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apparel over the past several years. This plus the
fluctuations in unemployment at one time as high as 6.5%
then down to 3.5% and now increasing to 4.0%, plus the
evidence of closures some of which at least were due to
imports, plus the Government's deflationary policies all
added up to a serious difficulty for the U.S. industry.
72.
Mr. Stewart recalled that forecasts were for a
world-wide downturn in the textile industry. Mr. Nehmer
said that the U.S. Government was seeking to avoid a down-
turn because of the disruptive effects it would have on
the U.S. social programme.
73.
Mr. Blackman again emphasised the difference of
approach to the textile problem by the U.K. and U.S.
Governments. He thought the U.K. Government was pursuing
a deliberate policy of reducing employment in the textile
industry. The U.S. Government on the other hand was seeking
to increase employment opportunities especially for minority
groups because of the consequent social benefits.
74.
Sir Eugene Melville felt that the emphasis of
the discussions was moving too far away from the context
in which they were clearly intended to be held. He said
that he and his colleagues while having regard to political
and social issues must look at the U.S. problem in terms
of the G.A.T.T. All should be looking at the problem in
terms of reliance on the tariff as a regulator of imports,
/at
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