterday,
at Kossuth Square, I quoted the words of that great Hungarian
patriot. But it was another Hungarian patriot, a contemporary of
Kossuth, Count Szechenyi (Say-chaney), who coined a phrase in his
great work on economics: "Hungary was not, but will be." Of this
we are sure -- Hungary will be great again.
CULTURAL EXCHANGE
These are the economic proposals I will discuss with your
leaders. But I am also here to meet the Hungarian people. I
hope this visit leads to a wider exchange between East and West.
certains from one another
our artists, our environmentalists share the
knowledge that can benefit us all. Let our soldiers and
statesmen discuss peace and our students discuss the future.
In fact, our student exchange programs are the most
successful. They have grown fast and can still accommodate
thousands more. For this reason, I am pleased to announce that
the United States Information Agency is going to initiate six new
youth exchange programs in Hungary. To the students here today,
I want you to know that the doors of America's universities are
open to you.
((I am pleased to announce two agreements with your
government -- on tourism and civilian air exchange to come))
The United States will also open, within the next two years,
an America House in the center of Budapest. The celebrated
American architect Robert Stern will design the plans for this
8
center, which will promote bilateral trade by helping Hungarians
to learn American culture.
And when it comes to the language of America, the teaching
of English is one of our most popular exports. As students you
know that English is the linqua franca of world business, the key
to clinching deals from Hong Kong to Toronto. So to give
Hungarians greater entree into the global marketplace, I am
pleased to announce that the Peace Corps will, for the first
time, operate in a European country. And our Peace Corps
instructors will come to Budapest and all 19 counties to teach
English.
ENVIRONMENTAL EXCHANGE
To learn a language, to start a business, is to embark on a
great adventure. But to fulfill a promising future, we must also
beitage
protect our basic common possession -- the environment. Six
weeks ago, in Mainz, I proposed cooperation between East and West
on environmental issues. What a tragedy it would be if your
continent was again spoiled, this time not by war, but by a more
subtle and insidious danger -- that of poisoned rivers and acid
rain.
Hungary has led Eastern and Central Europe in addressing the
concerns of your citizens for cleaner air and water. And you are
leading the way in environmental agreements with the West. The
U.S. Environmental Protection Agency and the Hungarian government
9
have just agreed on new programs for exchanges and joint training
of environmental experts.
( (Substance to come) )
Pollution is no respecter of borders. Let us work together
to save our common heritage.
In economics, culture and the environment, we have much to
share and learn from each other. The United States is especially
determined to stand by Hungary as you meet an enormous challenge.
No Communist nation has yet attempted what Hungary is already
doing -- to build democracy and a free market.
( (Substance on Democracy consortium/help from great parties
of the West to come) )
I see a great Hungarian future in the bright faces of your
students. But not all young people in the East Bloc have as much
freedom as you do to plan their future. Certainly not your
brothers and sisters in Transylvania.
Your press recently reported that a Romanian girl was lost
in the Maros River. We don't know exactly sure how she died.
But we know that if she had been traveling from Hungary to
Austria, she would have received nothing more than a friendly
wave from the border guard. But she attempted to cross the
Maros, and paid with her life
Her two brothers made it
across safely.
We do not know the torments that drove her to risk her life.
But we do know her heart. It is the heart of Anne Frank and
10
Hertelendy (HERT-lindy) Jamos (Yamosh). It is the heart of youth
determined to live in freedom
Throughout the Communist world today, as a younger
generation prepares to assume power, a great debate is underway.
In this debate, Moscow advocates limited political freedom, but
without economic rights. Beijing practices limited economic
freedom, but without political liberty. Where are political and
economic liberty peacefully advancing together? In Hungary.
The people of Hungary know it is not enough to let men and
women purchase what they want or cast a symbolic vote. They must
be allowed to say what they believe. They must be allowed to
choose their government. Limited freedom, whether it is economic
or political, will not provide sufficient room for the restless
human spirit.
Benjamin Franklin, the sage of the American Revolution, said
that love of liberty and the rights of man should someday become
so widespread, "that a philosopher may set his foot upon anywhere
on the surface (of the earth) and say: 'this is my country.
Because of your courage, that is the Hungary we can see
before us; a better Hungary, a greater Hungary, a place any
countryman of freedom could call home.
Thank you and God bless you all.
#
#
#
Davis/Martin
July 7, 1989
Title: b:karl
Draft: Three
PRESIDENTIAL ADDRESS: KARL MARX UNIVERSITY
July 12, 1:15 p.m.
Ladies and gentlemen, Dr. Csaki (CHAH-kee). It's a pleasure
to be back in Budapest, and I am proud to be the first American
President to visit Hungary.
Some might find it ironic that I am speaking at a university
named after Karl Marx. ((And I have to admit, from my vantage
point, he does seem to be staring right at me
.)) But those
who know this great university know just how fitting this forum
is for an American President to address the people of Hungary.
After all, it is said that Tramline Number Two runs the
country, since it stops at Karl Marx and goes on to Parliament
and the Central Committee. Many great Hungarian leaders have
also moved along this same route, including Miklos (MEEK-losh)
Nemeth (NAY-met). But before any of them, there was a teacher at
Karl Marx University, and his name was Imre (EEMH-ray) Nagy
(NUDGE) ((PAUSE))
his
As the slow reburial procession moved through Heroes'
Square, the rising voice of Hungary was heard in the singing of
the National Hymn. And in this simple, somber ceremony, the
world saw something more than a dignified act of reconciliation.
We witnessed an act of truth. It is on this foundation of truth,
2
more solid than stone, that Hungarians have begun to build a new
future
a generation waited to honor Imre (EEMH-ray) Nagy's
remember
(NUDGE'S) courage; may a hundred generations revere it.
While Hungary rediscovers its natural role in the affairs of
Europe, America is rediscovering Hungary. A popular non-fiction
book in my country today is entitled Budapest 1900. Dr. John
Lukacs lovingly describes the Budapest of memory, with its proud
stock exchange and great opera; a time when Europe's first
electric subway ran underneath the handsome shops of Andrassy
Avenue.
A city that rivaled Paris in its splendor
Vienna in
its music
London in its literature. A center of learning
that enlightened the world, and gave America one kind of genius
in Joseph Pulitzer, and another in Bela Bartok. But for decades,
this great city, this great nation, so central to the continent
sep.
in every respect, was torn from Europe and the West.
Today Hungary is opening again to the West -- becoming a
leading light in European culture. I see people in motion. I
experimentation
see color and creativity, replacing grey conformity. I see a new
beginning for Hungary
The very atmosphere of Budapest is
electric, alive with optimism.
Your people and your leaders -- government and opposition
alike -- are not afraid to break with the past, to act in the
spirit of truth. And what better example of this could there be
than one simple fact: Karl Marx University has dropped Das
Kapital from its required reading list
Some
argue
3
Historians
that Marxism arose out of a humane impulse.
But Karl Marx traced only one thread of human existence, and
missed the rest of the tapestry -- the colorful and varied
tapestry of
Wmanity
Marx regarded Man as a hapless being
shaped by impersonal economic forces. But Man is more than that.
He is artistic --- Man has an innate need to create and enjoy
beauty. He is a loving member of a family, and a loyal patriot
to his people. And Man is something else which cannot be denied
he is a creature of God
The creative genius of the Hungarian people, long
suppressed, is again flourishing in your schools, your
businesses, your churches. This is more than a fleeting season
?
of freedom. It is Hungary returning home.
Voices long stilled are being heard again. An independent
daily newspaper is now sold on the streets. Commercial radio and
television stations, financed by American companies, will
broadcast everything from the news
to the pop music of Huey
Lewis and the News. Even more dramatic, Radio Free Europe is
opening its first Budapest bureau.
Along your border with Austria, the ugly symbol of Europe's
division and Hungary's isolation is coming down, as the barbed
wire fences are rolled into bales. For the first time, the Iron
?
Curtain has begun to part. And Hungary is leading the way.
The Soviet Union has withdrawn troops, which I take also as
an early sign that Europe's division is nearing an end. And as
they leave, let the Soviet leaders know they have everything to
4
gain, and nothing to lose or fear, from peaceful change. We can
work together to move beyond containment, beyond the Cold War.
But all of these developments, as significant as they are,
pale before the fact that Hungary is at the threshold of great
your
and historic change. You are writing a new constitution
VERSION
Hungarian of the Rights of Man that will sanction democratic, multi-
party elections.
This is possible because brave men and women have formed
opposition parties. And this is possible because Hungarian
leaders are showing the ultimate political courage -- the courage
to submit their names before the people.
But to succeed in reform, you will need partners -- partners
to help promote lasting change in Hungary. I am here to offer
Hungary the partnership of the United States of America.
Three vital spheres stand out in our partnership --
economics, democratic and cultural exchange, and the environment
INVESTMENT IN HUNGARY
The United States believes in the acceleration of change,
not in its delay. So this our guiding principle -- the United
States will offer assistance not to prop up the status quo, but
to propel reform.
ADD BACK in symp,
Of course, the dead weight of the past still burdens
Hyanian
Hungarian enterprise. There are remnants of the Stalinist
the
is
economy -- huge, inefficient industrial plants; the bewildering
price system no one understands; the massive subsidies that cloud
hotos
5
am pleased to amoune the an agreed
economic decisions -- all of this slows what you could otherwise
achieve. It's an economic Rubik's Cube that defies solution.
forther to est. scit tech coop in in awas
iont mlents + expertive basic sciences,
agriculture, medical, scology
To make the transition to a productive economy will test
your mettle as a people. The prices of some commodities may
rise. Some inefficient factories will close. But the Hungarian
government has already started to leave the business of running
shops to shopkeepers and of farms to farmers. And the creative
drive of the people, once unleashed, will create a momentum of
its own. This will bring you a greater treasure than the riches
you will create. It will give each of you control over your
the emon,
destiny
a Hungarian destiny.
Just look to the West of the Danube -- your European
neighbors are forming a single market. Soon you will have the
chance to trade with this new economic colossus. But, as I said,
the United States will also be your partner in this
transformation to a successful competitive economy. I am here to
announce the following measures.
ISAiDin Warson
" First, as you know, I will propose at the Paris Economic
Summit the formation of a Consortium for Poland and Hungary, to
back your reforms with economic and technical assistance programs
from the Summit partners. Of course, our program for Hungary
will be targeted to your needs.
Second, I will ask the U.S. Congress to authorize a $25
N.
million grant grant to establish a Hungarian-American Enterprise
funD
AS
Foundation a source of new capital to invigorate the Hungarian
private-sector.
6
Third, once your Parliament passes the new emigration
Communism
legislation proposed by your Council of Ministers, I will inform
our Congress that Hungary is in full compliance with our 1974
Trade Act. Hungary will then qualify for the maximum most
become the FIRST country
favored nation trade status under U.S. law.
to be Released from the tenns of JACKSOW. UAMK Acto -
This well sure Huncy the to the most Anu. liberal mailet accoss
Fourth, America is prepared to provide your country withthe longst
term
access to our Generalized System of Preferences, which offers possible.
selective tariff relief. Simply put, these last two measures
Ian Hunsany.
will open the door to the largest single market in the world.
In the United States, the vibrancy and strength of our
The Airst
economy relies on the creativity of millions of small businesses.
Therefore, I am pleased to note our fifth measure, the formation
(PRivAte
of the Hungarian Enterprise Group, which will match venture
capital, both foreign and Hungarian, with entrepreneurs -- the
small businessmen and -women with the grand ideas.
Sixth, we have concluded a draft agreement to authorize the
Overseas Private Investment Corporation to operate in Hungary.
Once our Senate passes enabling legislation, OPIC will be able to
provide insurance to encourage American investment in private
OPIC will match investor
enterprises in Hungary. The American investment company, Bear-
Stern, has already established a special Hungary Fund" to pool
to see AA Through OPIC, American busins exec. will
see tiresthand the guat oppor. of Hungay.
resources to purchase shares in Hungarian companies.
What does private investment mean for Hungary? Yesterday,
at Kossuth Square, I quoted the words of that great Hungarian
patriot. But it was another Hungarian patriot, a contemporary of
Kossuth, Count Szechenyi (SAY-chaney), who said: "Some think that
7
Hungary has been; I like to think it will be." Of this we are
sure -- Hungary will be great again.
CENVIRONER
DEMOCRATIC AND CULTURAL EXCHANGE
(( (These are the economic proposals I will discuss with your
Itis my that the first of un Ann Cus, mil
leaders. But I also hope this visit leads to a wider exchange
between East and West, so our scientists, our artists and our
environmentalists can learn from one another
So that our
soldiers and statesmen (CAN) discuss peace and our students (CAW) discuss the
future. ))) ( (PAUSE) )
Sta
In such exchanges, we want to help you in your quest for a
new beginning as a democratic Hungary. So the United States is (A/SO)
committing more than $6 million to private cultural and
educational opportunities in Eastern Europe. We will make
available funds for a series of major new U.S.-Hungarian exchange
programs -- among Congressmen and legislative experts, among
labor and business leaders, among legal experts, among community
leaders, educators and young people. We are creating dozens of
fellowships to enable Hungarians to study at American
universities. And we will fund endowed chairs in American
studies at your universities
and books -- many thousands of
them -- to fill the shelves of your American Management Institute
and the libraries of schools and universities across Hungary.
The United States will also open, within the next two years,
an America House in the center of Budapest. The celebrated
American architect Robert Stern will design the plans for this
Speech paragraphs on the environmental initiatives
Poland
Fifth, economic progress should not come at the expense of
our common inheritance -- the environment. Environmental
problems are of great concern here in Poland, in the United
States, and indeed throughout the world. Air and water pollution
know no boundaries. Almost two years ago I visited Krakow, your
former Royal Capital, a city recognized by UNESCO as an
international treasure. Today Krakow is under siege by
pollution. Its priceless monuments are being destroyed. Krakow
must be reclaimed. The United States will help. (Pause) I will
ask the Congress for $15 million for a cooperative venture with
Poland to help fight air and water pollution in Krakow.
Hungary
One of the goals of this visit to Hungary is to emphasize
the importance of cooperation in improving the world in which we
live. Economic progress need not and cannot be at the expense of
the air we breathe and the water we drink. We can no longer
accept that cost. That is why I will ask the U.S. Congress to
appropriate $5 million for the establishment of an international
Environmental Center for Central and Eastern Europe, to be based
in Budapest, which will bring together private and government
experts and organizations to attack the ecological crisis we are
facing. There is no East-West issue in the protection of our
shared heritage of this earth. We can all benefit from building
such a bridge of technical and scientific cooperation.
8
center, which will be an open house of books, magazines and
videocassettes -- an open house of ideas.
When it comes to the language of America, the teaching of
English is one of our most popular exports. As students you know
that English is the lingua franca of world business, the key to
move &
clinching deals from Hong Kong to Toronto. So to open the global
market to more Hungarians, I am pleased to announce that the
Peace Corps will, for the first time, operate in a European
country. And our Peace Corps instructors will come to Budapest
and all 19 counties to teach English.
ENVIRONMENTAL INITIATIVE
move After economics
To learn a language, to start a business, or to work for a
candidate in a free election, is to embark on a great adventure.
But to realize a promising future, we must also protect our basic
common heritage -- the environment. Six weeks ago, in Mainz,
I
proposed cooperation between East and West on environmental
issues What a tragedy it would be if your continent was again
spoiled, this time not by war, but by a more subtle and insidious
danger that of poisoned rivers and acid rain.
Hungary has led Eastern and Central Europe in addressing the
concerns of your citizens for cleaner air and water. And you are
leading the way in environmental agreements with the West.
Substance to come) )
9
CONCLUSION
In our economic, cultural and environmental relations, we
have much to share and learn from each other. The United States
is especially determined to stand by Hungary as you meet an
enormous challenge. No Communist nation has yet attempted what
Hungary is already doing -- to build democracy and a free market.
For centuries, the youth of Hungary has been martyred in
many fights for freedom. This was struggle of Jamos (Yanosh)
Hertelendy (HERTEL-indy), and this was the struggle of many of
your parents. But today, young Hungarians can, without fear,
plan for a future of freedom and peace.
Throughout the Communist world today, as a younger
generation is preparing to assume power, a great debate is
underway. In this debate, Moscow advocates limited political
freedom, but without economic rights. Beijing practices limited
economic freedom, but without political liberty. Where are
political and economic liberty peacefully advancing together? In
Hungary.
I see a great Hungarian future in the bright faces of your
youth. You know it is not enough to let men and women purchase
what you want or cast a symbolic vote. You must be allowed to
say what you believe. You must be allowed to choose your
government. Limited freedom, whether it is economic or
political, will not provide sufficient room for the restless
human spirit.
10
Benjamin Franklin, the sage of the American Revolution, said
that love of liberty and the rights of man should someday become
so widespread, "that a philosopher may set his foot anywhere on
the surface (of the earth) and say: 'This is my country.
Because of your courage, that is the Hungary we can see
before us; a better Hungary, a greater Hungary, a place any
countryman of freedom could call home.
Thank you and God bless you all.
#
#
#
THE WHITE HOUSE
WASHINGTON
July 3, 1989
Memorandum to Chriss Winston
From:
Jim Pinkerton C
Subject:
Karl Marx University Speech Draft
A fine speech.
pg. 1, para. 3, line 7 We note that the New York Times prefers
to pronounce Imre Nage as "NUDG," while the networks say "NAZH."
To avoid another "you say Grenayda, I say Grenahda" episode, and
more grist for Safire's mill, this needs double-checking if it
has not been done already.
a Discussed W/Embassy translator
3,4,4
We are skeptical about the currency of "Huey Lewis and
this moming Nudg fudge correct is
the News" in Hungary. Unless research has uncovered Huey Lewis
on some Hungarian Top 40 list, we suggest omitting the
reference.
[Alredu 1 placed call to Buckpest
reither Lewis cm
89 JUN 2 JUN 2 All: 24
049898SS
Document No.
WHITE HOUSE STAFFING MEMORANDUM
6/30/89
7/3/89 5:00 PM
DATE:
ACTION/CONCURRENCE/COMMENT DUE BY:
PRESIDENTIAL REMARKS: KARL MARX UNIVERSITY
SUBJECT:
ACTION FYI
ACTION FYI
VICE PRESIDENT
MCCLURE
SUNUNU
NEWMAN
SCOWCROFT
PORTER
DARMAN
STUDDERT
BATES
UNTERMEYER
ROGERS
BREEDEN
CARD
WINSTON
CICCONI
PINKERTON
DEMAREST
FITZWATER
GRAY
HAGIN
REMARKS:
Please forward any comments directly to Chriss Winston, Rm.
122, x2930, no later than 5:00 Monday, July 3, 1989, with an
info copy to my office.
RESPONSE:
James W. Cicconi
Assistant to the President
and Deputy to the Chief of Staff
Ext. 2702
049898SS
Document No.
WHITE HOUSE STAFFING MEMORANDUM
6/30/89
7/3/89 5:00 PM
DATE:
ACTION/CONCURRENCE/COMMENT DUE BY:
PRESIDENTIAL REMARKS: KARL MARX UNIVERSITY
SUBJECT:
ACTION FYI
ACTION FYI
VICE PRESIDENT
MCCLURE
SUNUNU
NEWMAN
SCOWCROFT
PORTER
DARMAN
STUDDERT
BATES
UNTERMEYER
ROGERS
BREEDEN
CARD
WINSTON
CICCONI
PINKERTON
DEMAREST
FITZWATER
GRAY
HAGIN
REMARKS:
Please forward any comments directly to Chriss Winston, Rm.
122, x2930, no later than 5:00 Monday, July 3, 1989, with an
info copy to my office.
6€ 68
RESPONSE:
ok
GBW
7/5
James W. Cicconi
Assistant to the President
and Deputy to the Chief of Staff
Ext. 2702
Km ICL
WHITE HOUSE STAFFING REQUEST
SUBJECT: Presidential Remarks Karl Marx
RECEIVED/STAFFED University (date/time): 6/30/89 5:20 P.M.
RESPONSE DUE TO DOSG (date/time): 7/3/89 4:00 P.M.
(Even if "no comment", response should be called in to DOSG x3060)
DISTRIBUTION WITHIN OMB
Action FYI
Action FYI
Action FYI
DARMAN
GRADY
CLARK
DIEFENDERFER
HAUN
AL-SAMARRIE
1
ANDERSON
HOLEN
NC
SCULLY
NSIA
NC
MURR
CLAY
DALE
PLAGER
-
FILE
BURMAN
DAMUS
NC
HALE
HODSOLL
COMMENTS:
No Comments
IIIIS I NAF 09
EXECUTIVE OFFICE OF THE PRESIDENT
OFFICE STATES & UNITED
OFFICE OF MANAGEMENT AND BUDGET
WASHINGTON, D.C. 20503
o
NOTICE:
Enclosed are comments from staff members of the Office of
Management and Budget (OMB). Such comments do not necessarily
represent the official position of the Director of OMB or of the
Office of Management and Budget. If you wish to have the
Director's personal comments, please let me know -- and contact
me if you have any questions.
David J. Haun
Executive Assistant
to the Director
049898SS
Document No.
WHITE HOUSE STAFFING MEMORANDUM
6/30/89
7/3/89 5:00 PM
DATE:
ACTION/CONCURRENCE/COMMENT DUE BY:
PRESIDENTIAL REMARKS: KARL MARX UNIVERSITY
SUBJECT:
ACTION FYI
ACTION FYI
VICE PRESIDENT
MCCLURE
SUNUNU
NEWMAN
SCOWCROFT
PORTER
DARMAN
STUDDERT
BATES
UNTERMEYER
ROGERS
BREEDEN
CARD
WINSTON
CICCONI
PINKERTON
DEMAREST
FITZWATER
GRAY
HAGIN
REMARKS:
Please forward any comments directly to Chriss Winston, Rm.
122, x2930, no later than 5:00 Monday, July 3, 1989, with an
info copy to my office.
RESPONSE:
James W. Cicconi
Assistant to the President
and Deputy to the Chief of Staff
Ext. 2702
Davis/Martin
June 29, 1989
Title: Hungary
Draft: One
PRESIDENTIAL ADDRESS: KARL MARX UNIVERSITY
(Date, Time)
Ladies and gentlemen, Dr. Csaki (CHAH-kee). It's a pleasure
to be back in Budapest, and I am proud to be the first American
President to visit Hungary.
Some might find it ironic that I am speaking at a university
named after Karl Marx. ((And I have to admit, from my vantage
point, he does seem to be staring right at me
)) But those
who know this great university know just how fitting this forum
is for an American President to address the people of Hungary.
After all, it is said that Tramline Number Two runs the
nation, since it originates at Karl Marx and makes stops at the
National Center, Parliament and the Central Committee. Many
great Hungarian leaders have also moved along this same route,
among them Miklos Nemeth (Namath) and Zsigmond (Zig-mund) Jarai
(JAR-ree). But before any of them, there was a teacher at Karl
Marx University, and his name was Imre ((EEMH-ray) Nage (NAZH).
As his slow procession moved through Heroes' Square, the
rising voice of Hungary was heard in the singing of the Szozat
(SO-zat). And in this simple, somber reburial, the world saw
something more than a dignified act of reconciliation. We
witnessed an act of truth. It is on this foundation of truth,
one more solid than stone, that Hungarians have begun to build a
2
new future
a generation waited to honor his courage; may a
hundred generations remember it.
While Hungary rediscovers its natural role in the affairs of
Europe, America is rediscovering you. One of the ( (bestselling) )
non-fiction books in my country today is entitled Budapest 1900.
Dr. John Lukacs lovingly describes the Budapest of memory
( (Quote to come) )
This was a city that rivaled Paris in its splendor, Vienna
in its music and London in its literature. This was a center of
learning that enlightened the world, and gave America one kind of
genius in Joseph Pulitzer, and another in Bela Bartok. But for
decades, this great city, this great nation, so central to the
continent in every respect, was torn from Europe and the West.
But the city and country I see today is again opening to the
West, again becoming a leading light in European culture. I see
people in motion. I see color and creativity replacing grey
conformity. I sense an atmosphere that is electric, alive with
optimism.
This is happening because your people and your leaders --
government and opposition alike -- have the courage to break with
the past, to act in the spirit of truth. And what better example
of this could there be than one simple fact: Karl Marx University
has dropped Das Kapital from its required reading list
Karl Marx traced only one thread of human existence, and
missed the rest of the tapestry -- the colorful and varied
3
tapestry of civilization. Marx regarded Man as an economic
being. But Man is more than that.
He is artistic Man. He has an innate need to create and
enjoy beauty. He is a loving member of a family, and a loyal
patriot to his people. And Man is something else which cannot be
denied
he is a creature of God
The creative genius of the Hungarian people, long
suppressed, is again flourishing in your schools, your
businesses, your churches. This is more than a fleeting season
of freedom. It's a rebirth, a Renaissance of Hungary.
Voices long stilled are being heard again. An independent
daily newspaper is now sold on the streets. Commercial radio and
television stations, financed by American companies, will soon
broadcast everything from the news
to Huey Lewis and the
News. And even Radio Free Europe is opening its first Budapest
bureau.
More than one hundred thousand Americans visited Hungary
last year -- and more than 20,000 Hungarians have come to
America. This very university operates exchange programs with 23
U.S. schools. For the first time, the Iron Curtain has begun to
part. Hungary is changing the world.
The Soviet Union has withdrawn many troops, which I take as
a first sign that Moscow truly respects your sovereignty. And as
they leave, let the Soviets know they have everything to gain,
and nothing to lose or fear, from peaceful change. Nor should we
4
fear new thinking from Mr. Gorbachev. We can work together to
move beyond containment, beyond the Cold War.
But all of these developments, as significant as they are,
pale before this -- Hungary is at the threshold of doing what no
other Communist power has done in history. You are going to
become the first Warsaw Pact nation to ever hold a truly free
election.
This is possible because brave men and women have formed
opposition parties. And this is possible because Hungarian
leaders are showing the ultimate political courage -- the courage
to submit their names before the people.
We are ready to help promote lasting change in Hungary in
three vital spheres -- economics, cultural exchange and the
environment. Hungary is embarking on an odyssey of change. I am
here to tell you that the United States is with you.
INVESTMENT IN HUNGARY
The United States believes aid should accelerate change, not
delay it. So this our guiding principle -- the United States
offers aid not to prop up the status quo, but to propel reform.
Of course, the dead weight of the past still burdens
Hungarian enterprise. The remnants of the Stalinist economy,
with its huge, inefficient industrial plants; the bewildering
price system no one understands; the massive subsidies that cloud
economic decisions -- all of this slows what you could otherwise
achieve. It's an economic Rubik's Cube that defies solution.
5
And, ultimately, it's a burden to be discarded. To make the
transition to a market economy will test your mettle as a people.
The prices of some commodities will rise. Some inefficient
factories will close. Hard choices already await you. But the
creative drive of the people, once unleashed, will create a
momentum of its own. This will eventually bring you something
greater than the riches you will create. It will give you
control over your destiny
a Hungarian destiny.
The Hungarian government has already started to leave the
business of running shops to shopkeepers and farms to farmers.
As you change, so will you integrate into the world economy.
Just look to the West of the Danube -- your European neighbors
are forming a single market. Soon you will have the chance to
trade with this new economic colossus. But the United States
will also be your partner in this transformation to a successful
competitive economy.
So with trade in mind, once your future Parliament legalizes
the free movement of its citizens, I will inform Congress that
Hungary is complying with the 1974 Trade Act. This will entitle
you to the maximum most-favored nation tariff status possible
under U.S. law. Simply put, the largest single market in the
world is opening its doors to you.
America is also prepared to include Hungary in the
generalized system of preferences, which provides duty-free entry
for certain goods. Hungary can -- and should -- develop the same
6
trade access to the American market that your Western neighbors
enjoy.
The United States will offer some government assistance,
including an entrepreneurial fund for economically depressed
regions of your country. In years past, loans were written and
accepted with little thought paid to their utility. We've
learned that massive government and institutional loans hobble
whole nations with debt, while private investment liberates
creditor and debtor alike. The U.S. government can and will
match American private-sector investment in Hungary -- investment
where it counts, in Hungarian factories, products and jobs.
I am pleased to note the recent U.S.-Hungarian agreement to
promote the formation and development of small, private
businesses all across your country. Called the Hungarian
Enterprise Group, this center will match venture capital, both
foreign and Hungarian, with entrepreneurs -- the small
businessmen and -women with the grand ideas. Some of you here
today may have a few grand ideas of your own. Perhaps you will
benefit from just such a collaboration.
We will soon authorize the Overseas Private Investment
Corporation to encourage American investment in private
enterprises in Hungary. So far, however, little encouragement
has been needed. Consider the American investment company,
Bears-Stearn, which has already established a special "Hungary
Fund." This private pool of investment will purchase shares in
Hungarian companies, helping to develop a Hungarian stock market.
7
What does private investment mean for Hungary? Yesterday,
at Kossuth Square, I quoted the words of that great Hungarian
patriot. But it was another Hungarian patriot, a contemporary of
Kossuth, Count Szechenyi (Say-chaney), who coined a phrase in his
great work on economics: "Hungary was not, but will be." Of this
we are sure -- Hungary will be great again.
CULTURAL EXCHANGE
These are the economic proposals I will discuss with your
leaders. But I am also here to meet the Hungarian people. I
hope this visit leads to a wider exchange between East and West.
Let our scientists, our artists, our environmentalists share the
knowledge that can benefit us all. Let our soldiers and
statesmen discuss peace and our students discuss the future.
In fact, our student exchange programs are the most
successful. They have grown fast and can still accommodate
thousands more. For this reason, I am pleased to announce that
the United States Information Agency is going to initiate six new
youth exchange programs in Hungary. To the students here today,
I want you to know that the doors of America's universities are
open to you.
((I am pleased to announce two agreements with your
government -- on tourism and civilian air exchange to come))
The United States will also open, within the next two years,
an America House in the center of Budapest. The celebrated
American architect Robert Stern will design the plans for this
8
center, which will promote bilateral trade by helping Hungarians
to learn American culture.
And when it comes to the language of America, the teaching
of English is one of our most popular exports. As students you
know that English is the linqua franca of world business, the key
to clinching deals from Hong Kong to Toronto. So to give
Hungarians greater entree into the global marketplace, I am
pleased to announce that the Peace Corps will, for the first
time, operate in a European country. And our Peace Corps
instructors will come to Budapest and all 19 counties to teach
English.
ENVIRONMENTAL EXCHANGE
To learn a language, to start a business, is to embark on a
great adventure. But to fulfill a promising future, we must also
protect our basic common possession -- the environment. Six
weeks ago, in Mainz, I proposed cooperation between East and West
on environmental issues. What a tragedy it would be if your
continent was again spoiled, this time not by war, but by a more
subtle and insidious danger -- that of poisoned rivers and acid
rain.
Hungary has led Eastern and Central Europe in addressing the
concerns of your citizens for cleaner air and water: And you are
leading the way in environmental agreements with the West. The
U.S. Environmental Protection Agency and the Hungarian government
9
have just agreed on new programs for exchanges and joint training
of environmental experts.
((Substance to come ))
Pollution is no respecter of borders. Let us work together
to save our common heritage.
In economics, culture and the environment, we have much to
share and learn from each other. The United States is especially
determined to stand by Hungary as you meet an enormous challenge.
No Communist nation has yet attempted what Hungary is already
doing -- to build democracy and a free market.
( (Substance on Democracy consortium/help from great parties
of the West to come ) )
I see a great Hungarian future in the bright faces of your
students. But not all young people in the East Bloc have as much
freedom as you do to plan their future. Certainly not your
brothers and sisters in Transylvania.
Your press recently reported that a Romanian girl was lost
in the Maros River. We don't know exactly sure how she died.
But we know that if she had been traveling from Hungary to
Austria, she would have received nothing more than a friendly
wave from the border guard. But she attempted to cross the
Maros, and paid with her life
Her two brothers made it
across safely.
We do not know the torments that drove her to risk her life.
But we do know her heart. It is the heart of Anne Frank and
10
Hertelendy (HERT-lindy) Jamos (Yamosh). It is the heart of youth
determined to live in freedom
Throughout the Communist world today, as a younger
generation prepares to assume power, a great debate is underway.
In this debate, Moscow advocates limited political freedom, but
without economic rights. Beijing practices limited economic
freedom, but without political liberty. Where are political and
economic liberty peacefully advancing together? In Hungary.
The people of Hungary know it is not enough to let men and
women purchase what they want or cast a symbolic vote. They must
be allowed to say what they believe. They must be allowed to
choose their government. Limited freedom, whether it is economic
or political, will not provide sufficient room for the restless
human spirit.
Benjamin Franklin, the sage of the American Revolution, said
that love of liberty and the rights of man should someday become
so widespread, "that a philosopher may set his foot upon anywhere
on the surface (of the earth) and say: 'this is my country.'
Because of your courage, that is the Hungary we can see
before us; a better Hungary, a greater Hungary, a place any
countryman of freedom could call home.
Thank you and God bless you all.
#
#
#
THE WHITE HOUSE
WASHINGTON
July 5, 1989
MEMORANDUM FOR CHRISS WINSTON
FROM:
ROGER B. PORTER RBP
SUBJECT:
Presidential Remarks: Karl Marx University
We suggest deleting the last sentence in the top paragraph
on page 6, which begins with "The U.S. Government can and
will..." The sentence implies that USG resources will be used
to match dollar-for-dollar the investment of the U.S. private
sector.
We also note that the name of the investment firm Bear
Sterns needs to be corrected at the bottom of page 6.
CC: James W. Cicconi
89 JUN 5 AB: 11
049898SS
Document No.
WHITE HOUSE STAFFING MEMORANDUM
6/30/89
7/3/89 5:00 PM
DATE:
ACTION/CONCURRENCE/COMMENT DUE BY:
PRESIDENTIAL REMARKS: KARL MARX UNIVERSITY
SUBJECT:
ACTION FYI
ACTION FYI
VICE PRESIDENT
MCCLURE
SUNUNU
NEWMAN
SCOWCROFT
PORTER
DARMAN
STUDDERT
BATES
UNTERMEYER
ROGERS
breeden
CARD
WINSTON
CICCONI
PINKERTON
DEMAREST
FITZWATER
GRAY
HAGIN
REMARKS:
Please forward any comments directly to Chriss Winston, Rm.
122, x2930, no later than 5:00 Monday, July 3, 1989, with an
info copy to my office.
RESPONSE:
James W. Cicconi
Assistant to the President
and Deputy to the Chief of Staff
Ext. 2702
Davis/Martin
June 29, 1989
Title: Hungary
Draft: One
PRESIDENTIAL ADDRESS: KARL MARX UNIVERSITY
(Date, Time)
Ladies and gentlemen, Dr. Csaki (CHAH-kee). It's a pleasure
to be back in Budapest, and I am proud to be the first American
President to visit Hungary.
Some might find it ironic that I am speaking at a university
named after Karl Marx. ((And I have to admit, from my vantage
point, he does seem to be staring right at me
)) But those
who know this great university know just how fitting this forum
is for an American President to address the people of Hungary.
After all, it is said that Tramline Number Two runs the
nation, since it originates at Karl Marx and makes stops at the
National Center, Parliament and the Central Committee. Many
great Hungarian leaders have also moved along this same route,
among them Miklos Nemeth (Namath) and Zsigmond (Zig-mund) Jarai
(JAR-ree). But before any of them, there was a teacher at Karl
Marx University, and his name was Imre ((EEMH-ray) Nage (NAZH).
As his slow procession moved through Heroes' Square, the
rising voice of Hungary was heard in the singing of the Szozat
(SO-zat). And in this simple, somber reburial, the world saw
something more than a dignified act of reconciliation. We
witnessed an act of truth. It is on this foundation of truth,
one more solid than stone, that Hungarians have begun to build a
2
new future
a generation waited to honor his courage; may a
hundred generations remember it.
While Hungary rediscovers its natural role in the affairs of
Europe, America is rediscovering you. One of the ( (bestselling) )
non-fiction books in my country today is entitled Budapest 1900.
Dr. John Lukacs lovingly describes the Budapest of memory
( (Quote to come) )
This was a city that rivaled Paris in its splendor, Vienna
in its music and London in its literature. This was a center of
learning that enlightened the world, and gave America one kind of
genius in Joseph Pulitzer, and another in Bela Bartok. But for
decades, this great city, this great nation, so central to the
continent in every respect, was torn from Europe and the West.
But the city and country I see today is again opening to the
West, again becoming a leading light in European culture. I see
people in motion. I see color and creativity replacing grey
conformity. I sense an atmosphere that is electric, alive with
optimism.
This is happening because your people and your leaders --
government and opposition alike -- have the courage to break with
the past, to act in the spirit of truth. And what better example
of this could there be than one simple fact: Karl Marx University
has dropped Das Kapital from its required reading list
Karl Marx traced only one thread of human existence, and
missed the rest of the tapestry -- the colorful and varied
3
tapestry of civilization. Marx regarded Man as an economic
being. But Man is more than that.
He is artistic Man. He has an innate need to create and
enjoy beauty. He is a loving member of a family, and a loyal
patriot to his people. And Man is something else which cannot be
denied
he is a creature of God
The creative genius of the Hungarian people, long
suppressed, is again flourishing in your schools, your
businesses, your churches. This is more than a fleeting season
of freedom. It's a rebirth, a Renaissance of Hungary.
Voices long stilled are being heard again. An independent
daily newspaper is now sold on the streets. Commercial radio and
television stations, financed by American companies, will soon
broadcast everything from the news
to Huey Lewis and the
News. And even Radio Free Europe is opening its first Budapest
bureau.
More than one hundred thousand Americans visited Hungary
last year -- and more than 20,000 Hungarians have come to
America. This very university operates exchange programs with 23
U.S. schools. For the first time, the Iron Curtain has begun to
part. Hungary is changing the world.
The Soviet Union has withdrawn many troops, which I take as
a first sign that Moscow truly respects your sovereignty. And as
they leave, let the Soviets know they have everything to gain,
and nothing to lose or fear, from peaceful change. Nor should we
4
fear new thinking from Mr. Gorbachev. We can work together to
move beyond containment, beyond the Cold War.
But all of these developments, as significant as they are,
pale before this -- Hungary is at the threshold of doing what no
other Communist power has done in history. You are going to
become the first Warsaw Pact nation to ever hold a truly free
election.
This is possible because brave men and women have formed
opposition parties. And this is possible because Hungarian
leaders are showing the ultimate political courage -- the courage
to submit their names before the people.
We are ready to help promote lasting change in Hungary in
three vital spheres -- economics, cultural exchange and the
environment. Hungary is embarking on an odyssey of change. I am
here to tell you that the United States is with you.
INVESTMENT IN HUNGARY
The United States believes aid should accelerate change, not
delay it. So this our guiding principle -- the United States
offers aid not to prop up the status quo, but to propel reform.
Of course, the dead weight of the past still burdens
Hungarian enterprise. The remnants of the Stalinist economy,
with its huge, inefficient industrial plants; the bewildering
price system no one understands; the massive subsidies that cloud
economic decisions -- all of this slows what you could otherwise
achieve. It's an economic Rubik's Cube that defies solution.
5
And, ultimately, it's a burden to be discarded. To make the
transition to a market economy will test your mettle as a people.
The prices of some commodities will rise. Some inefficient
factories will close. Hard choices already await you. But the
creative drive of the people, once unleashed, will create a
momentum of its own. This will eventually bring you something
greater than the riches you will create. It will give you
control over your destiny
a Hungarian destiny.
The Hungarian government has already started to leave the
business of running shops to shopkeepers and farms to farmers.
As you change, so will you integrate into the world economy.
Just look to the West of the Danube -- your European neighbors
are forming a single market. Soon you will have the chance to
trade with this new economic colossus. But the United States
will also be your partner in this transformation to a successful
competitive economy.
So with trade in mind, once your future Parliament legalizes
the free movement of its citizens, I will inform Congress that
Hungary is complying with the 1974 Trade Act. This will entitle
you to the maximum most-favored nation tariff status possible
under U.S. law. Simply put, the largest single market in the
world is opening its doors to you.
America is also prepared to include Hungary in the
generalized system of preferences, which provides duty-free entry
for certain goods. Hungary can -- and should -- develop the same
6
trade access to the American market that your Western neighbors
enjoy.
The United States will offer some government assistance,
including an entrepreneurial fund for economically depressed
regions of your country. In years past, loans were written and
accepted with little thought paid to their utility. We've
learned that massive government and institutional loans hobble
whole nations with debt, while private investment liberates
creditor and debtor alike.
The U.S. government can and will
match American private-sector investment in Hungary -- investment
where it counts, in Hungarian factories, products and jobs.
I am pleased to note the recent U.S.-Hungarian agreement to
promote the formation and development of small, private
businesses all across your country. Called the Hungarian
Enterprise Group, this center will match venture capital, both
foreign and Hungarian, with entrepreneurs -- the small
businessmen and -women with the grand ideas. Some of you here
today may have a few grand ideas of your own. Perhaps you will
benefit from just such a collaboration.
We will soon authorize the Overseas Private Investment
Corporation to encourage American investment in private
enterprises in Hungary. So far, however, little encouragement
has been needed. Consider the American investment company,
S
Bear which has already established a special "Hungary
^
Fund.' This private pool of investment will purchase shares in
Hungarian companies, helping to develop a Hungarian stock market.
7
What does private investment mean for Hungary? Yesterday,
at Kossuth Square, Í quoted the words of that great Hungarian
patriot. But it was another Hungarian patriot, a contemporary of
Kossuth, Count Szechenyi (Say-chaney), who coined a phrase in his
great work on economics: "Hungary was not, but will be." Of this
we are sure --- Hungary will be great again.
CULTURAL EXCHANGE
These are the economic proposals I will discuss with your
leaders. But I am also here to meet the Hungarian people. I
hope this visit leads to a wider exchange between East and West.
Let our scientists, our artists, our environmentalists share the
knowledge that can benefit us all. Let our soldiers and
statesmen discuss peace and our students discuss the future.
In fact, our student exchange programs are the most
successful. They have grown fast and can still accommodate
thousands more. For this reason, I am pleased to announce that
the United States Information Agency is going to initiate six new
youth exchange programs in Hungary. To the students here today,
I want you to know that the doors of America's universities are
open to you.
((I am pleased to announce two agreements with your
government -- on tourism and civilian air exchange to come))
The United States will also open, within the next two years,
an America House in the center of Budapest. The celebrated
American architect Robert Stern will design the plans for this
8
center, which will promote bilateral trade by helping Hungarians
to learn American culture.
And when it comes to the language of America, the teaching
of English is one of our most popular exports. As students you
know that English is the linqua franca of world business, the key
to clinching deals from Hong Kong to Toronto. So to give
Hungarians greater entree into the global marketplace, I am
pleased to announce that the Peace Corps will, for the first
time, operate in a European country. And our Peace Corps
instructors will come to Budapest and all 19 counties to teach
English.
ENVIRONMENTAL EXCHANGE
To learn a language, to start a business, is to embark on a
great adventure. But to fulfill a promising future, we must also
protect our basic common possession -- the environment. Six
weeks ago, in Mainz, I proposed cooperation between East and West
on environmental issues. What a tragedy it would be if your
continent was again spoiled, this time not by war, but by a more
subtle and insidious danger -- that of poisoned rivers and acid
rain.
Hungary has led Eastern and Central Europe in addressing the
concerns of your citizens for cleaner air and water. And you are
leading the way in environmental agreements with the West. The
U.S. Environmental Protection Agency and the Hungarian government
9
have just agreed on new programs for exchanges and joint training
of environmental experts.
((Substance to come))
Pollution is no respecter of borders. Let us work together
to save our common heritage.
In economics, culture and the environment, we have much to
share and learn from each other. The United States is especially
determined to stand by Hungary as you meet an enormous challenge.
No Communist nation has yet attempted what Hungary is already
doing -- to build democracy and a free market.
( (Substance on Democracy consortium/help from great parties
of the West to come) )
I see a great Hungarian future in the bright faces of your
students. But not all young people in the East Bloc have as much
freedom as you do to plan their future. Certainly not your
brothers and sisters in Transylvania.
Your press recently reported that a Romanian girl was lost
in the Maros River. We don't know exactly sure how she died.
But we know that if she had been traveling from Hungary to
Austria, she would have received nothing more than a friendly
wave from the border guard. But she attempted to cross the
Maros, and paid with her life
Her two brothers made it
across safely.
We do not know the torments that drove her to risk her life.
But we do know her heart. It is the heart of Anne Frank and
10
Hertelendy (HERT-lindy) Jamos (Yamosh). It is the heart of youth
determined to live in freedom
Throughout the Communist world today, as a younger
generation prepares to assume power, a great debate is underway.
In this debate, Moscow advocates limited political freedom, but
without economic rights. Beijing practices limited economic
freedom, but without political liberty. Where are political and
economic liberty peacefully advancing together? In Hungary.
The people of Hungary know it is not enough to let men and
women purchase what they want or cast a symbolic vote. They must
be allowed to say what they believe. They must be allowed to
choose their government. Limited freedom, whether it is economic
or political, will not provide sufficient room for the restless
human spirit.
Benjamin Franklin, the sage of the American Revolution, said
that love of liberty and the rights of man should someday become
so widespread, "that a philosopher may set his foot upon anywhere
on the surface (of the earth) and say: 'this is my country.
Because of your courage, that is the Hungary we can see
before us; a better Hungary, a greater Hungary, a place any
countryman of freedom could call home.
Thank you and God bless you all.
#
#
#
049898SS
Document No.
WHITE HOUSE STAFFING MEMORANDUM
6/30/89
7/3/89 5:00 PM
DATE:
ACTION/CONCURRENCE/COMMENT DUE BY:
PRESIDENTIAL REMARKS: KARL MARX UNIVERSITY
SUBJECT:
ACTION FYI
ACTION FYI
VICE PRESIDENT
MCCLURE
SUNUNU
NEWMAN
SCOWCROFT
PORTER
N/C
DARMAN
STUDDERT
BATES N/C
UNTERMEYER
ROGERS
BREEDEN
CARD
WINSTON
PINKERTON
CICCONI
DEMAREST
FITZWATER
Needs more dime.
GRAY
weds a.m.
HAGIN
REMARKS:
8
Please forward any comments directly to Chriss Winston, Rm.
122, x2930, no later than 5:00 Monday, July 3, 1989, with an
info copy to my office.
RESPONSE:
JUN 30 30 P5:16 P5:
James W. Cicconi
Assistant to the President
and Deputy to the Chief of Staff
Ext. 2702
Davis/Martin
June 29, 1989
Title: Hungary
Draft: One
PRESIDENTIAL ADDRESS: KARL MARX UNIVERSITY
(Date, Time)
July 12, 1989 1:15pm
Ladies and gentlemen, Dr. Csaki (CHAH-kee). It's a pleasure
to be back in Budapest, and I am proud to be the first American
President to visit Hungary.
Some might find it ironic that I am speaking at a university
named after Karl Marx. ((And I have to admit, from my vantage
point, he does seem to be staring right at me
)) But those
who know this great university know just how fitting this forum
is for an American President to address the people of Hungary.
After all, it is said that Tramline Number Two runs the
nation, since it originates at Karl Marx and makes stops at the
National Center, Parliament and the Central Committee. Many
great Hungarian leaders have also moved along this same route,
among them Miklos Nemeth (Namath) and Zsigmond (Zig-mund) Jarai
(JAR-ree). But before any of them, there was a teacher at Karl
Marx University, and his name was Imre ((EEMH-ray) Nage (NAZH).
As his slow procession moved through Heroes' Square, the
rising voice of Hungary was heard in the singing of the Szozat
(SO-zat). And in this simple, somber reburial, the world saw
something more than a dignified act of reconciliation. We
witnessed an act of truth. It is on this foundation of truth,
one more solid than stone, that Hungarians have begun to build a
2
new future
a generation waited to honor his courage; may a
hundred generations remember it.
While Hungary rediscovers its natural role in the affairs of
Europe, America is rediscovering you. One of the ( (bestselling) )
non-fiction books in my country today is entitled Budapest 1900.
Dr. John Lukacs lovingly describes the Budapest of memory
( (Quote to come) )
This was a city that rivaled Paris in its splendor, Vienna
in its music and London in its literature. This was a center of
learning that enlightened the world, and gave America one kind of
genius in Joseph Pulitzer, and another in Bela Bartok. But for
decades, this great city, this great nation, so central to the
continent in every respect, was torn from Europe and the West.
But the city and country I see today is again opening to the
West, again becoming a leading light in European culture. I see
people in motion. I see color and creativity replacing grey
conformity. I sense an atmosphere that is electric, alive with
optimism.
This is happening because your people and your leaders --
government and opposition alike -- have the courage to break with
the past, to act in the spirit of truth. And what better example
of this could there be than one simple fact: Karl Marx University
has dropped Das Kapital from its required reading list
Karl Marx traced only one thread of human existence, and
missed the rest of the tapestry -- the colorful and varied
3
tapestry of civilization. Marx regarded Man as an economic
being. But Man is more than that.
He is artistic Man. He has an innate need to create and
enjoy beauty. He is a loving member of a family, and a loyal
patriot to his people. And Man is something else which cannot be
denied
he is a creature of God
The creative genius of the Hungarian people, long
suppressed, is again flourishing in your schools, your
businesses, your churches. This is more than a fleeting season
of freedom. It's a rebirth, a Renaissance of Hungary.
Voices long stilled are being heard again. An independent
daily newspaper is now sold on the streets. Commercial radio and
television stations, financed by American companies, will soon
broadcast everything from the news
to Huey Lewis and the
News. And even Radio Free Europe is opening its first Budapest
bureau.
More than one hundred thousand Americans visited Hungary
last year -- and more than 20,000 Hungarians have come to
America. This very university operates exchange programs with 23
U.S. schools. For the first time, the Iron Curtain has begun to
part. Hungary is changing the world.
The Soviet Union has withdrawn many troops, which I take as
a first sign that Moscow truly respects your sovereignty. And as
they leave, let the Soviets know they have everything to gain,
and nothing to lose or fear, from peaceful change. Nor should we
4
fear new thinking from Mr. Gorbachev. We can work together to
move beyond containment, beyond the Cold War.
But all of these developments, as significant as they are,
pale before this -- Hungary is at the threshold of doing what no
other Communist power has done in history. You are going to
become the first Warsaw Pact nation to ever hold a truly free
election.
This is possible because brave men and women have formed
opposition parties. And this is possible because Hungarian
leaders are showing the ultimate political courage -- the courage
to submit their names before the people.
We are ready to help promote lasting change in Hungary in
three vital spheres -- economics, cultural exchange and the
environment. Hungary is embarking on an odyssey of change. I am
here to tell you that the United States is with you.
INVESTMENT IN HUNGARY
The United States believes aid should accelerate change, not
delay it. So this our guiding principle -- the United States
offers aid not to prop up the status quo, but to propel reform.
Of course, the dead weight of the past still burdens
Hungarian enterprise. The remnants of the Stalinist economy,
with its huge, inefficient industrial plants; the bewildering
price system no one understands; the massive subsidies that cloud
economic decisions -- all of this slows what you could otherwise
achieve. It's an economic Rubik's Cube that defies solution.
5
And, ultimately, it's a burden to be discarded. To make the
transition to a market economy will test your mettle as a people.
The prices of some commodities will rise. Some inefficient
factories will close. Hard choices already await you. But the
creative drive of the people, once unleashed, will create a
momentum of its own. This will eventually bring you something
greater than the riches you will create. It will give you
control over your destiny
a Hungarian destiny.
The Hungarian government has already started to leave the
business of running shops to shopkeepers and farms to farmers.
As you change, so will you integrate into the world economy.
Just look to the West of the Danube -- your European neighbors
are forming a single market. Soon you will have the chance to
trade with this new economic colossus. But the United States
will also be your partner in this transformation to a successful
competitive economy.
So with trade in mind, once your future Parliament legalizes
the free movement of its citizens, I will inform Congress that
Hungary is complying with the 1974 Trade Act. This will entitle
you to the maximum most-favored nation tariff status possible
under U.S. law. Simply put, the largest single market in the
world is opening its doors to you.
America is also prepared to include Hungary in the
generalized system of preferences, which provides duty-free entry
for certain goods. Hungary can -- and should -- develop the same
6
trade access to the American market that your Western neighbors
enjoy.
The United States will offer some government assistance,
including an entrepreneurial fund for economically depressed
regions of your country. In years past, loans were written and
accepted with little thought paid to their utility. We've
learned that massive government and institutional loans hobble
whole nations with debt, while private investment liberates
creditor and debtor alike. The U.S. government can and will
match American private-sector investment in Hungary -- investment
where it counts, in Hungarian factories, products and jobs.
I am pleased to note the recent U.S.-Hungarian agreement to
promote the formation and development of small, private
businesses all across your country. Called the Hungarian
Enterprise Group, this center will match venture capital, both
foreign and Hungarian, with entrepreneurs -- the small
businessmen and -women with the grand ideas. Some of you here
today may have a few grand ideas of your own. Perhaps you will
benefit from just such a collaboration.
We will soon authorize the Overseas Private Investment
Corporation to encourage American investment in private
enterprises in Hungary. So far, however, little encouragement
has been needed. Consider the American investment company,
Bears-Stearn, which has already established a special "Hungary
Fund." This private pool of investment will purchase shares in
Hungarian companies, helping to develop a Hungarian stock market.
7
What does private investment mean for Hungary? Yesterday,
at Kossuth Square, I quoted the words of that great Hungarian
patriot. But it was another Hungarian patriot, a contemporary of
Kossuth, Count Szechenyi (Say-chaney), who coined a phrase in his
great work on economics: "Hungary was not, but will be." Of this
we are sure -- Hungary will be great again.
CULTURAL EXCHANGE
These are the economic proposals I will discuss with your
leaders. But I am also here to meet the Hungarian people. I
hope this visit leads to a wider exchange between East and West.
Let our scientists, our artists, our environmentalists share the
knowledge that can benefit us all. Let our soldiers and
statesmen discuss peace and our students discuss the future.
In fact, our student exchange programs are the most
successful. They have grown fast and can still accommodate
thousands more. For this reason, I am pleased to announce that
the United States Information Agency is going to initiate six new
youth exchange programs in Hungary. To the students here today,
I want you to know that the doors of America's universities are
open to you.
((I am pleased to announce two agreements with your
government -- on tourism and civilian air exchange to come))
The United States will also open, within the next two years,
an America House in the center of Budapest. The celebrated
American architect Robert Stern will design the plans for this
8
center, which will promote bilateral trade by helping Hungarians
to learn American culture.
And when it comes to the language of America, the teaching
of English is one of our most popular exports. As students you
know that English is the lingua franca of world business, the key
to clinching deals from Hong Kong to Toronto. So to give
Hungarians greater entree into the global marketplace, I am
pleased to announce that the Peace Corps will, for the first
time, operate in a European country. And our Peace Corps
instructors will come to Budapest and all 19 counties to teach
English.
ENVIRONMENTAL EXCHANGE
To learn a language, to start a business, is to embark on a
great adventure. But to fulfill a promising future, we must also
protect our basic common possession -- the environment. Six
weeks ago, in Mainz, I proposed cooperation between East and West
on environmental issues. What a tragedy it would be if your
continent was again spoiled, this time not by war, but by a more
subtle and insidious danger -- that of poisoned rivers and acid
rain.
Hungary has led Eastern and Central Europe in addressing the
concerns of your citizens for cleaner air and water. And you are
leading the way in environmental agreements with the West. The
U.S. Environmental Protection Agency and the Hungarian government
9
have just agreed on new programs for exchanges and joint training
of environmental experts.
( (Substance to come) )
Pollution is no respecter of borders. Let us work together
to save our common heritage.
In economics, culture and the environment, we have much to
share and learn from each other. The United States is especially
determined to stand by Hungary as you meet an enormous challenge.
No Communist nation has yet attempted what Hungary is already
doing -- to build democracy and a free market.
( (Substance on Democracy consortium/help from great parties
of the West to come) )
I see a great Hungarian future in the bright faces of your
students. But not all young people in the East Bloc have as much
freedom as you do to plan their future. Certainly not your
brothers and sisters in Transylvania.
Your press recently reported that a Romanian girl was lost
in the Maros River. We don't know exactly sure how she died.
But we know that if she had been traveling from Hungary to
Austria, she would have received nothing more than a friendly
wave from the border guard. But she attempted to cross the
Maros, and paid with her life
Her two brothers made it
across safely.
We do not know the torments that drove her to risk her life.
But we do know her heart. It is the heart of Anne Frank and
10
Hertelendy (HERT-lindy) Jamos (Yamosh). It is the heart of youth
determined to live in freedom
Throughout the Communist world today, as a younger
generation prepares to assume power, a great debate is underway.
In this debate, Moscow advocates limited political freedom, but
without economic rights. Beijing practices limited economic
freedom, but without political liberty. Where are political and
economic liberty peacefully advancing together? In Hungary.
The people of Hungary know it is not enough to let men and
women purchase what they want or cast a symbolic vote. They must
be allowed to say what they believe. They must be allowed to
choose their government. Limited freedom, whether it is economic
or political, will not provide sufficient room for the restless
human spirit.
Benjamin Franklin, the sage of the American Revolution, said
that love of liberty and the rights of man should someday become
so widespread, "that a philosopher may set his foot upon anywhere
on the surface (of the earth) and say: 'this is my country.
Because of your courage, that is the Hungary we can see
before us; a better Hungary, a greater Hungary, a place any
countryman of freedom could call home.
Thank you and God bless you all.
#
#
#
FILE
PRESIDENTIAL ADDRESS: KARL MARX UNIVERSITY
JULY 12, 1:15 P.M.
LADIES AND GENTLEMEN, DR. CSAKI (CHAH-KEE). IT'S
A PLEASURE TO BE BACK IN BUDAPEST, AND I AM PROUD TO BE
THE FIRST AMERICAN PRESIDENT TO VISIT HUNGARY.
SOME MIGHT FIND IT IRONIC THAT I AM SPEAKING AT A
UNIVERSITY NAMED AFTER KARL MARX. BUT THE FACT THAT I
AM HERE TODAY IS LESS A CAUSE FOR SURPRISE THAN PROOF
THAT AMERICA WELCOMES THE UNFETTERED COMPETITION OF
IDEAS.
THE UNIVERSITY'S PRINCIPAL TASK IS TO PROMOTE THIS
COMPETITION. THAT IS THE SPIRIT THAT BRINGS US
TOGETHER -- A SPIRIT THAT GUIDED A GREAT TEACHER AT
KARL MARX UNIVERSITY, WHOSE NAME WAS IMRE (EEMH-RAY)
NAGY (NUDGE). ((PAUSE))
- 2 -
AS HIS FUNERAL PROCEEDED IN HEROES' SQUARE A FEW
WEEKS AGO, THE RISING VOICE OF HUNGARY WAS HEARD
RECITING THE SZOZAT [SO-ZAT]. AND IN THIS SIMPLE,
SOMBER CEREMONY, THE WORLD SAW SOMETHING MORE THAN A
DIGNIFIED ACT OF RECONCILIATION. WE WITNESSED AN ACT
OF TRUTH. IT IS ON THIS FOUNDATION OF TRUTH, MORE
SOLID THAN STONE, THAT HUNGARIANS HAVE BEGUN TO BUILD A
NEW FUTURE
...
A GENERATION WAITED TO HONOR IMRE
(EEMH-RAY) NAGY'S (NUDGE'S) COURAGE; MAY A HUNDRED
GENERATIONS REMEMBER IT.
WHILE HUNGARY REDISCOVERS ITS NATURAL ROLE IN THE
AFFAIRS OF EUROPE, THE WORLD AGAIN LOOKS TO YOU FOR
INSPIRATION. A POPULAR NON-FICTION BOOK IN MY COUNTRY
TODAY IS ENTITLED BUDAPEST 1900. DR. JOHN LUKACS
LOVINGLY DESCRIBES THE BUDAPEST OF MEMORY, WITH ITS
PROUD STOCK EXCHANGE AND GREAT OPERA; A TIME WHEN
EUROPE'S FIRST ELECTRIC SUBWAY RAN UNDERNEATH THE
HANDSOME SHOPS OF ANDRASSY AVENUE.
- 3 -
A CITY THAT RIVALED PARIS IN ITS SPLENDOR
VIENNA IN ITS MUSIC
LONDON IN ITS LITERATURE. A
CENTER OF LEARNING THAT ENLIGHTENED THE WORLD, AND GAVE
AMERICA ONE KIND OF GENIUS IN JOSEPH PULITZER, AND
ANOTHER IN BELA BARTOK. BUT FOR FOUR DECADES, THIS
GREAT CITY, THIS GREAT NATION, so CENTRAL TO THE
CONTINENT IN EVERY RESPECT, HAS BEEN SEPARATED FROM
EUROPE AND THE WEST.
TODAY HUNGARY IS OPENING AGAIN TO THE WEST --
BECOMING A BEACON OF LIGHT IN EUROPEAN CULTURE. I SEE
PEOPLE IN MOTION. I SEE COLOR, CREATIVITY,
EXPERIMENTATION. I SEE A NEW BEGINNING FOR HUNGARY
THE VERY ATMOSPHERE OF BUDAPEST IS ELECTRIC, ALIVE
WITH OPTIMISM.
YOUR PEOPLE AND YOUR LEADERS -- GOVERNMENT AND
OPPOSITION ALIKE -- ARE NOT AFRAID TO BREAK WITH THE
PAST, TO ACT IN THE SPIRIT OF TRUTH. AND WHAT BETTER
EXAMPLE OF THIS COULD THERE BE THAN ONE SIMPLE FACT:
KARL MARX UNIVERSITY HAS DROPPED DAS KAPITAL FROM ITS
REQUIRED READING LIST
- 4 -
SOME HISTORIANS ARGUE THAT MARXISM AROSE OUT OF A
HUMANE IMPULSE. BUT KARL MARX TRACED ONLY ONE THREAD
OF HUMAN EXISTENCE, AND MISSED THE REST OF THE TAPESTRY
-- THE COLORFUL AND VARIED TAPESTRY OF HUMANITY. MARX
REGARDED MAN AS HAPLESS --UNABLE TO SHAPE HIS
ENVIRONMENT OR DESTINY. BUT MAN IS NOT DRIVEN BY
IMPERSONAL ECONOMIC FORCES. HE IS NOT SIMPLY AN OBJECT
ACTED UPON BY MECHANICAL "LAWS" OF HISTORY.
RATHER, MAN IS IMAGINATIVE AND INVENTIVE. HE IS
ARTISTIC, WITH AN INNATE NEED TO CREATE AND ENJOY
BEAUTY. HE IS A LOVING MEMBER OF A FAMILY, AND A
LOYAL PATRIOT TO HIS PEOPLE. MAN IS DYNAMIC,
DETERMINED TO SHAPE HIS OWN FUTURE.
THE CREATIVE GENIUS OF THE HUNGARIAN PEOPLE, LONG
SUPPRESSED, IS AGAIN FLOURISHING IN YOUR SCHOOLS, YOUR
BUSINESSES, YOUR CHURCHES. THIS IS MORE THAN A
FLEETING SEASON OF FREEDOM. IT IS HUNGARY RETURNING TO
ITS TRADITIONAL VALUES. IT IS HUNGARY RETURNING HOME.
- 5 -
VOICES LONG STILLED ARE BEING HEARD AGAIN. AN
INDEPENDENT DAILY NEWSPAPER IS NOW SOLD ON THE STREETS.
COMMERCIAL RADIO AND TELEVISION STATIONS WILL BROADCAST
EVERYTHING FROM THE NEWS
TO THE MUSIC OF STEVIE
WONDER. AND RADIO FREE EUROPE IS OPENING ITS FIRST
EAST EUROPEAN BUREAU RIGHT HERE IN BUDAPEST.
ALONG YOUR BORDER WITH AUSTRIA, THE UGLY SYMBOL OF
EUROPE'S DIVISION AND HUNGARY'S ISOLATION IS COMING
DOWN, AS THE BARBED WIRE FENCES ARE ROLLED AND STACKED
INTO BALES. FOR THE FIRST TIME, THE IRON CURTAIN HAS
BEGUN TO PART. AND HUNGARY IS LEADING THE WAY.
THE SOVIET UNION HAS WITHDRAWN TROOPS, WHICH I
ALSO TAKE AS A STEP IN OVERCOMING EUROPE'S DIVISION.
AND AS THOSE FORCES LEAVE, LET THE SOVIET LEADERS KNOW
THEY HAVE EVERYTHING TO GAIN, AND NOTHING TO LOSE OR
FEAR, FROM PEACEFUL CHANGE. WE CAN WORK TOGETHER TO
MOVE BEYOND CONTAINMENT, BEYOND THE COLD WAR.
- 6 -
ONE OF THE KEY STEPS IN MOVING BEYOND CONTAINMENT
IS EASING THE MILITARY CONFRONTATION IN EUROPE. TO
THIS END, THE NATO ALLIES JOINED, AT THE MAY SUMMIT
MEETING, IN MY PROPOSAL OF A COMPREHENSIVE CONVENTIONAL
ARMS CONTROL INITIATIVE -- AN INITIATIVE THAT WOULD CUT
THE NUMBERS OF TANKS, ARMORED TROOP CARRIERS,
ARTILLERY, COMBAT AIRCRAFT, ATTACK HELICOPTERS, AS WELL
AS U.S. AND SOVIET TROOPS STATIONED ON FOREIGN SOIL IN
EUROPE -- ALL TO LOWER, EQUAL LEVELS.
THE ISSUES MAY BE COMPLEX, BUT WE ARE WORKING, DAY
AND NIGHT, TO GET A SOLID, HISTORIC AGREEMENT TO
STRENGTHEN STABILITY IN EUROPE AND REDUCE THE RISK OF
WAR. AND WE ARE DETERMINED TO GET IT SOON.
THERE IS NO MISTAKING THE FACT THAT WE ARE ON THE
THRESHOLD OF A NEW ERA. AND THERE IS ALSO NO MISTAKING
THE FACT THAT HUNGARY IS AT THE THRESHOLD OF GREAT AND
HISTORIC CHANGE. YOU ARE WRITING A REAL CONSTITUTION -
- AND YOU ARE MOVING TOWARD DEMOCRATIC, MULTI-PARTY
ELECTIONS.
- 7 -
THIS IS PARTLY POSSIBLE BECAUSE BRAVE MEN AND
WOMEN HAVE FORMED OPPOSITION PARTIES. AND THIS IS
POSSIBLE BECAUSE HUNGARIAN LEADERS ARE GOING TO SHOW
THE ULTIMATE POLITICAL COURAGE -- THE COURAGE TO SUBMIT
TO THE CHOICE OF THE PEOPLE IN FREE ELECTIONS.
BUT TO SUCCEED IN REFORM, YOU WILL NEED PARTNERS -
- PARTNERS TO HELP PROMOTE LASTING CHANGE IN HUNGARY.
I AM HERE TO OFFER HUNGARY THE PARTNERSHIP OF THE
UNITED STATES OF AMERICA.
THREE VITAL SPHERES STAND OUT IN OUR PARTNERSHIP -
- ECONOMICS, THE ENVIRONMENT, AND DEMOCRATIC AND
CULTURAL EXCHANGE.
INVESTMENT IN HUNGARY
THE UNITED STATES BELIEVES IN THE ACCELERATION OF
PRODUCTIVE CHANGE, NOT IN ITS DELAY. so THIS OUR
GUIDING PRINCIPLE -- THE UNITED STATES WILL OFFER
ASSISTANCE NOT TO PROP UP THE STATUS QUO, BUT TO PROPEL
REFORM.
- 8 -
OF COURSE, THE WEIGHT OF THE PAST STILL BURDENS
HUNGARIAN ENTERPRISE. THERE ARE REMNANTS OF THE
STALINIST ECONOMY -- HUGE, INEFFICIENT INDUSTRIAL
PLANTS; A BEWILDERING PRICE SYSTEM NO ONE UNDERSTANDS;
THE MASSIVE SUBSIDIES THAT CLOUD ECONOMIC DECISIONS --
ALL OF THIS SLOWS WHAT YOU COULD OTHERWISE ACHIEVE.
IT'S AN ECONOMIC RUBIK'S CUBE THAT DEFIES SOLUTION.
TO MAKE THE TRANSITION TO A PRODUCTIVE ECONOMY
WILL TEST YOUR METTLE AS A PEOPLE. THE PRICES OF SOME
COMMODITIES MAY RISE. SOME INEFFICIENT FACTORIES WILL
CLOSE. BUT THE HUNGARIAN GOVERNMENT IS INCREASINGLY
LEAVING THE BUSINESS OF RUNNING SHOPS TO SHOPKEEPERS
AND FARMS TO FARMERS. AND THE CREATIVE DRIVE OF THE
PEOPLE, ONCE UNLEASHED, WILL CREATE A MOMENTUM OF ITS
OWN. THIS WILL BRING YOU A GREATER TREASURE THAN
SIMPLY THE RICHES YOU WILL CREATE. IT WILL GIVE EACH
OF YOU CONTROL OVER YOUR DESTINY
A HUNGARIAN
DESTINY.
AND, AS I SAID, THE UNITED STATES WILL BE YOUR
PARTNER IN THIS TRANSFORMATION TO A SUCCESSFUL ECONOMY.
- 9 -
LAST THURSDAY, I INVITED AMERICAN LEADERS FROM
BUSINESS, EDUCATION, LABOR AND OTHER FIELDS -- TO COME
TO THE WHITE HOUSE AND DISCUSS THE NEW PRIVATE SECTOR
OPPORTUNITIES OPENING UP IN HUNGARY. THEIR RESPONSE
WAS ENTHUSIASTIC. THIS WAS ESPECIALLY TRUE OF
HUNGARIAN-AMERICANS, so PROUD TO BE BUILDING A BRIDGE
BETWEEN THEIR NEW COUNTRY AND THEIR MOTHERLAND. AS
LONG AS OUR TWO GOVERNMENTS EASE THE WAY, THE PEOPLE OF
AMERICA AND HUNGARY CAN DO THE REST.
IT IS IN THIS SPIRIT THAT I ANNOUNCE THE FOLLOWING
MEASURES.
FIRST, AS I SAID IN WARSAW, I WILL PROPOSE AT THE
PARIS ECONOMIC SUMMIT CONCERTED WESTERN ACTION FOR
POLAND AND HUNGARY, TO BACK YOUR REFORMS WITH ECONOMIC
AND TECHNICAL ASSISTANCE FROM THE SUMMIT PARTNERS. OF
COURSE, OUR EFFORTS FOR HUNGARY WILL BE TARGETED TO
YOUR NEEDS.
- 10 -
SECOND, I WILL ASK THE U.S. CONGRESS TO AUTHORIZE
A $25 MILLION FUND AS A SOURCE OF NEW CAPITAL TO
INVIGORATE THE HUNGARIAN PRIVATE-SECTOR. I WILL ALSO
ENCOURAGE PARALLEL EFFORTS FROM THE OTHER NATIONS OF
THE ECONOMIC SUMMIT.
THIRD, ONCE YOUR PARLIAMENT PASSES THE NEW
EMIGRATION LEGISLATION PROPOSED BY YOUR COUNCIL OF
MINISTERS, I WILL INFORM OUR CONGRESS THAT HUNGARY IS
IN FULL COMPLIANCE WITH THE JACKSON-VANIK AMENDMENT TO
OUR 1974 TRADE LAW. NO COUNTRY HAS YET BEEN RELEASED
FROM THE RESTRICTIONS OF THIS AMENDMENT. SO I AM
PLEASED TO TELL YOU THAT HUNGARY WILL BE THE FIRST.
((PAUSE)) THIS ACTION WILL GIVE HUNGARY THE MOST
LIBERAL ACCESS TO THE AMERICAN MARKET FOR THE LONGEST
TERM POSSIBLE UNDER OUR LAWS.
FOURTH, AMERICA IS PREPARED TO PROVIDE YOUR
COUNTRY WITH ACCESS TO OUR GENERALIZED SYSTEM OF
PREFERENCES, WHICH OFFERS SELECTIVE TARIFF RELIEF.
SIMPLY PUT, THESE LAST TWO MEASURES WILL ALLOW YOU TO
TAKE ADVANTAGE OF THE LARGEST SINGLE MARKET IN THE
WORLD.
- 11 -
FIFTH, WE HAVE CONCLUDED A DRAFT AGREEMENT TO
AUTHORIZE THE OVERSEAS PRIVATE INVESTMENT CORPORATION
TO OPERATE IN HUNGARY. ONCE OUR SENATE PASSES ENABLING
LEGISLATION, OPIC WILL BE ABLE TO PROVIDE INSURANCE TO
ENCOURAGE AMERICAN INVESTMENT IN PRIVATE ENTERPRISES IN
HUNGARY. THROUGH OPIC, AMERICAN BUSINESS EXECUTIVES
WILL SEE FIRSTHAND THE GREAT OPPORTUNITY OF HUNGARY.
PRIVATE INVESTMENT IS CRITICAL FOR HUNGARY. IT
MEANS JOBS, INNOVATION, PROGRESS. BUT MOST OF ALL,
PRIVATE INVESTMENT MEANS A BRIGHTER FUTURE FOR YOUR
CHILDREN; A BRIGHTER FUTURE FOR HUNGARY.
- 12 -
ENVIRONMENTAL INITIATIVE
YET ECONOMIC PROGRESS CANNOT BE AT THE EXPENSE OF
THE AIR WE BREATHE AND THE WATER WE DRINK. SIX WEEKS
AGO, IN MAINZ, I PROPOSED COOPERATION BETWEEN EAST AND
WEST ON ENVIRONMENTAL ISSUES. THAT IS WHY I WILL ASK
THE U.S. CONGRESS TO APPROPRIATE $5 MILLION TO
ESTABLISH AN INTERNATIONAL ENVIRONMENTAL CENTER FOR
CENTRAL AND EASTERN EUROPE, TO BE BASED IN BUDAPEST,
WHICH WILL BRING TOGETHER PRIVATE AND GOVERNMENT
EXPERTS AND ORGANIZATIONS TO ADDRESS THE ECOLOGICAL
CRISIS. OUR SHARED HERITAGE IS THE EARTH. AND THE
FATE OF THE EARTH TRANSCENDS BORDERS; IT IS NOT JUST AN
EAST-WEST ISSUE.
HUNGARY HAS LED EASTERN AND CENTRAL EUROPE IN
ADDRESSING THE CONCERNS OF YOUR CITIZENS FOR CLEANER
AIR AND WATER. NOW YOU CAN DO EVEN MORE, WORKING WITH
THE WEST TO BUILD A BRIDGE OF TECHNICAL AND SCIENTIFIC
COOPERATION.
- 13 -
ALONG THESE LINES, I AM ALSO PLEASED TO ANNOUNCE
THAT THE U.S. HAS PROPOSED AN AGREEMENT BETWEEN OUR TWO
COUNTRIES TO ESTABLISH SCIENTIFIC AND TECHNICAL
COOPERATION IN THE BASIC SCIENCES, AND IN SPECIFIC
AREAS, INCLUDING THE ENVIRONMENT, MEDICINE AND NUCLEAR
SAFETY.
DEMOCRATIC AND CULTURAL EXCHANGE
IT IS MY HOPE THAT THIS VISIT WILL ALSO LEAD TO A
WIDER EXCHANGE BETWEEN EAST AND WEST, so OUR
SCIENTISTS, OUR ARTISTS AND OUR ENVIRONMENTALISTS CAN
LEARN FROM ONE ANOTHER
SO THAT OUR SOLDIERS AND
STATESMEN CAN DISCUSS PEACE AND OUR STUDENTS CAN
DISCUSS THE FUTURE. ((PAUSE))
- 14 -
BUT TO DISCUSS ANYTHING REQUIRES A COMMON
LANGUAGE. THE TEACHING OF ENGLISH IS ONE OF THE MOST
POPULAR AMERICAN EXPORTS. AS STUDENTS YOU KNOW THAT
ENGLISH IS THE LINGUA FRANCA OF WORLD BUSINESS, THE KEY
TO CLINCHING DEALS FROM HONG KONG TO TORONTO. SO TO
OPEN THE GLOBAL MARKET TO MORE HUNGARIANS, I AM PLEASED
TO ANNOUNCE THAT THE PEACE CORPS WILL, FOR THE FIRST
TIME, OPERATE IN A EUROPEAN COUNTRY. AND OUR PEACE
CORPS INSTRUCTORS WILL COME TO BUDAPEST AND ALL 19
COUNTIES TO TEACH ENGLISH.
- 15 -
IN SUCH EXCHANGES, WE WANT TO HELP YOU IN YOUR
QUEST FOR A NEW BEGINNING AS A DEMOCRATIC HUNGARY. so
THE UNITED STATES IS ALSO COMMITTING MORE THAN $6
MILLION TO CULTURAL AND EDUCATIONAL OPPORTUNITIES IN
EASTERN EUROPE. WE WILL MAKE AVAILABLE FUNDS FOR A
SERIES OF MAJOR NEW U.S. -HUNGARIAN EXCHANGE PROGRAMS --
AMONG CONGRESSMEN AND LEGISLATIVE EXPERTS, AMONG LABOR
AND BUSINESS LEADERS, AMONG LEGAL EXPERTS, AMONG
COMMUNITY LEADERS, EDUCATORS AND YOUNG PEOPLE. WE ARE
CREATING DOZENS OF FELLOWSHIPS TO ENABLE HUNGARIANS TO
STUDY AT AMERICAN UNIVERSITIES. AND WE WILL FUND
ENDOWED CHAIRS IN AMERICAN STUDIES AT YOUR UNIVERSITIES
AND BOOKS -- MANY THOUSANDS OF THEM -- TO FILL
THE SHELVES OF YOUR NEW INTERNATIONAL MANAGEMENT CENTER
AND THE LIBRARIES OF SCHOOLS AND UNIVERSITIES ACROSS
HUNGARY.
THE UNITED STATES WILL ALSO OPEN, WITHIN THE NEXT
SEVERAL YEARS, AN AMERICA HOUSE IN THE CENTER OF
BUDAPEST. TODAY, THE CELEBRATED AMERICAN ARCHITECT
ROBERT STERN IS RELEASING HIS DESIGN FOR THIS CENTER,
WHICH WILL BE AN OPEN HOUSE OF BOOKS, MAGAZINES AND
VIDEOCASSETTES -- AN OPEN HOUSE OF IDEAS.
- 16 -
CONCLUSION
IN ECONOMIC REFORM AND DEMOCRATIC CHANGE, IN
CULTURAL AND ENVIRONMENTAL COOPERATION, THERE ARE GREAT
OPPORTUNITIES -- AND GREAT CHALLENGES. HUNGARY HAS A
LOT OF WORK AHEAD; so DO THE UNITED STATES AND HUNGARY,
WORKING TOGETHER TO BUILD A BETTER FUTURE -- A DYNAMIC
FUTURE.
YOUR CHALLENGE IS ENORMOUS AND HISTORIC: TO BUILD.
A STRUCTURE OF POLITICAL CHANGE AND DECENTRALIZED
ECONOMIC ENTERPRISE ON THE RUINS OF A FAILED STALINIST
SYSTEM.
GIVEN THE OPPORTUNITY TO SHOW YOUR CHARACTERISTIC
INITIATIVE, CREATIVITY AND RESOURCEFULNESS, I BELIEVE
THAT THE HUNGARIAN PEOPLE WILL MEET THE CHALLENGE. YOU
STAND ON THE THRESHOLD OF A NEW ERA OF ECONOMIC
DEVELOPMENT AND POLITICAL CHANGE.
- 17 -
I BELIEVE YOU ARE READY TO MEET THE FUTURE. I SEE
A COUNTRY WELL ON THE WAY. I SEE A COUNTRY RICH IN
HUMAN RESOURCES AND RICH IN THE MORAL COURAGE OF ITS
PEOPLE. I SEE A NATION TRANSCENDING ITS PAST AND
REACHING OUT TO ITS DESTINY. I CONGRATULATE YOU FOR
HAVING COME SO FAR.
LET US BE EQUAL TO THE OPPORTUNITY THAT LIES
BEFORE US. LET US HAVE HISTORY WRITE OF US THAT WE
WERE THE GENERATION THAT MADE EUROPE WHOLE AND FREE.
THANK YOU.
#
#
#
#994
THE WHITE HOUSE
Office of the Press Secretary
(Budapest, Hungary)
For Immediate Release
July 13, 1989
REMARKS OF THE PRESIDENT
UPON DEPARTURE
Budapest Airport
Budapest, Hungary
8:45 A.M. (L)
THE PRESIDENT: Thank you, Mr. President. To
distinguished leaders, Mr. Nyers, Mr. Grosz, Mr. Nemeth, and others
that came to see us off, my profound thanks for the warmth of the
hospitality to Barbara and me.
I was the first Vice President of the United States to
visit your country six years ago, but now I'm especially honored to
be the first American President to come to this beautiful land.
During the past two days, we've met with Hungarians from every walk
of life. I saw many thousand wet Hungarians turning out there at
Kossuth Square, a reminder -- that Square a reminder of the
sacrifices of Hungary's past.
And at Parliament, I met with the political leaders of
the present -- leaders who have the courage to call for an historic
election. And at Karl Marx University, I saw the hopeful face of
Hungary's future, and announced a series of American actions to
engage my country more deeply in the future.
But throughout, at every single event, I felt a deepening
of the friendship between the American and Hungarian people.
In just a moment we're going to leave for Paris for an
economic summit with Western leaders, and this will be an historic
moment for Europe, for the nations of the economic community are
moving steadily toward economic integration in 1992. And this should
mean more than just a vast trade opportunity for Hungary. As your
economy modernizes, you will play an even greater role in the
evolution of a new Europe, a Europe that is whole and free.
While in Paris, we shall also celebrate the independence
of that nation and the declaration of the rights of man. But these
rights are not French, nor are they American. You are proving here
in the heartland of Europe that the rights of man are the proper
birthright of us all.
Thank you for a wonderful visit, for an unforgettably
warm welcome. God bless you and God bless Hungary.
END
8:50 A.M. (L)