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    "ocrText": "Ronald Reagan Presidential Library\nDigital Library Collections\nThis is a PDF of a folder from our textual collections.\nCollection: Roberts, John G.: Files\nFolder Title: [JGR/Presidential Interviews\nand Questionnaires] (09/30/1983-03/31/1984)\nBox: 38\nTo see more digitized collections visit:\nhttps://reaganlibrary.gov/archives/digital-library\nTo see all Ronald Reagan Presidential Library inventories visit:\nhttps://reaganlibrary.gov/document-collection\nContact a reference archivist at: [email protected]\nCitation Guidelines: https://reaganlibrary.gov/citing\nNational Archives Catalogue: https://catalog.archives.gov/\nTHE WHITE HOUSE\nWASHINGTON\nSeptember 30, 1983\nMEMORANDUM FOR FRED F. FIELDING\nFROM:\nJOHN G. ROBERTS 8762\nSUBJECT:\nPresidential Interview with Spanish Today\nRichard Darman has asked that comments on the attached\nwritten interview with the President be sent directly to\nMike Baroody by close of business today. The questions and\nanswers focus on issues of particular concern to the\nHispanic community, including minority businesses,\nimmigration legislation, education, and narcotics\ntrafficking. The draft answer to the question concerning\nour position on illegal immigrants living in the United\nStates omits any reference to the legalization aspect of\nSimpson - Mazolli. I think this audience would be pleased\nthat we are trying to grant legal status to their illegal\namigos. This point, and two minor stylistic ones, are made\nin the attached draft memorandum to Baroody.\nAttachment\nTHE WHITE HOUSE\nWASHINGTON\nSeptember 30, 1983\nMEMORANDUM FOR MICHAEL E. BAROODY\nDEPUTY ASSISTANT TO THE PRESIDENT\nDIRECTOR, PUBLIC AFFAIRS\nFROM:\nFRED F. FIELDING Orig. signed by FFF\nCOUNSEL TO THE PRESIDENT\nSUBJECT:\nPresidential Interview with Spanish Today\nCounsel's Office has reviewed the above-referenced draft\ninterview. The draft answer to the question concerning the\nAdministration's position on illegal immigrants fails to\nnote that the immigration reform legislation we support\nwould grant legal status to many illegal immigrants\ncurrently residing in the United States. I would think this\naspect of the bill would be favorably received by the\nreaders of Spanish Today, and consideration should be given\nto mentioning it.\nThe second sentence of the first paragraph of the answer to\nthe question on Central America is grammatically unsound.\nSuggested revision: \"The counterfeit revolutionaries, who\nmust come to power through the barrel of a gun, offer\nnothing but empty promises. They are men motivated by\nself-interest, not that of the people of Central America.\"\nAlso, with respect to the penultimate question, \"reverting a\ntrend\" should be \"reverting to a trend.\"\nCC: Richard G. Darman\nFFF: JGR:aea 9/30/83\nbcc: FFFielding\nJGRoberts\nSubj.\nChron\nTHE WHITE HOUSE\nWASHINGTON\nSeptember 30, 1983\nMEMORANDUM FOR MICHAEL E. BAROODY\nDEPUTY ASSISTANT TO THE PRESIDENT\nDIRECTOR, PUBLIC AFFAIRS\nFROM:\nFRED F. FIELDING\nCOUNSEL TO THE PRESIDENT\nSUBJECT:\nPresidential Interview with Spanish Today\nCounsel's Office has reviewed the above-referenced draft\ninterview. The draft answer to the question concerning the\nAdministration's position on illegal immigrants fails to\nnote that the immigration reform legislation we support\nwould grant legal status to many illegal immigrants\ncurrently residing in the United States. I would think this\naspect of the bill would be favorably received by the\nreaders of Spanish Today, and consideration should be given\nto mentioning it.\nThe second sentence of the first paragraph of the answer to\nthe question on Central America is grammatically unsound.\nSuggested revision: \"The counterfeit revolutionaries, who\nmust come to power through the barrel of a gun, offer\nnothing but empty promises. They are men motivated by\nself-interest, not that of the people of Central America.\"\nAlso, with respect to the penultimate question, \"reverting a\ntrend\" should be \"reverting to a trend.\"\nCC: Richard G. Darman\nFFF: JGR:aea 9/30/83\nbcc: FFFielding\nJGRoberts\nSubj.\nChron\nID #\nCU\nWHITE HOUSE\nCORRESPONDENCE TRACKING WORKSHEET\n0 . OUTGOING\nH . INTERNAL\nI INCOMING\nDate Correspondence\nReceived (YY/MM/DD)\n/\n/\nName of Correspondent:\nRICHARD G. DARMAN\nMI Mail Report\nUser Codes: (A)\n(B)\n(C)\nSubject:\nPresidential Interview with\nSpanish Today\nROUTE TO:\nACTION\nDISPOSITION\nTracking\nType\nCompletion\nAction\nDate\nof\nDate\nOffice/Agency\n(Staff Name)\nCode\nYY/MM/DD\nResponse\nCode\nYY/MM/DD\nWH011\nORIGINATOR 8309,28\n/\n/\nReferral Note:\nCNATI8\nX\n83,09,28\nS 83,09,30\nReferral Note:\ncob\n/ /\n/ /\n-\n-\nReferral Note:\n/ /\n/ /\nReferral Note:\n/ /\n/ /\nReferral Note:\n:\nACTION CODES:\nDISPOSITION CODES:\nA Appropriate Action\nI - Info Copy Only/No Action Necessary\nA Answered\nC Completed\nC Comment/Recommendation\nR Direct Reply w/Copy\nB Non Special Referral\nS Suspended\nD Draft Response\nS For Signature\nF Furnish Fact Sheet\nX Interim Reply\nto be used as Enclosure\nFOR OUTGOING CORRESPONDENCE:\nType of Response THE Initials of Signer\nCode = \"A\"\nCompletion Date = Date of Outgoing\nComments:\nKeep this worksheet attached to the original incoming letter.\nSend all routing updates to Central Reference (Room 75, OEOB).\nAlways return completed correspondence record to Central Files.\nRefer questions about the correspondence tracking system to Central Reference, ext. 2590.\n5/81\nDocument No.\n147274SS\nWHITE HOUSE STAFFING MEMORANDUM\nDATE: 9/27/83\nACTION/CONCURRENCE/COMMENT DUE BY:\nc.o.b. 9/30/83\nSUBJECT: PRESIDENTIAL INTERVIEW WITH SPANISH TODAY\nACTION FYI\nACTION FYI\nVICE PRESIDENT\nHERRINGTON\nMEESE\nHICKEY\nBAKER\nJENKINS\nDEAVER\nMcMANUS\nSTOCKMAN\nMURPHY\nCLARK\nROGERS\nDARMAN\nP\nSS\nROLLINS\nDUBERSTEIN\nSPEAKES\nFELDSTEIN\nSVAHN\nFIELDING\nVERSTANDIG\nFULLER\nWHITTLESEY\nGERGEN\nBAROODY\nREMARKS:\nPlease forward any edits/comments on the draft Presidential\ninterview with Spanish Today directly to Mike Baroody\nand send an information copy to my office.\nThank you.\nRESPONSE:\nSEP 28 1953\nRichard G. Darman\nAssistant to the President\nExt. 2702\nMr. President, it is said that you are courting Hispanic\nvotes; is it true?\nUnfortunately, many people insist on viewing any action I\ntake in this area as being political. I happen to feel that\nthe Hispanic community in this country -- which really\nconsists of separate communities of Cuban Americans, Mexican\nAmericans, Puerto Ricans, and others -- has for too long\nbeen ignored and taken for granted by those in Washington.\nI worked closely with the Hispanic community when I was\nGovernor of California. I campaigned among Hispanics and\nreceived their support in 1976 and 1980, and I am determined\nthat the Hispanic community's concerns will be heard and\naddressed by my Administration. I am trying to ensure that\nthrough meetings with Hispanic leaders on a wide range of\nissues, and by getting out into Hispanic communities\nwherever I can. We are also bringing large numbers of\nHispanics into the Administration to manage and help set\npolicy. These efforts did not just start recently; they\nhave been a constant through my public life. As President,\nI met with Hispanic leaders my first month in office to hear\ntheir views, and those types of meetings have gone on\nthroughout my term. Unfortunately, the media has only now\nstarted paying attention.\nIf including Hispanics in government, consulting with their\nleaders, paying special attention to their needs, and\nhelping them become more and more a part of American society\nis called \"courting,\" then yes, I am courting Hispanics.\nUnemployment, education, housing, medical care; these are\nsome of the areas where Hispanics lag behind. What is your\nAdministration doing to alleviate this situation?\nWell, first of all, by cutting inflation we've limited the\nrate of increase of all costs, housing, medical, food and\ntransportation; this has benefitted all Americans.\nIn dealing with unemployment, we have to remember that when\nwe took office, the economic engine of America was stalled,\nrecessions were becoming a prominent part of the American\neconomic picture which meant a loss of jobs for many\nAmericans. We are working to ease unemployment and with\nAmerica's economic recovery we are starting to see the\nevidence of more jobs. Unemployment is dropping. In the\nlast five months, Hispanic unemployment has decreased by 20\npercent from 15.3 in late 1982 to 12.3 as of July 1983. I\nam confident that with continued economic recovery and\ngrowth -- and the Job Training Partnership Act of 1982 --\nHispanic unemployment will continue to fall.\nIn the area of housing, by cutting interest rates in half,\nwe have made housing more affordable for all Americans. And\nfor low income Hispanic Americans, the Department of Housing\nand Urban Development recently announced the funding of two\nmajor housing projects -- one in New Jersey, the other in\nCalifornia. These low income projects will provide housing\nfor Hispanic elderly as well as other needy Americans.\nOther such projects are in the planning stages.\nIn the area of education, we are providing a record $15.3\nbillion for student aid for the 1982-83 school year.\nUndergraduate students who demonstrate financial need are\neligible for:\n-- up to $1600 in grants per year;\n-- up to $2500 in guaranteed loans per year;\n-- work-study support averaging $700; and\n-- state and private aid.\nAnd finally, we are working to ensure that medical costs do\nnot rise out of control. Some of my FY 84 proposals, if\nenacted, will:\n-- provide $74 billion for health care in 1984; and\n-- slow health care price increases, thereby making health\ncare costs more affordable to those who are not covered\nby Federal health care programs.\nFor our children, we will continue to fund the Women,\nInfants and Children (WIC) nutrition program at a level of\n$1.1 billion. We will increase funding for child\nimmunization to $41.8 million. These are just a few of the\ninitiatives we are undertaking with regard to medical costs.\nOur programs are positive programs for all Americans, and\nI'm committed to ensure that Hispanics benefit as much as\nany other group.\nMr. President, you said recently that Hispanics who are\nmaking it in the business world, \"are building a better\nAmerica for all of us.\" What is your Administration doing\nto help Hispanics succeed in the business world?\nLet me begin by restating my belief that Hispanics making it\nin the business world are indeed building a better America\nfor all of US. Hispanic businesses are making a significant\ncontribution to our economy and to our economic recovery.\nThis is something I want very much to see continue. To this\nend I have established a goal of awarding $22 billion in\nfederal contracts and sub-contracts to minority owned\nbusinesses -- including Hispanic firms -- in fiscal years\n1983, 1984, and 1985. In the current fiscal year the goal\nis $4.8 billion in Federal procurement awards. Through the\nthird quarter of this year, Federal agencies have purchased\nsome $2.8 billion in goods and services -- 60% of our goal\n-- from minority firms. I am also committed to the creation\nof 60,000 new minority-owned businesses, a large number to\nbe Hispanic, over the next ten years. During that same\nperiod, some 60,000 additional firms will be expanded.\nFurther, one of my the senior Administration officials on\nminority business development initiatives is an Hispanic-\nAmerican, Victor Rivera, who is Director of the Commerce\nDepartment's Minority Business Development Agency. The\nagency is currently funding 100 minority business\ndevelopment centers nation-wide. In fact most of these\ncenters are operated by Hispanic-owned business management\nfirms that are providing marketing, management, financial,\nand technical assistance to Hispanic and other\nminority-owned firms. Among the firms assisted by these\ncenters is Ruiz Food Products, recently named the Nation's\nnumber 1 small business and honored at the White House\nduring National Small Business Week.\nAdditionally, just this past May, MBDA conducted one of the\nlargest trade missions our government has ever sponsored.\nThe agency organized a trade mission of 450 Hispanic-\nAmerican businessmen to Guadalajara, Mexico. The mission\nwas a complete success, resulting in several business oppor-\ntunities for the participating firms and three major trade\nagreements between the United States and the Mexican\ngovernment.\nEducation is definitely a way up for Hispanics, maybe the\nonly way; however, Mr. President, due to budget cuts, funds\nto help minority students are very limited. Is your\nAdministration planning to do something specific to help\nHispanic students get the college money they need?\nMy Administration has supported, and will continue to\nsupport, set-aside funding for Hispanic college students.\nSince 1981, I have included in my budget requests to the\nCongress increases for the Title III, Developing Institu-\ntions Program, to ensure Federal support for minority\nstudents. Included in this important program, is $5 million\nin funds specifically earmarked for awards to predominantly\nHispanic postsecondary institutions. In fact, to date, the\nDepartment of Education has made 24 grant awards to these\ninstitutions, totaling $5.6 million.\nIn addition to the 24 awards made to date, the Department of\nEducation has conducted several workshops throughout the\ncountry to provide technical assistance to all interested\npredominantly Hispanic institutions. This type of\nassistance helps student aid officers prepare their grant\napplications. Also, to assist Hispanic students, the\nDepartment of Education makes available its Student\nFinancial Assistance application forms in Spanish.\nMy Administration will continue to support this type of\nspecial assistance for minority students, including special\nset-aside awards for Hispanic institutions.\nMr. President, you are asking Hispanics everywhere to help\nyou present to Americans the truth of Central America. What\nis that truth? Aren't you really asking Hispanics to be\npartisan to your way of viewing things in that region?\nThe truth, as I have asked Hispanic-Americans to tell it, is\nthat Marxism, \"revolutions without borders\" and unending\nsubversion against neighbors -- is not the answer for the\nfuture. The empty promises of the counterfeit revolution-\naries, who must come to power through the barrel of a gun,\nmust be shown for what they are\nmen motivated by self-\ninterest, and not that of the people of Central America.\nI have not asked Hispanics take a partisan view of things in\nthe region. I have asked all Americans to reject the hollow\nclaims and broken promises of those who maintain that\ncommunes, enormous military establishments, state run\neconomies, and the subjugation of individual freedoms for\n\"the good of the revolution \" is what is best for the people\nof Central America.\nI have also asked that Hispanics support our four point\nprogram for the region: social reform and human rights,\neconomic and humanitarian development, diplomatic solutions\nto regional problems, and an adequate security shield for\nboth Central America and the United States; behind which\nthese improvements can take place. As I said in El Paso,\nTexas, a few weeks ago:\n\"We want to see the peoples of those nations escape\nthe poverty and oppression of their pasts. We want\nto see them move toward societies where democratic\nrights are protected and a decent standard of living is\nassured\n\"\nThese are noble goals, worthy of a great nation such as\nours. I believe that with an awareness of the problem, a\nsense of purpose, and a consistent effort we can achieve\nthem.\nMr. President, are we losing the battle against drug-\ntraffickers? What else can be done to stop or reduce\nconsiderably the amount of illegal drugs coming in from\nSouth America?\nIt's just the opposite -- I feel that we are finally turning\nthe tide. Since 1981, we have established several major\ndrug enforcement initiatives. The Vice President's efforts\nwith the South Florida Task Force and the National Narcotics\nBorder Interdiction System, the Organized Crime/Narcotics\nBoard Enforcement Task Forces and the major increases in\ndrug enforcement activities within the United States have\nstopped a lot of illegal drugs that otherwise would be on\nour streets and in our homes.\nHowever, we must also remember that all our drug enforcement\nefforts and border interdiction will only be partially\neffective until such time as source countries take vigorous\naction to eliminate the cannabis and coca crops. We are\ndoing what is possible to enlist these countries in a strong\nand united front against illegal drugs.\nDrug abuse is a world problem, but we in the Americas have\nmore than our share. It is destructive to our governments\nand causes serious health problems to our citizens. The\nproblems caused by drug abuse, and the trafficking in\nillegal drugs must be stopped. We won't rest until we\nsucceed.\nWhat is the official position of your Administration\nregarding illegal immigrants living and working in our\ncountry?\nShortly after taking office, I created a Cabinet-level Task\nForce under the leadership of the Attorney General to study\nthe need for change in our Nation's immigration laws and\npolicies. After reviewing the Task Force report, I\nconcluded that the time for comprehensive reform had come,\nand for the past two years my Administration has worked with\nCongressional leaders of both parties to enact legislation\nbased on two principles -- to conserve our proud heritage as\na Nation of immigrants, and to enable the government to gain\ntighter control over our borders.\nLegislation to achieve these goals has twice passed the\nSenate, but consensus has not yet been reached in the House\nof Representatives. I am hopeful that differences within\nCongress can be resolved in a principled way and that a bill\ncan be passed -- one that is at once workable and fair to\nall concerned.\nThere is a trend all over the country to go back to basics\nin school. You have also expressed definite views along\nthis line in your recent speeches on education. Does this\nmean that teaching of foreign languages such as Spanish\n7\nshould disappear from curriculums, thus reverting a trend\nthat began back in 1957 after the launching of the first\nSoviet Sputnik?\nIn no way should our efforts to improve the quality of\neducation in this country be mistaken to mean that we are\nadvocating the dropping, or even the de-emphasis of foreign\nlanguage study -- Spanish or any other -- from our schools'\ncurricula. There is no doubt in my mind that foreign\nlanguage study adds to, and in no way detracts from, the\nquality of education in our schools. Language study, like\nmath, science, english and history, is a basic element of a\nwell-rounded education.\nMr. President, what do you think about bilingual education?\nWithout hesitation, I believe in a continued Federal role in\nbilingual education. I have spoken on this issue in the\npast and will continue to express concern for assisting\nchildren with limited English proficiency become proficient.\nAs a former Governor of this country's most populous state\nwith a large number of minority language persons, I am\nacutely aware of the need for special programs to help those\nwith limited or no English gain command of the language.\nThe goal is simple -- to help school districts develop\nprograms that assist children in developing competency in\nEnglish so that they may progress through .the educational\nsystem. One thing that should be clarified is that I do not\nembrace one particular method of instruction. There are a\nvariety of options before us -- whether it be transitional\nbilingual instruction, English as a second language, total\nimmersion into English, as well as a number of other\nprofessionally recognized approaches.\nTo this end, this Administration has recently introduced the\nBilingual Education Improvements Act of 1983. Our proposal\nis designed to strengthen and expand upon existing bilingual\neducation programs, by permitting greater flexibility for\nlocal school districts to deal with needs specific to their\nsystems. Additionally, our amendments, for the first time,\nextend bilingual education to vocational programs for out of\nschool youth.\nTHE WHITE HOUSE\nWASHINGTON\nOctober 20, 1983\nMEMORANDUM FOR FRED F. FIELDING\nFROM:\nJOHN G. ROBERTS the\nSUBJECT:\n\"Good Morning America\" Interview with\nthe President - Issue here: Education\nTalking Points\nRichard Darman has asked that comments on the above-\nreferenced talking points be sent directly to Michael\nBaroody by noon today. The talking points review\nAdministration policies and programs in the education area,\nstressing merit pay, return to basics, partnerships in\neducation, and tuition tax credits. The points review\nstatistics to demonstrate that we have not cut back\neducation funding, while at the same time emphasizing that\nmore money is not the answer. I have no objections.\nAttachment\nTHE WHITE HOUSE\nWASHINGTON\nOctober 20, 1983\nMEMORANDUM FOR MICHAEL E. BAROODY\nDEPUTY ASSISTANT TO THE PRESIDENT\nDIRECTOR, OFFICE OF PUBLIC AFFAIRS\nOrig. signed by FFF\nFROM:\nFRED F. FIELDING\nCOUNSEL TO THE PRESIDENT\nSUBJECT:\n\"Good Morning America\" Interview with\nthe President - Issue here: Education\nTalking Points\nCounsel's Office has reviewed the above-referenced talking\npoints, and finds no objection to them from a legal\nperspective.\nCC: Richard G. Darman\nFFF:JGR:aea 10/20/83\nbcc: FFFielding\nJGRoberts\nSubj\nChron\nTHE WHITE HOUSE\nWASHINGTON\nOctober 20, 1983\nMEMORANDUM FOR MICHAEL E. BAROODY\nDEPUTY ASSISTANT TO THE PRESIDENT\nDIRECTOR, OFFICE OF PUBLIC AFFAIRS\nFROM:\nFRED F. FIELDING\nCOUNSEL TO THE PRESIDENT\nSUBJECT:\n\"Good Morning America\" Interview with\nthe President - Issue here: Education\nTalking Points\nCounsel's Office has reviewed the above-referenced talking\npoints, and finds no objection to them from a legal\nperspective.\nCC: Richard G. Darman\nFFF: JGR:aea 10/20/83\nbcc: FFFielding\nJGRoberts\nSubj\nChron\nID #.\nCU\nWHITE HOUSE\nCORRESPONDENCE TRACKING WORKSHEET\no * OUTGOING\nH INTERNAL\nI . INCOMING\nDate Correspondence\nReceived (YY/MM/DD)\n/\n/\nName of Correspondent: Richard G. DARMAN\nMI Mail Report\nUser Codes: (A)\n(B)\n(C)\nSubject: \"good morning america \" interview with\nthe President Issue here education\ntalking points\nROUTE TO:\nACTION\nDISPOSITION\nTracking\nType\nCompletion\nAction\nDate\nof\nDate\nOffice/Agency\n(Staff Name)\nCode\nYY/MM/DD\nResponse\nCode\nYY/MM/DD\nWHOLL\nORIGINATOR 83,10,20\n/ /\nReferral Note:\nCUAT18\nD 83,10,20\n583110120 5\nNOON\nReferral Note:\n/\n/\n/ /\nI\nReferral Note:\n/ /\n/\n/\nI\nReferral Note:\n/ /\n/\n/\nI\nReferral Note:\nACTION CODES:\nDISPOSITION CODES:\nA - Appropriate Action\nI - Info Copy Only/No Action Necessary\nA Answered\nC Completed\nC - Comment/Recommendation\nR . Direct Reply w/Copy\nB - * Non-Special Referral\nS Suspended\nD Draft Response\nS For Signature\nF . Furnish Fact Sheet\nX Interim Reply\nto be used as Enclosure\nFOR OUTGOING CORRESPONDENCE:\nType of Response = Initials of Signer\nCode = \"A\"\nCompletion Date = Date of Outgoing\nComments:\nKeep this worksheet attached to the original incoming letter.\nSend all routing updates to Central Reference (Room 75, OEOB).\nAlways return completed correspondence record to Central Files.\nRefer questions about the correspondence tracking system to Central Reference, ext. 2590.\n5/81\nDocument No.\n167922SS\nWHITE HOUSE STAFFING MEMORANDUM\nOctober 19\nNOON TOMORROW\nDATE:\nACTION/CONCURRENCE/COMMENT DUE BY:\nSUBJECT: \"Good Morning America\" interview with the President\nACTION FYI\nACTION FYI\nVICE PRESIDENT\nHICKEY\nMEESE\nJENKINS\nBAKER\nMcFARLANE\nDEAVER\nMcMANUS\nSTOCKMAN\nMURPHY\nDARMAN\nP\n55\nROGERS\nDUBERSTEIN\nSPEAKES\nFELDSTEIN\nSVAHN\nFIELDING\nVERSTANDIG\nFULLER\nWHITTLESEY\nGERGEN\nBAROODY\nHERRINGTON\nREMARKS:\nPlease provide any edits/comments on the attached briefing\nmaterials for GMA interviw with the President directly to\nMike Baroody in room 160 by NOON TOMORROW, Thursday, October 20,\nwith an information copy to my office.\nThank you.\nRESPONSE:\n20\nRichard G. Darman\nAssistant to the President\nExt. 2702\nKEY POINTS\nCommission on Excellence report provides great oppor-\ntunity to work together as a nation to improve our\nschools.\nEducational system got off track in the '60s and '70s.\nMore money is not the answer. Not getting our money's\nworth on what we're spending. (20 fold increase in\nFederal spending for 1960 to 1983).\nSolution is back to basics and more parental and\ncommunity involvement.\nRR role is to lead national debate.\nAdministration education initiatives include: Commis-\nsion on Excellence, block grants, math and science\ninitiative, tuition tax credit, vouchers and support\nfor merit pay.\nNation is already responding. Many states have or are\nplanning reforms -- Florida, Virginia and California\nhave already. San Diego requires \"C\" to do extra-\ncurricular activities and 2 hours of homework a night.\nBusiness responding with partnerships in education --\n1,000 businesses with 140 schools in Dallas.\nRECOMMENDATIONS OF NATIONAL COMMISSION ON EXCELLENCE\nHigh school graduation criteria should be strengthened\nby requiring at least five new basics:\n-- Four years of English\n-- Three years each of math, science, and social\nstudies; and,\n-- One-half year of computer science.\nThe teaching profession should be strengthened by:\n-- Making teachers' salaries competitive and\nperformance based (merit pay) ;\n-- Lengthening the work year to 11 months and\nestablishing positions which distinguish between\nbeginning, experienced, and master teachers.\nSPENDING FOR EDUCATION\nGovernment at all levels spent $215.3 billion for\neducation in '82-'83 school year.\nO\nFederal spending for education has not been cut under\nReagan Administration.\n-- $14.1 billion in 1980\n-- $14.8 billion in 1981\n-- $14.8 billion in 1982\n-- $15.3 billion in 1983\nIn past 10 years spending per pupil has nearly doubled.\nAt the same time, the number of pupils has dropped by\n14 percent.\nFederal spending for DOE programs has increased 20 fold\nsince 1960 ($760 million to $15.3 billion).\nRR'S VIEWS ON EDUCATION\nU.S. has the best public school system in the world. RR\nis confident that with parents, teachers and communi-\nties working together America can meet the challenge to\nget it back on track.\nWhen RR came to office, our educational system had\nproblems. Average student was not competitive with\nthose of other industrialized nations:\n-- Between 1963 and 1980 SAT's were in unbroken\ndecline.\n-- Too little was demanded of students.\nGraduation requirements were lax.\n-- Thirteen percent of 17-year olds were\nfunctional illiterates.\n-- Most students had less than 1 hour of homework.\nCommission on Excellence report is good news. Serving\nto energize and mobilize country to improve education.\nRR believes excellence in education requires greater\nemphasis on basics and broader vision for education --\ninvolvement of parents, communities, churches and work\nplace.\nMore money is not the answer. Federal spending boom\n(20 fold increase in 20 years) began at the same time\nSAT's started dropping.\nWe don't have an education problem because we're not\nspending enough. We have an education problem because\nwe're not getting our money's worth for what we spend.\nNation has already begun to respond to the challenge.\n-- Since 1980, 20 states have passed tougher\ncertification laws so only qualified teachers\ncan enter classrooms.\n-- More than half the school districts have raised\nthe number of credits required in basics of\nEnglish, science and math.\n-- Thirty-eight percent more school districts will\nupgrade standards by '85.\n-- Florida has enacted major educational reforms.\nGoal is to raise student achievement to\nupper quarter of states by 1986.\n-- Washington is starting a loan forgiveness\nprogram for students and teachers who plan\nto teach math and science.\n-- California is reforming its educational system,\nincluding increased graduation requirements,\na longer school day and year, and loan forgive-\nness for students who plan to teach math and\nscience.\n-- In San Diego, students must have at least 2\nhours of homework every night. And they need\na \"C\" average to participate in extra-\ncurricular activities.\n-- Memphis now requires its students to have at\nleast a \"C\" average to graduate.\n-- Forty states have formed task forces on educa-\ntion.\n-- Forty states plan to or have already increased\ngraduation requirements.\n-- Thirty-one states are working on teacher\ncertification.\n-- Three states have enacted math-science teacher\nprograms; eight more are in the process.\nCivic and business organizations are working to improve\nour schools.\nRR set '83-'84 school year goal for all 110,000 U.S.\nschools to have formed a \"partnership in education.' \"\n-- In Dallas, over 1,000 businesses have formed\npartnerships with 140 schools.\n-- In Chicago, 133 businesses are partners with\n140 schools.\n-- San Diego schools are partners with the\nChargers, the Padres and the Navy.\n-- White House has adopted inner-city D.C. grade\nschool.\nRR'S EDUCATION POLICIES\no\nRR's goal: To have the best possible education for all\nour citizens.\nAppropriate role for federal government is to\nstrengthen local school districts, to help states carry\nout their responsibilities, and to help meet the\nspecial needs of certain groups, including the\nhandicapped, the disadvantaged and minorities.\nSpecifics of the Reagan record on education include:\n-- Leadership. Appointed national commission to report\non state of American education. RR has used Presi-\ndency as \"bully pulpit\" to lead national debate on\neducation.\n-- State and local flexibility. Enacted a block grant\nprogram in 1981 which consolidated 29 narrow, cate-\ngorical grants into a single, flexible state and\nlocal grant. Helps school districts meet locally\ndefined needs. So far has saved state and local\ngovernments $1.8 million in administrative costs\nand 191,000 person hours in paperwork.\n-- Meet need for more math and science teachers. RR\nhas proposed a $200 million 4-year block grant to\ntrain 10,000 math and science teachers each year.\n-- Increase parental freedom of choice. Administration\nproposals for tuition tax credits and education\nvouchers would give parents greater freedom to\nchoose best schools for their children. Would give\nchoice -- for first time -- to low and middle income\nparents.\n-- Student aid. Proposed spending $5.9 billion on\nguaranteed student loans in '84 -- a 22% increase in\n2 years.\n-- Special Needs Children. Maintained commitment to\nspecial needs children by proposing $4.1 billion for\ndisadvantaged and handicapped students in '84 --\nhighest level ever.\n-- Teacher Incentives. RR has supported the concept\nof recognizing and rewarding outstanding teachers\nthrough Master Teacher/Merit Pay plans.\n-- Partnerships in Education. RR directed federal\ngovernment to promote partnerships in education.\nEvery agency (including the White House) is to\nadopt a school. White House Office of Private\nSector Initiatives is working with state govern-\nments and industry groups SO that all 110,000\nschools can be \"adopted\" in '83-'84 school year.\nTHE WHITE HOUSE\nWASHINGTON\nDecember 22, 1983\nMEMORANDUM FOR FRED F. FIELDING\nFROM:\nJOHN G. ROBERTS\nare\nSUBJECT:\nDraft Material for Interview\nWith Wire Services\nRichard Darman has asked that comments on the attached\nbriefing material be sent directly to Michael Baroody by\n2:00 p.m. today. The material, for the President's year-end\ninterview with the wire services, focuses on the progress of\nthe economic recovery and the improvement of America's\nposition in foreign affairs. I see no legal objections.\nThe material ends with a list of items on which the\nPresident hopes to see Congress act. Two high-priority\nlegal reform items are not listed and, in my view, should\nbe. I would add \"tougher criminal laws\" (an understandable\nshorthand for our pending proposals concerning the death\npenalty, exclusionary rule reform, abolition of parole,\nlimitation of the insanity defense, stronger forfeiture and\nsentencing laws, etc.) and \"immigration reform\" to the list\nof legislative priorities.\nAttachment\nTHE WHITE HOUSE\nWASHINGTON\nDecember 22, 1983\nMEMORANDUM FOR MICHAEL E. BAROODY\nDEPUTY ASSISTANT TO THE PRESIDENT\nDIRECTOR, PUBLIC AFFAIRS\nFROM:\nFRED F. FIELDING\nCOUNSEL TO THE PRESIDENT\nSUBJECT:\nDraft Material for Interview\nWith Wire Services\nCounsel's Office has reviewed the above-referenced draft\nbriefing material, and finds no objection to it from a legal\nperspective. I would, however, consider adding \"tougher\ncriminal laws\" (an understandable shorthand for our pending\nproposals concerning the death penalty, exclusionary rule\nreform, abolition of parole, limitation of the insanity\ndefense, stronger forfeiture and sentencing laws, etc.) and\n\"immigration reform\" to the list of legislative priorities\nappearing at the end of the briefing materials.\nCC: Richard G. Darman\nFFF:JGR:aea 12/22/83\nbcc: FFFielding/JGRoberts/Subj/Chron\nID #\nCU\nWHITE HOUSE\nCORRESPONDENCE TRACKING WORKSHEET\n0 OUTGOING\nH INTERNAL\nI - INCOMING\nDate Correspondence\nReceived (YY/MM/DD)\n/\n/\nName of Correspondent:\nRichard G. DARMAN\nMI Mail Report\nUser Codes: (A)\n(B)\n(C)\nSubject: Draft material for interview with\nwire services\nROUTE TO:\nACTION\nDISPOSITION\nTracking\nType\nCompletion\nAction\nDate\nof\nDate\nOffice/Agency\n(Staff Name)\nCode\nYY/MM/DD\nResponse\nCode\nYY/MM/DD\nCUHOLL\nORIGINATOR\n8372222\n/ /\nReferral Note:\nWAT18\nA\n83,72,22\n5 83,12,22\nReferral Note:\n2:00 2:00pm pm\n/ /\nReferral Note:\n/ /\n/ /\nReferral Note:\n/ /\n11\nReferral Note:\nACTION CODES:\nDISPOSITION CODES:\nA Appropriate Action\nI Info Copy/Only/No Action Necessary\nA Answered\nC Completed\nC - Comment/Recommendation\nR Direct Reply w/Copy\nB Non-Special Referral\nS Suspended\nD Draft Response\nS For Signature\nF Furnish Fact Sheet\nX Interim Reply\nto be used as Enclosure\nFOR OUTGOING CORRESPONDENCE:\nType of Response = Initials of Signer\nCode = \"A\"\nCompletion Date = Date of Outgoing\nComments:\nKeep this worksheet attached to the original incoming letter.\nSend all routing updates to Central Reference (Room 75, OEOB).\nAlways return completed correspondence record to Central Files.\nRefer questions about the correspondence tracking system to Central Reference, ext. 2590.\n5/81\nDocument No.\nWHITE HOUSE STAFFING MEMORANDUM\nDATE: 12/22/83\nACTION/CONCURRENCE/COMMENT DUE BY: 12/22 - 2:00 p.m.\nSUBJECT: DRAFT MATERIAL FOR INTERVIEW WITH WIRE SERVICES\nACTION FYI\nACTION FYI\nVICE PRESIDENT\nJENKINS\nMEESE\nMcFARLANE\nBAKER\nMcMANUS\nDEAVER\nMURPHY\nSTOCKMAN\nOGLESBY\nDARMAN\nP\n85\nROGERS\nFELDSTEIN\nSPEAKES\nFIELDING\nSVAHN\n>\nFULLER\nVERSTANDIG\nGERGEN\nWHITTLESEY\nBAROODY\nHERRINGTON\nHICKEY\nREMARKS:\nPlease provide any edits/comments directly to Mike Baroody, with a\ncopy to my office, by 2:00 p.m. today. Thank you.\nRESPONSE:\nRichard G. Darman\nAssistant to the President\nExt. 2702\nReceive SS\nTHE WHITE HOUSE\n1983 DEC 22 AM 11: 55\nWASHINGTON\nDecember 22, 1983\nMEMORANDUM FOR RICHARD DARMAN\nFROM:\nMIKE BAROODY\nSUBJECT:\nWIRE SERVICES INTERVIEW\nAttached is the draft material for the Presidential year-end\ninterview with the wires on Friday.\nDecember 22, 1983\nNOTES FOR YEAR-END INTERVIEW WITH AP AND UPI\nBiggest accomplishments of last 3 years?\nRecovery -- our major objective on taking office.\nRenewing respect for America abroad.\nRestoring military's strength -- and morale.\nShowing people that government could respond to their\nwishes -- Congress and President could enact a program.\nAmericans getting their confidence in government back\nas we try to get government off their backs and on\ntheir side, again.\nWhat about this year -- 1983?\n1983 was a good year -- and 1984 should be, too.\nSpecifically:\n-- Recovery began;\n-- Social Security reform was passed;\n-- full tax rate cut took effect;\n-- focused education debate on excellence, not money;\n-- Grenada rescue succeeded;\nAll through 1983 we had positive GNP growth, falling\nunemployment, and low inflation. Haven't seen that\nkind of positive combination since 1972. Really was a\nbanner year.\n-- growth for year was healthy 6.1% (based on 4th\nquarter \"flash\" of 4.5% -- could change some);\n-- CPI up 3.2% for last 12 months;\n-- Unemployment fell to 8.4%.\nEconomists inside and outside government almost unani-\nmous that recovery will continue thoughout 1984. Our\ngoal was sustainable growth with low inflation -- and\nwe can have it well past 1984, provided Congress works\nwith us on controlling spending.\nNow, 3.6 million more Americans working than a year\nago. That's what growth means -- jobs -- and that's\nwhy recovery was our top priority.\nThere are 102.7 million working. That's a record --\nbut it's a record RR expects to see broken several\ntimes in 1984 as growth leads to even more jobs.\nHave achieved what many in 1980 thought impossible -- at\nleast this soon.\nInflation: CPI rose only 3.2% from a year ago. Some\nsaid we might not see it so low until 1990 or SO.\nEconomy growing again: From start of 1979 to end of\n1982, there was virtually no growth (some quarterly ups\nand downs, but GNP basically stagnated over that 4 year\nperiod). Some then were saying we'd have to learn to\nlive without growth in an \"era of limits\" but RR thinks\nwhat's happening now to economy is proving them wrong.\nGrowth of spending cut: Spending rose more than 17% in\n1980. The rate's now about half that.\nTaxes: Many said Congress would never go along with\nlower tax rates and certainly never pass indexing (and\ngive up the automatic revenue bonus from inflation).\nEnergy: Many thought prices, shortages and U.S. depen-\ndence on imported oil could only get worse. But, 2\ndays after taking office, RR ordered decontrol and now:\n-- prices are down -- actually lower than on\ninauguration day.\n-- U.S. importing only half the oil it did in 1977.\nSocial Security: Retirement fund saved from bankrupt-\ncy. Also, since RR took office, benefits for average\nretired couple rose $170 a month.\nEducation: Now discussion centers on how much children\nshould learn, not how much government should spend.\nThat's a result of the Administration's leadership in\ncommissioning Excellence report.\nU.S defenses, America's leadership role being restored.\nThe declining U.S. commitment to adequate defense\nspending has been reversed under RR and funding for\nneeded strategic and conventional weaponry is being\npassed by Congress.\nMorale in the armed services is up; quality of men and\nwomen in uniform should be source of pride to all\nAmericans.\nHave followed firm, realistic policy in U.S.- - Soviet\nrelations.\nPut forward comprehensive set of proposals for nuclear\narms reductions. Hopeful Soviets will return to talks\nand U.S. ready to resume negotiations. Believe it's in\nSoviet interest to return to table.\nHad successful summit in Williamsburg. Leaders of\nindustrial nations struck broad agreement on basic\nWestern economic goals. (Note OECD report, out Wed-\nnesday, was more optimistic about prospects for world\neconomy than any in several years. OECD is Organiza-\ntion for Economic Cooperation and Development -- group\nof economists of leading industrialized nations.)\nAction in Grenada, efforts to strengthen alliances,\nhave demonstrated new U.S. resolve to protect and\nfurther her national interests and resume rightful\nplace of leadership in the world.\nDisappointments?\nBiggest is loss of brave young men in uniform.\nDecision to send men into danger toughest any President\nhas to make. Was the right decision, but wish it\ndidn't have to be made.\nDeficits, of course, but RR's determined to get them\ndown. Budget for FY85 will show how we can reduce the\ndeficit in coming years -- and we're going to work hard\nto get Congress on our side.\nLegislatively, still looking for progress on many\nfronts:\n-- Enterprise Zones;\n-- Tuition tax credits;\n-- school prayer;\n-- budget restraint;\nTHE WHITE HOUSE\nWASHINGTON\nFebruary 1, 1984\nMEMORANDUM FOR FRED F. FIELDING\nFROM:\nJOHN G. ROBERTS\nSUBJECT:\nWall Street Journal Interview --\nScheduled for February 2, 1984\nWith the President\nRichard Darman has asked that we send any comments on the\nattached interview briefing materials directly to Mike\nBaroody by 3:30 p.m. today. The bulk of the materials\nconcerns the progress of the economic recovery. There is a\nquestion and answer on the line-item veto, in which the\nPresident states he would welcome even the one-year\nexperiment proposed by some Democrats. He expresses a\npreference for a Constitutional amendment, to effect\npermanent structural change, but nothing in the draft answer\nprecludes acceptance of our suggested statutory approach of\nenhanced Presidential authority not to spend individual\nitems of appropriation.\nThere is also a question and answer on resistance to\nprotectionist pressures, in which the President reiterates\nhis commitment to free trade but, appropriately, notes that\nwe will enforce the law with respect to subsidization or\nother unfair trade practices. Nothing in the draft answer\ncompromises the pending applications for protection under\n§ 201 of the Trade Act of 1974, 19 U.S.C. $ 2251.\nI have no legal objections.\nAttachment\nTHE WHITE HOUSE\nWASHINGTON\nFebruary 1, 1984\nMEMORANDUM FOR MICHAEL E. BAROODY\nDEPUTY ASSISTANT TO THE PRESIDENT\nDIRECTOR, PUBLIC AFFAIRS\nOrig. signed by FFF\nFROM:\nFRED F. FIELDING\nCOUNSEL TO THE PRESIDENT\nSUBJECT:\nWall Street Journal Interview --\nScheduled for February 2, 1984\nWith the President\nCounsel's Office has reviewed the above-referenced briefing\nmaterials, and finds no objection to them from a legal\nperspective.\nCC: Richard G. Darman\nFFF:JGR:aea 2/1/84\nbcc: FFFielding/JGRoberts/Subj/Chron\nTHE WHITE HOUSE\nWASHINGTON\nFebruary 1, 1984\nMEMORANDUM FOR MICHAEL E. BAROODY\nDEPUTY ASSISTANT TO THE PRESIDENT\nDIRECTOR, PUBLIC AFFAIRS\nFROM:\nFRED F. FIELDING\nCOUNSEL TO THE PRESIDENT\nSUBJECT:\nWall Street Journal Interview --\nScheduled for February 2, 1984\nWith the President\nCounsel's Office has reviewed the above-referenced briefing\nmaterials, and finds no objection to them from a legal\nperspective.\nCC: Richard G. Darman\nFFF:JGR:aea 2/1/84\nbcc: FFFielding/JGRoberts/Subj/Chron\nID #.\nCU\nWHITE HOUSE\nCORRESPONDENCE TRACKING WORKSHEET\n0 . OUTGOING\nH INTERNAL\nI . INCOMING\nDate Correspondence\nReceived (YY/MM/DD)\n/\n/\nName of Correspondent:\nBichard G Darman\nMI Mail Report\nUser Codes: (A)\n(B)\n(C)\nSubject:\nthe President\nscheduled for fomorrow, 2/2, With\nWall Street Jurnal Satermin -\nROUTE TO:\nACTION\nDISPOSITION\nTracking\nType\nCompletion\nAction\nDate\nof\nDate\nOffice/Agency\n(Staff Name)\nCode\nYY/MM/DD\nResponse\nCode YY/MM/DD\nW Holland\nORIGINATOR 84,02,01\n/\n/\nReferral Note:\nWAT18\nD 84,02,01\n584,02101\n3:30PM\nWATIT\nReferral Note:\nA 84,02,01\n/\n/\nReferral Note:\n/\n/\n/\n/\n-\nReferral Note:\n/\n/\n/\n/\nI\nReferral Note:\nACTION CODES:\nDISPOSITION CODES:\nA - Appropriate Action\nI - Info Copy Only/No Action Necessary\nA Answered\nC Completed\nC - Comment/Recommendation\nR. - Direct Reply w/Copy\nB - Non-Special Referral\nS Suspended\nD Draft Response\nS For Signature\nF - Furnish Fact Sheet\nX Interim Reply\nto be used as Enclosure\nFOR OUTGOING CORRESPONDENCE:\nType of Response = Initials of Signer\nCode\n=\n\"A\"\nCompletion Date = Date of Outgoing\nComments:\nKeep this worksheet attached to the original incoming letter.\nSend all routing updates to Central Reference (Room 75, OEOB).\nAlways return completed correspondence record to Central Files.\nRefer questions about the correspondence tracking system to Central Reference, ext. 2590.\n5/81\nDocument No.\nWHITE HOUSE STAFFING MEMORANDUM\nDATE:\n2/1/84\nACTION/CONCURRENCE/COMMENT DUE BY:\n3:30 p.m. TODAY\nSUBJECT:\nWALL STREET JOURNAL INTERVIEW -- SCHEDULED FOR TOMORROW, 2/2\nWITH THE PRESIDENT\nACTION FYI\nACTION FYI\nVICE PRESIDENT\nMcFARLANE\nMEESE\n>\nMcMANUS\nBAKER\nMURPHY\nDEAVER\nOGLESBY\nSTOCKMAN\nROGERS\nDARMAN\nP\n85\nSPEAKES\nFELDSTEIN\nSVAHN\nFIELDING\nVERSTANDIG\nFULLER\nWHITTLESEY\nHERRINGTON\nBaroody\nHICKEY\nTutwiler\nJENKINS\nREMARKS:\nPlease forward any comments directly to Mike Baroody, with a copy to\nmy office, by 3:30 p.m. TODAY. Thank you.\nRESPONSE:\nRichard G. Darman\nAssistant to the President\n1984 FEB -1 PM /: 48\nExt. 2702\nReceivedSS\nTHE WHITE HOUSE\n1984 FEB - I PM 1: 27\nWASHINGTON\nFebruary 1, 1984\nMEMORANDUM TO RICHARD DARMAN\nFROM:\nMIKE BAROODY\nMB\nSUBJECT:\nWALL STREET JOURNAL INTERVIEW / RR\nAttached for your staffing are draft materials for the\nPresident's Wall Street Journal interview scheduled for\ntomorrow, Thursday.\nFebruary 1, 1983\nNOTES FOR WALL STREET JOURNAL INTERVIEW\nGeneral Points\nProgram working: 1983 first year since 1972 with:\n-- consistent growth (up over 6%) ;\n-- low inflation (2nd straight year under 4%) ;\n-- falling unemployment (down 2.5 points).\nEconomic outlook: can have prolonged expansion, not\njust cyclical recovery, if Congress cooperates.\nFairness charges:\n-- Democrats' double-digit inflation most unfair to\npoor. Stole more than $1000 from family on $5000\nfixed income in 1979-80.\n-- Unfair to whom? Not to taxpayers with lower rates,\nor to workers with higher real wages, or to fixed\nincome poor and elderly with lower inflation.\nJobs: no clearer contrast with Dems than here. They\nproposed one \"jobs\" bill they claimed would create\n300,000 public works jobs. Would have spent $3.5 bil-\nlion. But without that costly pork-barrel, a growing\neconomy put more than 300,000 a month to work in 1983.\nPolitics\nExpect hard fought campaign but that's good -- people\ndeserve full airing of issues.\nDemocrat contenders: Lots of talk about new ideas\ncoming from them, but they aren't offering any.\nWhy the focus on Mondale already?\n-- RR not singling him out. Just seems that whenever\nRR mentions overpromising to special interests,\npeople seem to think of him first.\n-- To RR, all eight sound pretty much the same now.\n--\nHappy to leave the choice to Democrats.\n--\nWhichever of the eight is nominated, the voters'\nin 1984 have same basic choice as in 1980: Go\nforward to era of opportunity or back to era of\nlimits.\nQ & A\n1.\nIf deficit reduction panel (on downpayment) fails, how\nlong do you think it will take before the deficits\nstart crowding out private borrowing and hurting the\nrecovery?\nToo soon to talk about failure. Budget just went to\nHill Wednesday.\nEffort shouldn't fail. Democrats (and Republicans)\nboth called for similar bipartisan talks.\nEven before SOTU, majority leader Wright, Gillis Long,\nmany other Hill Democrats, asked for such talks.\nSo shouldn't write off the effort before it's really\neven gotten started.\nSo the question's hypothetical -- but can say this:\n-- Recovery still looks solid. Good news of the past\nweek shows that's true:\nNew home sales at 5 year high;\nProductivity up 3.1% in 1983, most since '76;\nLeading indicators up almost 16% in a year;\n-- The pace has slowed somewhat from last summer, but\nthat's not bad. We don't want a boom that will\nlead to a bust -- we want sustainable growth with\nlow inflation.\n- We have that now, and we can keep it for the\nfuture if Congress will work with us to maintain\nrestraint and bring the deficit down.\n-- If we can't get solid bipartisan cooperation on\nspending, there's always the veto.\n- But, to go back to the point your question raises,\nRR's hopeful we can get some agreement, even in an\nelection year -- and make the deficit an object of\ncooperation with Congress, not confrontation.\n2.\nIs Reaganomics responsible for the recovery?\nO\nIn a word -- yes.\nThere was nothing automatic about this recovery or the\nprogress against inflation that contributed so much to\nit. Our policy changes made the big difference.\nMonetary policy also played a large role, as we said it\nwould -- but it also helped that we tried to work with\nthe Fed and not against it. (Fed policy was stymied by\nCarter Administration on-and-off policies --- like the\nill-fated try at credit controls.)\nO\nLet me put is this way. Do you think recovery could\nhave happened if:\n-- inflation were still in double-digits?\n-- tax rates had not been cut?\n--\nfederal spending was still rising 17% a year?\n--\nregulatory burdens were still growing like they\nwere? (VP's task force cut regulation costs to\nbusiness, consumers by $150 billion in next 10\nyears -- frees that money for investment.)\nO\nIf we hadn't brought interest rates down, would home\nsales be at five-year peak?\nWe've tried to be consistent - - we set our economic\npolicy and economic goals right at the start and stuck\nto them. That consistency -- in contrast to stop and\nstart policies that preceeded us -- was a major factor\nin turning the economy around.\nKey Point: Growth was the major objective. It had\nbasically come to a halt at the start of 1979 and (with\nsome ups and downs) stayed that way for four years. RR\nrejected \"era of limits\" talk and, by the start of\n1983, the economy began growing. There's enough momen-\ntum for it to continue through the '80s if we can keep\nCongress from stunting its growth.\nO\nSaid it couldn't be done: Three years ago, almost no\none thought we'd come this far this fast.\n-- Inflation was expected to stay high for years.\n-- Energy shortages, rising costs, were said to be\npermanent.\n-- Growth was said to be a thing of the past.\n3.\nIf the money supply is too tight and leads to an eco-\nnomic downturn in mid-year, are there steps you could\ntake to maintain the recovery?\nNo reason to expect down-turn -- recovery's going well.\nFed within its targets for growth in money supply and\nwe expect they will try to stay there.\nHave learned one lesson well from last 10-20 years of\nexperience: Can't fine tune the economy with any pre-\ncision. Important to maintain steady course over the\nlonger term.\nCan't expect every economic. sign to be up every month\n-- and must not panic or change course if some are not.\nExample: Leading indicators index went down in\nNovember. But, that didn't change long-term outlook.\nBack up in December, the index has risen 15 out of last\n16 months. Overall, the index' performance strongly\nsuggests continued growth in future.\n4.\nWhat are prospects for the line-item veto and would you\naccept the one-year experiment being suggested by Con-\ngressional Democrats?\nProspects for passage have improved.\nLast year in the Senate, the Armstrong-Long amendment\nto give the President \"enhanced recission authority\"\n(not a line-item veto but similar in concept) was\ntabled by a very close vote of 49-46.\nCan't predict Congress will pass, but the odds may be\nbetter now than ever in the 100+ year history of the\nidea. RR intends to push for it.\nAs for the one-year experiment -- we'd welcome it.\nCan't say just how it might be used this year. (Frankly\nan election year may not be best time to give it a fair\ntrial -- but RR willing to give it a try if Congress\nacts)\nOf course, would prefer permanent structural change\nthat only a Constitutional amendment can give -- rather\nthan statutory authority that Congress can give one\nyear and take away the next.\nBut if RR had the authority last year, might have used\nit, for example, against provision of Energy Department\nmoney bill that requires DoE to have certain number of\nemployees to run programs - whether they re all needed\nor not.\n5.\nCan you continue to resist protectionist pressures,\nespecially in steel and other heavy metal industries?\nRR firmly committed to free trade principles.\nMust try to avoid temptation to raise more barriers to\ntrade -- and keep focus on trying to bring them down.\nConsumers would be first to suffer from protectionism.\nAmerican industry being hurt by unfair foreign compe-\ntition can expect we will take appropriate actions to\noffest subsidazation or other unfair trade practises by\nother countries. We will enforce the law.\n6.\nWhat will be the major areas of concern at the economic\nsummit in June?\nOur British hosts are working with the Allies to\nestablish the agenda for the London summit.\nWould be premature to talk now as if the agenda were\nset in concrete. It's not.\nObviously, will want to build on the many positive\npoints of agreement struck at Williamsburg and at\nprevious summits.\nExpect we will also seek to expand cooperation on\neconomic policy consultation and on international trade\nand debt strategies.\n7.\nWill RR have to raise taxes in a second Administration?\nWill have to raise revenues but believe we can do that\nwithout raising tax rates. Combination of broader tax\nbase (by getting at underground economy), tax simplifi-\ncation, and continued growth would be a better way.\nRR hopes that Treasury review announced in SOTU will\nlet us bring rates down, not raise them.\nRR's losing patience with those who still criticize the\ntax cuts, in light of the economic progress we've seen\nsince they took effect -- and the obligation in fair-\nness we had to American taxpayers to lighten the rising\ntax burden.\nO\nIt's clear tax policy is a major point of difference\nin this campaign year. Contenders for the Democratic\nnomination say they'll raise taxes, one way or the\nother. (Some of them talk about spending cuts, too,\nbut you can sense their hearts aren't in it.)\nKey point: As RR said in SOTU, real question is how to\nget the deficit down. Simply must not be done the\nwrong way -- by wiping out incentive tax cuts we worked\nso hard for."
}