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Conversation 569-004

TapeTape 569StartFriday, September 10, 1971 at 12:14 PMEndFriday, September 10, 1971 at 12:19 PMTape start time00:52:27Tape end time00:57:36ParticipantsNixon, Richard M. (President);  Connally, John B.Recording deviceOval Office
AI Summary

President Nixon and Secretary of the Treasury John Connally met to coordinate the transition from the Phase I wage and price freeze to the forthcoming Phase II economic program. They discussed the political necessity of setting a firm announcement date to counter public perceptions of administrative inactivity. The two agreed that establishing a specific deadline would demonstrate control and resolve regarding the administration's long-range economic strategy.

Phase IIWage and price controlsCost of Living CouncilEconomic policyPolitical strategy
AudioNARA Description

On September 10, 1971, President Richard M. Nixon and John B. Connally met in the Oval Office of the White House from 12:14 pm to 12:19 pm. The Oval Office taping system captured this recording, which is known as Conversation 569-004 of the White House Tapes.

Nixon Library Finding Aid
Conversation No. 569-4

Date: September 10, 1971
Time: 12:14 pm - 12:19 pm
Location: Oval Office

The President met with John B. Connally.

     Previous meeting with labor union representatives
          -Cooperation
          -Deferred wage increases
          -Wage and price freeze

     Forthcoming meeting with Arthur F. Burns and Connally
          -Date
                -Following Cost of Living Council [COLC] meeting

     Announcement of Phase II
         -COLC meeting
         -Follow-up program
         -Japanese departure
         -Setting deadlines
               -Political problem
                     -Accusations of inactivity by the administration
         -Previous announcement
               -End of freeze
                     -Plans for Phase II
                           -Follow-up program
                                 -Official announcement before expiration of Phase I
         -Setting date for Phase II
         -COLC meeting
               -The President's attendance
                     -Decision on announcement on Phase II
                           -Connally's announcement
                                 -Date for Phase II
         -Announcement on Phase II
               -Long-range plan
         -American public
               -Wage and price controls
         -Follow-up program
               -Date for announcement
         -Timing
         -Consultations with interest groups
               -Views of groups
         -Phase II
               -Announcement
                     -Date
               -Reflection of consultation with business, agriculture, and Congress
         -Plan ready
               -Date

Connally left at 12:19 pm.
Transcript (AI-Generated)

This transcript was generated automatically by AI and has not been reviewed for accuracy. Do not cite this transcript as authoritative. Consult the Finding Aid above for verified information.

Is this a new instruction?
You can bring the lights all the way up.
Is that a new instruction?
I don't know.
Yes, sir.
I may be dreaming, but I just got the order to reset my screen.
Let me ask you this.
I'm thinking it's a political term.
and that gives you the rights and the freedom to act.
Now, on the other hand, the problem we've got is we've got the political problem that a lot of guys can build up a phony issue and just go right back.
And we aren't thinking about it.
We don't know what we're doing.
Why did we announce that we're not going to go forward with it?
Yes, sir.
And even more of a lot of particular things.
A lot of you are announcing yesterday that the Supreme Court is going to call that we've got to
The building is now sufficiently advanced for the exploration waiting for us.
And I think it's sufficiently advanced for us.
And since it's sufficiently advanced, we've got to set a date.
That's why I'm asking.
I think you really have to set a time.
I don't know.
I don't know.
I don't know.
I don't know.
We don't want to leave these people now.
It's rude to raise prices, raise wages, make all these kinds of prices.
But it's also to keep the American people convinced.
The American people are, as I said at the last meeting, hell, their wage and price controls, period.
And we've got to keep
But it's got to be set again, and I think setting the date, that is a way of convincing people that there is something, and that's what I think.
There's a magic in saying, on October 7th, we will announce it.
I don't see anything wrong with it.
I think we ought to put ourselves right on the hostage.
I don't see anything wrong with it.
We can certainly do it in time, and it has three advantages to announcing it precisely.
The only thing I was able to think of, and that was, if we don't want to give these people who we're consulting next week,
The idea that their future...
All right.
Thank you.
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