Present-day readers have something much in common with those in the summer of 1971; blink, and the price of something surges upward.
While many wish something could be done to halt the 2026 hikes, some will likely remember that someone tried in 1971 and the results were mixed and the local comments were many.
As readers of The Oneonta Star took in on Aug. 16, 1971, “President Nixon announced Sunday night that he is freezing all prices, wages and rents for at least 90 days.
“In addition, he said he is inviting the world to devalue the dollar and is tacking on an average 10-per cent markup on all imports and is recommending tax breaks for individuals and businesses.”
Reactions were mixed, as The Star of Aug. 17 reported, “The impact of President Nixon’s dramatic wage-price pronouncements is just beginning to filter down to the ‘Man-in-the-street,’ and he is finding it somewhat distressing.
“Major reason for the distress is the inability, at this early stage, to get direct, unambiguous answers to the really gut questions, such as: Am I going to get the raise I was promised two months ago?
“In the Oneonta area, where education is an extremely important business, it appears teachers at all levels are among the hardest hit immediately.”
This also applied to planned tuition increases at the local colleges. These would be applied after the 90-day freeze.
Cable television customers were probably pleased, although temporarily, as The Star of Aug. 24 reported, “Oneonta Video announced yesterday that it will not increase its rates from $4.50 to $5.50 next month as originally planned.
“The $1 increase was to go into effect September 1. It had won the support of Oneonta and Otego town boards.” For the time being, it was on hold.
Local financial institutions seemed to favor the Nixon plan, “However,” as The Star of Aug. 26 told readers, “some don’t feel the 90-day freeze on wages and prices, due to expire November 12, is long enough.”
Robert Bolton, then president of the Oneonta Building and Loan told The Star, “Nixon has done something, and something beats nothing,” and hoped the freeze would give federal economic experts a chance to decide what to do.
With prices frozen, one might think it would be a good time to purchase big ticket items. But as The Star reported on Aug. 27, “Local car dealers have not yet begun to feel the impact of Nixons’s ‘freeze.’ Most car dealers agreed that there has neither been an increase or decrease in the amount of their sales.
“‘Our sales have been just about average,’ said William Burr, vice president of Burr’s Dodge, Inc. of 316 Chestnut St. ‘Of course,’ he added, ‘we’re pretty well cleaned out of the 1971 models.’
“Burr added that he wouldn’t be surprised at an increase in sales. ‘Until the freeze goes off,’ he said, ‘consumers will never have a buy like this again.’ He explained, ‘while the freeze is on, people can buy 1972 cars at ’71 prices.’ He said he believes the prices ‘will definitely go up’ once the freeze is over.”
The local academics’ outlook for the freeze and beyond soon aired, and as The Star of Aug. 30 reported, “College economy teachers basically agree that President Nixon’s wage-price-rent control is a futile effort to aid the nation’s economy.
“SUCO and Hartwick teachers said unless the freeze is reinforced after Nov. 12, the effort will have no long lasting effects, with the exception of the floating of the American dollar.
“All economists contacted agree the freeze is ‘grossly inequitable.’
“Dr. Jerome Strong, chairman of the economics department at Hartwick…said faculty salary raises will not go into effect because of the freeze, but that administrative raises, which were effective July 1, will not be affected by the freeze.”
Once the 90-day freeze expired, that was the end of what had been termed “Phase I,” and Phase II took effect. In all, there were four “phases” extending into 1974.
On Saturday, a story about veterans and local landscape changes in 1946.