Former National Security Advisor Robert C. McFarlane told a Kennedy School audience Monday night that military action is only one of "dozens of measures" the United States should employ in an effective strategy to combat world-wide terrorism.

"Unless there is the expectation or the risk of loss in a terrorist's mind, there is no deterrent," McFarlane told the capacity crowd of 620 at the K School's Institute of Politics (IOP) Forum. "There has to be an active family of measures you're willing to take."

McFarlane's address, "Terror and Counter Terror: Elements of an effective U.S. Response, was scheduled before the U.S. air strike. And though he spoke mostly on broad policy recommendations to combat terrorism, he did take time out to discuss the recent U.S. air strike against Libya.

The value of the attack on Libya was that it "changed terrorists' prior expectations that violence is not an option for the United States," McFarlane said.

McFarlane's address was part of the ex-marine's two-day visit to Harvard as a Visiting Fellow of the IOP. He also met with a section of a government class, ROTC students, various K-School groups and undergraduate political organizations.

McFarlane stressed in his speech that attacks such as those against Libya should be part of a "coherent family of instruments, not all of which are applicable against every target." The U.S. should first respond with nonviolent but "active" measures, such as economic sanctions, he said.

But the failure of the U.S.'s European allies to participate in such measures undermines the effectiveness of sanctions, McFarlane said. He sharply criticized the allies' policies toward terrorism for being dominated by "a combination of greed and fear."

"When you trade with a country that murders innocent civilians, that is an expression of greed," McFarlane said referring to the lack of support in Western Europe for the U.S.'s imposition of economic sanctions against Libya in 1981.

McFarlane said the U.S. should explore "the value of a truly clandestine service" that would gather intelligence in foreign countries in cooperation with U.S. allies and which could "move against and prevent" detected terrorism threats. He said that carefully developed congressional oversight procedures could prevent any "abuse of authority" by such a group.

Naval blockades and the mining of territorial waters rounded out McFarlane's list of the "active" measures that could be used to combat terrorism. The U.S. must also improve its "passive" anti-terrorism measures by gathering and sharing intelligence with its allies, improving security, and by increasing international cooperation in law enforcement against terrorists, McFarlane said.

"The beginning of an effective counter-terrorism policy must be education," McFarlane said, calling for a government-initiated public discussion on the nature of terrorism. "Ninetypercent or more of terrorists are not people whoaspire to freedom, nor victims of some socialinjustice, nor reacting to some flaw in U.S.policy, they are murderers," he said at a pressconference before the speech.

"They are wrong in both their ends and theirmeans," McFarlane said. He identified terrorists'end as the "effort by a minority to impose itswill on the minority" and their means as the"attack of innocent men, women, and children.

Iran's goal is to "establish Islamicfundamentalism as the basis of a new order" andKhadafy seeks "to expel his enemies from theMiddle East, be they Arabs, Jewish, or American"and to establish himself as a "Pan-Arab leader,"McFarlane said.

Some terrorists, such as the PLO have a"legitimate basis for complaint on something thatought to be negotiable," McFarlane said. But headded that even if the PLO's requests for ahomeland were met, there would not be an end toterrorism in the Middle East.

"The states supporting terrorism are not muchconcerned with the Palestinians struggle for theirown identity," McFarlane said. "In 1982 when thePLO was leaving Lebanon looking for a home,Khadaffi's recommendation was that they commitsuicide," he added.

When asked if the U.S. goal in bombing a Libyancommand center was to assassinate Khadafy,McFarlane replied "I wouldn't say it didn't crosspeople's minds that he might have been there. Buthe added that assassination is "not only againstthe law but not feasible or sensible" as aninstrument of policy.

The Soviet Union's position on terrorism isambiguous, McFarlane said. The Soviets' support ofLibya and Syria could risk a confrontation withthe U.S., he said, but added "Libya's goal ofexpelling the United States from the Middle Eastis one the Soviets would benefit from.