THE IMICHIGAN DAILY FRIDAY, RJ+47ri ST 277, 1965 THE MICHIGAN DAILY FRIDAY. AUGUST 2'7. 1965 .. Russian Criticizes Economy STRICT REQUIREMENTS: Some Schools Forego U.S. Aid MOSCOW (A)-A leading Soviet Articles like Kantorovich's of- economic thinker said recently ten are planted in Pravda to in- the Soviet economy has problems dicate which way decisions are go- because planners often do not ing. His suggestions may only be know what is going on, and prices part of a continuing debate. are illogical. Intellectual Revolution Dr. Leonid V. Kantorovich pro- Kantorovich a member of the posed a number of changes that Soviet Academy of Sciences and a could bring the Soviet economy Lenin Prize winner, has been a closer to Western ways. These leader of an intellectual revolution changes included a sliding scale in Soviet thinking about planning. of prices, to take demand into account, and greater attention to "The Soviets have turned from profits. Marx to Kantorovich," one West- Kantorovich complained that ern economist obesrved about a the present price structure and current tendency to pay lip serv- system of economic measurements ice to Marxist theories. create such distortions that the Kantorovich's ideas using math- best thing to do often looks un- ematical models of the economy profitable. to control it have not been gen- His proposals appeared in the erally applied. Traditional Soviet Communist p a r t y newspaper economists have wanted to use Pravda. computers on the rapidly increas- ing bulk of material they must Economic Plan handle in directing every step of Party leaders now are working the national economy. out economic plans for the period Combination of Methods up to 1970. They are behind The group that seems to be schedule because of the complexi- winning top-level approval pro- ties of adjusting outdated eco- wones toplvlapoval mo- nomic methods to modern indus- mes a inatonof moder trialprobems.methods like Kantorovich's with trial problems. lscetralized dircin less centralze irection-. The leaders are expected to Kantorovich complained that consider a draft plan at a meet- "excessive centralization of eco- ing in about a month of the party's nomic decisions" causes loss of Central Committee, which sets local economic initiative. policy for the Soviet government. Inadequate economic informa- tion and an illogical price struc- ture destroy incentives for econo- mizing, the economic mathema- tician said. "With the drawbacks in exist- ing prices, the monetary calcula- tions of costs and effectivity of goods, works and expenditures of- tengives a wrong, distorted pic- ture." He proposed a flexible system of prices that would vary the cost of consumer goods according to demand in industry. In indus- try, the cost of-for example- electrical power to a factory would be higher in time of peak demands and lower in such slack times as early morning. A Soviet plan to divert spending from military goods to consumer products has been stalled by the recent escalation of the war in Viet Nam and the resulting in- crease in East-West tensions. Observers in Moscow believe that Russia wishes to avoid any deeper involvement in the war because of its preoccupation with increasing consumer production, However, rather than lose prestige in the race with Communist China for leadership of the world com- munist movement, the Soviets have been forced to provide at least a minimum of economic and military aid to North Viet Nam. The decision on whether to com- ply with the United States Of- fice of Education's desegregation requirements is proving a matter of simple arithmetic for many Southern school districts, the New York Times reported recently. Most of those that rely heavily on the federal government for school funds have submitted de- segregation plans in an effort to keep the government money flow- ing. Many that receive only a few thousand dollars a year from fed- eral sources are.refusing to.com- ply. Southern and border state, schools began assessing their de- pendence upon federal aid earlier this year when the Office of Edu- cation told them either to produce plans for desegregation or give up the money they receive under most federal education programs. Impacted Areas The key programs involved are vocational education, the National Defense Education Act and the "impacted areas" program. Im- pacted areas funds go to school districts with concentrations of military personnel or other fed- erally connected families. Glascock County, Ga., a small known as a segregationist, is re- agriculture-based county with few ported to have told school offi- federally connected families, is ty- cials that even if they refused pical of the approximately 400 federal money they could be forc- school districts that are saying ed to desegregate under court or- "no" to federal money. Last year, the county received less than $5000 for federal educa- tion and National Defense Educa- tion projects such as language and* science instruction and guid- ance counseling. Small Districts School District No. 2 in Cal- houn County, S.C., is giving up even less. It is the smallest of three school districts in a county where, according to State Depart- ment of Education estimates, fed- eral funds under the Defejnse Ed- ucation and the Vocational Edu- cation Programs totaled less than $8500 last year. The two other school districts, which received more than two- thirds of the total, have submit- ted desegregation plans. All of North Carolina's 169 school districts, regardless of the amount of federal money they re- ceive, have submitted some sort of compliance plan. One state as- sistant attorney general, widely der, Plan for Downtown Mall Sparks City Renewal Deausgate's imported ScottiSh Setland Jacket There has never been a fall when the sport coat was more in evidence . .. when natural shoulder tailoring was so important .. when colorful plaids, stripes and herringbones were so popular...for the Deansgate man. 39.50 to 75.00 Ki A Traditional aroq.u e Instpuments 0 15 11 0 M en's Wear Shop have been' the, leaders of TradiiUonal"- Young Men's Wear for Michigan Men- By RUTH FEUERSTEIN A new mall which will neces- sitate the "complete redoing of the three main blocks from Huron to Williams," will soon be under construction, according to Mr. Stuart Abby, Assistant Director of the Ann Arbor Chamber of Commerce. The erection of the mall will culminate three years of effort in which extensive studies have been made of the best way "to revital- ize downtown Ann Arbor," he added. It was originally estimated that the cost of this project would be approximately $86,000, and the City Council passed a bill provid- ing for this amount three years ago, Abby said. He pointed, out however that present estimates of the cost are much higher, and as soon as a new amount is decided upon by the City Council, con- struction will begin. Architectural Planning Most of the planning for the architectural design of the Mall has been done by Johnson, John- son and Roy. According' to City Council representative Robert P. Weeks, the project was initiated because "the center of Ann Arbor has seriously deteriorated within the last few years." Much of the project will center around the extensive planting of trees and shrubs in this area, he added. Cars will no longer be permitted to park on the sides of the streets because this will be the site for the newly planted trees. The trees are being paid for by Elizabeth Dean, an Ann Arbor resident who recently died and left the city 1.9 million dollars.. About $28,000 from this fund will be used to pay for the mall. Modest Effort Although Weeks was in favor of the passage of the bill provid- ing for the Mall, he believes that this is a very "modest effort" when compared to the rehabili tation programs that were launch- ed in other cities. He further add- ed that the merchants could have contributed more funds to the project than they have. New signal lights and benches are also part of the program. Al- though only one new store is being built, several are undertaking re- building programs. The Rubiette. has just completed a new front and Fiegel's is also planning to enlarge. Abby predicts that the entire project will be completed by Nov. 2. Choice Available "You have a choice," one source quoted him as having said. "You can just take the Negroes or you can take the Negroes and the fed- eral money." One of the few Southern. coun- ties that has given up a signifi- cant amount of federal money to stall racial integration in the schools is Amite County, Miss., near the Louisiana border. Taxpayers there have authoriz- ed the county supervisors to levy a 25 per cent increase in school taxes, if necessary, to offset an expected loss of about $57,000 in federal money. This raise would mean an additional $80 a year in property taxes on a house valued for tax purposes at $10,000. A school spokesman said the county was prepared to give up $24,500 in vocational education funds, about $10,000 in defense education money and about $23,- 000 in payments in lieu of taxes from the Homochitte National Forest, which encompasses a part of the county. Court Order Although no school district in Louisiana is voluntarily complying with the Office of Education regu- lations, 18 of the largest are in- tegrating under court order. As a result, they expect to continue re- ceiving federal funds. Mack Avant, executive assistant to the Louisiana state superinten- dent of education, said the 18 school districts represented less than one-fourth of the state's school districts. He said, however, that they would collect "well over three-quarters" of the $60 million in federal money that would flow into the state if all school dis- tricts complied with Education Of- fice regulations. The refusal to comply 'with the regulations could become more ex- pensive to the holdouts. While Glascock County, for ex- ample, receives only a trickle of federal money, it stands to bene- fit heavily from. federal elemen- tary and secondary aid programs awaiting congressional action. The programs are weighted in favor of economically depressed counties, and Glascock County, with no significant industry- oth- er than farming, falls into this category. Because of increased farm mechanization, its popula- tion has fallen to about 3000. 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