BRUSSELS, (JTA) — A de- creases for the sake of the
cision insisting on the neces- country's economy.
sity for finding a formula under
Representatives of the
which Israel could establish a Workers' Committee told the
link with the European Com-
leaders that what they desire
mon Market was adopted here is not increases of the allow-
by the foreign trade commis- ances but stabilization of
sion of the European Parlia-
prices. Although they backed
mentary Assembly.
their leaders, the committee
The decision was taken after representatives sought assur-
Jean Rey, head of the Europe- ances that the leaders per-
an Economic Community's for- sonally would be among the
first to set examples of aus-
eign relations department, re-
ported on the state of the cur- terity.
Both Mapai and the goverri-
rent negotiations between Israel
and the EEC. Rey indicated the ment now have the support of
difficulties encountered and the Mapai members of the
said that they are caused by Workers' Committees, though
the political situation in the there will be some advances in
cost-of-living allowances before
Middle East.
He expressed the view that Passover.
Meanwhile, Communists con-
a solution can be found by reli-
ance on certain provisions of tinue to try to stir up opposi-
the Treaty of Rome under tion to the new economic policy.
which the European Common At a series of Communist-in-
Market was established. These spired meetings, workers were
provisions refer to commercial called on to strike on behalf
policies of member countries of "immediate" payment of
and to the definition of a com- "realistic" cost-of-living allow-
ances. Until now, most of the
mon commercial policy.
: Communist appeals have not
A number of members of succeeded, although some Work-
Belgium's Senate, represent- ers' Committees have an-
ing both the Socialist Party nounced they will support the
and the Catholic bloc, also Communist demands.
* * •
voiced strong approval here
for a link between Israel and
JERUSALEM, (JTA) — Isra-
the European Common Mar- el's standard of living, as shown
ket. The subject came up in
through increased ownership of
the Senate as the body debat- homes and higher expenditures
ed a measure giving the Bel-
gian government's approval
for - an association between
the Common Market and
Greece.
* * *

TEL AVIV—Leaders of the
government and of the domi-
nant Mapai Party obtained the
backing of the government's
new economic policy from
Mapai members of Workers'
Committees from all over the
country, who met here to dis-
cuss the policy that resulted
from the devaluation of the
pound and the demand by many
workers for early increases in
the cost-of-living allowances.
Led by Prime Minister David
Ben-Gurion, the speakers in-
cluded Finance Minister Levi
Eshkol, -Minister of -Agricul-
ture Moshe Dayan and Aharon
Becker, one of the top leaders
of Histadrut, the Israel Federa-
tion of Labor. All the leaders
pleaded for the support of the
new economic policy, and for
the necessity of preventing
early cost-of-living allowance in-

Arabs Split on Israel's Bid for
European Market Link; Lebanon's
Protests Under League's Scrutiny

(Direct JTA Teletype Wire
to The Jewish News)

LONDON — Israel's bid for
some kind of link with the Euro-
pean Common Market has caused
new rifts among Arab League
countries, it was reported here
Wednesday from Beirut.
Questions are again being
raised in Lebanon as to who is
being hurt most by the Arab
boycott—Israel or members of
the League such as Lebanon.
Pierre Gemayel, a member of
the Lebanese Cabinet, was quoted
as saying that the boycott was
applied by Arab League officials
without regard for Lebanon's
economy and "with too much re-
gard for Egypt's economy."
He was also quoted as demand-
ing that the boycott office in Leb-
I anon should be attached to the

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in various other fields, rose
during the fiscal year ending
March 31, 1960, by comparison
with the 1956-57 fiscal period,
according to the government's
latest Israel economic survey
published here.
Among other data, the fig-
ures, comparing fiScal 1959-60
with fiscal 1956-57, show:
Expenditures for furniture
and home appliances went up
from 3.2 per cent to 8.4 per-
cent; the average Israel's
budget for culture, entertain-
ment and education increased
from 6.6 per cent to eight
per cent. The ratio of in-
come spent for food during
the two periods had dropped
from 43.1 per cent to 38.8 per
cent. But the higher standard
of living was reflected by
increases in -the consumption
of coffee and alcoholic bever-
ages, and by expenditures for
movies, musical concerts and
records.
The population of Israel will
increase by 100,000, or five per
cent of the present number of
inhabitants, by the end of the
1962-63 fiscal year, according
to forecasts issued here by the
Planning Authority of the Israel
Treasury and the research di-
visidn of the Bank of Israel.
At the same time, the data
showed Israel's national output
will rise by 10 per cent.

UN 3-0543 - UN 3-1557

Lebanese Foreign Ministry and
that alleged offenders of the
blockade should have every op-
portunity to answer boycott
charges and of having their
names removed from the League
blacklist.
According to the reports, these
views are opposed by other Arab
League states who contend that
trade with Israel amounts to
"trading with the enemy."
Foes of Lebanon were re-
ported saying that the Lebanese
Ministry of Economics, to which
the boycott office is attached, has
remained silent. They say that
if this ministry cannot judge
the effect of the boycott on the
Lebanese economy then no one
can.
Observers here said that the
dispute springs partly from Leb-
anon's consistent attempt to re-
main poised between opposing
forces. Lebanon was understood
to be opposed to views that if
Israel receives a link with the
EEC all Arab countries should
sever relations with EEC coun-
tries on the premises that the
common market was simply a de-
vice to serve western and colonial
ends.
It was reported that Lebanon
and a few other Arab countries
felt that the best way to deal
with EEC problems was for the
Arabs to form a corresponding
trade area on an Arab or Afro-
Asian or non-aligned basis.
The Arabs have scheduled two
meetings at which they hope' to
clarify these issues. One will be
a conference of all Arab boycott
offices which opened in Khartum
Thursday. The other is a meeting
of the Arab League Council in
Saudi Arabia at The end of
March.

Israel Boosts Foreign Travel Allowance

(Direct JTA Teletype
Wire
The
Israel
to The Jewish News)
JERUSALEM —

would continue to receive seven
p er cent net of tax for time de-
Treasury
Treasury announced Wednesday posits.
boost in annual foreign travel
allowances from $150 to $250
per person.
Some 35,000 Israelis travel
abroad each year and the addi-
tional expenditure in foreign cur-
rency will amount to about $3,-
000,000.
The Treasury move was ex-
4 .
pected to ease pressures on the
free market for dollars and it
may reduce the free price which
;:4-11. • • RAO TO 7#1 .1-
rose to 10 per cent above the
P'elIVAII R04:
new legal rate of three Israeli
pounds-per-dollars.
It was also disclosed that for-
-K.0131..114
/MURRY
eign currency held by Israeli
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S - THE DETROIT JEWISH ' N EWS — Friday, March 16, 1962

European Parliamentary Assembly
Body Insists on Israel Tie to Market

