Nixon White House Tapes › Topic
Nixon Tapes on Wage-price controls
14 conversations · frequently with Nixon, Shultz, Ehrlichman, White House photographer
When Wage-price controls comes up
Related topics: Economic policyInflationInternational monetary systemPublic relationsLabor unionsLabor relationsJohn B. ConnallyWhite House messagingWhite House communicationsWelfare ReformSwearing-in ceremonySupersonic TransportSteel industryRevenue sharing
President Nixon met with his advisors, including Secretary of Labor James Hodgson and George Shultz, to debate strategies for curbing inflation and rising construction costs, specifically focusing on the potential suspension of the Davis-Bacon Act. The participants weighed the political risks of appearing anti-union against the need to exert pressure on construction labor leaders to accept voluntary wage stabilization. Nixon ultimately favored a targeted approach to the construction industry over broad wage-price controls to avoid broader economic disruptions and political backlash. The group decided to finalize an announcement strategy for the suspension, potentially leveraging the upcoming Governors' Conference to bolster the administration's position.
President Nixon met with his senior aides and advisors to strategize the temporary suspension of the Davis-Bacon Act, framing the move as an emergency measure to combat inflation in the construction industry rather than an attack on labor unions. The group, including H.R. Haldeman, John Ehrlichman, Charles Colson, and George Shultz, worked to refine a public statement that would justify the suspension by drawing parallels to the administration's previous interventions in the steel and oil sectors. Nixon emphasized the need to maintain credibility with his political allies while ensuring the message clearly articulated that the suspension was a necessary response to rising costs rather than a permanent repeal of labor protections.
President Nixon met with John Ehrlichman, George Shultz, and Henry Kissinger to coordinate administration strategy on key legislative and economic priorities. The discussion covered a wide range of policy initiatives, including election and welfare reform, government reorganization efforts, and the political sensitivity surrounding abortion policies in military hospitals. Most notably, the group strategized on economic stabilization measures, debating the viability of a construction industry wage-price board and the administration's stance on the Supersonic Transport (SST) project to protect domestic employment.
President Nixon and Attorney General John Mitchell confer briefly regarding the administration's economic policy and public relations strategy. Nixon expresses a desire to move past political distractions and firmly commit to the administration's primary economic agenda, referencing recent interactions with business leaders. The discussion emphasizes the need for a cohesive, disciplined approach to managing economic policy and public perceptions.
President Nixon met with Herbert Stein, George Shultz, John Connally, and Arthur Burns to discuss the state of the U.S. economy, specifically focusing on inflation, sluggish recovery, and steel industry negotiations. The group debated the potential risks of government intervention, including wage-price freezes, while also planning a strategy to better communicate budget deficits and fiscal policy to the American public. Additionally, Nixon emphasized the need for a unified administration voice on economic policy ahead of upcoming international monetary conferences, urging his team to maintain a confident and assertive posture regarding U.S. domestic economic strength.
President Nixon and George Shultz discuss the current state of the U.S. economy, focusing on labor negotiations, potential strikes, and preparations for upcoming administrative briefings. Shultz reports on a recent meeting with Senators regarding wage-price policies and economic performance, while the two coordinate on avoiding a steel industry strike to prevent economic disruption. Nixon emphasizes the need for aggressive action to ensure a labor settlement and requests that Shultz leverage positive economic indicators, such as retail and automobile sales, to improve public sentiment.
President Nixon and George Shultz met to conduct an extensive review of the U.S. economy, focusing on current inflation, potential labor unrest in the steel and railroad industries, and upcoming international monetary policy decisions. Shultz updated the President on negotiations to prevent strikes, while Nixon urged caution regarding drastic administrative actions like wage-price freezes or ending gold convertibility. They also discussed federal budget strategy, specifically targeting defense spending, personnel salary grade inflation, and shifting the political blame for excessive government spending onto Congress.
President Nixon met with editors of leading farm publications to discuss the essential role of American agriculture in the national economy and the administration's efforts to combat inflation. The conversation focused on the critical importance of agricultural productivity in maintaining a favorable U.S. trade balance, as well as the burden of the cost-price squeeze on farmers due to wage inflation and equipment costs. Nixon emphasized his commitment to rural revitalization through revenue sharing and addressed concerns regarding foreign trade barriers, farm subsidies, and his administration's cautious approach to wage-price controls.
President Nixon and George Shultz discuss the implementation of Phase II economic controls following the initial wage-price freeze. Nixon emphasizes the necessity of giving economic policies enforcement mechanisms, famously noting that one cannot have "jawbone without teeth." The two coordinate their messaging strategy to ensure the public perceives the forthcoming economic program as effective and decisive.
President Nixon and Treasury Secretary John Connally confer on domestic economic policy, specifically the implementation and market reception of Phase Two of the administration's stabilization program. The discussion touches on the political necessity of adopting a firmer stance in public negotiations and the complexities of handling wage-price retroactivity. The two also coordinate upcoming meetings and communication channels with Henry Kissinger regarding international monetary and foreign policy issues.
President Nixon met with retail executives Gordon Metcalf and William Batten, along with George Shultz and other staff, to review economic performance, retail sales trends, and the potential impact of wage-price controls. The discussion shifted toward the American political system, specifically addressing the President’s staunch opposition to tax-funded political campaign check-offs. Nixon expressed his intent to leverage his veto power if necessary to prevent the inclusion of these campaign financing provisions in pending tax legislation.
President Nixon and Stephen Bull discussed upcoming meetings and personnel matters. They specifically addressed the scheduling of a wage-price meeting involving John Connally and George Shultz, and debated the public nature of Marina Whitman's swearing-in ceremony, with Nixon preferring a private event to avoid appearing to exploit a "women's angle." Additionally, Bull informed Nixon of Otto Passman's urgent request to discuss the Foreign Assistance bill and recommended a brief meeting with Ron Berman, the new chairman of the Humanities Endowment.
President Nixon met with the Cost of Living Council to address surging food and meat prices, emphasizing the need to combat inflation without imposing direct price controls. The discussion focused on managing supply-side pressures, including reduced military food stockpiles and potential adjustments to meat import policies, while coordinating a "jawboning" strategy to encourage price restraint among industry leaders and labor unions. Nixon urged the council to publicly highlight the administration's commitment to fighting inflation while cautioning against speculating on a price freeze, which he warned would destabilize the market.
President Nixon met with George Shultz, Herbert Stein, and John Dunlop to discuss economic strategies for curbing inflation, specifically focusing on the implementation of export controls and potential wage-price freezes. The participants debated the necessity and credibility of these measures, particularly regarding food prices and foreign aid, while considering the political implications of upcoming electoral cycles. Nixon expressed a determination to eventually move toward a strengthened Phase III economic policy and tasked the advisors with developing a concrete plan to manage these economic interventions effectively.