The 'black armband' view of our history reflects a belief that most Australian history since 1788 has been little more than a disgraceful story of imperialism, exploitation, racism, sexism and other forms of discrimination. I take a very different view. I believe that the balance sheet of our history is one of heroic achievement and that we have achieved much more as a nation of which we can be proud of than which we should be ashamed.

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In a sense, it's always a sombre moment in a country where you ask the people who have done the right thing to put up with inconvenience because a limited number of people have done the wrong thing, but that is the nature of a democratic society.

Increasingly, modern government is about facing the challenge of very rapid change but also remembering that there are certain stabilisers in society that provide reassurance and support when a society is undergoing great change particularly of an economic character.

The debate over Australian history .. risks being distorted if its focus is confined only to the shortcomings of previous generations. It risks being further distorted if highly selective views of Australian history are used as the basis for endless and agonised navel-gazing about who we are or, as seems to have happened over recent years, as part of a 'perpetual seminar' for elite opinion about our national identity. The current debate over Australian history would benefit from a more balanced approach, from a wider perspective and from less pre-ordained pessimism. In the broad balance sheet of our history, there is a story of great Australian achievement to be told.

[O]ne of the philosophical principles that has been at the heart of the policies of our Government over the last two-and-a-half years, has been the principle of mutual obligation. And what that says is that as a decent, compassionate, caring community, we look after those who, through no fault of their own, can’t find a job or who can’t care for themselves. We are not a society that will allow people literally to beg in the streets for survival. That has never been the Australian way, and under the Coalition it will never in the future be the Australian way. But we also believe that if people are supported by their fellow Australians, and they are able to do so they should provide something in return for that support.

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There is much in American society which I admire, but I have long held the view that the absence of an effective safety net in that country means that too many needy citizens fall by the wayside. That is not the path that Australia will tread. Nor do we want the burdens of nanny state paternalism that now weigh down many economies in Europe.

We are as you all know in a new and dangerous part of the world’s history. The tragic events of the 11th of September have changed our lives, they have caused us to take pause and think about the values we hold in common with the American people and free people around the world. That was an attack on Australia as much as it was an attack on the United States. It not only claimed the lives of Australians but it assaulted the very values that we hold dear and that we take for granted. So therefore a military response and wise diplomacy and a steady hand on the helm are needed to guide Australia through those very difficult circumstances. National Security is therefore about a proper response to terrorism. It's also about having a far sighted, strong, well thought out defence policy. It is also about having an uncompromising view about the fundamental right of this country to protect its borders. It's about this nation saying to the world we are a generous open hearted people, taking more refugees on a per capita basis than any nation except Canada, we have a proud record of welcoming people from 140 different nations. But we will decide who comes to this country and the circumstances in which they come.

When I became Prime Minister nine years ago, I believed that this nation was defining its place in the world too narrowly. My Government has rebalanced Australia's foreign policy to better reflect the unique intersection of history, geography, culture and economic opportunity that our country represents. Time has only strengthened my conviction that we do not face a choice between our history and our geography.

We spent too much time in the first half of the nineties pondering whether we had to become less European so we could become more Asian, whether we had to become less British so we could become more multicultural. We had this perpetual seminar on our national identity, contributed to overwhelmingly by the cultural dietitians. I never thought Australians had any doubt as to what their identity was. And I think we’ve moved on from all of that.