THE MICHIGAN DAILY
nson, Pearson Set Keppel Discusses School Aid
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TURKEY:
uto Commerce Pact,
Tarift Walls
American
PRESIDENT LYNDON B. JOHNSON and Canadian Prime Minis-
ter Lester B. Pearson signed an agreement yesterday at the LBJ
ranch in Texas, freeing trade in motor vehicles of custom duties
between the two nations. Left to right are: Prime Minister
Pearson, President Johnson and Secretary of State Dean Rusk.
Medicare Oppnonents
Attack Financing Plan
WASHINGTON (M)-Opponents of an administration plan for
health care for the elderly under Social Security are centering their
attack on the type of tax used to finance it.
They contend the levy is regressive, that is, it falls heaviest on
the poor man,, and that the Social Security bite is rapidly reaching the
point where it exceeds that taken by the federal income tax for an
average-income family whose bread-winner is self-employed.
Backers of the plan concede that the Social Security tax is not
equated with ability to pay,.and some declare they would prefer direct
" treasury financing which would
Auto Makers
To 'Benefit.
Predict Increase
In Canada's Share of
Automotive Industry
JOHNSON CITY, Texas OP) -
President Lyndon B. Johnson and
Canadian Prime Minister Lester
Pearson signed and praised yes-
terday an agreement for free trade
in most automobiles and auto
parts between the two countries.
Johnson called it an "historical
agreement."
He recalled that two years ago
the two countries were at sharp
odds over, a Canadian program un-
der which the Canadian govern-
ment' paid manufacturers, the
equivalent of import duties on
automotive products sent to other
countries.
Extensive Talks
Following the signing of the
agreement, Pearson told reporters
that he and Johnson had discuss-
ed a wide ;range of subjects in-
gluding economic and financial
problems.
He said he would like to explore
the possibility of removing other
trade barriers. He stressed how-
ever, that the automotive indus-
try lent itself more readily to a
free trade agreement than other
industries.
Analysis in- both countries said
the new agreement would benefit
primarily the Big Three American
automakers =- General Motors,
Ford and Chrysler. They noted
that virtually all Canada's auto
industry consists of subsidiaries
of U.S. firms.
Leaders Pleased
GM Chairman Frederic G. Don-
ner said his firm "long has favor-
ed measures which reduce the
barriers to free and open com-
petition throughout the world."
By G. K. HODENFIELD
WASHINGTON WA) - President
Lyndon B. Johnson's $1.66-billion
aid-to-education program, which
proposes help to private and paro-
chial as well as public schools,
has been approved on constitu-
tional grounds by the Justice De-
partment, Francis Keppel, U.S.
commissioner of education, said
yesterday.,
In an exclus~ve interview with
the Associated Press, Keppel also
said the plan has built-in guaran-
tees to prevent federal aid to edu-
cation becoming federal control of
education. Keppel gave the fol-
lowing answers to questions put to
him during the interview:
Q. In the proposals to up-
grade elementary and second-
ary school education in the na-
tion's pockets of poverty, how
many school' districts will be
eligible for assistance?
A. We estimate more than 80
per cent, Over five million chil-
dren will be affected.
Q. Will the states now spend-
ing the most money on educa-
tion get the most federal mon-
ey, per child affected?
A. Per child, yes. But, as you
know, there is a very wide distri-
bution and difference between
states In the number of children
coming from very poor families.
In Mississippi, for example, the
over-all state expenditures for
children would be increased by al-
most 22.5 per cent. Other states,
where there is a smaller concen-
tration of poor children would
World News
Roundup
By The Associated Press
MOSCOW-Pravda yesterday ac-
cused Congo Premier Moise
Tshombe-by implication -- of
complicity in the assassination of
Burundi Premier Pierre Ngendan-
dumve.
Pravda accused Tshombe be-
cause he "best benefited by the
death otf the Burundi premier."
get much less.
Also, after the first year there
would be planned an incentive
program so that the states that
are increasing their expenditures
for these kinds of programs would
be rewarded.
Q.What provisions are there
to insure that this federal aid
to education doesn't become
federal control?
A. The plans are to be made and
the programs are to be managed
in all parts of thesprogram by lo-
cal school systems under the di-
rection of the states and by col-
leges, and universities under their
own responsibility. The federal
government is a partner in this
enterprise, not owner or manager.
Q. How will private and paro-
chial schools be helped?
A. This might involve what we
are calling now dual enrollment
or perhaps shared services, where
pupils from the public and pri-
vate schools go to the same classes
in science and mathematics. It
might involve, in the rural areas,
mobile laboratories in the same
sense that we have become ac-
customed to mobile libraries -_
bookmobiles.
Q. How will the program help
instill a desire for education in
the children from poor famiiles
who don't have a high regard for
it now?
A. This is the key to the solu-
tion of many of our educational
problems: How does one go about
getting the desire for learning, the
natural wish to learn, among those
for whom life has not made that
easy?
First, part of the President's
proposals include a very substan-
tial expansion, through the eco-
nomic opportunity act, of pre-
school activities. The 'record seems
pretty ,clear that if a child comes
to the first grade with literally
no exposure to books, indeed of
toys, that have an educative value,
he is at a disadvantage even by
the time he gets to first grade.
Second, the improvement of the
regular program, from first grade
DISCUSSIONS ON
LOVE, SEX
and
MARRIAG E
JAN. 23 and JAN. 30
10 a.ni.-12 noon
Planned Parenthood Clinic
663-3306
on, in a variety of ways, such as
the reduction of class size so you
can get a personal relation be-
tween teacher and student. You
can't get this relation when you
have 40 or 50 or. any stich num-
ber in a class.
Third, careful attention to what
is the essential of continued learn-
ing, the ability to read easily and
with pleasure.
Q. It is generally acknowledg-
ed that the single biggest rea-
son slum children become school
dropouts is that they can't read.
How will the proposed legisla-
tion tackle that problem?
A. First, as I mentioned, the
getting ready to want to read
through pre-schools. Second, much
more emphasis on reading indi-
vidually. I personally 'hope that
a good deal more tutoring, that is,
the individual adult encouraging
the young child to read, will take
place all over the country.
Third, I would hope for a lot of
experimentation with new kinds
of reading materials. While a lot
of good work has been done on
this, I can't believe we can't do a
lot better in materials that will
interest different kinds of chil-
dren.
7:30 P.M. Multipurpose Room UGLI
Of its cultural character?"
Dr. James Stewart-Robinson
Thurs., Jan. 20
7:30 P.M. Multipurpose Room UGLI
Of its people on campus?
Turkish students party Fri., Jan. 22
Turkish entertainment and refreshm
7:30 P.M. International Center
Sponsored by
Turkish Students Assn., League,'Union,
haternational Students Ass'n.
ARE YOU AWARE?
" Of its role in today's world?
Dr John F. Kolars
I
Wed., Jon. 20
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Wagner Asks
Resignation of
Party Official
NEW YORK (1)-Mayor Robert
F. Wagner openly plunged into the
New York Democratic party's bit-
ter factional fight yesterday, de-
manding the resignation of State
Democratic Chairman. William H.j
McKeon for actions "tantamount
to bribery.".
McKeon categorically denied the
charges and said Wagner "iob-'
viously has been given erroneous
and misleading information."
The mayor's charges, made at
4 news conference, came only one
cay after he and Sen. Robert F.
Kennedy (D-NY) had agreed on
a proposal to end the two-week
deadlock over election of leader-,
ship of the party's new majorities
in the state legislature. This call-
ed for a secret ballot with the
winners, in effect, being decided
by a simple party majority.'
The proposal had been wel-
comed by McKeon and most of the
legislative leaders as a solution to
Democratic bickering that has
paralyzed the legislature since it
convened Jan. 6.
The party swept the state last
November, electing Kennedy and
the first Democratic legislative
majorities in 30 years. Republican
Gov. Nelson A. Rockefeller has'
been quick to condemn the Demo-
cratic impasse in the legislature,
which faces election again this
year because of a pending reap-
portionment.
Wagner accused McKeon of
offering "public graft," in the
form of tax-free expense funds
and committee chairmanships to
legislators in return for their
votes for leader candidates of the
anti-Wagner forces. He said none
of the offers was accepted.
The anti-Wagner faction in-
cludes McKeon and a coalition of
county leaders who were early
supporters of Kennedy for the
Senate nomination. Wagner be-
latedly joined the Kennedy band-
wagon.
Kennedy, who has publicly stay-
ed out of the legislative fight,
assumed the role of neutral peace-
maker in the talks with Wagner
which led to yesterday's proposed
solution.
be largely dependent on the grad-
uatedi income tax.
Claim Support
But they insist that most Ameri-
cans have vigorously supported the'
Social Security tax system since
it first was enacted 30 years ago,
that these citizens want to feel
they are paying directly for the
benefits they get.
President Lyndon B. Johnson
has given it top priority and its
supporters contend they have the
votes this year in both branches.
It passed the Senate in 1964 but
not the House.
It always has been true that the
wage earner at the bottom of the
income scale pays more Social
Security tax than income tax be-
cause his first $1 of earned income
is subject to the Social Security
levy, even though exemptions may
free him from any income tax.
Rates Rising
However, opponents of the ad-
ministration bill argue that Social
Security rates have been rising so
rapidly that before long millions
of, families will be paying higher
Social Security levies than income
taxes.
Republicans who oppose the.
administration plan present fig-
ures to show that a self-employed
person such as a lawyer or farmer
would pay $358.40 in Social Se-
curity taxes under the Johnson
proposal next year-6.4 per cent
on the 'first $5,600 of earnings.
But the income tax on about the
same level of earnings for a four-
member family using the standard
deduction would be $354, they say.
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WASHINGTON- Newly-elect-
ed Rep. Weston r Vivian (D-
Mich) has been selected to serve
on the Science and Astronautics
Committee of the House. The ac-
tion, taken by the House Demo-°I
cratic Committee on Committees
on Wednesday, is expected to be
confirmed by the Democratic cau-
cus tomorrow and by the entire
House tomorrow afternoon.
MARSHALL'S
CUT RATE
DRUG STORE
662-1313
235 S. State St.
Ann 'Arbor
On the other 'side, Canadian
spokesmen predicted an eventual "
increase in autoindustry produc-
tion valued at about $260 million
a year and about 6,000 new jobs.
Estimates indicated Canada's
share of the two nations' com-
bined automotive production
would rise from four to six per
cent.
Unfavorable Trade
Canada's trade balance was
worsened last year because the
nation exported about $50 million
in parts to the U.S. and imported
about $600 million in U.S. auto-
motive products.
The agreement provides that
American or Canadian automak-
ers can ship new vehicles or parts
from one nation to the other duty
free.
Individual Americans can now
purchase Canadian cars or new
parts in Canada and bring them
home without paying a tariff. But
Canadians would still have to pay
duties on similar exports from
the U.S.
Asked whether Canadian trade
with Red China had been dis-
cussed, Pearson replied that it
was only in a casual way.
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THIS WEEK
THE ZWERDLING LECTURESHIP
Thursday and Friday, Jan. 21-22
PERE R. de VAUX, famous Biblical and
Dead Sea Scrolls archaeologist
"THE HEBREW PATRIARCHS and HISTORY"
I1
Jan. 21, 4:15 p.m., Auditorium C, Angell Hall f
"ABRAM THE HEBREW" (Gen. 14, 13)
Jan. 21, 8:15 p.m., Zwerdlina-Cohn Hal, 1429 Hill St.
The group of men pictured above form the nucleus of the new Acacia
at Michigan. They represent the fraternity in a wide variety of
activities and interests including Michigan hockey and football, the
Michigan Union and the Interfraternity Council, Phi Beta Kappa, the
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