INTRODUCTION: Finance ministers from 24 industrial nations met in Paris on Tuesday (16 June) attempting to produce a new strategy for economic growth.
GV Chateau de la Muette in Paris
SV Delegates arriving for conference (2 shots)
SV INTERIOR Delegates greeting each other
SV OECD Secretary General Emile Van Lennep and assistant
SV OECD President Jose Desmarets
SV Japanese, Portuguese and New Zealand delegates (2 shots)
SV Australian and Turkish delegates (2 shots)
SV Delegates from U.S.A., U.K. and France (3 shots)
SV German and Dutch delegates (2 shots)
America's policies will be the major talking point at a seven-nation conference in Ottawa next month. European critics of high interest rates in the United States are expected to speak frankly with President Reagan's ministers about their fears.
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Background: INTRODUCTION: Finance ministers from 24 industrial nations met in Paris on Tuesday (16 June) attempting to produce a new strategy for economic growth. But little progress was made at the two-day summit with discussions centring on America's latest money policies. Some members of the Organisation for Economic Co-operation and Development (OECD) thought America's high interest rates were pushing up unemployment around the world. But other influential delegates at the annual talks of the leading industrial nations said the biggest danger was inflation. They argued that the priority must still be given to tight credit policies as the only way to root out deep-seated inflation.
SYNOPSIS: Ministers met at the Chateau de la Muette with one aim in mind.
They arrived from all corners of the globe hoping to find a common solution to the world recession. Every country has been affected and despite the smiles and handshakes, ideas of the bast road to recovery have produced deep divisions. The Americans, Japanese and Australians all with economies better able to weather the slump, see inflation as enemy number one. Ranged against them are those who say the social cost of this strategy is too great.
O.E.C.D. Secretary General Emile Van Lennep and President Jose Desmarets chaired the debates.
France's Foreign Minister Claude Cheysson argued strongly against moves by nations like Japan to concentrate on beating down inflation. Forecasts predict that unemployment among member nations will to 26-million.
Mr. Cheysson said American policy would add yet more to this figure, despite support for the view that success of U.S. policy meant economic growth everywhere. He also said strong countries could wait for the upturn while weaker ones could not.