Word: deficit
(lookup in dictionary)
(lookup stats)
Dates: during 1960-1969
Sort By: most recent first
(reverse)
...Drain. President Johnson faces the unpleasant task of producing what he calls "strong and specific" actions to deal with the persistent U.S. balance-of-payments deficit, a problem intimately related to gold. The President's advisers are still debating just how "strong" these imminent measures should...
Just before De Gaulle spoke, Treasury Secretary Douglas Dillon made the first public admission that the U.S. payments deficit in 1964 moved higher than anyone had expected. It totaled about $3 billion, all of which the U.S. is legally committed to exchange for U.S. gold on demand. The Federal Reserve announced that the U.S. gold supply declined last week by $100 million, to a 26-year low of $15.1 billion...
...value of money would be guaranteed by the immutability of gold. In theory, the world monetary system would become more stable, less vulnerable to crises of confidence. By tying the money supply to gold, the system would prevent overspending. In the U.S. and Britain, which now can pay their deficits out of their own currencies, it would impose a stern fiscal discipline, curb deficit financing and do away with many of the excesses that lead to inflation and recessions. Among other things, it would force the U.S. to eliminate its balance-of-payments deficit quickly, by hook or by crook...
...Spain's Franco, is trying to form a new European axis designed to embarrass and weaken the U.S. by attacking the dollar. To buttress the dollar, Federal Reserve Chairman William McChesney Martin Jr. has been strongly urging President Johnson to move swiftly and dramatically to wipe out the deficit in the balance of payments. "Some way or other, something has to be done," Martin said recently. "It is important that we face up to the fact that we have become a chronic deficiteer-and that leaves us in a weak position...
Johnson's Compromise. The State Department believes, in fact, that a $3 billion payments deficit should not really bother a nation that boasts both a $650 billion economy and twice as much in claims against foreign currencies as foreigners have against the dollar. It argues that the U.S. could reduce the deficit by $500 million simply by counting short-term foreign deposits in the U.S. as assets instead of liabilities...