Purely Commentary Economic Difficulties in Israel Like the earlier economic crisis in Great Britain, and not unlike similar developments in other lands, Israel's problems are attracting worldwide attention. A very small country that had been able to defy many obstacles and in spite of the dangers from war-threatening neigh- bors managed to create many industries, Israel for several years regis- tered notable progress that was marked by the reaching of very high standards of living. But in the past year there was a recession, for the first time in the country's history more than 10 per cent of the popula- tion are unemployed, and the emerg‘ng situation is menacing. The New York Times took note of the new developments and com- mented upon them in the following editorial: Israeli rioters who recentlty protested rising unemployment by stoning the Tel Aviv city hall were reflecting the political tensions generated by the government's _deflationary policies. A year ago, when the brakes were first applied, Finance Minister Pinhas Sapir gave a blunt and accurate diagnosis of the situation. "We have eaten and consumed more than we have produced," he de- clared, "as if somebody else would foot the bill. Unfortunately there is nobody else to pay for us." Israel's standard of living has advanced rapidly since the foun- ding of the state despite the heavy costs involved in resettling hun- dreds of thousands of refugees and in maintaining a relatively large military establishment. Its economic miracle was made possible large- ly by heavy capital imports—from West German reparations and from loans and contributions from Israel's friends abroad. Once that flow began to diminish, as it did with the ending of the reparations, the fact had to be faced that the country had been enjoy- ing an artificial prosperity. So the Israeli Government acted to cut consumption and imports, and to make Israel more competitive on world markets. Inevitably, its pressures produced hardships, particu- larly unemployment. Fortunately, positive results are now being felt. Israel's balance- of-payments deficit has been reduced, as exports last year paid for 65 per cent of imports, compared to 53 per cent in 1964. The recession in the domestic market has put pressure on producers to increase efficiency and cut costs, and to concentrate their efforts on export sales. This process entails sacrifice and pain, but it is necessary medi- cine for Israel's long-term economic health. The friendly spirit evidenced in this analysis of the existing situa- tion is an indication of the good wishes that go Israel's way from many lands and certainly from this country. As this editorial indicates, the experiences in Israel are a lesson for future planning, a medicine for ills that are the result of trying conditions. The confidence in Israel's leadership, the good wishes that go the Israelis' way, are heartening also to Israel's kinsmen. American Jews won't let the little state down and the current crisis—and it certainly must be viewed as an economic crisis for Israel—should, as it must, encourage increased particilation in all efforts in Israel's behalf, especially the UJA as a philanthropic medium and Israel Bonds as an investment. • r • The Purported Exaggerations In the meantime Israel's Prime Minister Levi Eshkol has made the claim that there are only 36,349 registered unemployed. While the Israel government manpower planning authority placed the number of jobless at 100,000. claiming that many without work had not registered for jobs, the prime minister's statement proves encour- aging. It was made in an earnest effort to encourage continued immigration, thus indicating anew that Israel's open door policy for all Jews who wish to settle there remains intact. It is in Israel's favor that Prime Minister Eshkol adheres to a policy of opposing currency devaluation. If he can enlist the coopera- tion of all his countrymen in bolstering a spirit of confidence, Israel will emerge quickly from the recession. She has done it before and there is no reason for doubting the effectiveness of the people's determination to overcome all obstacles, the internal as positively as Israelis have with the external. * * * Senate's Honor for Arthur Vandenberg It became the good fortune of Senator Robert P. Griffin to place a plaque in honor of the late Senator Arthur H. Vandenberg in the Vandenberg Room of the Senate Wing of the Capitol on Wednes- day. A luncheon that was attended by many of the late Senator Vandenberg's colleagues, his two daughters and newsmen who covered his career, as well as foreign experts with whom he was associated in his major role in our government, marked the unveiling of the bronze memorial plaque which reads: "This room is dedicated to Arthur H, Vandenberg, United States Senator from Michigan, March 31, 1928, to April 18, 1951. President Pro Tempore of the Senate January 4, 1947, to January 3, 1949." Senator Vandenberg's name was linked with the history of ' By Philip SIOMOVitZ University of California to Open Hebrew U. Center LOS ANGELES (JTA) — A University of California Study from him in the struggle for the advance- Center at the Hebrew University ment of the cause of what was then aimed in Jerusalem has been approved to be the Jewish National Home in Pales- by the U of C board of regents, tine. We had scores of meetings with him. it was reported here. Ile became vice-chairman of the American Under the plan, according to Christian Palestine Committee which had Dr. William Allaway, director of been led by the late Senators Robert Taft the university's Education Abroad and Robert Wagner. Ile joined us at program, 25 California University several national functions in behalf of the students will attend the study dreamed-of Jewish State—in the pre-Israel center in Jerusalem for their jun- years—in Washington. Ile was our guest I ior year and then return to the at a dinner at which the commentator was university here for their senior accompanied by the late Mayor Edward year. Jeffries and by Dr. Henry David, then The program will be for II president of Wayne University, as repre- months. The first 10 weeks will sentatives of the Michigan chapter of the deal with language orientation. American Christian Palestine Committee. The Education Abroad program He cooperated in behalf of the Zionist has 12 such study centers in over- cause with the late Dr. Abba Hillel Silver seas schools. and it was our privilege to introduce the Dr. Joseph Kaplan, physicist and Jewish leader to the Senator. Both con- president of the Southern Cali- ferred thereafter on numerous occasions. fornia chapter of the American Senator Vandenberg Senator Vandenberg, like so many others—including many Jews Friends of the Hebrew University, —became skeptical about the possibility of Jewish Statehood. At the cited the parallel interests of the San Francisco sessions in behalf of the United Nations Organization two universities in farm and water he was less cooperative: he seemed to share the spirit of hopelessness studies, stemming from the sim- about the Jewish cause that predominated everywhere. He lived to ilarity of such problems in the see the emergence of Israel as the Jewish State but he was too ill two countries. by that time to share in the celebrations. Prof. Kaplan, who is a mem- The early stages of Senator Vandenberg's encouragement to ber of the Hebrew University Zionism link him indelibly with the era of struggle on behalf of the board of governors, said that the great Jewish cause. It is encouraging to know that the Michigan experience of living and studying Senator who unveiled the plaque in his memory and many of the in Israel would help the American late Senator's former associates are in Israel's corner in time of students to a "better understand- crisis. This, too, is a tribute to the memory of the man now being ing of the social and political prob- honored by the U. S. Senate. lems of the Middle East." Plan Small Parade in Jerusalem, to Meet Regulation (Direct JTA Teletype wire to The Jewish News) TEL AVIV—A senior military official said at headquarters here Tuesday that the annual Independ- ence Day parade will be held in Jerusalem May 15 without tanks or air force display and that it would be the smallest parade in the his- tory of these events. ,/ e official said that the parade would be staged within the limits of the Israeli-Jordanian armistice agreement which bans heavy armor in Jerusalem. The infantry column will instead be strengthened by the participation of several contingents of paratroopers, girl soldiers and police. He said the parade would include 1,600 soldiers, 12 mortars, eight anti-tank guns and eight field pieces. Spectators will be compen- sated for the modesty of the mili- tary display with a night drummer exhibition in the Jerusalem Univer- sity stadium on the eve of the parade. ■ 1114.11M1M. Boris Smolar's 'Between You . . and Me' By BORIS SMOLAR (Copyright, 1967, JTA, Inc.) JEWISH MOODS: Leaders of a number of Jewish organizations are discussing whether and how to establish a "Jewish presence" in the work of aiding homeless war victims in South Vietnam . . . American Protestant and Catholic voluntary agencies and the Quakers are participating in such work in Vietnam by maintaining various projects there . . . The question is, therefore, being raised now as to whether the time has not come when American Jews, as Jews, should also offer some kind of humanitarian service for the refugees there . . . Some in Hadassah feel that over and above Hadassah work in Israel, the organization could help the homeless people in Vietnam through its experience in the field of providing much-needed medical personnel and public health assistance ... Similarly, there is a feeling that ORT could provide a team of instructors for vocational training of refugees in camps . . . Some think that the Joint Distribution Committee, with its enviable record of relief and rehabilitation work among refugees, could be of help in the fields of child care and social welfare in Vietnam ... Today, there are approximately 30 voluntary agencies—with around 400 staff members from abroad—active in Vietnam . . . Some maintain mobile medical teams equipped to make short visits to isolated areas where, because of urgent priorities elsewhere, medical assistance is almost completely lacking . Others develop day care centers and feeding programs for school children in refugee camps . . . Still others are conducting training centers for war widows, teaching them dress-making and other voca- tions through which they can become self-supporting . . . There are Jewish Legion Jubilee voluntary agencies which are concerned with the needs of war- to Be Marked in Israel; injured children, many of them orphans . . Many orphanages are supported by the Catholic Relief Services, while American Friends U.S. Veterans to Attend BALTIMORE — Baltimore and Service Committee operates a day care center for children . . . Those consider Washington veterans of the Pales- among Jewish leaders who advocate Jewish participation, is over, history should recall tine Jewish Legion will gather it important that when the Vietnam war Jews—like other religious groups—made their contribution April 9 to celebrate the departure that of a number of delegates for a toward the alleviation of the sufferings of war-torn civilians. pilgrimage to Israel to participate WASHINGTON VIEWS: American officials, who only three in the 50th jubilee celebration of months ago feared that there was real danger of war between Israel the formation of the Jewish Bat- and Syria, involving other Arab countries, are now convinced that talions during World War I. war is not likely either now or even in the foreseeable future . . . Baltimore and Washington were This view is found upon looking thoroughly into the Arab-Israel the scene of active solicitation for situation and following an examination of the Arab and Moscow's volunteers to join the British forces attitudes . . . An analysis of the latest developments shows that only to wrest Palestine from Turkish the hot-headed Syrians and some of the Palestine Arab refugees rule. Over 150 volunteers enlisted, would like to indulge in war against Israel ... However, the RussianS and today about 30 veterans live and the Egyptians hold the Syrians back from most aggressive forms in this area. They formed part of of behavior ... The Russians have done a lot to pull back from the the Jewish Legion which numbered brink to which their military aid and political support drove the 10,000 soldiers from the United present Syrian pro-Communist government . . . At the same time, States, Canada, Great Britain, the Syrian-Egyptian mutual defense pact of last November has helped Palestine and other Jewish com- to keep the Syrians in bounds rather than to drag Egypt into new munities. military adventures against Israel . . . Although the Russians—who After the armistice, many re- supply modern arms to Syrian all the time—have restrained the mained in British Mandated Pal- estine and some settled in a vil- lage on the Mediterranean, Avi- chail (My father the soldier). When the state of Israel was established in 1948, many vet- erans were at the helm of the government, including David Ben-Gurion, the late President Yitzhak Ben-Zvi, and the pres- ent prime minister, Levi Eshkol. The jubilee celebration in honor of the Jewish Legion formation will be featured during the observ- ance of the 19th anniversary of the THE DETROIT JEWISH NEWS state of IsraeL American involvement in the Palestinian chapter of world affairs. Ile lent his name to the Zionist cause in the early 1930s, when this commentator first befriended him and received strong encouragement 2—Friday, April 7, 1967 I srael sEconomic Problem and the'Silver Lining' . . . Vandenberg and Zionist Aid Syrians from actual open fighting, they have not been able to prevent them from encouraging guerrilla attacks on Israel and from sabotage within Israel territory . Soviet diplomats claim that their govern- ment has done as much as it possibly could do in restraining Syria . . . They admit that Syria is continuing to allow saboteurs into Israel to mine roads, blow up water pipes and do other damage .. . However, the opinion prevailing in Washington is that without Nasser's encouragement, Syria will not provoke Israel, because Israel is infinitely stronger than Syria . . . It is even expected in Washing- ton that Nasser may freeze—or even dissolve—the Unified Arab Command set up at the January 1964 Arab summit conference in Cairo to fight Israel . . . This is because the rich Arab countries have refused to contribute the funds they had pledged . . . What is more, the joint project to divert the Jordan River headwaters in Syria and Lebanon may also be abandoned because there are insufficient funds to carry out this project.