Brimmer Supports Arabs' Investment

Andrew F. Brimmer, Ford Visiting Professor of Business Administration, told a New York meeting of businessmen yesterday that the United States should take the lead in offering investment opportunities to the rich oil-producing nations.

"I see petroleum prices remaining high for quite some time," Brimmer said to a luncheon meeting sponsored by Institutional Investor Magazine. He warned that the United States should not try to force oil prices down.

The economist, recognized for his work on international finance, said, "Given this prospect [of continuing high prices], it is time for the United States to provide the leadership to deal with the management of the revenues accumulating rapidly in the hands" of the Arab oil exporters.

Brimmer was a member of the Board of Governors of the Federal Reserve System from 1966 to last August, and was one of the scholars summoned to President Ford's "mini-summits" on the economy.

He told the businessmen that he anticipated a "long parade" of investment by oil-producers in industrialized countries.

American leaders are missing an important signal of the price-boosting actions by the oil countries, Brimmer said.

He explained, "We're being asked to slow down the rate at which we are improving our standard of living... so the developing nations will be able to improve their standard of living.