Conversation 556-004

On August 6, 1971, President Richard M. Nixon, H. R. ("Bob") Haldeman, Stephen B. Bull, John B. Connally, Alexander M. Haig, Jr., George H. W. Bush, Rudolph A. Peterson, and White House photographer met in the Oval Office of the White House from 10:34 am to 11:38 am. The Oval Office taping system captured this recording, which is known as Conversation 556-004 of the White House Tapes.

Conversation No. 556-4

Date: August 6, 1971
Time: 10:34 am - 11:38 am
Location: Oval Office

The President met with H. R. (“Bob”) Haldeman.
[The conversation was in progress when the recording began]

     President's appearance before Girls Nation
          -Photograph session
                 -President’s comments
          -President’s comments
                 -Editing
                 -Role of women
                       -Thelma C. (“Pat’) Nixon
                            -Women's liberation

Stephen B. Bull entered at an unknown time after 10:34 am.

     Signature

     Maurice H. Stans

Bull left at an unknown time before 10:37 am.

     President's schedule
          -Meetings

John B. Connally entered at 10:37 am.

Connally’s schedule
    -Johnnie M. Walters
          -Internal Revenue Service [IRS]
    -Forthcoming meeting with Rudolph A. Peterson

President's schedule
     -Peterson’s meeting

US economy
     -Proposed actions
          -Strategy
          -Possilbe involvement of Arthur F. Burns, Paul W. McCracken, Peter G.
                Peterson
          -Secrecy
          -President’s recent conversation with Burns
                -Burns’ salary
                -President’s instructions
                      -Burns as administration spokesman
                            -Forthcoming Time magazine story
          -Timing
                -Congressional recess
                -People’s Republic of China [PRC] announcement
          -Letter
          -Task force
                -Timing
                -Announcement
                      -Connally’s recent statement
                            -Wage and price board
                                  -Polls
                                  -Recommendation
                                        -Timing
                      -Need to show action
          -State Department appointees briefing
                -Comments by Connally and George P. Shultz
                      -Inflation
          -Connally’s discussion with Time reporter [Larry Malkin]
                -Policy change
          -Objectives
                -Inflation
                -Employment
                -Policy change

            -Malkin
                  -Time story
-Possible problem
     -Anticipation of Administration action
-Tax measures
     -Budget
            -Shultz
            -Recommendations
                  -Connally’s possible comments
                  -Timing
                        -San Clemente
-New York Times article
     -Compared to PRC announcement
            -Pentagon Papers
            -Lt. William L. Calley
            -Vietnam
            -Michael J. Mansfield
            -Criticism
-Effect of crisis
     -Public concern
-New York Times article
     -Quoted
-Timing
     -Effect of international monetary situation
-Wage and price freeze
     -Wage Price Board
            -Name
                  -Burns
                        -Forthcoming meeting
            -Prices
            -Credit
            -Timing of action
-Import tax
     -Possibility of Congressional approval
            -Wilbur D. Mills
     -Burns’s conversation with the President
            -Burns's conversation with the Japanese ambassador
                  -Yen
     -Flexibility
            -Possible removal
     -Scope

            -Compared to Payne-Aldrich Tariff
-Psychological impact
-Pierre Rinfret's recommendation
      -Speech
-Need for action
      -President's position as leader
-Wage and price freeze
      -Message to people
            -Work and competitiveness
      -Responsibility of labor and management
      -Studies
-Timing
      -Congressional recess
      -Public move
-Economic indicators
      -Unemployment rate
      -Retail sales
-International situation
      -Effect on timing
      -Connally and Shultz meeting
-Connally's schedule
      -Texas
      -Contact with the President
-President's schedule
      -California
-Shultz
-Risk-taking
-Possible international reaction
-Package
      -Import tax
            -Jobs
      -Investment tax credit
      -Budget constraints
      -Wage and price freeze
-Effect on US public
      -Republican goals
            -Fiscal responsibility
      -Determination to take action
      -Protection of US economy
      -Inflation
      -Unemployment

           -International economic relations
                 -President’s recent message to business

State Department
      -Possible administrative change
            -US embassies
                  -Economic ministers
      -President's conversation with William P. Rogers
            -Connally's talk with Rogers
                  -Peter M. Flanigan
            -Peter Peterson
      -Economic minister
            -Treasury Department
            -Commerce Department
            -State Department
      -Foreign service officials
            -Economic views
      -Economic minister
            -Presidential appointment
            -Rank
            -Connally’s talk with Rogers
            -Foreign service
                  -Compared to British
                  -Compared to Japanese
                  -Training

US economy
     -Proposed action
          -Automobile tax
               -Effect of timing
                      -Fall new model season
                      -Television advertisement
                      -New model season
          -Tax credit
               -Railroad industry
               -Need to help business
               -Tax bill
                      -Veto
                      -Poor
          -Football metaphor

     President’s schedule
          -Rudolph Peterson

Haldeman left at 11:06 am.

Rudolph Peterson, Alexander M. Haig, Jr., and George H.W. Bush entered at 11:06 am; the
White House photographer was present at the beginning of the meeting.

     Photograph session

     United Nations [UN] Development Program
          -Peterson's appointment
                -Timing
                      -Paul Hoffman
                -Acquaintance with post
          -International organizations
                -Bush
                -Connally
                      -Discussions with the President
                -Multilateral compared to bilateral aid programs
                      -Political effect of multilateral action
                            -Congress
                            -Representation
                                  -Foreign governments
                -Hoffman's orientation
                      -Compared to Peterson
                            -The President, Connally, Bush
                            -Congress
                -US public's view
                      -US interests
                -President’s forthcoming meeting with Connally
                -Views
                      -The President, Connally, Robert S. McNamara
                -US diplomacy
                      -Compared to Japanese, Western Europe
                            -Economics
                -Coordination in US government
                      -Department of the Treasury
                            -Connally
                                  -National Security Council [NSC]
                -Multilateral aid programs

      -Treasury Department
      -Funding
            -World Bank
            -Inter-American Development Bank
                  -Lack of US leverage
                  -US contribution
                  -President of Peru
                        -Position
-Possible change in US policy
      -Treasury Department
            -Bilateral relationships
      -Inter-American Development Bank
            -Brazil and unknown country
      -Treasury Department
            -Export-Import [Ex-IM] Bank
-Peterson
      -Hoffman
      -Coordination with Connally
      -Inter-American Development Bank
-Coordination of international aid efforts
      -Informal meetings
            -McNamara, development banks
      -State Department
      -Board of Directors
      -Ex-Im Bank
      -Burns
      -Henry A. Kissinger
      -Exchange of views
            -Agency for International Development [AID]
                  -John A. Hannah
            -Dinner
                  -Timing
                  -State Department
                  -Kissinger
                  -McNamara
                  -Pierre-Paul Schweitzer
                        -International Monetary Fund [IMF]
            -Meeting
                  -Timing
                        -IMF meeting
                  -McNamara

                                     -Dinner
                 -US policy
                      -Representation in international bodies
                            -Congress
                 -Possible Congressional action
                      -Wright Patman's comments
                            -J. William Fulbright
                 -UN Development Program
                 -Hoffman
                      -Reorganization
                            -Administration support
                            -Agencies
                                 -Contracts
                                 -State Department
                                 -Need for coordination
                                 -Country program basis
                                       -Compared to individual projects
                 -UN
                      -Public support
                 -Coordination of US officials
                      -Meeting

[General conversation]

     The President's schedule
          -Nashua, New Hampshire

Peterson, et al. left at 11:38 am.