[191]
Nixon was far more interested in foreign affairs than domestic policies, but he believed that voters tend to focus on their own financial condition and that economic conditions were a threat to his reelection. As part of his "New Federalism" views, he proposed grants to the states, but these proposals were for the most part lost in the congressional budget process. However, Nixon gained political credit for advocating them.[190] In 1970, Congress had granted the president the power to impose wage and price freezes, though the Democratic majorities, knowing Nixon had opposed such controls throughout his career, did not expect Nixon to actually use the authority.[191] With inflation unresolved by August 1971, and an election year looming, Nixon convened a summit of his economic advisers at Camp David. Nixon's options were to limit fiscal and monetary expansionist policies that reduced unemployment or end the dollar's fixed exchange rate; Nixon's dilemma has been cited as an example of the Impossible trinity in international economics.[192][193] He then announced temporary wage and price controls, allowed the dollar to float against other currencies, and ended the convertibility of the dollar into gold.