Obama Calls for Unity with Muslims, Defends Economic-Recovery Path

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President Obama addressed the possible Koran burning and proposed mosque near ground zero during a wide- ranging news conference Friday at which he defended his economic policies while acknowledging the recovery "has been painfully slow."

The president also promoted the Mideast peace talks now underway, saying "I firmly believe it is in America's national security interests as well as in Israel's national security interests, as well as in the interests of the Palestinian people, to arrive at a peace deal."

On the eve of the ninth anniversary of the Sept. 11, 2001 terror attacks, the president appealed for religious tolerance in light of the possibility that a Florida pastor might burn copies of the Koran as a protest against radical Islam and the controversy over the New York City mosque.

Obama reminded the country that "We have millions of Muslim Americans -- our fellow citizens -- in this country. They are going to school with our kids. They are our neighbors. They are our friends. They are our co-workers."

He continued, "When we start acting as if their religion is somehow offensive, what are we saying to them? I've got Muslims who are fighting in Afghanistan in the uniform of the United States armed services. They're out there putting their lives on the line for us. And we've got to make sure that we are crystal clear -- for our sakes and their sakes -- they are Americans. And we honor their service. And part of honoring their service is making sure that they understand that we don't differentiate between 'them' and 'us.' It's just us."

To those who have questioned the wisdom of building an Islamic community center in lower Manhattan, near the site of the World Trade Center attacks, the president reiterated his belief that the organizers of the center should be allowed to proceed with construction.

One of our "inalienable rights is the right to practice religion freely," he said, adding, "What that means is that if you could build a church on the site, if you could build a synagogue on the site, if you could build a Hindu temple on the site, then you should be able to build a mosque on the site."

The president acknowledged that the world now is more unstable than before, and said that "there is always going to be the potential for a small group of people -- if they are willing to die -- to kill other people." It is, he said, simply "a reality of this world." But, Obama cautioned, "we are not at war against Islam."

Obama also discussed a group of economic proposals unveiled this week aimed at strengthening American infrastructure and giving tax credits to businesses.

He called for passage of the small business bill, currently stalled in Congress due to GOP resistance. He repeated his belief that the Bush tax cuts, set to expire on Jan. 1, should be extended permanently for the middle class, but not for wealthier Americans. On this last point, the president took sharp aim at Republicans, including Rep John Boehner (R-Ohio), who have called for an extension of all the cuts, including those for the highest earners.

Many of the points made by the president had been made before, in earlier statements and speeches, though he did announce the appointment of Austan Goolsbee as the new Chair of the President's Council of Economic Advisers.

Goolsbee's appointment was the only real "news" in the news conference -- and even that had leaked out previously -- but the headline was the passion Obama displayed in making it clear that he sides with those who believe that tolerance is one of America's most valuable weapons.
In making this point, Obama said that one of the things he most admired about his predecessor in office was that in the aftermath of 9/11, George W. Bush took pains to make it "crystal clear" that the United States was not at war with a religion, but with fanatics who had attempted to hijack that faith to further their own murderous designs. And it was this theme that Obama returned to himself whether he was discussing the proposed Islamic center near ground zero, the would-be Koran burner, or his obligations to U.S. troops fighting around the world, especially those in Muslim lands.
Obliquely addressing another lingering controversy -- a recent poll showing that some 17 percent of Americans identify Obama as a Muslim -- the president spoke about how he "relies heavily on my Christian faith."
In his 75-minute East Room session, his first such full-scale news conference in four months, Obama was asked 13 questions by nine different journalists. His answers tended to be long and discursive and covered a wide range of topics:
The Economy: The president began his news conference with a campaign-style opening statement in which he credited his administration's handling of the economic crisis, which prevented a "Depression," and chided Republican opponents in Congress for not getting with the program. Obama acknowledged, however, that voters go to the polls in November knowing that Democrats have controlled the White House and Congress for nearly two years. "Even after all the progress we've made, we're not there yet. And that means people are frustrated, people are angry," he said. "It's understandable that people are asking, 'What have you done?'"
Health Care: Obama was also asked about Democratic candidates who seem to be running away from his signature health care reform legislation passed earlier this year, and about a Centers for Medicare & Medicaid Services report showing that federal spending on health care is ticking upwards at a higher rate than anticipated. Obama acknowledged that Democrats running in tough districts were making strategic decisions about their campaigns that put some distance between them and the White House. As far as the costs, he said that was not unanticipated.
"As a consequence of us getting 30 million additional people health care, at the margins that's going to increase our costs," he said. "We knew that. We didn't think that we were going to cover 30 million people for free."
Taxes: The president emphasized his desire to keep the Bush-era income tax reductions in place -- except for the three percent of taxpayers who earn more than $200,000 a year ($250,000 for a family) -- saying that Republican reluctance to back his approach is a "perfect example" of how the two parties differ. Obama repeatedly characterized tax breaks for the wealthy as "tax cuts for millionaires."
Middle East Peace Talks: Asked about the seeming intractability of the Palestinian leadership to even accept the idea of Israel, the president was asked why he had any hopes that the latest round of talks would produce fruit. He replied that the cordiality and seriousness of purpose exhibited last week by Israeli Prime Minister Benjamin Netanyahu and Palestinian President Mahmoud Abbas when they came to the White House "frankly exceeded lots of people's expectations." He noted that the two leaders had agreed to meet every two weeks -- a start, he suggested, if not a breakthrough.
"I remain hopeful," Obama added, "but this is going to be tough."
The Capital Culture: Asked succinctly by NBC White House correspondent Chuck Todd how he had changed Washington, Obama launched into his economic argument before ruefully engaging the question on its own terms. "If you are asking me why I haven't been able to put in place a better spirit of cooperation, I think that's fair," he said. "I'm as frustrated as anybody by it."
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