THE DETROIT JEWISH NEWS
Wage Freeze, Reduced Investing
Are Adopted by Israeli Cabinet
"If the step is really im-
JERUSALEM (JTA) —
The Israeli Cabinet's plemented in order to re-
ministerial economic corn- duce the government's de-
mittee decided Tuesday on a ficit, then there is a chance
series of measures designed we can reduce the rate of in-
to halt the spiralling rate of flation," said Bank of Israel
inflation, including reduced Governor Arnon Gagny.
investments in the economy "While I can't say I'm to-
and a freezing of all wage tally happy with the deci-
agreements. sion taken, we will have to
Following five different wait and judge it by its im-
meetings on the subject in plementation."
It was also decided to
recent weeks, the commit-
tee decided to reduce in- freeze all wage agree-
vestments in the economy ments until April of next
by some IL 4 billion ($160 year. "We now see 1978-
million), a step considered 80 as the end of a period,"
essential if Israel's economy said Finance Minister
is to be slowed down. The Simha Erlich. "There will
step is expected to hurt the be no more demands and
country's industry only no new agreements."
Presently discussed
minimally.
U.S. Contacts With PLO
Are Questioned by Mann
wage agreements are to
be finalized by the end of
September.
A third decision taken by
the committee will affect
the public to the greatest
degree. Persons meriting an
apartment according to the
point system used by the
Ministry of housing, such as
young couples and soldiers,
will no longer have to pay
value-added tax on their
new apartments. It is ex-
pected that this step will
cost the government some
IL 1 billion, and will reduce
the price of apartments by
20 percent. However, all
concerned felt that the deci-
sion was well-merited.
"This is a social question
of the first order," said Er-
lich. "Those who deserve
mercy must receive it. The
problem of housing is one of
the nation's most foremost
problems." Housing Minis-
ter David Levy agreed.
While some of the com-
mittee's decisions are de-
signed to encourage in-
creased public spending,
such as the decision on
housing, and -others will
generate lessened spending,
the committee's conclusions
have one guiding principle.
— that of slowing down the
Israeli economy and reduc-
ing the rate of inflation. It
seems that they thus consti-
tute one alternative to a
massive reduction in the
government's budget, a
step which saw considera-
ble bickering and lack of
implementation in recent
months.
Friday, September 14, 1919 23
TRADITION
"De Roskilasktma7amtly least
The "New Year"— time of introspection and
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Replying to a question
NEW YORK (JTA) —
Theodore Mann, chairman about relations between the
of the Conference of black and Jewish com-
Presidents of Major Ameri- munities in the aftermath of
can Jewish Organizations, the Andrew Young affair,
criticized "the recurring Mann said he was hopeful
phenomenon until recent that the black-Jewish as-
weeks, in the State De- pects of Ambassador
partment, of attempts to Young's resignation have
deal with the Palestine Lib- "quieted down."
Eat in Good Health,
He said he believed it will
eration Organization." But
at the same time, Mann said continue to quiet down and
Thank Goodness
he was pleased with the cur- relations between the two
At better Kosher Butcher
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on Palestinian autonomy. other black leader will
He said he was satisfied speak on behalf of the PLO,
with the recent statements Mann said, "I do not think
by President Carter, Secre- the black community as a
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tary of State Cyrus Vance whole will ever forge an al-
and Carter's special envoy liance with the PLO."
to the Middle East, Robert
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way to peace is to let Egypt
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Mann recalled that he
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state said, "I want to assure
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