Herzliya is known for debating the ideas that shape Israeli policy, and discussions that offer valuable insights for other countries, including mine.

As you know, education is our most powerful tool for overcoming the ignorance, hatred, and fear that fuel terrorism and unrest. It ignites individual change and inspires a more civil society.

As the Talmud says, "the very world rests on the breath of a child in the schoolhouse."

Today, we've heard many ideas about how Israel can better pursue excellence in education. I've been interested to hear about your work and some of the challenges we all face, such as:

• Developing critical human capital,
• Equipping students with the skills our knowledge-based economy demands, and
• Using technology to further customize instruction.

I'd like to share some of the approaches we've used to address these challenges and strengthen education in the United States.

First, developing human capital. As you know, not long ago, you could earn a good living through manual labor, even in the industrialized world. Today, 90 percent of the fastest-growing jobs in my country require postsecondary education. Technology has revolutionized the way we do business, and employees need more advanced skills to succeed.

Just like business, medicine, or any other enterprise, education must adapt with the times. As you know, the "hosen" or strength of our countries depends on our ability to train capable, knowledgeable citizens who can lead us into the future.

That's why in the United States, we recently made a commitment to educate every child at every level. That commitment is the landmark law known as No Child Left Behind. It set a deadline to have virtually every student learning on grade level by the year 2014.

Before this law, students were advanced from grade to grade, and nobody knew whether or not they had learned to read, write, add, or subtract. We invested billions of dollars, and in return, we simply hoped for the best.

This lack of accountability helped create an achievement gap where poor and minority students lagged far behind their peers. As a result, even today, almost half of our African-American and Hispanic students fail to graduate from high school on time.

Parents, taxpayers, educators, and policymakers agree that our country cannot afford to lose out on the talent, creativity, and brainpower of so many students. In this new millennium, our country's success depends on educating every child to his or her full potential. Thanks to No Child Left Behind, we are now holding states and schools accountable for reaching that goal.

You would never run a business without information on company performance, never invest resources without facts, and never reward those who consistently under-achieve. Yet that's exactly what we were doing.

We have a saying in the United States: "What gets measured, gets done." To help underperforming students, No Child Left Behind requires states to measure their progress over time. They test children's reading and math skills every year from grades three through eight, and also once in high school. By tracking achievement, the law lets teachers, parents, taxpayers, and policymakers know which students are falling behind, and where... so that they can target time and resources where they're needed.

In addition, No Child Left Behind holds the system accountable for helping students reach grade-level learning by 2014. It provides resources to help those in need of improvement, including free tutoring and the ability to transfer to better-performing schools.

I'm proud to say that this approach is working. Just last week, we celebrated the 5-year anniversary of the law, and our national report card shows that young readers made more progress in five years than in the previous 28 years combined. Reading and math are reaching all-time highs. Achievement gaps between various demographic groups are at all-time lows.

But we still have important work ahead, and I appreciate this opportunity to share ideas about how to achieve our next great goal: equipping students with the skills the global economy demands.

Regrettably, as I travel in my country and around the world, business leaders tell me the same thing again and again: our education systems are not keeping pace with the new knowledge economy.

In this century, an expert, innovative workforce is as critical a national resource as energy or technology. A recent article from Economist magazine talked about the "battle for brainpower" – how talent is becoming one of the world's most sought-after commodities. Successful companies are relocating to follow the talent, whether it's in Tel Aviv or Texas... And so are the jobs, resources, and improved quality of life they provide for communities and entire regions.

All of us know that it's not enough to simply acquire knowledge; students must understand how to apply that knowledge in the real world. They must know how to think critically and creatively. They must become lifelong learners who are fluent in math, science, and foreign languages, the common currencies of today's global economy.

Math teaches students to think analytically and to solve problems in rational, logical ways. And its language and principles are universal. After all, 2 + 2 = 4 in any language.

Science invites children to investigate our world and prepares them to fight AIDS, cure cancer, end hunger, develop new renewable sources of energy, and improve the lives of people in their countries and around the world.

Learning new languages shows them the value of reaching out to cultures other than their own, and allows them to compete in new marketplaces.

These skills become more critical by the hour, and so I'm sure you in Israel count yourselves fortunate to have the highest number of scientists and engineers per capita in the world. Yet as we've heard today, your citizens share my concern that many more of these innovators are needed.

To answer this need in my country, President Bush launched a plan to:

• Increase rigor in our secondary schools
• Strengthen math and science education throughout the system
• Provide financial incentives for needy college students to study math and science
• Enhance critical language teaching and skills – an area where the United States trails most of the world

We've also drawn on the strength of America's business community. Just as they helped bring sound management principles like accountability to our schools with No Child Left Behind, business leaders are working with us to increase the level of rigor in our schools, and to focus more keenly on math and science. And that's a dramatic change.

Just a few years ago, executives may have helped to support their local schools by volunteering or fundraising. Today, they're helping reshape the entire enterprise to better align curriculum with workforce needs. And their influence is all the more important because unlike most nations, including Israel, the United States government is a mere 8 percent investor in education. We need their support to create meaningful, long-lasting change.

I'm also confident that the business community will be instrumental in our next stage of reform, customizing instruction, which is the final subject I'd like to address.

As technology transforms the way we live, work, and play, schools must become flexible and agile enough to meet employers'—and students'—changing needs. And that means tailoring instruction and using time in more innovative ways—so that every child gets the extra help they need when they need it... as well as the rigorous coursework they need and deserve.

Recently, I traveled to Silicon Valley in California to meet with business leaders such as John Chambers of Cisco and Scott McNealy of Sun Microsystems. These innovators are already transforming every aspect of the way we live, work, and play. Lucky for us, they're now also turning their talents towards education.

Thanks to No Child Left Behind and to technology developed by companies like these, we are now armed with information that can improve and personalize instruction. Instead of one-size-fits-all, we can teach to each child's potential.

We already have so much customization in our lives. Our computers are built to order... our eyeglasses are ready in an hour... and every time I go online to buy a book, a window pops up that tells me if I like this one, then here are 5 more I should try.

If you're working on your golf swing or your tennis game, your instruction is tailored to you. Why shouldn't we do the same in education?

After all, every child is different, and every child has different needs... but our countries' success depends on equipping all our children with the knowledge and skills they need to succeed—something we've never really done before.

Technology can also supply educators with proven methods of instruction. Too often, we ask teachers to reinvent the wheel—even though research has shown that some methods are far more effective than others.

Of course, teachers want and deserve to develop their own unique approaches. But at the same time, by offering sharing the most effective practices, we can free up tremendous amounts of time and energy and enable them to better focus on helping students improve.

For example, through the Excellence 2000 program, Israel and the Society for Excellence through Education are already reaching more than 2,000 American students and providing interactive lessons in math and science on the web. In this case, not only are you helping students learn, you're strengthening international relations! And maybe curing cancer, too.

The United States is as committed as Israel to equipping students with the resources and instruction they need to succeed. If we don't, we won't be leading innovators for long.

We also share the belief that once you have an education, what matters most is how you use it to improve your own life and others'.

When provided to all, education is the great equalizer. It gives every child a chance to achieve their hopes and dreams. Those with whom I have labored in the education policy arena know that if you challenge the status quo and are willing to roll up our sleeves and work for a better system... positive change can, and will, take hold. Not just in one life, but in the whole community.

It's our responsibility as leaders to maintain that long-term perspective and plan for the future... today. If we do, we'll ensure that today's students and future generations have access to an education that opens wide the doors of opportunity, both at home and abroad.

Thank you.

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