BY BAG
SAVING TELEGRAM
FROM WASHINGTON
TEL. NO. 11 SAVING
TO FOREIGN AND CONMONWEALTH OFFICE
5 FEBRUARY 1971
PA.
UNCLASSIFIED
NEUTRAL
ADDRESSED TO FOREIGN AND COMMONWEALTH OFFICE
TELEGRAM NUMBER 11 SAVING DATED 5 FEBRUARY 1971 REPEATED
FOR INFORMATION SAVING TO:-
US TRADE POLICY
TOK YO
HONG KONG
UKDEL EEC BRUSSELS
UKMIS GENEVA
1. COPIES OF THE ANNUAL REPORT OF THE COUNCIL OF ECONOMIC ADVISERS
DATED 30 JANUARY HAVE BEEN SENT TO TREASURY AND TO THE
DEPARTMENT OF TRADE AND INDUSTRY, AND WE ARE REPORTING SEPARATELY
ON THE MAJOR PART OF THE REPORT, WHICH IS CONCERNED WITH THE
DOMESTIC ECONOMY. THIS SAVINGRAM SUMMARISES THE PASSAGES
CONCERNED WITH INTERNATIONAL TRADE.
BACKGROUND
2. POINTING OUT THAT THE RELATIVE IMPORTANCE OF TRADE TO THE US
ECONOMY INCREASED (SIC) IN THE 1960'S, THE REPORT SAYS THAT THE
LIBERAL TRADE POLICIES FOLLOWED SINCE WORLD WAR II NOT ONLY
EXPANDED AMERICA'S EXPORTS AND IMPORTS BUT CONTRIBUTED TO A
HIGHER STANDARD OF LIVING. ADJUSTMENTS REQUIRED IN CERTAIN
INDUSTRIES, HOWEVER, ACCOMPANIED BY PROTECTIONIST ACTIONS ON THE
PART OF SOME OF THE US TRADING PARTNERS AND BY THE REDUCTION IN
/THE
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