Tuesday, October 8, 1974. WIN

President Ford launched his "Whip Inflation Now" (WIN) campaign. 

Mr. Speaker, Mr. President, distinguished guests, my very dear friends: 

In his first inaugural address, President Franklin D. Roosevelt said, and I quote: The people of the United States have not failed .... They want direct, vigorous action, and they have asked for discipline and direction under our leadership. 

Today, though our economic difficulties do not approach the emergency of 1933, the message from the American people is exactly the same. I trust that you are getting the very same message that I am receiving: Our constituents want leadership, our constituents want action. 

All of us have heard much talk on this very floor about Congress recovering its rightful share of national leadership. I now intend to offer you that chance. 

The 73d Congress responded to FDR's appeal in five days. I am deeply grateful for the cooperation of the 93d Congress and the Conference on Inflation, which ended ten days ago. 

Mr. Speaker, many—but not all—of your recommendations on behalf of your party's caucus are reflected in some of my proposals here today. The distinguished majority leader of the Senate offered a nine-point program. I seriously studied all of them and adopted some of his suggestions. 

I might add, I have also listened very hard to many of our former colleagues in both bodies and of both the majority and the minority, and have been both persuaded and dissuaded. But in the end, I had to make the decision, I had to decide, as each of you do when the roll call is called. 

I will not take your time today with the discussion of the origins of inflation and its bad effect on the United States, but I do know where we want to be in 1976—on the 200th birthday of a United States of America that has not lost its way, nor its will, nor its sense of national purpose. 

During the meetings on inflation, I listened carefully to many valuable suggestions. Since the summit, I have evaluated literally hundreds of ideas, day and night. 

My conclusions are very simply stated. There is only one point on which all advisers have agreed: We must whip inflation right now. 

None of the remedies proposed, great or small, compulsory or voluntary, stands a chance unless they are combined in a considered package, in a concerted effort, in a grand design.

I have reviewed the past and the present efforts of our Federal Government to help the economy. They are simply not good enough, nor sufficiently broad, nor do they pack the punch that will turn America's economy on. 

A stable American economy cannot be sustained if the world's economy is in chaos. International cooperation is absolutely essential and vital. But while we seek agreements with other nations, let us put our own economic house in order. Today, I have identified 10 areas for our joint action, the executive and the legislative branches of our Government.

Number one: food. America is the world's champion producer of food. Food prices and petroleum prices in the United States are primary inflationary factors. America today partially depends on foreign sources for petroleum, but we can grow more than enough food for ourselves. 

To halt higher food prices, we must produce more food, and I call upon every farmer to produce to full capacity. And I say to you and to the farmers, they have done a magnificent job in the past, and we should be eternally grateful. 

This Government, however, will do all in its power to assure him—that farmer—he can sell his entire yield at reasonable prices. Accordingly, I ask the Congress to remove all remaining acreage limitations on rice, peanuts, and cotton. 

I also assure America's farmers here and now that I will allocate all the fuel and ask authority to allocate all the fertilizer they need to do this essential job. 

Agricultural marketing orders and other Federal regulations are being reviewed to eliminate or modify those responsible for inflated prices. 

I have directed our new Council on Wage and Price Stability to find and to expose all restrictive practices, public or private, which raise food prices. The Administration will also monitor food production, margins, pricing, and exports. We can and we shall have an adequate supply at home, and through cooperation, meet the needs of our trading partners abroad. 

Over this past weekend, we initiated a voluntary program to monitor grain exports. The Economic Policy Board will be responsible for determining the policy under this program.

In addition, in order to better allocate our supplies for export, I ask that a provision be added to Public Law 480 under which we ship food to the needy and friendly countries. The President needs authority to waive certain of the restrictions on shipments based on national interest or humanitarian grounds. 

Number two: energy. America's future depends heavily on oil, gas, coal, electricity, and other resources called energy. Make no mistake, we do have a real energy problem.

One-third of our oil—17 percent of America's total energy—now comes from foreign sources that we cannot control, at high cartel prices costing you and me $16 billion—$16 billion more than just a year ago. 

The primary solution has to be at home. If you have forgotten the shortages of last winter, most Americans have not. I have ordered today the reorganization of our national energy effort and the creation of a national energy board. It will be chaired with developing-or I should say charged with developing a single national energy policy and program. And I think most of you will be glad to know that our former colleague, Rog Morton, our Secretary of Interior, will be the overall boss of our national energy program.

Rog Morton's marching orders are to reduce imports of foreign oil by 1 million barrels per day by the end of 1975, whether by savings here at home, or by increasing our own sources. 

Secretary Morton, along with his other responsibility, is also charged with increasing our domestic energy supply by promptly utilizing our coal resources and expanding recovery of domestic oil still in the grounds in old wells. 

New legislation will be sought after your recess to require use of cleaner coal processes and nuclear fuel in new electric plants, and the quick conversion of existing oil plants. I propose that we, together, set a target date of 1980 for eliminating oil-fired plants from the Nation's base-loaded electrical capacity. 

I will use the Defense Production Act to allocate scarce materials for energy development, and I will ask you, the House and Senate, for whatever amendments prove necessary.

I will meet with top management of the automobile industry to assure, either by agreement or by law, a firm program aimed at achieving a 40 percent increase in gasoline mileage within a 4-year development deadline. 

Priority legislation—action, I should say—to increase energy supply here at home requires the following: 

One, long-sought deregulation of natural gas supplies,

Number two, responsible use of our Naval petroleum reserves in California and Alaska,

Number three, amendments to the Clean Air Act; and

Four, passage of surface mining legislation to ensure an adequate supply with commonsense environmental protection. 

Now, if all of these steps fail to meet our current energy-saving goals, I will not hesitate to ask for tougher measures. For the long range, we must work harder on coal gasification. We must push with renewed vigor and talent research in the use of nonfossil fuels. The power of the atom, the heat of the sun and the steam stored deep in the Earth, the force of the winds and water must be main sources of energy for our grandchildren, and we can do it. 

Number three: restrictive practices. To increase productivity and contain prices, we must end restrictive and costly practices whether instituted by Government, industry, labor, or others. And I am determined to return to the vigorous enforcement of antitrust laws.

The Administration will zero in on more effective enforcement of laws against price fixing and bid rigging. For instance, non-competitive professional fee schedules and real estate settlement fees must be eliminated. Such violations will be prosecuted by the Department of Justice to the full extent of the law. 

Now, I ask Congress for prompt authority to increase maximum penalties for antitrust violations from $50,000 to $1 million for corporations, and from $50,000 to $100,000 for individual violators. 

At the Conference on Inflation we found, I would say, very broad agreement that the Federal Government imposes too many hidden and too many inflationary costs on our economy. As a result, I propose a four-point program aimed at a substantial purging process. 

Number one, I have ordered the Council on Wage and Price Stability to be the watchdog over inflationary costs of all governmental actions. 

Two, I ask the Congress to establish a National Commission on Regulatory Reform to undertake a long-overdue total reexamination of the independent regulatory agencies. It will be a joint effort by the Congress, the executive branch, and the private sector to identify and eliminate existing Federal rules and regulations that increase costs to the consumer without any good reason in today's economic climate. 

Three: Hereafter, I will require that all major legislative proposals, regulations, and rules emanating from the executive branch of the Government will include an inflation impact statement that certifies we have carefully weighed the effect on the Nation. I respectfully request that the Congress require a similar advance inflation impact statement for its own legislative initiatives. 

Finally, I urge State and local units of government to undertake similar programs to reduce inflationary effects of their regulatory activities. 

At this point, I thank the Congress for recently revitalizing the National Commission on Productivity and Work Quality. It will initially concentrate on problems of productivity in Government—Federal, State, and local. Outside of Government, it will develop meaningful blueprints for labor-management cooperation at the plant level. It should look particularly at the construction and the health service industries. 

The Council on Wage and Price Stability will, of course, monitor wage and price increases in the private sector. Monitoring will include public hearings to justify either price or wage increases. I emphasize, in fact reemphasize, that this is not a compulsory wage and price control agency. 

Now, I know many Americans see Federal controls as the answer. But I believe from past experience controls show us that they never really stop inflation—not the last time, not even during and immediately after World War II when, as I recall, prices rose despite severe and enforceable wartime rationing. 

Now, peacetime controls actually, we know from recent experience, create shortages, hamper production, stifle growth, and limit jobs. I do not ask for such powers, however politically tempting, as such a program could cause the fixer and the black marketeer to flourish while decent citizens face empty shelves and stand in long waiting lines. 

Number four: We need more capital. We cannot "eat up our seed corn." Our free enterprise system depends on orderly capital markets through which the savings of our people become productively used. Today, our capital markets are in total disarray. We must restore their vitality. Prudent monetary restraint is essential. 

You and the American people should know, however, that I have personally been assured by the Chairman of the independent Federal Reserve Board that the supply of money and credit will expand sufficiently to meet the needs of our economy and that in no event will a credit crunch occur. 

The prime lending rate is going down. To help industry to buy more machines and create more jobs, I am recommending a liberalized 10 percent investment tax credit. This credit should be especially helpful to capital-intensive industries such as primary metals, public utilities, where capacity shortages have developed. 

I am asking Congress to enact tax legislation to provide that all dividends on preferred stocks issued for cash be fully deductible by the issuing company. This should bring in more capital, especially for energy-producing utilities. It will also help other industries shift from debt to equity, providing a sounder capital structure.

Capital gains tax legislation must be liberalized as proposed by the tax reform bill currently before the Committee on Ways and Means. I endorse this approach and hope that it will pass promptly.

Number five: Helping the casualties. And this is a very important part of the overall speech. The Conference on Inflation made everybody even more aware of who is suffering most from inflation. Foremost are those who are jobless through no fault of their own.

Three weeks ago, I released funds which, with earlier actions, provide public service employment for some 170,000 who need work. I now propose to the Congress a two-step program to augment this action 

First, 13 weeks of special unemployment insurance benefits would be provided to those who have exhausted their regular and extended unemployment insurance benefits, and 26 weeks of special unemployment insurance benefits to those who qualify but are not now covered by regular unemployment insurance programs. Funding in this case would come from the general treasury, not from taxes on employers as is the case with the established unemployment programs. 

Second, I ask the Congress to create a brand new Community Improvement Corps to provide work for the unemployed through short-term useful work projects to improve, beautify, and enhance the environment of our cities, our towns, and our countryside.

This standby program would come alive whenever unemployment exceeds 6 percent nationally. It would be stopped when unemployment drops below 6 percent. Local labor markets would each qualify for grants whenever their unemployment rate exceeds 6.5 percent. 

State and local government contractors would supervise these projects and could hire only those who had exhausted their unemployment insurance benefits. The goal of this new program is to provide more constructive work for all Americans, young or old, who cannot find a job. 

The purpose really follows this formula: Short-term problems require short-term remedies. I therefore request that these programs be for a 1-year period. 

Now, I know that low- and middle-income Americans have been hardest hit by inflation. Their budgets are most vulnerable because a larger part of their income goes for the highly inflated costs of food, fuel, and medical care. 

The tax reform bill now in the House Committee on Ways and Means, which I favor, already provides approximately $1.6 billion of tax relief to these groups. Compensating new revenues are provided in this prospective legislation by a windfall tax, profits tax on oil producers, and by closing other loopholes. If enacted, this will be a major contribution by the Congress in our common effort to make our tax system fairer to all. 

Number six: stimulating housing. Without question, credit is the lifeblood of housing. The United States, unfortunately, is suffering the longest and the most severe housing recession since the end of World War II. Unemployment in the construction trades is twice the national average. 

One of my first acts as President was to sign the Housing and Community Development Act of 1974. I have since concluded that still more help is needed, help that can be delivered very quickly and with minimum inflationary impact. 

I urge the Congress to enact before recess additional legislation to make most home mortgages eligible for purchase by an agency of the Federal Government. As the law stands now, only FHA or VA home mortgages, one-fifth of the total, are covered. 

I am very glad that the Senate, thanks to the leadership of Senator Brooke and Senator Cranston, has already made substantial progress on this legislation. As soon as it comes to me, I will make at least $3 billion immediately available for mortgage purchases, enough to finance about 100,000 more American homes. 

Number seven: thrift institutions. Savings and loan and similar institutions are hard hit by inflation and high interest rates. They no longer attract, unfortunately, adequate deposits. The executive branch, in my judgment, must join with the Congress in giving critically needed attention to the structure and the operation of our thrift institutions which now find themselves for the third time in 8 years in another period of serious mortgage credit scarcity. 

Passage of the pending financial institution bill will help, but no single measure has yet appeared, as I see it, to solve feast or famine in mortgage credit. However, I promise to work with you individually and collectively to develop additional specific programs in this area in the future. 

Number eight: international interdependency. The United States has a responsibility not only to maintain a healthy economy at home, but also to seek policies which complement rather than disrupt the constructive efforts of others. 

Essential to U.S. initiatives is the early passage of an acceptable trade reform bill. My Special Representative for Trade Negotiations departed earlier this afternoon to Canada, Europe, Japan, to brief foreign friends on my proposals. 

We live in an interdependent world and, therefore, must work together to resolve common economic problems. 

Number nine: Federal taxes and spending. To support programs, to increase production and share inflation-produced hardships, we need additional tax revenues. 

I am aware that any proposal for new taxes just four weeks before a national election is, to put it mildly, considered politically unwise. And I am frank to say that I have been earnestly advised to wait and talk about taxes anytime after November 5. But I do say in sincerity that I will not play politics with America's future. 

Our present inflation to a considerable degree comes from many years of enacting expensive programs without raising enough revenues to pay for them. The truth is that 19 out of the 25 years I had the honor and the privilege to serve in this Chamber, the Federal Government ended up with Federal deficits. That is not a very good batting average.

By now, almost everybody—almost everybody else, I should say—has stated my position on Federal gasoline taxes. This time I will do it myself. I am not-emphasizing not—asking you for any increase in gas taxes. 

I am—I am asking you to approve a l-year temporary tax surcharge of 5 percent on corporate and upper-level individual incomes. This would generally exclude from the surcharge those families with gross incomes below $15,000 a year. The estimated $5 billion in extra revenue to be raised by this inflation-fighting tax should pay for the new programs I have recommended in this message. 

I think, and I suspect each of you know, this is the acid test of our joint determination to whip inflation in America. I would not ask this if major loopholes were not now being closed by the Committee on Ways and Means' tax reform bill. 

I urge you to join me before your recess, in addition to what I have said before, to join me by voting to set a target spending limit—let me emphasize it—a target spending limit of $300 billion for the Federal fiscal budget of 1975. 

When Congress agrees to this spending target, I will submit a package of budget deferrals and rescissions to meet this goal. I will do the tough job of designating for Congressional action, on your return, those areas which I believe can and must be reduced. These will be hard choices and every one of you in this Chamber know it as well as I. They will be hard choices, but no Federal agency, including the Defense Department, will be untouchable.

It is my judgment that fiscal discipline is a necessary weapon in any fight against inflation. While this spending target is a small step, it is a step in the right direction, and we need to get on that course without any further delay. I do not think that any of us in this Chamber today can ask the American people to tighten their belts if Uncle Sam is unwilling to tighten his belt first. 

And now, if I might, I would like to say a few words directly to your constituents and, incidentally, mine. 

My fellow Americans, 10 days ago I asked you to get things started by making a list of 10 ways to fight inflation and save energy, to exchange your list with your neighbors, and to send me a copy. 

I have personally read scores of the thousands of letters received at the White House, and incidentally, I have made my economic experts read some of them, too. We all benefited, at least I did, and I thank each and every one of you for this cooperation. 

Some of the good ideas from your home to mine have been cranked into the recommendations I have just made to the Congress and the steps I am taking as President to whip inflation right now. There were also firm warnings on what Government must not do, and I appreciated those, too. Your best suggestions for voluntary restraint and self-discipline showed me that a great degree of patriotic determination and unanimity already exists in this great land. 

I have asked Congress for urgent specific actions it alone can take. I advised Congress of the initial steps that I am taking as President. Here is what only you can do: Unless every able American pitches in, Congress and I cannot do the job. Winning our fight against inflation and waste involves total mobilization of America's greatest resources—the brains, the skills, and the willpower of the American people. 

Here is what we must do, what each and every one of you can do: To help increase food and lower prices, grow more and waste less; to help save scarce fuel in the energy crisis, drive less, heat less. Every housewife knows almost exactly how much she spent for food last week. If you cannot spare a penny from your food budget—and I know there are many—surely you can cut the food that you waste by 5 percent. 

Every American motorist knows exactly how many miles he or she drives to work or to school every day and about how much mileage she or he runs up each year. If we all drive at least 5 percent fewer miles, we can save, almost unbelievably, 250,000 barrels of foreign oil per day. By the end of 1975, most of us can do better than 5 percent by carpooling, taking the bus, riding bikes, or just plain walking. We can save enough gas by self-discipline to meet our 1 million barrels per day goal. 

I think there is one final thing that all Americans can do, rich or poor, and that is share with others. We can share burdens as we can share blessings. Sharing is not easy, not easy to measure like mileage and family budgets, but I am sure that 5 percent more is not nearly enough to ask, so I ask you to share everything you can and a little bit more. And it will strengthen our spirits as well as our economy. 

Today I will not take more of the time of this busy Congress, for I vividly remember the rush before every recess, and the clock is already running on my specific and urgent requests for legislative action. I also remember how much Congress can get done when it puts its shoulder to the wheel. 

One week from tonight I have a long-standing invitation in Kansas City to address the Future Farmers of America, a fine organization of wonderful young people whose help, with millions of others, is vital in this battle. I will elaborate then how volunteer inflation fighters and energy savers can further mobilize their total efforts. 

Since asking Miss Sylvia Porter, the well-known financial writer, to help me organize an all-out nationwide volunteer mobilization, I have named a White House coordinator and have enlisted the enthusiastic support and services of some 17 other distinguished Americans to help plan for citizen and private group participation.

There will be no big Federal bureaucracy set up for this crash program. Through the courtesy of such volunteers from the communication and media fields, a very simple enlistment form will appear in many of tomorrow's newspapers along with the symbol of this new mobilization, which I am wearing on my lapel. It bears the single word WIN. I think that tells it all. I will call upon every American to join in this massive mobilization and stick with it until we do win as a nation and as a people. 

Mr. Speaker and Mr. President, I stand on a spot hallowed by history. Many Presidents have come here many times to solicit, to scold, to flatter, to exhort the Congress to support them in their leadership. Once in a great while, Presidents have stood here and truly inspired the most skeptical and the most sophisticated audience of their co-equal partners in Government. Perhaps once or twice in a generation is there such a joint session. I don't expect this one to be. 

Only two of my predecessors have come in person to call upon Congress for a declaration of war, and I shall not do that. But I say to you with all sincerity that our inflation, our public enemy number one, will, unless whipped, destroy our country, our homes, our liberties, our property, and finally our national pride, as surely as any well-armed wartime enemy. 

I concede there will be no sudden Pearl Harbor to shock us into unity and to sacrifice, but I think we have had enough early warnings. The time to intercept is right now. The time to intercept is almost gone. 

My friends and former colleagues, will you enlist now? My friends and fellow Americans, will you enlist now? Together with discipline and determination, we will win.

I thank you very much.

There are some very serious lessons from The Great Inflation that have been largely forgotten, not the least of which is that running the massive deficits we currently are inevitably will feed into an inflationary cycle.  Neither party, nor the American public in general, have any fiscal restraint.

The campaign was a failure.  High inflation would persist until the Reagan administration intentionally through the economy into a recession, which cured it.

Pins with WIN were offered for free.

The Franklin National Bank on Long Island failed, the largest bank failure in U.S. History. 

Baja California Sur as its 30th state and Quintana Roo were added as the 30th and 31st Mexican states.

Last edition

Monday, September 16, 1974. Letting the evaders and deserters off, somewhat.

Labels: 1970s, 1974, 1977, Conscription, Gerald Ford, Jimmy Carter, Provisional Irish Republican Army, Royal Canadian Mounted Police, Vietnam War

Monday, January 28, 1974. End of the Siege of Suez.

The Israeli siege of the Egyptian city of Suez ended at noon.  The IDF withdrew and the 20,000 encircled Egyptians were able to withdraw across the Suez Canal.

Suez.

Both Time and Newsweek's covers dealt with the Nixon tape. U.S. News & World Report's cover was on inflation.  

Sports Illustrated had a cheesecake photo, although it hadn't crossed over into pornography on the cover yet, for its swimsuit issue. Ann Simonton was the cover model, who was actually relatively covered.

Indonesian President Suharto took control of the country's internal security agency.

Bolivia was declared to be in a state of siege following a peasant uprising at Cochambamba.

Mohammed Ali and Joe Frazier fought for a second time in a non-title fight.  Ali won.

George Foreman was the heavyweight champion at the time.

Unwarranted nostalgia. Two instances, one which isn't.

The Arming and Departure of the Knights (of the Round Table), a tapestry.  I feared Uncle Mike was going into the Kennedy at Camelot point of view of things, but he didn't.  This tapestry, as idealized as it is, might serve as a pretty good reflection of the 60s and of the Arthurian legend, which features adultery, armed conflict, and defeat.  Not cheery.

1963: The Last Summer, Part I

I really like Uncle Mike's blog.  It's one of two I have up here by New Yorkers (the other being City Father), and on a website like this you're going to get some nostalgia, like it or not, but it can serve to really reflect how our recollections of the past are pretty messed up in some instances.

Uncle Mike's essay starts off:

The Summer of 1963 was a beginning for some, and an ending for many more. America would never quite be so young again as it was that year.

The essay goes on from there to note a bunch of stuff that happened in 1963, and does a really nice job of it.  I was prepared to condemn it, but I can't upon reading it.  The part I'd still object to is the opening line.  "Never quite be so young again"?

Well, maybe, but in part because 1963 was on the cusp of the real 1960s.  1963, quite frankly, was in the late 1950s, era was.  The 1960s, as I've written here before, actually started in 1964 or 1965.  I guess that means I'm placing myself as being born in the cultural 50s, but I'd also note that the real 1950s featured the Korean War, the Cold War, conscription, and a host of other bad stuff.

A lot of which were going on in the early part of the calendar 60s, some of which Uncle Mike notes.

So the post wasn't nostalgic delusion.

This is political nostalgic delusion:

Nikki Haley

@NikkiHaley

·

Jun 24

Do you remember when you were growing up, do you remember how simple life was, how easy it felt? It was about faith, family, and country. We can have that again, but to do that, we must vote Joe Biden out. #RTM2023

Eh?

The view of the world that seemingly many people have about the past.  Even as this great Rockwell was being painted, the greatest war the world has ever fought was raging, which was part of Rockwell's "why we fight" point.  We'd win, but bring it to an end by using an atomic bomb, something that stained our morality in the cause and which has been a burden on the world every since.  And at the time that this was painted, there was no freedom to sit where you wanted, if you were black, in much of the US.  The "innocence" of our past is never as innocent as we might suppose.

I remember growing up that we were losing the Vietnam War and inflation was destroying my parent's savings. 

I don't like a lot of the way things are headed now, but we weren't living in a Normal Rockwell painting at any point in the past.

Nikki Haley was born in 1972, which means that she's a decade younger than me (thank goodness the GOP has some candidates that aren't 120 years old).  That means that she grew up in the 70s and 80s.

I can recall the 70s and 80s.  Indeed, I've done so here in a series of post on that topic, Growing up in the 1970s, Growing up in the 1980s .

I don't know if I have a more accurate recollection of being young than other people seemingly do, or if I lack a gene which causes us to romanticize the period of our youth.  Either way, the 1970s weren't exactly all skittles and beer, or whatever the proper analogy was.  Inflation was rampant, we lost the Vietnam War, Iran took our embassy staff hostage. . . you recall all that, Nikki?

Life wasn't actually all that simple if your parents were constantly worried about the price of absolutely everything.  The cost of gasoline was a weekly topic.  Watergate's investigations were on the news.

Do I remember how simple life was?

Yes, because I was a kid.  For most kids, life is a joy because you are a kid. Same with being a teenager, really.

I was in my late teens and early 20s in the early 80s.  For part of that time I lived at home, and I hunted and fished as I would.  Sure, life was simple, because I had no financial worries, being a single guy with no responsibilities whatsoever.

Even at that stage, however, your DNA will come in and pull the brakes and levers. Pretty soon you are worrying, or should be, about your future, including your economic future. And you'll start to look for what modern boneheaded lexiconites call "a partner", meaning a spouse.  It's the way of the world.

None of that is simple.

So was that time about faith, family, and country?  Maybe where Nikki lived, but where I lived, probably less so.  Everyone, pretty much, where I lived at the time, and where I still do, was a cultural Christian, and the mainline Protestant churches were still strong.  This was before the onset of Southern Populism brought about by that great Republican hero, Ronald Reagan.  I'm Catholic, of course, but the shift was notable.  To people just a little older than me there was disruption in the Catholic Church as reformers came in and took out the altar rails, etc., but I didn't hear much about that at home really, probably as I was a kid.  Now that I'm far past being a kid, I don't really appreciate a lot that was done to the Church in that period, by which I do not mean Vatican II.

Anyhow, people were at least culturally Christian here, and this is the least religious state in the United States.  People who weren't Christians were likely Mormons.  So I suppose she has a point there.

On family, I suppose, at that time, most families were intact.  Roe v. Wade and Hugh Hefner had started the march to Obergefell, so there were things occurring that were destructive going all the way back to the 1950s, if not before.  The 70s was the real heyday of the Sexual Revolution, and it permitted the entire atmosphere of the culture.  Playboy was sold at the grocery stores in the checkout lines, with the rack designed to camouflage most of the girl on the cover.  Moral decay hadn't set in, in the really perverse ways that would take off in the 1990s, but it had started.

What about "country".

Well, amongst the young, in the 70s, not so much, and yes.  I was in the National Guard for most of the 1980s, but frankly we didn't wear our uniforms off duty if we could avoid it, and we didn't bring it up in casual conversation. Part of that was to avoid getting a lecture from somebody our own age, a lingering aspect of the Vietnam War.  The military recovered under Reagan, but social attitudes weren't what they became later, where everyone was thanking you for your service.  More likely, somebody was going to ask "why?" if you were in the service, or maybe even give you a lecture.

None of which is to say that we don't have a moral dumpster fire going on in our society right now.  But what led us to that was long in coming and will take real work to address.  It isn't as if Joe Biden came in, and it was like electing Caligula.  Our prior President, after all, has a history of behavior that the late Hugh Hefner would have approved of.

The point?

Well, Haley brings up some valid things about the current reprehensible state of affairs.  But it would require a lot more work than voting Joe Biden out.  It's a pretty deep cultural operation, really.

Wednesday, June 13, 1973. Freeze

President Nixon ordered a sixty-day freeze on prices of gasoline and groceries under the Economic Stabilization Act of 1970.

It was the last of the "Phase III" price controls.

On the same day, prosecutors discovered a memo to John Ehrlichman concerning plans to break into Daniel Ellsberg's psychiatrist's office. Also, Alexander Butterfield, former Presidential appointments' secretary, met with Senate investigators and revealed the existence of a secret taping system in the White House.

Butterfield.

Butterfield had known Ehrlichman and Halderman from his college days.  After graduating from college, he became an Air Force officer and retired from that prior to going to work in the White House.  In an interview, prior to the public revelation of Deep Throat's identify, he correctly guessed it and the name was published in his interview, although he was not unique in that regard.

The Soviet K-56 with the research vessel Academician Berg killed 27 people.

Monday, April 9, 1973. Operation Spring of Youth.

Israel launched Operation Spring of Youth on Palestinian Liberation Organization targets in Beirut and Sidon, Lebanon.  Over 50 PLO operatives were killed to the loss of two Israeli commandos.

Shipboard Israeli commandos during the operation. By ניר מאור מוזיאון ההעפלה וחיל הים - ניר מאור מוזיאון ההעפלה וחיל הים, CC BY-SA 3.0, https://commons.wikimedia.org/w/index.php?curid=43634278

The operation was part of the ongoing retaliation for the attack on Israeli athletes at the Munich Olympics.

The United Nations Organization for African Unity conference on Southern Africa opened in Oslo, Norway, which is not anywhere near Southern Africa.  Norway was hosting the event.

As part of the Nixon effort to combat inflation, grocery stores were required to post signs at their meat counters listing the limit for prices per pound for meat. 

Tuesday, March 6, 1973. Oil Price Controls

Oil pump jacks, Teapot Dome, 1973.

Today In Wyoming's History: March 6: 1973   President Richard Nixon imposed price controls on oil and gas.

This from our companion blog, although It's not entirely accurate the way it's stated.  Price controls had actually come in during 1971 in order to combat inflation.  On this day in 1973 the Cost of Living Council issued Special Rule No. 1, which imposed price controls after the "controls" had become voluntary.

Nixon era price controls would prove to be a spectacular failure, and this one in particular failed to grasp that petroleum supplies now included large scale importation, something well beyond American control.  This would prove to be the case in the upcoming fall, when OPEC would put in place an embargo on the export of oil to the United States, something that would have an enormous impact on the state's economy.

The fact that efforts at price controls went back to 1971 is telling.  It's common to assume now that rampant inflation in the early 70s began when the price of oil skyrocketed following the Yom Kippur War, but in fact they were already rising at the start of the decade.  In no small measure, this was due to the Johnson Administration's "guns and butter" economic strategy of the 60s, in which the United States attempted to pay for the Cold War military, the Vietnam War, and a massive increase in social spending without disrupting the economy.  Cynics would note that inflation, which started in the 60s, helped reduce the actual cost to the government of such programs, which it did, but whether somewhat intentional or not, the economy simply could not endure it.

1973 Spring Training commenced with games played in the majors with designated hitters, in the American League, played for the first time.

Famous author Pearl S. Buck died at age 80.  Her work is most famously associated with China, where she had lived for many years.

Subsidiarity Economics. The times more or less locally, Part V. The Inflation Edition.

Inflation is now at a 30 year high.

Sears, 1979.

Throughout the entire Biden Administration there's been warnings about this in no small part as the COVID-19 relief packages that were coming forth in his administration, heirs to the ones that had already come out in the Trump administration, were hitting just as it seemed that the crisis was more or less over. As it turned out, the pandemic wasn't over, but the public tolerance for stay at home orders was, so the official response to them went to mask and vaccination mandates instead.  The public had basically decided it was time for everyone else to go back to work.

And by everyone else, I meant that.

A lot of people haven't gone back to work and have been able to avoid doing so due to the economic support for staying at home.  They've gotten used to it, and they've realized that the capitalist industrial economic model pretty much sucks for a lot of average people.  It turns out people liked the way that the world used to be way, way back, although they haven't really fully figured out what way way back was actually like yet.  

The problem is that the modern economy doesn't have room for everyone to do that, or indeed for hardly anyone to do that, so people aren't going back to work. That's creating a labor shortage. That's causing prices to rise.

Added to that, COVID 19, as we all know, caused a shipping backlog that hasn't been worked out. That was caused, in part, by a decades long policy of shipping jobs that Americans working as lawyers, accountants, and upper white collar corporate officers didn't figure Americans wanted, or should have.  Now they're overseas, which means the products these jobs result in are sent here in container ships, almost all of which come in through one single American port, the Port of Los Angeles, which is stupid.

When things get here, they're then in part shipped by trucks, but truck driving is a lousy job and even before COVID there was a shortage of truck drivers.  Now there's a massive one as during COVID they didn't need to be on the road and a lot of them aren't going back.

Of course, the sane thing to do would be to ship more stuff by rail, but a century long subsidization of the trucking industry through public highway construction has made that difficult.

Nifty.

Now we're going to have a massive infrastructure expenditure that we still haven't really figured out, but what we can surmise is that lots of money is going to be spent to build and rebuild stuff, which means a lot of workers will need to be employed doing that, when we have a labor shortage.

More inflation.

Here's what the White House says that bill will do:

Today, Congress passed the Bipartisan Infrastructure Deal (Infrastructure Investment and Jobs Act), a once-in-a-generation investment in our nation’s infrastructure and competitiveness. For far too long, Washington policymakers have celebrated “infrastructure week” without ever agreeing to build infrastructure. The President promised to work across the aisle to deliver results and rebuild our crumbling infrastructure. After the President put forward his plan to do exactly that and then negotiated a deal with Members of Congress from both parties, this historic legislation is moving to his desk for signature.

This Bipartisan Infrastructure Deal will rebuild America’s roads, bridges and rails, expand access to clean drinking water, ensure every American has access to high-speed internet, tackle the climate crisis, advance environmental justice, and invest in communities that have too often been left behind. The legislation will help ease inflationary pressures and strengthen supply chains by making long overdue improvements for our nation’s ports, airports, rail, and roads. It will drive the creation of good-paying union jobs and grow the economy sustainably and equitably so that everyone gets ahead for decades to come. Combined with the President’s Build Back Framework, it will add on average 1.5 million jobs per year for the next 10 years.

This historic legislation will:                               

Deliver clean water to all American families and eliminate the nation’s lead service lines. Currently, up to 10 million American households and 400,000 schools and child care centers lack safe drinking water. The Bipartisan Infrastructure Deal will invest $55 billion to expand access to clean drinking water for households, businesses, schools, and child care centers all across the country. From rural towns to struggling cities, the legislation will invest in water infrastructure and eliminate lead service pipes, including in Tribal Nations and disadvantaged communities that need it most.

Ensure every American has access to reliable high-speed internet. Broadband internet is necessary for Americans to do their jobs, to participate equally in school learning, health care, and to stay connected. Yet, by one definition, more than 30 million Americans live in areas where there is no broadband infrastructure that provides minimally acceptable speeds – a particular problem in rural communities throughout the country. And, according to the latest OECD data, among 35 countries studied, the United States has the second highest broadband costs. The Bipartisan Infrastructure Deal will deliver $65 billion to help ensure that every American has access to reliable high-speed internet through a historic investment in broadband infrastructure deployment. The legislation will also help lower prices for internet service and help close the digital divide, so that more Americans can afford internet access.

Repair and rebuild our roads and bridges with a focus on climate change mitigation, resilience, equity, and safety for all users. In the United States, 1 in 5 miles of highways and major roads, and 45,000 bridges, are in poor condition. The legislation will reauthorize surface transportation programs for five years and invest $110 billion in additional funding to repair our roads and bridges and support major, transformational projects. The Bipartisan Infrastructure Deal makes the single largest investment in repairing and reconstructing our nation’s bridges since the construction of the interstate highway system. It will rebuild the most economically significant bridges in the country as well as thousands of smaller bridges. The legislation also includes the first ever Safe Streets and Roads for All program to support projects to reduce traffic fatalities, which claimed more than 20,000 lives in the first half of 2021.

Improve transportation options for millions of Americans and reduce greenhouse emissions through the largest investment in public transit in U.S. history. America’s public transit infrastructure is inadequate – with a multibillion-dollar repair backlog, representing more than 24,000 buses, 5,000 rail cars, 200 stations, and thousands of miles of track, signals, and power systems in need of replacement. Communities of color are twice as likely to take public transportation and many of these communities lack sufficient public transit options. The transportation sector in the United States is now the largest single source of greenhouse gas emissions. The legislation includes $39 billion of new investment to modernize transit, in addition to continuing the existing transit programs for five years as part of surface transportation reauthorization.  In total, the new investments and reauthorization in the Bipartisan Infrastructure Deal provide $89.9 billion in guaranteed funding for public transit over the next five years — the largest Federal investment in public transit in history. The legislation will expand public transit options across every state in the country, replace thousands of deficient transit vehicles, including buses, with clean, zero emission vehicles, and improve accessibility for the elderly and people with disabilities.

Upgrade our nation’s airports and ports to strengthen our supply chains and prevent disruptions that have caused inflation. This will improve U.S. competitiveness, create more and better jobs at these hubs, and reduce emissions. Decades of neglect and underinvestment in our infrastructure have left the links in our goods movement supply chains struggling to keep up with our strong economic recovery from the pandemic. The Bipartisan Infrastructure Deal will make the fundamental changes that are long overdue for our nation’s ports and airports so this will not happen again. The United States built modern aviation, but our airports lag far behind our competitors. According to some rankings, no U.S. airports rank in the top 25 of airports worldwide. Our ports and waterways need repair and reimagination too. The legislation invests $17 billion in port infrastructure and waterways and $25 billion in airports to address repair and maintenance backlogs, reduce congestion and emissions near ports and airports, and drive electrification and other low-carbon technologies. Modern, resilient, and sustainable port, airport, and freight infrastructure will strengthen our supply chains and support U.S. competitiveness by removing bottlenecks and expediting commerce and reduce the environmental impact on neighboring communities.

Make the largest investment in passenger rail since the creation of Amtrak. U.S. passenger rail lags behind the rest of the world in reliability, speed, and coverage. China already has 22,000 miles of high-speed rail, and is planning to double that by 2035. The legislation positions rail to play a central role in our transportation and economic future, investing $66 billion in additional rail funding to eliminate the Amtrak maintenance backlog, modernize the Northeast Corridor, and bring world-class rail service to areas outside the northeast and mid-Atlantic. This is the largest investment in passenger rail since Amtrak’s creation, 50 years ago and will create safe, efficient, and climate-friendly alternatives for moving people and freight.

Build a national network of electric vehicle (EV) chargers. U.S. market share of plug-in EV sales is only one-third the size of the Chinese EV market. That needs to change. The legislation will invest $7.5 billion to build out a national network of EV chargers in the United States. This is a critical step in the President’s strategy to fight the climate crisis and it will create good U.S. manufacturing jobs. The legislation will provide funding for deployment of EV chargers along highway corridors to facilitate long-distance travel and within communities to provide convenient charging where people live, work, and shop. This investment will support the President’s goal of building a nationwide network of 500,000 EV chargers to accelerate the adoption of EVs, reduce emissions, improve air quality, and create good-paying jobs across the country.

Upgrade our power infrastructure to deliver clean, reliable energy across the country and deploy cutting-edge energy technology to achieve a zero-emissions future. According to the Department of Energy, power outages cost the U.S. economy up to $70 billion annually. The Bipartisan Infrastructure Deal’s more than $65 billion investment includes the largest investment in clean energy transmission and grid in American history. It will upgrade our power infrastructure, by building thousands of miles of new, resilient transmission lines to facilitate the expansion of renewables and clean energy, while lowering costs. And it will fund new programs to support the development, demonstration, and deployment of cutting-edge clean energy technologies to accelerate our transition to a zero-emission economy. 

Make our infrastructure resilient against the impacts of climate change, cyber-attacks, and extreme weather events. Millions of Americans feel the effects of climate change each year when their roads wash out, power goes down, or schools get flooded. Last year alone, the United States faced 22 extreme weather and climate-related disaster events with losses exceeding $1 billion each – a cumulative price tag of nearly $100 billion. People of color are more likely to live in areas most vulnerable to flooding and other climate change-related weather events. The legislation makes our communities safer and our infrastructure more resilient to the impacts of climate change and cyber-attacks, with an investment of over $50 billion to protect against droughts, heat, floods and wildfires, in addition to a major investment in weatherization. The legislation is the largest investment in the resilience of physical and natural systems in American history.

Deliver the largest investment in tackling legacy pollution in American history by cleaning up Superfund and brownfield sites, reclaiming abandoned mines, and capping orphaned oil and gas wells. In thousands of rural and urban communities around the country, hundreds of thousands of former industrial and energy sites are now idle – sources of blight and pollution. Proximity to a Superfund site can lead to elevated levels of lead in children’s blood. The bill will invest $21 billion clean up Superfund and brownfield sites, reclaim abandoned mine land and cap orphaned oil and gas wells. These projects will remediate environmental harms, address the legacy pollution that harms the public health of communities, create good-paying union jobs, and advance long overdue environmental justice This investment will benefit communities of color as, it has been found that 26% of Black Americans and 29% of Hispanic Americans live within 3 miles of a Superfund site, a higher percentage than for Americans overall.

Part of what this does is stuff that industry could do all on its own.  High-speed internet?  Not a government problem.  Roads?  Local problem.  Clean water?  Mostly a local problem.

Why then don't local governments take care of this?  Because they can't really deficit spend, that's why.

Now, like everyone else, there are something  in something like this that I like, because I like them.  And there are things that need to be done. Granted.  But without taking on the larger societal issues that already exists, and which this may make worse. . . well. . . 

More inflation.

Which means for people on a fixed income. . .well they're getting poorer.  People who want to buy something like a house. . . well they're dreams are postponed.  And people who are thinking about retiring. . .they likely won't.

Related threads:

Supply Chain Disruption and Other Economic Problems

Subsidiarity Economics. The times more or less locally, Part IV

Subsidiarity Economics. The times more or less locally, Part III

Eating the Seed Corn

Subsidiarity Economics. The times more or less locally, Part II

The 2021 Wyoming Legislature, Part I