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GERALD R. FORD - 3 - LLBRARY discretion of the Chair or the rulings by the Chair that were critical in this, because as presiding officer of the Senate, I always referred the motions and the rulings to the floor of the Senate for their decision. The important element was the lack of recognition by the Senators that the minority had eroded and the majority had changed substantially and as a result, there was a greater difference in Senate response than had ever been before. I might add, Mr. President, that I am grateful for the support that you gave me during this period both publicly and privately. I appreciate it and I believe and hope that I did what you wanted. The net result of the discussion of the Senate and the ruling of the Senate is now that 60% rules the Senate--that is 60% of the Constitutional membership. We avoided all precedents and went the route that most people wanted in the Senate and I believe that everyone is happy. The President At this time I would like Earl Butz to tell us what has been happening to farm and food prices and what we can expect for the rest of the year. Earl - Secretary Butz Well, Mr. President, it looks like this. There has been a fourteen percent increase in price of food in 1974 over 1973. 80% of that increase has come after the product has left the farm. This can be accounted for by higher wages, higher transportation costs, and higher fuel costs. While the increase has slowed down some, it has not stopped during the first quart- er of 1975. It appears that food prices will be up 1 1/2-2% over the last quarter of 1974. So the increase has slowed down markedly. It is interesting to note that the index of prices paid by farmers is up 12%, but the index of prices received by farmers is down by about 15%. There is also a decline in grain. The statistic that you will find interesting is that 17% of the take home pay of the average American will go for food. This is down slightly over 1973 and also interesting to note is only Canada and the United States are nations below 20% of take home pay going for food. This can be attributed to several things. One third of the meals are currently eaten outside of the home. Looking toward 1975, we anticipate a leveling off or decline in food prices. There will be more beef eaten by Americans this year by about seven pounds per capita for the year. However, Amerie cans will eat less pork and poultry per person and the beef will be relatively cheap. Fruits and vegetables will generally be less expensive and of course Mr. President, you know about our peanut problem. We have had one for years. The area where we will be shortest in everyday diets will be on grain-fed beef. Mr. President, you can expect a record wheat crop. Since 70% of all wheat in America is winter grown, that crop is already in.

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Topics discussed at the meeting include the Presidential Clemency Board, Senate Rule 22, agriculture and food, automobile emissions, and Cambodia and South Vietnam.

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    "ocrText": "GERALD\nR.\nFORD\n- 3 -\nLLBRARY\ndiscretion of the Chair or the rulings by the Chair that were\ncritical in this, because as presiding officer of the Senate,\nI always referred the motions and the rulings to the floor of\nthe Senate for their decision. The important element was the\nlack of recognition by the Senators that the minority had eroded\nand the majority had changed substantially and as a result,\nthere was a greater difference in Senate response than had ever\nbeen before.\nI might add, Mr. President, that I am grateful for the support\nthat you gave me during this period both publicly and privately.\nI appreciate it and I believe and hope that I did what you wanted.\nThe net result of the discussion of the Senate and the ruling of\nthe Senate is now that 60% rules the Senate--that is 60% of the\nConstitutional membership. We avoided all precedents and went\nthe route that most people wanted in the Senate and I believe\nthat everyone is happy.\nThe President At this time I would like Earl Butz to tell us\nwhat has been happening to farm and food prices and what we can\nexpect for the rest of the year. Earl -\nSecretary Butz Well, Mr. President, it looks like this. There\nhas been a fourteen percent increase in price of food in 1974 over\n1973. 80% of that increase has come after the product has left\nthe farm. This can be accounted for by higher wages, higher\ntransportation costs, and higher fuel costs. While the increase\nhas slowed down some, it has not stopped during the first quart-\ner of 1975. It appears that food prices will be up 1 1/2-2%\nover the last quarter of 1974. So the increase has slowed down\nmarkedly. It is interesting to note that the index of prices\npaid by farmers is up 12%, but the index of prices received by\nfarmers is down by about 15%. There is also a decline in grain.\nThe statistic that you will find interesting is that 17% of the\ntake home pay of the average American will go for food. This is\ndown slightly over 1973 and also interesting to note is only\nCanada and the United States are nations below 20% of take home\npay going for food. This can be attributed to several things.\nOne third of the meals are currently eaten outside of the home.\nLooking toward 1975, we anticipate a leveling off or decline in\nfood prices. There will be more beef eaten by Americans this\nyear by about seven pounds per capita for the year. However, Amerie\ncans will eat less pork and poultry per person and the beef will be\nrelatively cheap. Fruits and vegetables will generally be less\nexpensive and of course Mr. President, you know about our peanut\nproblem. We have had one for years. The area where we will be\nshortest in everyday diets will be on grain-fed beef. Mr.\nPresident, you can expect a record wheat crop. Since 70% of\nall wheat in America is winter grown, that crop is already in."
}