22
Friday, January 25, 1985
THE DETROIT JEWISH NEWS
tom, 546-6200
NEWS
Specialists In
Housing
Pest Control
FIRESTONE
ERADICO PEST CONTROL
Wholesale Diamonds & Jewelry
Remounting Jewelry & Watch Repair
FERNDALE, MICH. 48220
1030 WOODWARD HGTS.
'•0
Israel Economic Package
Mired In Triple Debate
I
JEWELRY APPRAISALS
• PROFESSIONAL, QUALITY SERVICE FOR HOME,
APARTMENT AND INDUSTRY
• SERVICING SOUTHEAST MICHIGAN FOR 50 YEARS
IN ALL PHASES OF PEST CONTROL
SUITE 312 ADVANCE BLDG.
23077 Greenfield at 9 Mile
(313) 557-1860
REASONABLE RATES
FREE ESTIMATES
LINDEN
HOME HEALTH CARE
HOME
—
0-
HEALTH
-
0 -
CARE
WE WILL DELIVER TO YOUR
HOME THE FINEST IN HOME
HEALTH SUPPLIES. SET-UP
AND INSTRUCTIONS ARE INCLUDED.
.
WE HAVE HEALTH CARE PROFESSIONALS —
NURSES & THERAPISTS — ON
STAFF TO AID YOU IN THE SELECTION
OF THE PROPER EQUIPMENT & USE.
WE CARE FOR OUR PATIENTS
AND — MOST IMPORTANTLY —
WE CARE ABOUT OUR PATIENTS
OSTOMY
OXYGEN
WHEELCHAIRS
HOSPITAL BEDS
WALKERS/CANES
BEDSIDE COMMODES
AND MANY OTHER ITEMS
VISIT OUR SHOWROOM
21120 GREENFIELD
OAK PARK 48237
OR CALL
968-5000
WE BILL INSURANCE DIRECTLY ON COVERED GOODS & SERVICES
Due to the unexpected bad weather,
we have extended our sale thru January 31.
SELECTED GROUP OF
600 PAIRS OF SHOES
• Andrew Geller
• Mignani
• Gianfillipo Moroni
FROM THE HOUSES OF:
• Vaneli
• Julianelli
• J. B. Martin
• De Liso
• Diego Della Valle
• Palizzio
NOW ALL FOR
Regular $75.00 to $150.00
Sale runs Friday, Jan. 25 thru Thursday, Jan. 31
ONLY AT
JAMIE MARX
inc.
Sunset Strip
29504 Northwestern, Southfield
357-3077
Tel Aviv (JTA) — The govern-
ment, Histadrut and the Em-
ployers and Manufacturers Asso-
ciation were locked in a three-way
debate this week over the next
economic package deal to follow
the three-month wage-price
freeze which expires in 10. days.
"Package B," as the next phase
is called, will be vital in dealing
with Israel's gravest economic
crisis. But the three sides are re-
ported to be far from agreement. A
major concern is that the current
freeze will be followed by soaring
prices that will abolish the gains
made to date in holding down in-
flation. The rate was only 3.7 per-
cent in the second half of De-
cember.
Price increases are, in fact, con-
sidered unavoidable. The dis-
cussions-between labor, manage-
ment and the government revolve
around which prices should be
allowed to rise and by how much.
Finance Minister Yitzhak'
Modai plans to reduce the budget
by reducing the government's
price subsidies for basic products
from their present 100-300 per-
cent range to a 25-30 percent
range. But reductions on that
scale would send prices sky-
rocketing again. The monthly
cost-of-living index could be ex-
pected to rise into the 15-20 per-
cent bracket, the main reason
why the price freeze was insti-
tuted last November.
The government agreed to some
limited price increases even be-
fore the current expires. A 20 per-
cent hike was allowed on tea,
cigarettes and beer — items that
have virtually disappeared from
supermarket and grocery shelves
— because the manufacturers
halted production.
But that concession was resci-
nded after the manufacturers re-:
-fused to guarantee a steady sup-
ply of their products at a reason-
able rate. Only the Elite Co.,
manufacturer of instant coffee,
chocolates and other edibles,
promised to resume production if
the 10 percent rise was ratified.
Manufacturers, such as the
Dubek Co., which has a monopoly
of the domestic cigarette market,
and others cited the 10 percent in-
crease in fuel prices ordered by
the government last week and the
rising cost of imported raw mate-
rials as reasons why they stopped
production.
While i he price they were
allowed to charge customers was
pegged to a frozen shekel value of
527 to $1, the Bank of Israel has
continued to devalue the shekel
daily and- the manufacturers must
pay the full official rate for their
imports.
Many manufacturers are com-
plaining that the current price
freeze took effect only a day or two
before they had planned to raise
prices, with the government's
authorization, which put them at
a disadvantage from the outset.
It is expected here-that price in-
creases of between 5-10 percent
will be allowed within the next 10
days before the freeze expires Sand
that increases of 10-30 percent
will be permitted at the beginning
of a new package deal next month.
Thereafter, monthly price hikes
are anticipated with government
approval, to be balanced by par-
tial increases in the monthly
cost-of-living increases paid
wage-earners.
While the three parties con-
tinue to 'Bargain, Israel's health
services and the army are begin-
ning to suffer the constraint of the
worsening' economic situation.
The Health Ministry agreed that
for economic reasons, government
hospitals can go on a Sabbath
schedule, operating with skeleton
staffs, on a daily basis.
The hospitals were also told to
postpone non-emergency surgery
and out-patient treatment. The
reason is they are short of cash to
pay their suppliers and are there-
fore short of medicines and food.
The army is also experiencing
supply shortages because it is in
arrears. Thuva, the dairy market-
ing cooperative, has halted the
sale of milk to the army because of
outstanding bills amounting to $1
million.
Bezek, the government tele-
phone corporation, announced
that it would cut off non-essential
phones used by the military be-
cause of non-payment of bills. The
country's major bakeries have
stopped delivering bread to the
army for the same reason.
There was also bad news . for
people planning to buy auto-
mobiles and other imported ve-
hicles. For the purpose of customs
duties, the shekel was unfrozen
from 527 to 665 to $1, the current
Bank of Israel exchange rate.
The price of new vehicles has
risen by 16 percent and the tax on
them now amounts to about two-
thirds of their cost to the cus-
tomer.
Police Predict
Crime Increase
Tel Aviv (JTA) — Israel's police
force, using 1984 as a base, has
forecast a 40 percent increase in
crime by the end of this decade
and plans to beef up its manpower
and equipment.
Based on that prediction, the
polide say they will need another
4,500 men, 650 more vehicles and
250 more, motorcycles during the
next four-six years, Whether they
can meet those requirements re-
mains to be seen at a time when
all government ministries and
departments are under urgent
pressure to reduce their budgets
to cope with Israel's economic
crisis.
Pay Cuts Are
Possible — Peres
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Jerusalem (JTA) — Premier
Shimon Peres, his status as a
leader of the Socialist Interna-
tional notwithstanding, believes
the best way to induce workers to "4
leave the bloated civil service for
more productive sectors of the
economy is to cut their .pay.
Peres told an advertising indus-
try convention that pay cuts were
preferable to firing workers. He
said he would also consider a
five-day work week. Most Israelis
have only one day off— Saturday.