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 US, passage of the so-called Humphrey-Hawkins Act of 1978 gave then-Fed Chairman Paul Volcker the political cover to squeeze double-digit inflation out of the system through a wrenching monetary tightening.
His attentions were elsewhere, on the Humphrey-Hawkins Act, which purported to require the Federal Reserve to consider full employment as well as low inflation as policy goals--something that the Fed usually did anyway.
The book also examines the last gasp of government job creation with the Humphrey-Hawkins Act of 1978.
Coretta Scott King's actions were pivotal in developing what would become the 1978 Full Employment and Balanced Growth Act, better known as the Humphrey-Hawkins Act, after its Senate sponsor (Minnesota's Hubert Humphrey) and its sponsor in the House (California's Augustus Hawkins).
"In the US, the Humphrey-Hawkins Act requires the Federal Reserve to focus on these two issues, not household debt and so on.
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.
In his 36 Conference on Economic Progress "pamphlets," he refers to full employment [1954], a National Prosperity Budget [1955], a Freedom Budget [1966], full employment growth without inflation[1970,75,78,83], and the Humphrey-Hawkins Act [1977,78].
Such policies gained legal standing and substance with the passage of the Employment Act of 1946 and the Full Employment and Balanced Growth Act of 1978 (Humphrey-Hawkins Act), both of which commit the U.S.
The Humphrey-Hawkins Act requires the Board of Governors to submit a report on the economy and monetary policy twice a year.
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 the requirements of the Full Employment and Balanced Growth Act of 1978 (the Humphrey-Hawkins Act), the Committee at this meeting reviewed the ranges for growth of the monetary and debt aggregates that it had established in February for 1997, and it decided on tentative ranges for those aggregates for 1998.