Easy NixonAbout

Conversation: 119-002

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Start Date: 20-Mar-1973 8:38 AM

End Date: 20-Mar-1973 11:59 PM

Participants:

Nixon, Richard M. (President)Stein, HerbertDunlop, John T.Scott, HughGriffin, Robert P.Tower, John G.Cotton, NorrisBennett, Wallace F.Brock, William E., IIIFord, Gerald R.Arends, Leslie C.Anderson, John B.Edwards, William J. ("Jack")Rhodes, John J.Conable, Barber B., Jr.Wilson, Robert C. ("Bob")Martin, David T.Devine, Samuel L.Bush, George H. W.Ash, Roy L.Ehrlichman, John D.Cole, Kenneth R., Jr.Timmons, William E.Cook, Richard K.Korologos, Thomas C.Ziegler, Ronald L.Hansen, Clifford P.Bellmon, Henry L.Cook, Marlow W.Bartlett, Dewey F.Clawson, Delwin M.Talcott, Burt L.Collier, Harold R.Johnson, Albert W.

Recording Device: Cabinet Room

119a.mp3

119b.mp3

119c.mp3

119d.mp3

NARA Description:

On March 20, 1973, President Richard M. Nixon and Republican Congressional leaders, including Herbert Stein, John T. Dunlop, Hugh Scott, Robert P. Griffin, John G. Tower, Norris Cotton, Wallace F. Bennett, William E. Brock, III, Gerald R. Ford, Leslie C. Arends, John B. Anderson, William J. ("Jack") Edwards, John J. Rhodes, Barber B. Conable, Jr., Robert C. ("Bob") Wilson, David T. Martin, Samuel L. Devine, George H. W. Bush, Roy L. Ash, John D. Ehrlichman, Kenneth R. Cole, Jr., William E. Timmons, Richard K. Cook, Thomas C. Korologos, Ronald L. Ziegler, Clifford P. Hansen, Henry L Bellmon, Marlow W. Cook, Dewey F. Bartlett, Delwin M. Clawson, Burt L. Talcott, Harold R. Collier, and Albert W. Johnson, met in the Cabinet Room of the White House at an unknown time between 8:38 am and 11:59 pm. The Cabinet Room taping system captured this recording, which is known as Conversation 119-002 of the White House Tapes.

Nixon Library Finding Aid:

Conversation No. 119-2

Date: March 20, 1973
Time: Unknown between 8:38 am and 11:59 pm
Location: Cabinet Room

The President met with Herbert Stein, John T. Dunlop, Hugh Scott, Robert P. Griffin, John G.
Tower, Norris Cotton, Wallace F. Bennett, William E. Brock, III, Gerald R. Ford, Leslie C.
Arends, John B. Anderson, William J. (“Jack”) Edwards, John J. Rhodes, Barber B. Conable, Jr.,
Robert C. (“Bob”) Wilson, David T. Martin, Samuel L. Devine, George H. W. Bush, Roy L.
Ash, John D. Ehrlichman, Kenneth R. Cole, Jr., William E. Timmons, Richard K. Cook, Thomas
C. Korologos, Ronald L. Ziegler, Clifford P. Hansen, Henry L. Bellmon, Marlow W. Cook,
Dewey F. Bartlett, Delwin M. Clawson, Burt L. Talcott, Harold R. Collier, and Albert W.
Johnson

     Briefing by Stein
           -Economy
                -Food prices
                      -Latest report
                -International monetary crisis
                      -Dangers
                      -Exchange rates
                            -Transition

     Domestic economy
         -Expansion
         -Unemployment
               -Reduction
         -Production increases
               -Strength
         -Expansion
         -Problem areas
                                       8

                     NIXON PRESIDENTIAL MATERIALS STAFF

                                Tape Subject Log
                                  (rev. 10/08)



           -Food prices
                 -Farm income
           -World-wide inflation
                 -United States’ devaluation
           -Inflationary pressures
                 -Expansion-oriented economy
                 -Wage and price controls
     -Food prices
           -Increases
                 -End
                 -Administration’s efforts
                       -Stabilization
           -Cattle and meat
                 -Decline
     -Inflation
           -Prices
           -Attitude of labor
                 -Cooperation
           -Standards of Phase III wage-price action
                 -Wages
                 -Cooperation between labor and management
           -System of controls
                 -Advantages
     -Productivity
           -Gains in next year
           -Expansion
                 -Moderation

Food prices
     -Release of report
          -Statement on causes
          -Expectations
     -Decline of farm prices
          -Estimate of supplies
     -Meat supplies
          -First quarter
          -Fourth quarter
          -Changes
                -Pork production
          -Meat
          -Administration’s efforts
          -Increases
                                   9

               NIXON PRESIDENTIAL MATERIALS STAFF

                           Tape Subject Log
                             (rev. 10/08)



           -Public concerns
                 -Supermarket prices
-Consumer Price Index [CPI]
     -Release to public
     -Increase in food prices
           -Increases in next few months
           -Transitory nature
-Impact on general inflation
     -Budget policy
           -Problems
                 -Expansionary economy
                 -Deficit
           -Importance
                 -Compared to prices
-Administration’s policies
     -Controls as option
           -Problems
                 -Farmers
                 -Later increases
                 -Upward pressure
                 -Price and wage controls
                 -Rationing
                       -World War II experience
           -Food prices
           -Later problems
     -Hansen and Bellmon
     -Handling of problem
           -Administration’s efforts
     -Control of marketing and processing
           -Political problems
                 -Future
-Milk
     -Wisconsin representatives
           -Imports of dairy products
     -Milk producers
           -Contributions to campaigns
                 -Wilbur D. Mills
           -Bipartisanship
                 -Wilson
           -Reducing imports
     -Imports
           -Need for action
                                   10

               NIXON PRESIDENTIAL MATERIALS STAFF

                           Tape Subject Log
                             (rev. 10/08)



     -Dairymen
           -Prosperity
-Imported beef
     -Administration position
           -Repeal of tariff
-Worldwide increase in demand
     -Beef
     -World-wide increase in consumption
     -Grain harvests in the People’s Republic of China and the Soviet Union
     -Impact on prices
     -Rising expectations
-Supplies of food
     -High production
           -Effect of price controls
           -Inflation
     -Imports
           -US increases
-Cause of high prices
     -Administration’s solution
           -Increasing supplies
           -Increasing imports
           -Increasing production
-Importance of issue
     -Labor settlements
     -Phase III wage-price action effect on labor
           -Difference from Phase II
-Labor settlements
     -Railroads
           -Amount of increase
           -Peter J. Brennan
           -Amount of increase
     -Administration action
     -Influence of prices
           -Labor demands
                 -Escalation
     -Dunlop’s role
-Administrations’s efforts
-Solution to food price problem
     -Intractability
     -Interest groups
           -Farmers, milk producers, and cattlemen
                 -Imports
                                          11

                     NIXON PRESIDENTIAL MATERIALS STAFF

                                Tape Subject Log
                                  (rev. 10/08)



          -Influence on wage settlements
          -Problem of demand
                -Inflation

Inflation
      -Administration statements
      -United States’ rate
           -Comparison with other nations
           -Great Britain
           -Japan
           -Germany
           -France
           -Italy
           -United States’ economic performance
      -United States’ dollar
           -Strength
                  -International markets
                        -Currency

Wage settlements
    -Processes

Stabilization program
      -Dunlop’s briefing
      -Legislative proposals
      -Agricultural products
      -Phase II
            -Problems
                 -Distortion of economy
                       -Prices
                       -Wages
                 -Transition
            -Domination of controls

Wages
    -Influence of food price increases
          -Negotiations
          -Concern
    -Labor-management relations in 1973
          -Current state
               -Attitude toward work stoppages and strikes
                     -Impact on imports
                                  12

               NIXON PRESIDENTIAL MATERIALS STAFF

                          Tape Subject Log
                            (rev. 10/08)



      -Strikes
            -Extended lay-offs
      -Need and desire for reform
            -Labor Management Advisory Committee
-Negotiations
      -Impact on economy
      -Progress
            -Railroads
            -Teamsters
                  -Importance
-Railroad settlements
      -Ratification problems
            -Exaggerations
      -Tax reductions
      -Wage settlements
            -Percentage increase
            -Fringe benefits
            -Pay Board
      -Public statements
            -Sensitivity
-Teamsters
      -Negotiations
            -National agreement
            -Escalation of demands
            -Chicago teamsters
                  -Agreement with national office
            -Effect on food prices
      -Frank E. Fitzsimmons
            -Challenge from James R. (“Jimmy”) Hoffa
                  -Parole
                  -Split in union
                  -Richard G. Kleindienst
                  -Enforcement of parole
-Settlements
      -Fitzsimmons and George Meany
      -Source of problems
            -Level
            -Locals
                  -Lack of control
      -Railroads
            -Ratification
            -Misunderstandings
                                             13

                         NIXON PRESIDENTIAL MATERIALS STAFF

                                    Tape Subject Log
                                      (rev. 10/08)



                           -Effect on other unions
                -Cost of Living Council [COLC] monitoring
                     -Adherence to controls

    Prices
         -Food prices
               -Statements
               -Government action
                     -Labor wages
                     -Increase of supplies
                     -Sense of concern
         -Controls
               -Monitoring by COLC
         -Productivity
         -Mandatory controls of wages
         -Food
               -Control
         -Industrial prices
               -End of Phase II wage-price controls
                     -Circumstances
         -Food
         -Raw materials
               -Increase of demand
                     -Lumber
         -Stockpile
               -Control
                     -Effect
         -Rents
         -Fuel
               -Gasoline price freeze
               -Energy
                     -Future
                     -Veto of legislation
                           -Natural gas prices
                     -Possible solution
                     -Natural gas


******************************************************************************

    Stockpile
                                              14

                           NIXON PRESIDENTIAL MATERIALS STAFF

                                      Tape Subject Log
                                        (rev. 10/08)



[To listen to the segment (5s) declassified on 02/28/2002, please refer to RC# E-613.]

******************************************************************************


                           -Increase in supply
                           -Deregulation
                                 -Washington Post editorial
                           -Need for action
                                 -Congress
                           -Tennessee and Texas
                                 -Spending
           -Rents
                -Surveys
                      -Increases
                            -Washington, DC
                            -New Jersey area
                -Roll-backs
                      -Internal Revenue Service [IRS]
                      -COLC action
           -Tower’s efforts
                -Legislation
           -Rent control
                -Avoidance of controls
                -COLC and IRS role
                -Impact on supply
           -Controls on food prices and agricultural products
                -Authority
                      -Presidential discretion
                -COLC belief
           -Implementation of controls
           -Lumber
                -Senate Banking and Currency Committee hearing
                -Administration’s program
                      -Expansion of supply
                            -Environmental concerns
                            -Work with Forest Service
                                  -Target levels
                      -International trade


******************************************************************************
                                              15

                           NIXON PRESIDENTIAL MATERIALS STAFF

                                      Tape Subject Log
                                        (rev. 10/08)




     International trade

[To listen to the segment (45s) declassified on 02/28/2002, please refer to RC# E-613.]

******************************************************************************


                -Violations of controls
                -Reduction of supplies
                -Conflicts between Budget Bureau and Forest Service
                      -Allocations of funds
                           -Purposes
                           -Reforestation programs
                -Prices
                      -Phase II
                           -Increases
                                 -Impact
                           -Future supplies
                      -Export embargo in the 1960s
                -Japanese purchases
                -Increases

     Vocational Rehabilitation Bill
         -Congressional passage
         -Veto by the President
               -Background
                     -Spending
               -Deficiencies
                     -Fiscal irresponsibility
                           -Inflationary expectation
                     -Expansion of program goals
                           -Medical programs
                     -Lack of management and accountability
                           -Department of Health, Education, and Welfare [HEW]
                           -Statutory authorities
                           -Categorical grants
                                  -Lack of coordination
                           -Dispersal of authority
               -Support for veto
               -Built-in failures
               -Necessity of veto
                                        16

                    NIXON PRESIDENTIAL MATERIALS STAFF

                                Tape Subject Log
                                  (rev. 10/08)



                 -Need for support in Congress
     -Budget allocations
           -Increases
     -Veto of bill
           -Statement of reasons
           -Democratic opposition
           -Problems of sustaining
     -Expenditures
           -Increases during administration
                 -Amounts
           -New programs
           -Administration’s proposals
                 -Compared to Congress
     -Barry M. Goldwater
     -Presidential statement
           -Veto of bill
                 -Increased taxes
                       -Publicity
                 -Emphasis on prices and taxes
           -Vote in Senate
                 -Number of Democrats
                 -Tower

Vetoes
     -Votes in Senate
          -The President’s conversation with Ford
          -Numbers to sustain
          -Impact on House
     -Veterans bill
          -Confusion of issue
          -Disabled and Vietnam veterans
                -Universal health coverage
          -House action
          -Need to clarify issue
     -Votes in House
          -Timing
     -Veterans
          -Organizations
                -Efficiency
                -Letters to congressmen
          -The President’s message on veto
                -Timing
                                             17

                         NIXON PRESIDENTIAL MATERIALS STAFF

                                     Tape Subject Log
                                       (rev. 10/08)




    Bills in Congress
          -Preparation
               -Economic stabilization
          -Release of CPI
               -Timing
                     -Problem
                     -Lyndon B. Johnson Administration

    Vetoes
         -Senate support
              -Sustaining veto
              -Need to win first bill
              -Help from White House
         -Republicans
              -Party loyalty
                    -Importance
              -Rural Electrification Administration [REA]
              -Agricultural constituents
              -Vocational Rehabilitation Act
                    -Impact in 1974 election
                    -Impact on future elections
              -Unity
         -Budget issues
              -British system
                    -Importance
                          -Votes of confidence
              -Importance
              -Democrats
                    -Difference of priorities
                    -Compared to Republican priorities
              -Need for party loyalty
                    -Test of executive control and responsibility
                    -Consequences of failure
                          -Tax increase


******************************************************************************

    Defense budget

    Arms talks
                                               18

                           NIXON PRESIDENTIAL MATERIALS STAFF

                                       Tape Subject Log
                                         (rev. 10/08)




     Foreign policy

[To listen to the segment (14m13s) declassified on 02/28/2002, please refer to RC# E-613.]

******************************************************************************


     Leadership meetings
          -Participation
                -Junior members
                      -Usefulness

     Request for figures from Dunlop

The President left at 10:26 am

     [General conversation/Unintelligible]

Stein, et al. left at an unknown time before 11:59 pm