ECONOMIC INTELLIGENCE WEEKLY

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP85T00875R001500150013-2
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 17
• Document Creation Date: December 22, 2016
• Document Release Date: September 29, 2009
• Sequence Number: 13
• Publication Date: March 21, 1974
• Content Type: REPORT

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Secret
Economic Intelligence Weekly
iJ
iO4Pi
r
Secret
CIA No. 7931/74
21 March 1974
Copy N2 204
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Brezhnev Unveils Land Improvement Scheme This long-term
program will not substantially reduce the need f'or large grain imports
this decade.
Egyptian Expectations of US Aid Sadat hopes to involve the United
States heavily in Egypt's post war econom ic renovation.
Copper: Turbulence in Production and Prices Supplies will remain
tight in 1974 despite the worldwide slowdown in economic growth.
Italy: Trade Deficit Causes Financing Problems Rome is seeking
intergovernment financing to help corer an expected $11 billion
deficit.
China: Energy Squeeze Although oil is booming, supplies of coal and
electric power are short.
France: Nuclear Industry Moves Forward
India: Grain Situation Worsens
PRC Test Flies 707s Abroad
Turndown of Soviet Bid on US Hydro Project
Temporary Restrictions on Thai Rice Exports
Publication of Interest
Summary of a Recent Publication
Comparative I ndicators
Recent Data Concerning Internal and External
Economic Activity
9
10
10
10
10
11
11
The oil situation is now being covered mainly in
International Oil Developments, published each
Friday morning.
Note: Comments and queries regarding this publication :,re welcomed. They may be directed to Mrs.
i
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ECONOMIC INTELLIGENCE WEEKLY
BREZHNEV UNVEILS LAND IMPROVEMENT SCHEME
Brezhnev's land improvement program for the Russian Republic - like
Khrushchev's new lands program of the 1950s - aims at dampening the
large fluctuations in Soviet agricultural output. This long-term program will
not substantially affect the USSR's need for grain imports through the
remainder of the decade.
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Speaking at the 20th anniversary of the opening of the new lands
last week, Brezhnev announced that 35 billion rubles would be spent during
1976-80 in the first phase of a 15-year project to develop the non-black
soil region of the Russian Republic. This amount is equivalent to almost
one-fourth of the total agricultural investment planned for 1971-75. The
new program will include the traditional land reclamation projects -
irrigation and drainage -- and increased supplies of mineral fertilizer and
other agricultural chemicals. The plan calls for reclamation or improvement
of 124 million acres - 79 million of crop land and 45 million of grazing
land. The crop land would be equivalent to about 15% of current sown
acreage and about equal to the 70 million acres plowed up in the new
lands of Kazakhstan and Western Siberia. Although the non-black soil area
has large tracts of boggy, uneven land, it has high annual precipitation and
responds well to the application cf lime and mineral fertilizer. The Brezhnev
agricultural programs of 1965 and 1970 provided more chemicals for this
area with good results: grain harvests in 1969 and 1970 were 80% above
the 1961-65 average. As a result, this area has provided more than one-third
of the increase in grain output in recent years. The Soviets hope that the
non-black soil region will provide steady growth in grain production to
counter erratic production in the new lands and even the black soil zone.
The new program is feasible only because of Soviet success in boosting
the output of mineral fertilizer. In contrast, in the 1950s, shortages of
fertilizer made the use of extensive new lands the quickest and cheapest
way of increasing grain production. Because the Soviets do not have a good
track record in land reclamation, the Brezhnev program is unlikely to work
ovt as announced. In recent years the amount of land that has slipped
into disuse has exceeded additions of newly reclaimed land. In any case,
major benefits from the new program will not appear before 1980. The
projected demand of the Soviet consumer for meat could require grain
imports of 15 million tons annually in the late 1970s.
25X1
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EGYPTIAN EXPECTATIONS OF US AID
As progress toward a Middle East settlement continues, Egypt will
expect the West, particularly the United States, to play a more visible role
in Egypt's postwar economy.
Egypt's current interest in US economic backing does not stem from
acute financial need. Thanks to $80C million in Arab aid committed during
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the fourth quarter of 1973, Egypt has sufficient cash to cover necessary
imports for at least another year. This affluence, together with future
prospects for $500 million in annual income from the SUMED Pipeline,
Suez Canal, and Sinai oil, has transformed Egypt from suspect debtor to
worthy borrower. Egypt claims to have in hand more than $2 billion in
multilateral pans, Japanese and West European aid, Communist country
credits, and official or semi-official Arab investment commitments. This
amount will cover for several years balance-of-payments deficits that
probably will not average more than $350 million.
Nonetheless, Sadat has economic reasons for seeking US economic
support. Since 1970 he has been attempting to wean Egypt away from
its humiliating dependence on bilateral aid from the USSR and Arab states.
In the face of opposition from old-guard Nassirists he has attempted to
resurrect Egypt's private industrial sector and to attract private investment
from other Arab countries and the West. Sadat no doubt hopes that, with
US Government encouragement, the example of highly successful
US-Egyptian joint ventures in the oil sector will be quickly emulated in
other sectors. He also wants to duplicate the example of the SUMED
pipeline, which is to be built by a US firm and financed by a combination
of Arab capital and Egyptian borrowing, including an Exim Bank loan.
Recent repayment of overdue debts to the CCC and the Exim Bank indicates
that Egypt hopes to continue to use concessionary US credit.
While plans for ambitious joint economic undertakings are germinating,
Sadat probably desires a symbolic gesture of economic good will from the
United States. One possibility, US financial backing for a new medical center
to be sponsored by Mrs. Sadat, has already been suggested.
The desire for US financial backing has its political side. Sadat would
like to demonstrate to skeptical Arab supporters as well as to the USSR
that his courtship of the United States can produce tangible economic
results. He also does not want to frustrate completely the expectations of
many Egyptians that an alliance with the United States will lead to
large-scale economic assistance and eventual prosperity.
Like other important raw materials, copper has been caught up in the
riptides of international monetary disturbances, spot shortages, and political
broils. Despite the economic slowdown in industrial nations, demand for
copper will remain strong in 1974 because of the need to rebuild stocks
and protect against a possible strike in the US industry.
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o LLL1_I__1J_LL I_Lll_L ..iL1J_Lli_Ll.~_.I_111_L..I_LLJ_L1_~_L_LLl._L i_LLL_LLL1J
1970
'Through 15 March
162917 4.74
The world copper market has three fairly distinct components:
The United States possesses about 30% of mine capacity of
non-Communist countries and normally imports only 10`%
of its copper requirements.
In other non-Communist countries, supplies move mainly to
Western Europe and Japan from Chile, Peru, Zaire, Zambia -
the members of CIPEC -- and Canada; the CIPEC countries
account for about 40% of capacity and 7010 of exports in
the non-Communist world.
s Communist countries are basically self-sufficient, with output
approximately one-fourth of the non-Communist total.
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Prices and Production in 1973-74
Whereas output and inventories in non-Communist countries
comfortably covered demand in 1970-72, the situation was sharpl:- altered
in 1973. Consumption jumped by 10% to 6.9 million tons, th Japan
leading the way with a 26% rise Refined copper production, constrained
by smelting capacity, advanced by 4% to 6.6 million tons. The effect of
the 300,000-ton deficit was softened by net imports of 50,000 tons from
Communist countries. The remainder of the shortfall was covered by
drawing down stocks to their lowest level in several years.
Monetp ry uncertainties -- notably inflation and the rejiggering of
exchange rates - compounded the upward pressures on copper prices. By
mid-1973 prices on the London Metal Exchange climbed past the earlier
record of 800. per pound. Even though consumption began to level off
after midyear, inventory rebuilding sustained the buying fever. By
November, LME spot quotations averaged $1.03; after a brief decline, they
rebounded to a new record high of $1.16 in the first two weeks of March
1974. Because of sales under fixed contracts, the US producer price is much
less volatile than the LME price. The US price rose early in 1973, was
frozen at 60? from March through November, and now stands at 68?.
Prospects for 1974
An increase in refined production in non-Communist countries of 6%
to 7% is forecast for 1974, boosting output to about 7.1 million tons.
More than one-half of this growth is expected to take place in th,,, United
States and Chile. Smelting-refining bottlenecks are being lessened in the
United States through investment in pollution controls and in Chile through
an ambitious renovation program. Chile and Zambia are largely responsible
for an expected 6% hike in mine output. Production estimates for 1974
are shakier than usual because of a possible strike in the US industry at
midyear, when labor contracts expire.
The demand picture is even more uncertain because of continued
energy problems, monetary fluctuations, and the worldwide economic
slowdown. In 1974, economic growth in West European countries and the
United States will generally range from 1% to 4%, far below growth in
1973. Japan's growth rate is expected to be 3% to 5%, down from 11%
in 1973. Copper demand will nevertheless remain high. Producers and
consumers will want to rebuild their stocks and will be joined by market
speculators hedging against a US strike.
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Consuming nations, particularly the West European countries and
Japan, will conitim.te to be vulnerable to price-:fixing by CIPEC producers.
ITALY: TRADE DEFICIT CAUSES FINANCING PROBLEMS
Italy's trade deficit will double to an
estimated $11 billion this year, mainly
because of a jump in the oil import bill.
At $10.50 per barrel. the cost of oil
imports will climb from ?'3.3 billion to
$9.5 billion even if domestic consump-
tion is held 6% below the 1973 level. Any
relief obtained through price reductions
later in the year will be offset partly by a
recovery of volume to a more normal
Icvel. Export earnings from refined prod-
ucts should reach about $3.0 billion,
assuming that volume is the same as last
year and that the rise in crude costs is
passed on. Italy's net deficit in oil trade
thus is expected to reach '06.5 billion,
compared with $2.1 billion fir, 1973.
The deficit attributable to trade in
other goods is expected to grow by $1
billion. Rising demand for meat will be
the single most important factor in
widening the non-oil portion of the
deficit; Rome is not in a practical
political position to curb consumption of
meat even if it wants to. At the same time
the depreciation of the lira-currently
amounting to 10%, compared with the
1973 average value-will hold down
export earnings in terms of dollars.
Italy: Trade Balance*
1972
OA
-21
Meat
-2.4
Total:
-$5.6
Estimuled
Meat
and
Other
-4.5
Total:
-$11.0
Projected
'Exports are f.o.b., imports are 0.1.
Note: 1974 component projections are rounded
to the nearest one-half billion dollars.
7
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Italy is at a disadvantage in competing with other borrowers in private
capital markets. Many bankers give Italy a weak credit rating, noting that its
Eurocurrency debts already exceed $6 billion. As a result, Rome is searching
for other nm,.ns to finance the trade deficit. In recent weeks, it has increased its
credit swap line with the United States to $3 billion and has received a $1.2
billion standby credit from the IMF. The financial requirements negotiated
with the Fund, viewed by some Italians as domestic interference, were a factor
in the fall of Rumor's coalition government earlier this month.
The Italians have joined the British in advocating concerted EC borrowing
to finance oil bills. But for the present the Community has decided against this
procedure. To strengthen its reserve position, Italy has been supporting French
efforts to raise the price of gold for interbank transactions to near the
free-market level. Such a step would boost the value of Italy's foreign reserves
from $6 billion to $18 billion.
At a time when oil production and exports are booming, Chins is
experiencing a general energy squeeze. Growing shortages of coal - which
accounts for almost 80% of primary energy - and of electric power are
limiting production in the fertilizer and steel industries.
China's 70 billion to 80 billion tons of proved coal reserves are
sufficient for any foreseeable need. The problem stems from insufficient
investment in large, new underground mines since 1969. Peking has been
giving priority to industries supporting agriculture - chemical fertilizer, for
example - and to the petroleum and synthetic fiber industries. Policy
toward the coal industry has featured more intensive operation of existing
mines and the opening of small local mines. These measures are encountering
diminishing returns. Unless Peking either opens new underground mines or
drastically expands strip mining - now done only on a small scale - coal
production will continue to constrain industrial output.
Tightening coal supplies are contributing to the slow growth of the
electric power industry, since coal-fired plants account for 70% of total
capacity. The lack of a national power grid and inadequate transmission
facilities have compounded the problem. Aside from the rationing of power
8
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in several industrial center f'or the past two years, Peking's only other
remedial action has been to convert about 15% of its coal-fired plants to
oil. Recent Chinese interest in purchases of nuclear power facilities from
abroad suggests that Peking views nuclear' energy as a long-term remedy
to the problem.
China: Electric Power, Coal, and Crude Oil Output
Electric Power
Output
(Billion KWH)
Coal Output
(Million Tons)
Crude Oil Output
(Million Tons)
1969
60
258
20
1970
72
310
28
1971
85
335
37
1972
93
357
43
1973
101
378
53
During the next few years, energy shortages will constrain industrial
growth. Prospects are for annual increases in industrial output of about
8% - well below thc; 12%-15% levels of the early 1970s. Peking appears
bent on using a substantial part of its rapidly increasing oil supplies to
earn hard currency raher than to ease the domestic situation. So far, China
seems unwilling to use scarce foreign exchange to import sizable quantities
of strip-mining and long-wall-mining equipment. ~
France: Nuclear Industry Moves Forward
The French nuclear industry was given a boost when its fast breeder
reactor, Phenix, reached its full operating level of 252 megawatts on
14 March. Phenix is the second largest operating breede, in the world, after
the Soviet Union's 350-MW plant at Shevchenko. The United States has
planned a $700 million, 350- 400-MW demonstration plant near Oak Ridge,
Tennessee, but operation is not scheduled until mid-1980. As a result of
its success, France hopes to sell an intermediate size (400- 450-MW) breeder
reactor to other countries. Paris already has agreed to build two larger
(1,200-MW) breeders in cooperation with Italy and with West Germany.
If the large breeders are successful, France would be in a good position
to gain a sizable share of the world reactor market, now dominated by
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India: Grain Situation Worsens
Foodgrain crops, mainly wheat, now maturing in north Indian growing
areas have been further damaged by dry weather and irrigation failures.
Grain production is now expected to be 105 million tons, or 3 million
tons below February estimates. While production will be 10% above last
year's drought-reduced output, it will still be 10 million tons short of India's
plan. New Delhi, however. still fine not taken steps to arrange additional
PRC Test Flies 707s Abroad
Recent overseas test flights of the PRC's Boeing 707s presage their
introduction on international routes. CAAC, China's national airline, flew
707s for the first time outside China to Rawalpindi and Pyongyang earlier
this month, and Bucharest was the terminus of a CAAC 707 trial flight
to Europe last week. The latter route -- via Tehran and Istanbul - probably
will be used if CAAC begins service to Europe this summer as expected.
For the past several months CAAC has been using its 707s on domestic
Turndown of Soviet laid on US Hydro Project
The low bid for hydroelectric equipment, submitted jointly by
Westinghouse and En ergomasheksport, has been turned down by officials
of the Rock Island dam project. The Russians were informed that two of
the local electric power distribution groups in the State of Washington
refused to accept power from the Rock Island hydroelectric powerplant
if Soviet equipment was installed. In the first round of bidding last August,
the Westinghouse-Energomasi:eksport offer was low. All bids were canceled
and the bidding reopened. In the second round, the Westinghouse-Soviet
bid was 15% below that of the next low bidder, and the Soviets believed
their bid was successful. Disappointed Soviet officials are saying that the
Rock Island contract had assumed symbolic importance as an indicator of
US willingness to promote two-way trade.
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Temporary Restriction on Thai Rice Exports
Tlhailand's foreign trade officials state that a temporary ban on new
rice export contr;'cts will be imposed to assure domestic supplies. Thailand
imposed a similar ban last year in March and continued it until fall. Although
Thailand has more rice available this year, exports have moved slowly. If
exports fall short of the expected 1.2 million tons this year, compared
with 880,000 tons in 1973, the world market will be even tighter by
midsummer than it was last year. World prices, already nearly three times
the level of a year ago, will continue to climb.
(CIA ER A 74-9, March 1974
This publication presents an index of construction activity in the
People's Republic of' China from 1949 through 1973. The methodological
section explains the derivation of production series for three major building
materials (cement, timber, and steel) and the weighting of these series to
derive the index. Construction activity in China has grown at an average
rate of about 6% during 1958-73. Growth has been uneven, however, closely
paralleling industrial output in its ups and downs.
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INTERNAL ECONOMIC INDICATORS
I'en:ent Chnngr - -- -----
Percent Chang'----
Latest Prom lrevmus I Year Irevrous
Lalesl limn Previous I Year 3 Months
Oil error Quarter I/O 1Earlier Guenter
Merrill Month 1971) Earlier Earlier
United States
73 IV I 0.4
4.7
4.0
1.5
United States
Felt 74
1.4
7.4
17.6
29.8
Japan
73 IV
1.4
8.3
7.3
5.8
Japan
Fell 74
3.9
11.3
37.0
89.7
West Germany
73 IV
0.1
3.1
3.4
(1.3
West Germany
Doc 73
0.9
5.3
0.8
11.8
France
73 III
0.9
5.6
6.1
3.8
France
Jan 74
5.3
10.6
26.6
56.0
United Kingdom
73 111
I.o
3.9
6.0
5.2
United Kingdom
Feb 74
2.9
9.3
15.5
31.3
Italy
73 1 0.8
3.1
5.2
3.4
Italy
Nov 73
1.6
9.0
21.1
17.5
Canada
73 IV 2.8
6.l
7.2
11.6
Canada
Dec 73
(1.6
8.5
(8.3
19.5
GNP"
Constant Markel Prices
Avoratn Annual
Growth It, lie Since
Aver rye Annual
Growth Role Since
Average Annual
Growth Rare Since
Average Annual
frowtlt (late since
Lntest
Percent Change
born Previous I Year 3 Months
Percent Change
Latest from Previous I Year 3 Months
Month
Month 1970 Earlier Earlier
Month Month 19711 Earlier Eaiher
United States
Pub 74
I -0.6 I
4.8
1.6
-4.0
United States
Jolt 74
5.3
9.5
9.7
Japan
Jan 74
1.3
10.0
7.5
Japan
Jan 74
10.2
23.1
41.9
West Germany
Onr. 73
0.9
6.2
9.0
West Germany
Jan 74
6.2
7.4
11.8
France
Dec 73
-4.4
2.1
0
France
Jon 74
7.1
10.3
13.6
United Kingdom
Dec 73
-4.2
1.8
-4.7
United Kingdom
Jon 74
3.3
12.0
14.5
Italy
Doc 73
- 7.5
12.8
22.3
Italy
Dec 73
7.7
12.5
145
Canada
Dec 73
-0.1
4.7
9.9
Canada
Feb 74
5.8
9.6
9.9
RETAIL SALES'
Average Annual
Current Prices
Growth Rate since
Average Annual
Growth Rate Since
Percent Change
Latest Iron Previous I Year 3 Months
Month Month 1970 Earlier Earlier-
Percent Change
Latest from Prewons I Year 3 Months
Month Month 1970 Ear her Earlier
United States
Feb 74
- 0.7
9.8
6.0
- 3.4
Unite
d States
Feb 74
1.2
7.4
6.1
9.2
Japan
Nov 73
3.4
14.6
27.4
32.0
Japa
n
Dec 73
0.1
17.5
16.7
14.7
West Germany
Dec 73
0.5
7.8
5.8
7.6
West
German
y
Dec 73
0.9
9.1
0.2
5.1
France
Nov 73
-2.4
5.6
15.2
20.1
Fran
ce
Doc 73
5.0
13.2
9.7
14.2
United Kingdom
Nov 73
0.7
12.1
14.8
21.9
Unite
d Kingdo
m
Jan 74
0.2
9.4
4.7
-2.5
Italy
Aug 73
6.7
12.4
19.0
5.0
Italy
Sep 73
1.4
20.7
23.3
24.7
Canada
Dec 73
-0.9
10.6
13.7
9.3
Cana
da
Jan 74
2.2 13.3 11.6 3.9
I Year 3 Months I Month
Representative Rates Latest Date Earlier Earlier Earlier
United States
Primu finance paper
15 Mar I
7.75
6.63
8.75
7.38
Japan
Call money
8 Mar
12.50
5.50
10.00
12.00
West Germany
Interbank loans (3 Months)
15 Mar
11.13
8.44
13.00
10.63
France
Call money
15 Mar
12.13
7.50
11.88
12.00
'Seasonally adjusted
United Kingdom
Local authority deposits
15 Mar
15.50
7.61
15.94
15.69
.
"Average for latest 3 months compared
Canada
Finance paper
15 Mar
8.38
5.13
9.50
8.50
with average for previous 3 months.
Euro-Dollars
Three-month deposits
15 Mar
8.88
8.63
11.00
8.31
21 March 1974
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EXTERNAL ECONOMIC INDICATORS
EXPORTS"
I,oil.
United States
Japan
West Germany
Franco
United Kingdom
Italy
Canada
IMPORTS'
United States
.I:jrdn
West Germany
France
United Kingdom
Italy
Canada
TRADE BALANCE'
United States
Japan
West Germany
France
United Kingdom
Italy
Canada
Cumulalrva
Latest Monlh ---------------- -
Million US S ' Potent
Million US S 1973 1972 Change
Jan 74 7,110 70,790 46,221 43.8
Full 74 3,623 35,989 27,916 28.9
Jan 74 7,014 67,043 40,125 44.8
Feb 74 3,412 36,674 26,378 39.0
Jan 74 2,280 28,393 22,069 24.2
Dec 73 2,553 22,286 18,570 20.0
Jan 74 2,444 25,197 20,208 24.3
Cumulative
Latest Manil,
---------`"-- Million US S Percent
Million (IS $ 1913 1912 Chance
Jan 74
Feb 74
Jan 74
Fab 74
Jan 74
Dec 73
Jan 74
4,036
4,987
3,714
3,132
2,973
2,226
32,314
51,644
35,272
33,873
24,833
23,304
19,063
37,990
25.250
24.619
17.196
18,851
69.5
35.9
39.7
37.6
44.4
23.6
Jan 74
Nov 73
Doc 7:,
Oct 73
Doc 73
Sep 73
Nov 7:;
EXPORT PRICES
National Currency
United States
Japan
West Germany
France
United Kingdom
Italy
Canada
IMPORT PRICES
National Currency
Million US $
Jan 74 640
Feb 74 -414
Jan 74 2,027
Feb 74 -303
Jan 74 -852
Dec 73 -420
Jan 74 218
BASIC BALANCE"
Current and Long-Term-Capital Transactions
United States'
Japan
West Germany
France
United Kingdom
Italy
Canada
73 III
Feb 74
Dec 73
73 111
73 III
72 III
73 III
1973
1.714
3,675
15.999
1,402
-5,480
-2,548
1,892
1972
-6,332
8,854
8,735
1,129
-1,749
1,374
1,414
Change
8,046
-5,178
7,264
273
-3,731
-3,922
478
EXPORT PRICES
)ISS
United States
Japa11
West Germany
France
United Kingdom
Italy
Canada
Percent Ciran11ri
Latest from Previous
Month Month
United States
Japan
West Germany
France
United Kingdom
Italy
Canada
11.6
-0.8
-0.8
2.9
0.1
3,4
4.9
19111
10.2
13.2
12.4
15.1)
8.7
11.2
9.5
Averapr. Annual
Growth Rale Since
Permit Chan11c - --------
Jan 74
Nov 73
Dec 73
Oct 73
Doc 73
Sep 73
Nov 73
Aver 0111' Annual
Sruwlh Ilate Since
I Year
E;ubur
26.6
27.4
25.7
31.9
17.3
22.3
22.5
3 Months
father
275
11.11
103
15.7
12.4
51.7
42,9
I Year
falling
26.6
14.9
4.3
10.7
18.8
18.7
24.5
3 Months
Earlier
21.5
34.1
17.6
34.9
33-4
21.4
40,1
19111
10.2
4.8
2.4
6.6
9.8
7.7
8.0
Percent Change
Latest I rn Previous
Month Month 1971.
Jan 74 3.7 14.3
Nov 73 3.7 4.6
Dec 73 4.7 3.3
Oct 73 -1.5 5.3
Dec 73 5.2 16.4
Sop 73 0 13.2
Nov 73 0.3 5.5
EXCHANGE RATES Spot Rate
As of 15 March 74
Million US S 1973
I 2.539 I 986
-1,670
193
-1,482
- 521
800
238
United States
Japan
West Germany
France
United Kingdom
Italy
Canada
-9,702
3,950
2,039
1,840
N.A.
267
1972
-8.282
2,137
4,566
- 202
1,252
2,983
574
Chan
9.28e
8
11,839
-616
- 1,838
- 587
N.A.
- 308
End of Billion US S Jun 1970
Jan 74 14.6 16.3
Feb 74 11.9 4.1
Jan 74 32.2 8.8
Fab 74 7.5 4.4
Feb 74 6.0 2.8
Jan 74 6.0 4.7
Feb 74 6.2 4.3
1 Year
Earlier
13.1
19.1
23.7
10.6
5.9
5.8
6.2
3 Months
Earlier
14.4
13.2
35.0
8.6
6.6
6.2
'Seasonally adjusted.
"Convorted Into US dollars at current market rates of exchange.
21 March 1974
JapaniYen)
West Germany IDeotsche France (rranch i Mark)
ark)
United Kingdom Sterling)
Italy (Coa)
Canada (Dollar)
US S
Per Unit
0.00354
0.37740
0.20640
2.33300
0.00157
1.02770
Average Annual
Growth Rate Since
I Year
Earlier
34.4
19.8
13.8
14.3
43.1
34.2
13.6
3 MonUrs
father
58.6
31.0
54.2
35.2
53.1
44.1
8.1
Dec 66
28.45
50.12
2.23
-16.40
-2.19
11.42
18 Dec
1971
9.15
21.62
4.82
-10.46
-8.95
3.00
19 Mar
1973
-6.81
6.58
-6.35
-5.20
-11.53
3.01
8 Mal
1974
1.72
0.13
0
0.41
1.29
-0.18
United States
Japan
West Germany
France
United Kingdom
Italy
Canada
Dec 66
-15.86
17.91
30.33
-1?.63
-34.19
-21.28
8.67
18 Dec
1971
-6.49
4.11
13.40
-4.28
-20.04
-20.02
2.06
16 Mar
1913
0.20
-7.81
8.40
-6.72
-5.69
-13.16
3.69
BMar
1974
-0.38
1.64
-0.22
-0.38
0.17
1.12
-0.34
"'Weighting is based on each listed country's trade with 16 other industrialized
countries to reflect the competitive impact of exchange-rate variations
among the major currencies.
Approved For Release 2009/09/29: CIA-RDP85T00875RO01500150013-2