Nation: THE GOLD DRAIN: How It Might Be Stopped

FEW economic problems have troubled John Kennedy more than the U.S. gold outflow—the steady erosion of the nation's gold reserves by foreign claims. Early in his Administration, the President determined to make a concerted drive to stem the flow. That determination remains. But many businessmen and economists are concerned about whether the Administration is actually doing enough to stop a long-term outflow that could eventually drain the nation's reserves to a perilous level and destroy international confidence in the dollar.

Although the U.S. still has the world's largest gold supply, it has been shrinking at an average rate of about 6.5% annually...

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