Prices and policies to curb inflation debated in 1960s US
President Johnson backs government pressure on business and banks to hold prices while the Fed raises the discount rate to cool speculation. William McChesney Martin argues for dampening money and credit markets. The piece explains how rates influence inflation, consumer prices, and economic stability.
MENTIONED IN THIS ARTICLE
Federal Reserve Board
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U. S. Treasury
Federal Reserve
Martin By
Johnson plan versus bankers clash shapes 1966 economy
LAFF-A-DAY notes moving toward tighter money and credit may curb expansion plans for 1966. A conflict of ideas pits Johnson administration economics against conservative bank policy. The President favors government business cooperation to hold inflation. Martin urges a modest money supply. Readers expect inflation and interest rates to stay manageable or rise. Some see potential for both ideas to converge on a common goal.
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New York
Johnson
William McChesney Martin
Dawson
House
U. S
Banklers
Martin
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