Weight of Tourism in Payments Deficit
A ffluent americans are planning to travel abroad in record numbers this year. Each dollar they spend overseas will represent a debit entry in this country's balance of international payments and contribute to a continuing drain on the U.S. gold supply. The Commerce Department does not now talk about reducing the “travel gap” —the difference between the money spent by Americans traveling in other countries and money spent by foreigners in this country. Yet some observers estimate that the travel gap, which mounted last year to $1.8 billion, will hit the $2 billion mark in 1966.
Administration officials have not said publicly that consideration is being given to recommendations to curtail overseas spending by travelers. However, on successive days this ...