FRIDAY, SEPTEMBER 9, 1966
THE MICHIGAN DAILY
PANE REN
FRIDAY, SEPTEMBER 9,1906 TIlE MICHIGAN HAhN
PAGE THREW
John son
Asks
Congress
Possibility Left Open By Ky
To Run for Viet Presidency
To
Suspend
Tax
Be
Propose Halt
To Capital
Investment,
1 7
Retroactive Action
Would Cover Two
Credits Until 1968
WASHINGTON M) - Describ-
ing the business investment .boom
as exaggerated. President John-
son called yesterday for quick
congressional action to shift the
economy into a lower gear by re-
moving temporarily the tax in-
centive for businessmen to invest
in new plant and equipment.
He coupled his appeal with a
new pledge to cut federal spend-
ing for low-priority programs and
again asked labor and manage-
ment to forego wage and price
increases which would add to in-
flation.
At a news conference in his of-::<
4 fice, the President outlined his
SAIGON. South Viet Nam (P)- Gen. Nguyen Van Thieu. the chief made. And Ky's prominence would
Premier Nguyen Cao Ky turned 36 of state who was his choice for the assure him of high consideration.
am presidency, has said hedoesn't Ky also used the occasion to
want the job. Ky was asked who make his most scathing~comments
ftonabirthday barnstorming trip was his second choice. yet on French Pr'esident Charles
sible candidates for president of "Second choice," he said with a de Gaulle's efforts to neutralize
the new government due to be ismile. "Me" South Viet Nam.
thre nextgoer.mn u ob The premier qualified that im- He said De Gaulle is a colonial-
mediately by saying it was a joke. ist 'who hates the United States
The air vice marshal, who has And his wife, smilingly tugging so much he wants to see it fail
run South Viet Nam for 14 months at his sleeve, said: "No please. I in South Viet Nam. France failed
D ebate er acted like a candidate on a visit want him to go back to his job in in Indochina, Ky added, and for
}it OveL to Tay Ninh, a provincial capital the air force." that reason the French general
.75 miles nrthwest of Saigon. But it is of such offhanded does not want to see anyone else
Housin '~~"Reminded by newsment that Lt. things that 'Vietnamese politics ar e succeed.
H ou ing BI I }______The rash of Communist efforts
to wreck the election Sunday of
N ow aconstituent assembly to write a
NStarted WorldNRounduew constitution led Ky to remark
that they might even try to bomb
Mansfield Castigates Saigon's Tan Son Nhut Airport,
b ByTheAssciatd Pess"where I live."
Absentee Senators, By The Associated Press mands from Nigeria, Kenya, Sierra Across the country, terrorists
BUFFALO. N.Y. - Frank D. O'-- Leone an Cyprus for Britain to killed at least 10 persons and
Connor, newly nominated Demo- force the surrender of Premier Ian wounded perhaps 30 in a series of
WASHINGTON (P)-Sen. Strom cratic candidate for governor of Smith's breakaway regime. attacks.
Thurmond, (R-S.C.), opened a New York, turned to U.S. Sen. Ro- * * * The Viet Cong again tried vain-
full-scale Southern assault on the bert F. Kennedy for aid yesterday WASHINGTON - President ly to block the river shipping
administration's 1966 civil rights in choosing running mates to help Johnson told Burma's neutralist channel between Saigon and the
bill yesterday as the twice-de- beat a Republican Rockefeller and leader yesterday that "the day South China Sea. While U.S. offi-
ferred debate got under way. a Liberal Roosevelt. cannot come too soon" for the cials sought to determine wheth-
Thurmond denounced the mea- O'Connor. president of the New resources now devoted to the Viet er sabotage was involved in a.
sure as "one of the most vicious, York City Council, conferred i Nam conflict to be diverted to co- million-dollar fire that destroyed
vindictive, politically inspired" the wee hours and again later with operative efforts to improve life one American military warehouse
bills ever brought before Con- Kennedy and State Chairman in Southeast Asia.- ti and damaged another here before
gress." John J. Burns but failed to reach The President described this as dawn, a Communist mine ex-
Twice before this week the Sen- a decision on candidates for lieu- America's hope, dream and goal ploded harmlessly about 40 yards
ate was forced to take an over- tenant governor, and attorney gen- when he extended a formal cere- from a U.S. Navy minesweeper.
night recess when not, enough! monial welcome to Gen. Ne Win Allied - military units tightened
senators responded to quorum on his arrival for a state visit, defensive perimeters. Combat loss-
proprosal to suspend for 16 months
the 7 per cent investment tax cred-
it voted by Congress in 1962 and
the special tax writeoffs Congress
approved in 1954.
Surprise Message
He dispatched to Congress at the
same time a surprise message re-
questing that the special business
incentives be lifted until Jan. 1,
1968.
Suspension of the investment
tax credit would only apply to
orders placed since Sept. 1. It
would not apply to orders for ma-
chinery and equipment already on
the books as of that date.
Prompt consideration by Con-
gress was assured.
Chairman Wilbur D. Mills, (D-
Ark.), said the House Ways and
Means Committee will begin hear-
ings Monday on the presidential
* tax package. The first witnesses
will include Secretary of the
Treasury Henry H. Fowler, Sec-
retary of Commerce John T. Con-
nor, and Budget Director Charles
L. Schultze.
Fowler
Fowler has previously opposed
* any suspension in the investment
tax credit, contending that in the
long run it would help reduce
prices by making American in-
dustry more competitive in world
markets and more efficient at
home.
He said following Johnson's
news conference that he would
stand on the President's statement
at this time, but plans to hold a
news conference at noon Saturday
to elaborate on his position.
Mills said he would introduce
legislation embodying the Presi-
dent's recommendations.
The package seemed assured of
a friendly reception in the Sen-
ate Finance Committee. Its chair-
man, Sen. Russell B. Long, (D-
See JOHNSON, Page 7
PRESIDENT JOHNSON MET yesterday with newsmen to discuss the state of the U.S. economy.
He said the economic boom should be "cooled off" and asked Congress to temporarily suspend
special tax benefits for businessmen buying new machinery or constructing new factories.
ashington Expresses ,Doubts,
Over New Viet Peace Feelers
calls to fill out the necessary ma-
jority and enable a start on the
debate.
Senate Democratic Leader Mike
Mansfield of Montana, who Wed-
nesday described the absenteeism
as "a disgraceful exhibition,"
threatened yesterday morning to
send the sergeant at arms out to
arrest some of the hookey play-
ers.
"If this exhibition continues,"
he told reporters, "that is a prop-
er pi'ocedure."
However, a little over an hour
after the Senate convened at noon
LONDON - India called on CAPE KENNEDY, Fla - Pilots
Commonwealth nations yesterday and rockets ready, America's new-
to put the campaign against Rho- est space spectacular sailed past
desia's rebel rulers "on a war foot- final hurdles yesterday with not a
ing" with a threat of military ac- hitch in sight to keep Gemini
tion backing compulsory sanctions. 11's two astronauts from racing
The proposal at the 22-nation skyward Friday for three bold
summit talks was followed by de- days in orbit.
es were down on both sides last
week, compared with the week be-
fore, and a lull persisted in ground
fighting. It appeared the Ameri-
cans and other allies were holding
off further offensive sweeps until
after the election. U.S. air squad-
rons dealt the main blows on
both sides of the border.
r
U
By CLARENCE FANTO
Managing Editor
Washington officials received
reports of a possible new peace
feeler from North Viet Nam with
expressions of skepticism yester-
day.
The unofflical reports, origina-
ting in Yugoslavia, said North Vi-
etnamese Premier Pham Van
Dong, while on a recent visit to
Moscow, asked Soviet leaders to
seek peace talks to end the Viet
Nam war.
According to a Radio Belgrade
news correspondent, Pham "told
the Soviet government North Viet
Nam would accept any favorable
Daily News Analysis
possibility for starting negotia-
tions, despite powerful pressure
from Red China, which is most
energetically opposing this."
But in Washington, State De-
partment officials threw cold wa-
ter on the reports. Press officer
Robert J. McCloskey said he knows
of no interest in Viet Nam nego-
tiations by North Viet Nam, the
Soviet Union, or Communist China,
nor does he see any evidence of a
split between Hanoi and Peking
over the war.
However, diplomatic observers
have pointed out that the growth leaders have been quite firm in enough members had straggled
of political extremism in Com- ( recent weeks in their expressions into the chamber to constitute a
mnunist China during the past of support for North Viet Nam's quorum. They soon began to melt
leadership. away again, and by the time Thur-
paging "Red Guard" youth move- In private conversations with mond began speaking there were
ment, may have alienated Hanoi American and other Western dip- only a few members on the floor.
A number of former Communist lomats, the Soviets have reportedly Striking at its most controver-
Chinese allies, including Cuba tnphasized that they could not sial feature, a partial ban on ra-
have expressed revulsion'atCthe undertake an effort to seek peace cial discrimination in housing,
" cultural revolution" sweeping negotiations whhout Hanoi's ex- Thurmond said the bill would in-
China. The R uards,s plicit authorization. The Russians volve a frontal assault on the
poliialpRe uad violenceharhave also expressed their fear that American system of property
attempting to orot out all traces the conflict could escalate, and rights.
of what they consider "bourgeois their disappointment over U.S. po- Thurmond, a former Democrat
influence" in China. licy which they see as having re- who turned Republican in 1964,
duced possibilities for peaceful took the floor after Senate lead-
At the same time, North Viet cooperation with the U.S. ers succeeded briefly in assembling
Nam's relations with the Soviet y knthe required quorum of 51 memi-
Union have steadily improved dur- By contrast, Peking has repeat- bers.
ing the past year. Russia is supply- edly made known its delight over He discussed the bill for over an
ing Hanoi with more military and! anoi's ability to keep the U.S. hour. Then the Senate, largely
economic aid for the war than bogged down in an, Asian jungle deserted again, recessed until Fri-
China has; furthermore, Soviet . See CHINESE, Page 7 day noon.
It's OPENING
NIGHT atS
WITH THE
THREE AMERICANS PLUS ONE
A FOLK QUARTET'
University Activities Center
.announces its MASS MEETING
Y' An opportunity to meet the leaders of UAC
zo A chance to hear how UAC works
ioOAn occasion to find out what UAC does
7:30 P.M. SUNDAY, Sept.11
MICHIGAN UNION BALLROOM
SINGLE SALES BEGIN MONDAY
Final Weeks For Discount Subscriptions !
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GUILD HOUSE
802 Monroe
Canoe Trip and Picnic
10A.M.-6 P.M.
SATURDAY, SEPT. 10
Meet at Guild House 9:45 A.M.
Cost $4 per person
Coll 662-5189 between 6-9 p.m. Friday for reservation
You enter a"i-e... Youleave living!
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Open 8:30-12:30
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September 8, 9 and 10
-Julie Snow
from 10 a.m. 'til 4 p.m.
ANOTHER SERVICE OF THE
this is MICHAEL COONEY
and gandalf we need say no more !
See him this weekend
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I;t ri clit ci jn R.:m nr' mi1 77 ) I r n rcnn iiI ~ .
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