ADMINISTRATION'S BALANCE-OF-PAYMENTS

PROPOSALS

HEARINGS

BEFORE THE

COMMITTEE ON WAYS AND MEANS

HOUSE OF REPRESENTATIVES

NINETIETH CONGRESS

SECOND SESSION

ON

ADMINISTRATION'S

BALANCE-OF-PAYMENTS PROPOSALS

(INTERNATIONAL TICKET TAX, TRAVEL EXPENDITURE

TAX, REDUCTION OF DUTY-FREE EXEMPTION FOR

RETURNING TOURISTS)

FEBRUARY 5 AND 6, 1968

PART 1

Printed for the use of the Committee on Ways and Means

CONTENTS

1968:

Monday, February 5....

Tuesday, February 6...

Press release dated Friday, January 19, 1968, announcing public hearings

on administration balance-of-payments proposals - -

Press release dated Tuesday, February 6, 1968, announcing guidelines rel-

ative to testimony from the general public on the President's balance-of-

payments proposals.___

Excerpt from President's message of January 1, 1968..

STATEMENTS OF GOVERNMENT OFFICIALS

Commerce, Department of, Hon. Joseph W. Bartlett, Acting Director of

the Office of Foreign Direct Investment and General Counsel...

Trade Negotiations, Special Representative for, Ambassador William M.

Roth...

Treasury, Department of:

Fowler, Hon. Henry H., Secretary..

Barr, Hon. Joseph W., Under Secretary...

Marks, Hon. Matthew J., Acting Assistant Secretary.

Surrey, Hon. Stanley S., Assistant Secretary..

Page

1

285

1

422

416

-- 3, 285

3, 225, 285

3,285

3, 285

285

Secretaries of Interior and Commerce announce decisions on imports of

petrochemical feedstocks_ _ _ _ .

MATERIAL SUBMITTED FOR THE RECORD

Bartlett, Hon. Joseph W., Acting Director of the Office of Foreign Direct

Investment and General Counsel, Department of Commerce:

Attorney General's views as to the legal authority for the foreign

direct investment program, letter dated February 3, 1968, to Hon.

Alexander B. Trowbridge, Secretary of Commerce.

Canada-United States automotive parts balance of payments.

Petroleum and petroleum products, modification in Presidential Proc-

lamation adjusting imports of..

3, 285

389

248

342

341

Table I.-Direct investment capital transactions by major industry

group, 1964 to estimated 1967....

296

Table II.-Direct investment capital transactions of selected manu-

facturing industries, 1964 to estimated 1967.

298

Table III.-Performance under the voluntary program target for di-

rect investment capital transactions with developed countries.

Table IV.-Direct investment transactions adjusted to exclude items

not included in the foreign direct investment program base and com-

parison with voluntary program transactions...

Fowler, Hon. Henry H., Secretary, Treasury Department:

301

303

Balance of payments, statement by the President outlining a program

of action-January 1, 1968.--

51

Cost of enforcing travel tax and customs proposals..

278

Effectiveness of Federal Reserve program to restrain foreign lending

by financial institutions__

307

Expenditures abroad for travel by U.S. resident, 1964-67.

Foreign assets and investments in the United States-

268

322

Foreign travel allowances granted to residents of major industrialized

countries___

270

Government grants and capital entering the balance of payments,

January-September 1967 at annual rate.

400

Gross international security issues, United States and EEC, total,

1968-65.

294