The United States has refrained from endorsing any specific plan, but officials are known to favor deliberate creation through the 103-nation International Monetary Fund, of a new unit of exchange -- a kind of demand deposit with a world central bank -- which IMF officials could distribute to meet the needs of world trade.
The French, however, have insisted that any system of reserve creation be linked rigidly with gold. Any other system, they have argued, would perpetuate the deficiencies of the present system -- forcing countries like France to finance policies which they oppose by compelling them to hold dollars from U.S. deficits.
The first hint of a more conciliatory French view came at the annual meeting of the IMF in October, when France's finance minister Valery Giscard d'Estaing said that it was at least "conceivable" that a distribution of additional reserve assets could take into account "other criteria" besides gold holdings.
The communique issued by the ten provided for three stages in negotiating "arrangements for the future creation" of reserves.
In the first stage, deputy finance ministers of the Group of Ten countries would determine a "basis for agreement on essential points".
As soon as a consensus is reached the governments will move into a second stage of "broader consideration of the questions that affect the world economy as a whole." In this stage, the group said the deputies would work with the IMF 20-member executive board, giving a voice to the less-developed countries.
The final enactment of any new arrangements, the third stage, would occur at "an appropriate forum for international discussions" Once a consensus is reached in the first stage, the remaining two stages are expected to be mere formalities to satisfy the underdeveloped countries.
Bernstein's remarks on Wednesday indicated that the Group of Ten is rapidly moving toward a consensus in this first and crucial stage. France is expected to insist in general terms that any new system for reserve creation impose greater discipline on deficit countries like the U.S. and Britain.
But on specific proposals an observor noted "the ice is breaking"