From the same page as the quote at the top:
the world has been apostate for generations past: it has been under the dominion of the prince and power
of the air, even the god of this world, who rules in the hearts of the children of disobedience. As I have stated
before they have been wrong in their national affairs, they have been wrong in political affairs, they have been
wrong in their religion and they have been wrong in everything.( JOD 6:167)
Not so much as needing to improve their lives, but how everyone else is wrong and how God will use the LDS to set the world right. Although, he does discuss they needed to learn obedience to teach obedience.
http://contentdm.lib.byu.edu/cdm4/document.php?CISOROOT=/JournalOfDiscourses3&CISOPTR=9602&REC=6
Not so much as needing to improve their lives, but how everyone else is wrong and how God will use the LDS to set the world right.
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There is a lot about how we are to be in the world, but not of the world.