“Please Better Shut Their Mouths”: German Influence on US Macroeconomic Policy under the Carter Administration

File Size Format
64884_1.pdf 112Kb Adobe PDF View
Title “Please Better Shut Their Mouths”: German Influence on US Macroeconomic Policy under the Carter Administration
Author Widmaier, Wesley
Journal Name German Policy Studies
Year Published 2008
Place of publication United States
Publisher Southern Public Administration Education Foundation, Inc
Abstract Over the late 1970s, U.S. macroeconomic policy underwent a major shift, rejecting incomes policies and accepting macroeconomic restraint as the primary means to holding down inflation and strengthening the dollar. In conventional narratives, this shift is cast as a response to the diminishing effectiveness of incomes policies and the fundamental importance of macroeconomic restraint in maintaining monetary stability. However, such accounts obscure the interpretive context in which these shifts occurred, as beliefs regarding the limits of incomes policies and the need for restraint took on “lives of their own.” In this paper, I examine the intersubjective context of these policy shifts, addressing not only the domestic context of debates over wage-price trends, but also German pressure on U.S. policy, and the key influence of Chancellor Helmut Schmidt in urging U.S. oil deregulation and monetary restraint. I specifically highlight interactions in the context of the 1977 London and 1978 Bonn summits and the 1979 World Bank-IMF meetings. Taken as a whole, this effort highlights the intersubjective context of domestic-systemic debates, as liberalizing pressures reflected not only domestic pressures from within U.S. society but also external German influences, as together mediated by key U.S. policymakers.
Peer Reviewed Yes
Published Yes
Publisher URI http://www.spaef.com/article.php?id=935
Copyright Statement Copyright 2008 Southern Public Administration Education Foundation. The attached file is reproduced here in accordance with the copyright policy of the publisher. Please refer to the journal's website for access to the definitive, published version.
Volume 4
Issue Number 3
Page from 5
Page to 30
ISSN 1523-9764
Date Accessioned 2010-09-29
Language en_US
Research Centre Centre for Governance and Public Policy; Griffith Asia Institute
Faculty Griffith Business School
Subject International Relations
URI http://hdl.handle.net/10072/36391
Publication Type Journal Articles (Refereed Article)
Publication Type Code c1x

Show simple item record

Griffith University copyright notice