A strategy for combatting international terrorism should include (1) a declared no-concessions policy that will reduce or eliminate any gains from terrorist acts against U.S. citizens abroad and (2) the development of international agreements that will deny asylum to terrorists, provide sanctions against countries supporting terrorist activity, and counter specific terrorist tactics. In imposing sanctions against countries that aid terrorists, broader foreign policy goals should be considered, however, such that efforts to combat terrorism may not impede dealing with more basic international problems of which terrorism is but a symptom. Although domestic terrorism is not currently a significant problem in the United States, the level of terrorist activity in the United States associated with foreign or ethnic causes has been increasing. Still, law enforcement at the State and Federal levels must be in a continuing position to react promptly and effectively against terrorist threat. This requires the development of an intelligence network. Intelligence regulationsshould be reviewed to determine if they are unduly restricting intelligence gathering. If such a review is postponed until the terrorist threat reaches significant proportions, the result is likely to be an overreactive expansion of law enforcement powers. Preparation for terrorist incidents of great magnitude requires the development of rapid credibility assessment capabilities to reduce the effects of hoaxes. Such events would most likely be dealt with at the Federal level by the Department of Justice and the Federal Emergency Management Agency. The President will play a major role in shaping public attitudes and reducing alarm.