Our second task is to do the constructive work of building a genuine peace. We must never become so preoccupied with our desire for military strength that we neglect those areas of economic development, trade, diplomacy, education, ideas and principles where the foundations of real peace must be laid.

Now this brings me to my main topic - our military strength - more specifically, how to stay strong against threat from outside, without undermining the economic health that supports our security.

We must achieve both security and solvency. In fact, the foundation of military strength is economic strength.

America's leadership and prestige depend, not merely upon our unmatched material progress, riches and military strength, but on how we use our power in the interests of world peace and human betterment.

This basic law of interdependence, so manifest in the commerce of peace, applies with thousand-fold intensity in the event of war. So we are persuaded by necessity and by belief that the strength of all free peoples lies in unity; their danger, in discord.

Any orderly balance-sheet of military strength must be in two parts. The first is the position as of today. The second is the position in the period ahead.