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.

I think history will judge him very harshly for not having seized the opportunity in the year 2000 to embrace the offer that was very courageously made by the then Israeli Prime Minister, Ehud Barack, which involved the Israelis agreeing to 90 per cent of what the Palestinians had wanted.

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.

[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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It is impossible as an Australian, as we come to the end of this century, not to feel an immense sense of surging excitement about the opportunities that lie in front of us. There is no nation on earth that has been gifted with the special combination of such assets. We are in every sense of the word a projection of Western civilisation in this part of the world. We have taken the good things from Europe, the liberal political traditions, the civility of our public life, and thankfully we have rejected the bad things of Europe, the stultifying class divisions built on tribal prejudice.

Part of the job of a Prime Minister in these contemporary times is, whilst enthusiastically embracing change and globalisation, he or she must also embrace what is secure - what people see as 'home' I suppose. I want to provide Australians with this security as we embrace, as we must and will, a new and vastly different future.

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.

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.

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.

By the year 2000 I would like to see an Australian nation that feels comfortable and relaxed about three things. I would like to see them comfortable and relaxed about their history. I would like to see them comfortable and relaxed about the present and I'd also like to see them comfortable and relaxed about the future.

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