Well, we've tried to make this a joint, voluntary effort on the part of government, business, and labor, so that there could be a self-imposed restraint on escalating wages and prices. Here again, I'm not in favor of wage and price controls, either voluntary or mandatory, and the degree to which labor and business will cooperate is really up to them. I think the first step has already been taken, and that is to draft the proposal in writing and present it to the leaders in business and labor. The second step has been taken, that is, my public espousal of it in the State of the Union message. The third step is now under way, whereby, as decisions are made to increase prices and to demand wage increases, they measure the average increases of the last 2 years and try to make sure that the 1978 increases are at least less than they have had average in the last 2 years. In most cases, a patriotic motivation and one to assuage or to please the public will have at least as much or more effect than any jawboning or pressure from us. We'll offer the good service of the Council on Wage and Price Stability to assess the inflationary impact of proposals. We're not requiring, for instance-don't have any inclination nor authority to require—that labor unions propose in advance to us the demands that they'll make for fringe benefits, health programs, or for wages, but we just hope that it'll create a tone in the country of generally dampening the inflationary impact. We have now an underlying inflation rate of about 6 or 6 1/2 percent. So, that's as far as we are inclined to go. And I've met around this table with a fairly large number of the top business men and women in this country, and their response was favorable. I've had a luncheon last week with President Meany. He expressed some concern about the point that I just raised to you, that they can't submit ahead of time all of the labor union negotiating demands. We don't ask for that. But we hope that in Government, we can also set an example. But it's a strictly voluntary program that I think can work with the right sort of spirit and tone. If—the last thing I'll say about it is this—if we tried to be too intrusive in the private sector from the Government, I think there would be an adverse reaction, and the whole thing would fail. So, the degree of voluntary compliance in self-initiated compliance is the measure of whether it'll be successful. There's no way to answer your question specifically, because it's kind of an ephemeral thing, but I think it can be the source of tangible benefits.

What It Means

This is a placeholder explanation generated by the low-overhead model. It interprets "Well, we've tried to make this a joint, voluntary effort on the part of government, business, and labor, so that there could be a self-imposed restraint on escalating wages and prices. Here again, I'm not in favor of wage and price controls, either voluntary or mandatory, and the degree to which labor and business will cooperate is really up to them. I think the first step has already been taken, and that is to draft the proposal in writing and present it to the leaders in business and labor. The second step has been taken, that is, my public espousal of it in the State of the Union message. The third step is now under way, whereby, as decisions are made to increase prices and to demand wage increases, they measure the average increases of the last 2 years and try to make sure that the 1978 increases are at least less than they have had average in the last 2 years. In most cases, a patriotic motivation and one to assuage or to please the public will have at least as much or more effect than any jawboning or pressure from us. We'll offer the good service of the Council on Wage and Price Stability to assess the inflationary impact of proposals. We're not requiring, for instance-don't have any inclination nor authority to require—that labor unions propose in advance to us the demands that they'll make for fringe benefits, health programs, or for wages, but we just hope that it'll create a tone in the country of generally dampening the inflationary impact. We have now an underlying inflation rate of about 6 or 6 1/2 percent. So, that's as far as we are inclined to go. And I've met around this table with a fairly large number of the top business men and women in this country, and their response was favorable. I've had a luncheon last week with President Meany. He expressed some concern about the point that I just raised to you, that they can't submit ahead of time all of the labor union negotiating demands. We don't ask for that. But we hope that in Government, we can also set an example. But it's a strictly voluntary program that I think can work with the right sort of spirit and tone. If—the last thing I'll say about it is this—if we tried to be too intrusive in the private sector from the Government, I think there would be an adverse reaction, and the whole thing would fail. So, the degree of voluntary compliance in self-initiated compliance is the measure of whether it'll be successful. There's no way to answer your question specifically, because it's kind of an ephemeral thing, but I think it can be the source of tangible benefits." in the context of "" to mean that wisdom is timeless.