Review

The primary objective of monetary policy in 1976 was to reduce inflationary pressures while sustaining the recovery which began in early 1975. The monetary authorities expressed concern that, in an inflationary environment such as prevailed in late-l975 and early 1976, attempts to quicken the pace of economic recovery through stimulative policy actions could yield undesirable results.

Exports of U.S. farm commodities totaled $23 billion in 1976 and are expected to exceed that amount this year. Exports in the past year accounted for almost 25 percent of tile dollar value of all farm commodity sales, and the 100 million acres of land utilized in producing this volume of exports represented 30 percent of the total acreage harvested. Thus, exports play a significant role in determining the nation’s farm income.