This Day In 1970's History: Sunday December 18, 1977
- A 7 percent price increase for basic sheet steel products used in automobiles and home appliances announced by the Wheeling-Pittsburgh Steel Corporation was coolly received by the director of the Government's Council on Wage and Price Stability. The increase, effective Jan, 3, could add about. $100 to the cost of a standard-size car by next spring, [New York Times]
- The American dollar's decline in foreign exchange markets is cutting down earnings of American multinational corporations, "For us it means we will pay less in dividends this year," said the treasurer of an international hotel chain with headquarters in New York. His company is one of the corporations that have built up big financial investments abroad, largely based on borrowings in local currencies. [New York Times]
- An outbreak of gastrointestinal disorders aboard a Dutch cruise ship after she left Miami Dec. 2 is being investigated by federal health inspectors. The Statendam had failed a federal health inspection three days before she had sailed. It was the sixth test she had flunked in the past year. When she returned to Miami after the 10-day Caribbean cruise, at least 82 passengers had been taken sick. Failure to pass the test is common among cruise ships, according to government figures. [New York Times]
- Federal agencies responsible for regulating the nation's banks lack some of the powers, the ability, and in some instances the will needed to monitor the industry effectively, say many people who know the federal banking laws. Bert Lance's resignation as federal Budget Director because of his alleged irregular banking practices while head of a Georgia bank, and a couple of past major bank failures that are still vividly recalled have focused attention on the regulatory agencies. [New York Times]
- Many cities offering bonds for sale are seriously "deficient" in their accounting and disclosure practices, and New York City has the most serious deficiencies, according to a study by the Council on Municipal Performance, a New York-based independent research group. The council's study of recent bond offerings by 55 municipalities around the country says that city governments fall "far short" of meeting the voluntary standards suggested by the Municipal Finance Officers Association and that owing to the lack of uniform standards it is "impossible" for purchasers to compare the soundness of the securities offered by various cities. Boston and Philadelphia were also criticized in the study for offering financial statements that are "virtually meaningless to the average reader." [New York Times]
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