Monetary Policy and the Management HEARINGS BEFORE THE SUBCOMMITTEE ON GENERAL CREDIT CONTROL AND DEBT MANAGEMENT OF THE JOINT COMMITTEE ON THE ECONOMIC REPORT CONGRESS OF THE UNITED STATES EIGHTY-SECOND CONGRESS 97308 SECOND SESSION PURSUANT TO Section 5 (A) of Public Law 304 (79th Congress) MARCH 10, 11, 12, 13, 14, 17, 18, 19, 20, 21, 24, 25, 26, 27, Printed for the use of the Joint Committee on the Economic Report UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON: 1952 JOINT COMMITTEE ON THE ECONOMIC REPORT JOSEPH C. O'MAHONEY, Wyoming, Chairman JOHN SPARKMAN, Alabama II GROVER W. ENSLEY, Staff Director SUBCOMMITTEE ON GENERAL CREDIT CONTROL AND DEBT MANAGEMENT RICHARD BOLLING, Missouri PAUL H. DOUGLAS, Illinois CONTENTS Statement of: Appleby, Paul, dean of the Maxwell School of Citizenship and Public Bell, James Washington, chairman, Department of Economics, Blough, Roy, member, Council of Economic Advisers__ Brown, Edward Eagle, chairman, board of directors of the First Bryan, Malcolm, president, Federal Reserve Bank of Atlanta.. Cook, H. Earl, member Board of Directors, Federal Deposit Insurance Corporation, accompanied by E. H. Cramer and L. L. Robertson, of the Federal Deposit Insurance Corporation----- Economists' National Committee on Monetary Policy, New York, a Fennelly, John F., Investment Bankers Association of America, ac- companied by Robert Craft, vice president, Guaranty Trust Co. Folsom, Marion B., Chairman, Board of Trustees, Committee for Eco- nomic Development. Lanston, Aubrey G., president, accompanied by Leroy M. Piser, vice president in charge of research, Aubrey G. Lanston & Co., Inc---- Martin, William McC., Jr., Chairman, Board of Governors of the Pollock, Dr. James K., professor of political science and chairman of Page 573 Robinson, Leland Rex, professor of political economy, New York Uni- 911 Shanks, Carrol M., president of Prudential Insurance Co. of America, and chairman, committee on inflation control of the American Life Convention and the Life Insurance Association of America___ Snyder, John W., Secretary of the Treasury, accompanied by mem- Sonne, H. Christian, chairman, board of trustees, National Planning Spahr, Walter E., professor of economics, New York University (sub- 291 Harris, Seymour E., professor of economics, Harvard University--- 355, 380 Hemingway, W. L., American Bankers Association_. 324 University of Illinois (submitted) ---- Keyserling, Leon H., chairman, Council of Economic Advisers___ 940 463 928 932 506 Sproul, Allan, president, Federal Reserve Bank of New York___ 296 939 Debt Policy, Committee for Economic Development_-- How should our monetary and debt management policy be determined?_ Goldenweiser, E. A., member, Institute for Advanced Study, Stein, Harold, staff director, Committee on Public Administra- Viner, Jacob, professor of economics, Princeton University--. The role of business, labor and agriculture in the determination of -- Baker, John A., legislative secretary, National Farmers Chamber of Commerce of the United States (submitted). Kline, Allan B., president, American Farm Bureau Federa- Lincoln, Murray D., president, Farm Bureau Insurance Cos., Montgomery, Donald E., director of Washington office, Inter- Newsom, Herschel D., master, the National Grange_. Shishkin, Boris, economist, American Federation of Labor___ The role of the banking system in a dynamic economy. Participants: Fleming, Robert V., president and chairman of the board, Lindow, Wesley, vice president, Irving Trust Co., New York Reierson, Roy L., vice president, Bankers Trust Co., New Woodward, Donald B., second vice president, the Mutual Life What Should Our Monetary and Debt Management Policy Be?--‒‒‒‒ Ellis, Howard S., professor of economics, University of Cali- Friedman, Milton, professor of economics, University of Chi- cago. Mikesell, Raymond F., professor of economics, University of Samuelson, Paul, professor of economics, Massachusetts In- Whittlesey, C. R., professor of finance and economics, Uni- Supplementary statements: Bryan, Malcolm, president, Federal Reserve Bank of Atlanta_--- Keyserling, Leon H., chairman, Council of Economic Advisers---. Additional information furnished for the record: Behavior of Deposits Prior to Suspension in a Selected Group of 597 598 686 688 711 691 698 432 743 276 746 Additional information furnished for the record-Continued Correspondence on debt management and monetary policy between the Federal Reserve System and the Treasury, and the Federal Re- serve System and the President, during the period from the outbreak in Korea (June 25, 1950) to the Treasury-Federal Reserve accord Correspondence with the Comptroller General concerning govern- Dormant account balances in national banks at close of business on Editorial in the New York Jourial of Commerce concerning the testi- mony of Prof. Seymour Harris, Professor Harris' answer thereto, Effect of changes in interest rates on the cost of servicing the public Federal Reserve System preparation of answers to questionnaire____ Financial responsibilities of member banks on account of membership Lending, Inc., Fifth District Commercial Banking Voluntary Credit Letter from Chairman Martin on miscellaneous legal points arising Letter from Library of Congress, to Joint Committee, relative to Fed- Letter received from Allan Sproul on the independence of the Federal Letter to Congressman Patman from Carrol M. Shanks, regarding removal of Secretary of Treasury from the Federal Reserve Board__ Letter to Congressman Patman, from National Association of Manu- Letter to Senator Maybank, from Walter P. Reuther, CIO, relative to panel discussion on mortgage financing conducted by Senate Banking and Currency Committee, on February 6, 1952__- Memorandum from the President, regarding the need for credit re- strictions, February 26, 1951-- Miscellaneous material requested of the Board of Governors of the Monetary Management, by E. A. Goldenweiser, excerpt from__. Payments to the Treasury by Federal Reserve banks. Remarks of Allan Sproul, president, Federal Reserve Bank of New York, at Seventy-fifth Annual Convention of American Bankers Association, San Francisco, Calif., November 2, 1949_. Remarks of Allan Sproul, president, Federal Reserve Bank of New York, before Forty-fifth Annual Meeting of Life Insurance Asso- ciation of America, New York City, December 12, 1951__. Report of the four member committee (Chas. E. Wilson, chairman), 986 398 128 |