Humphrey-Hawkins Act

Humphrey-Hawkins Act

Informal name for the Full Employment and Balanced Growth Act of 1978, from the names of the act's original sponsors.

Full Employment and Balanced Growth Act of 1978

Legislation in the United States, enacted in 1978, that sought to curtail the stagflation that marked most of the 1970s. The Act set up four goals for the federal government: full employment, economic growth, balanced budget, and elimination of inflation. It stated that the government preferred private investment to accomplish these goals, but, if it was not forthcoming, then the government could make investments to spur demand and, if necessary, create make-work jobs along the lines of the New Deal. It set goals to be reached by certain dates; for example, it stated that inflation should be 4% by 1983 and 0% by 1988. Critics of the Act maintained that the four goals are different and that it is often impossible to fulfill them all.
References in periodicals archive ?
In the late 1970s, amidst growing unemployment in black and Latino communities, the newly-formed Congressional Hispanic Caucus (CHC) supported the Congressional Black Caucus (CBC) in its call for full employment in the run up to the passage of the Humphrey-Hawkins Act of 1978.
The Full Employment and Balanced Growth Act of 1978, more commonly known as the Humphrey-Hawkins Act (henceforth, HH), established price stability and full employment as national economic policy objectives.
Then lawmakers advanced the Humphrey-Hawkins act, a resolution that made government-guaranteed full employment the goal and policy of the United States--this even though no one knew how to guarantee full employment short of expanding expensive and corruption-prone government make-work efforts like the CETA program.
The Federal Reserve Board Chairman presents these ranges, along with projections for output, inflation, and the unemployment rate, in testimony before Congress pursuant to the Humphrey-Hawkins Act of 1978.
In keeping with its usual procedure under the Humphrey-Hawkins Act, the Committee would review its preliminary ranges for 1998 early next year, or sooner if interim conditions warranted, in light of their growth and velocity behavior and ongoing economic and financial developments.
Subsequently, the Humphrey-Hawkins Act of 1978 formally added the goal of eliminating inflation.
The Federal Reserve Board chairman presents these ranges in testimony before Congress pursuant to the Humphrey-Hawkins Act of 1978.
In keeping with its usual procedures under the Humphrey-Hawkins Act, the Committee would review its ranges at midyear, or sooner if interim conditions warranted, in light of the growth and velocity behavior of the aggregates and ongoing economic and financial developments.
The Federal Reserve Board reports semiannually both to the House of Representatives and to the Senate pursuant to the Humphrey-Hawkins Act, and we regularly respond to other congressional requests for testimony.
Besides focusing on the outlook for the economy at its July meeting, the FOMC, as required by the Humphrey-Hawkins Act, set ranges for the growth of money and debt for this year and, on a preliminary basis, for 1994.
In keeping with the Committee's usual procedures under the Humphrey-Hawkins Act, the ranges would be reviewed at midyear, or sooner if deemed necessary, in light of the behavior of the aggregates and ongoing economic and financial developments.