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106. Memorandum From the President’s Assistant for National Security Affairs (Brzezinski)1


  • The Secretary of State
  • The Secretary of the Treasury
  • The Secretary of Energy
  • Director, Office of Management and Budget
  • Chairman, Council of Economic Advisers
  • Assistant to the President for Domestic Affairs and Policy
  • Director of Central Intelligence


  • Outlook for U.S. International Payments and Exchange Rates

The President is concerned about the continued large current account deficit. To get a better fix on the full extent of the problem and to begin examining possible solutions, the President requests the following:

—Projections of the U.S. current account position in 1978 and beyond, under a range of reasonable assumptions about economic policies here and abroad. Considering the importance of oil imports in the current account deficit, an up-to-date estimate should be made of the value of foreign oil the United States will import in 1978 and beyond under the oil supply, demand, and price conditions likely to prevail during this period. The exchange rate implications of alternative current account developments should also be provided.

The Secretary of the Treasury should take the lead and work with the Department of State, the Department of Energy, the Council of Economic Advisers, the National Security Council, the Domestic Council, the Office of Management and Budget, the Director of Central Intelligence and other agencies as required.

The President would appreciate having a report by April 30.

Zbigniew Brzezinski
  1. Source: Carter Library, National Security Affairs, Brzezinski Material, Subject File, Box 8, Balance of Payments: 12/77–2/79. Confidential. Carter wrote at the top of the page: “ok. J.”