WHY NEGRO PARTICIPATION? See Page 4 ;Y Seventieth Year of Editorial Freedom Da111& MOSTLY CLOUDY High-69. Low--5s Showers and thundershowers clearing by early afternoon. SIX r.~ VOL. LX, No. 161 ANN ARBOR, MICHIGAN, TUESDAY, MAY 17, 1960 FIVE CENTS SIX PA HOFFMAN SPEAKS: UN Should Direct Aid Officials Discuss Budget Plan 4 By MICHAEL HARRAH "The single most important thing about underdeveloped countries is that only they themselves can bring about their development into modern nations," Paul G. Hoff- man, Managing Director of the United Nations Special Fund said yesterday. He spoke at the Michigan Con- ference on Economic Development yesterday. Gov. G. Mennen Williams also spoke on regional development in the Near East. Hoffman cited a need for "multi- nation partnership" in the eco- nomic development of- the world. This partnership would be a func- tion of the United Nations.. People Yearn "In every country, people yearn for a certain satisfaction from life," he said. -Daily-Larry Vanice COMPARING NOTES-Gov. G. Mennen Williams (left) and Paul Hoffman stop to chat after they spoke yesterday on international development. H ain Calls Economic Aid 'Ineffective in Middle East American economic aid has been "inadequate and relatively in- effective" in raising living standards in the Middle East, Ambassador George Hakim of Lebanon said yesterday. Hakim, who serves as a permanent repre'sentative to the United Nations, was the first of four foreign envoys to appraise United States foreign aid at the current International Development Conference. Hakim said undeveloped countries hal not profited much from United States foreign aid. "It has been largely due to the efforts of these nations themselves, with the help of some important contribut- Point Four ing factors such as the remarkable progress of communications; the 1 expansion of world trade, and for- I,'klat VJII AAT I eeign private investments in certain 11 l1 11 fields." American foreign aid had fallen Foreign aid alone cannot bring short of the expectations of the prosperity to underdeveloped na- countries of the Middle East. "The tions, Prof. Willard Thorp of the enormity and complexity of the Amherst College economies de- tasks confronting undeveloped na- partment said Sunday. tions are not fully realized." r He gave the opening lecture of Necessary Capital the Michigan Conference on In- "The necessary capital ... can- ternational Development, not come, except in small 'part, ' rnd ion Dpiteofe t t from the less advanced countries And In spite of the fact the themselves, even If their savings United States can "contribute in themsely eved hir said.s mjrfashion" to underdeveloped are fully mobilized," Hakim said. major "hehean o Amderst'slMerd "Neither is enough capital com- areas, the head of Amherst's Mer- ing from industrialized countries, Iul Center for Economics said, whether by gift, by loan, or by .we should not look for more than private investment." a supporting role in bringing eco- To eliminate mass poverty, nomic improvement~tO other coun- which now affects two-thirds of ries. the world's population, Hakim Speaking on "The Meaning of called for "international coopera- Point Four," the former assistant tion" on an "unprecedented scale." secretary of state for economic "To my mind, the problem of affairs added "the successes will undevelopment is too vast to be be theirs and the failures will be capable of solution by present con- theirs. The obstacles are all with- ceptions and methods. American in the country." economic aid, though substantial, He discussed the history of the does not come anywhere near pro- Point Four program which began viding a solution." in 1949 when former President Second Speaker Harry S. Truman called for a The second speaker was Am- "bold new program to assist the bassador W. M. Q. Halm of the underdeveloped nations of the newly-created nation of Ghana world triumph against their an- who said the incentives offered by emies-hunger, misery and de- his own government have attracted spair," $90 million worth of foreign in- However, it was sixteen months vestment. before the final form of the pro- He said the capital came from gram emerged, for "at the time of private sources in countries such the inaugural there was no spec- as the United States, Great Brit- ificity. ain, Sweden and Australia. "Like Lend-Lease and the Mar- Halm pointed to tax relief for shall Plan, the program was an- pioneer industries, lowered import nounced in terms of objectives duties, guarantees against expro- See THORP, page 2 priations and provision of sites and ___________________________services as the attractive features of Ghana., FrIeomy He noted that over 90 per cent of Ghana's income is generated from purely domestic activities, M arch Speech with the prominent cocoa industry comprising about 60 per cent of total exports. et Sa So to achieve a more balanced economy, Ghana has begun a ma- A "Freedom Day" march in jor effort to diversify its agricul- commemoration of the 1954 Su- ture, increase liberal production preme Court decision on school and accelerate industrial activity. "Out of these yearnings can come a better world, if exploited correctly. But if these yearnings1 are ignored, only tension and un- rest can result. "It is our function to see that these yearnings are channeled constructively. "The underlying reason for underdevelopment is underutiliza- tion. These countries have the resources available to them to provide a prosperous comfortable life. The difficulty lies in the fact that they do not have the techni- cal knowledge to exploit them." Hoffman said there is one great lesson the underdeveloped coun- tries must learn: Concentration on the goal of economic develop- ment as a goal well worth, achiev- ing. He added economic aid has been misdirected because of the "mis- taken concept that it could and should be used to win friends and influence people. "If you want the most for your money, economic aid has to be channeled multinationally, through an objective body. "The main objective of the United Nations Special Fund is to assist member nations in estab- lishing what their resources are and to assist in training their people to exploit them in a profit- able manner." In this regard, he said, the United States must "turn our backs on paternalism toward other nations." We must have a part- nership between nations, to aid international development. This is good business-not charity." Program 'Costly' Hoffman said the unsponsored program is "costly," but he went on to say that he felt that "we the people of the more advanced countries can well afford to make this relatively small investment in the creation of a more peaceful and prosperous, a more dynamic and exciting world for the chil- dren of future generations." Following Hoffman, Williams spoke briefly on the fallacies of the present American foreign pol- icy. He called the policy "ambiva- lent," saying that the state de- partment was torn between the traditional dedication to human dignity and the present drag to the status quo. "We have drifted well over to- ward the status quo, as a result, for it is a position of expediency," ht said. "Our fear of thehRussian bear has blinded us to the needs of the very problems we wanted to save." Progoram The Conference on Interna- tional Development will con- tinue today with: 1) Round - table discussions on "Aims, Techniques and Limi- tations of International Assist- ance" at 9 a.m. 2) Lectures on "How Eco- nomic Aid Looks to Recipient Nations" by Ambassador B. K. Nehru, Indian commissioner general for economic affairs, and Israeli Ambassador Avra- ham Harman at 1:15 p.m. in the League Ballroom. 3) Reports from the morning round-tables at 3:30 p.m. in Rackham Lecture Hall. By SUSAN FARRELL "I don't think there is any ques- tion in the Legislature about the University's needs," Vice-President for Business and Finance Wilbur K. Pierpont said recently. "It's more a question of their not having money to fill them." The record $108 million higher education appropriation passed by the Legislature last week included $35.2 million for the University. But this amount, $5 million less than requested, fails to meet the "minimum needs of the Univer- sity," President Harlan Hatcher says. Faculty and staff salaries are the most important area in which the University will suffer because of the inadequate appropriation Vice-President and Dean of Fac- ulties, Marvin L. Niehuss said. The University asked for a nine percent increase in faculty salar- ies and did not receive it. The legislative appropriation also failed to provide for expan- sion in staff necessary for in- creasing enrollments, Niehuss said. "Serious arrears in maintenance of the plant" and a need for in- creased appropriations to provide additional books and library serv- ice were also unsolved by the re- cently passed education bill. Expenditures Cut "Two years ago all University expenditures except faculty salar- ies were cut roughly ten percent," Niehuss said. "We still haven't made that up. "At that time we increased fac- ulty salaries by reducing every- thing else, including supplies, re- search facilities and custodial staff. We can't do it again. "The amount we will have for operation this year will depend on whether or not we are able to supplement the legislature appro- priation with fee increases." (The proposed fee increases for both instate and outstate students will be discussed at Friday's Reg- ents' meeting.) Capital Outlay An item-by-item breakdown of the budget is being drawn up at present and will go to the Regents some time in June for their con- sideration and approval, Admin- istrative Dean Robert Williams said. The $19 million capital outlay program, approved the.same time as the budget, includes $7 million for University construction. One and one half million dollars are earmarked for a new cyclo- tron laboratory, with the balance for the planned Physics-Astrono- my-Institute Bldg. (A federal appropriation for the cyclotron itself is presently under consideration by the House of Representatives appropriations committee in Washington.) Top Priority A new music 'school building, given top priority in the Univer- sity's request, a fluids engineering building planned for North Cam- put and the second unit .of the medical science building were not included in the bill and will be submitted to the Legislature for consideration again next year, Pierpont said. Plans for the construction of the cyclotron laboratory are "com-_ British Attempt To 'Collapsed Khrushchev F Big Foui Revive r Talks COrference Boils to End In Arument Khrushchev Rescinds Ike's Trip Invitation In Angry Exchange pletely ready to let out for con- struction bids," he added. Plans for the other buildings approved by the Legislature will be drawn up immediately. Activities Building The Legislature also approved a $975,000 bond issue for the planned addition to the Student Activities Bldg. The addition will be financed by student funds, but law requires the Legislature to approve all Uni- versity self-liquidating projects. "We share the disappointment of the entire University about the budget," Vice-President and head of Dearborn Center William Stir- ton said. "We would like to strengthen our library and provide more ex- tensive staff counseling and a greater breadth of selection in our liberal arts program," he explained. Not in Hurry, Singer Says' Red Leader Aims To Build Advantage By MICHAEL BURNS There are two possible reasons for Soviet Premier Nikita S. Khru- shchev's angry termination of the summit talks, Prof. J. David Sing- er of the political science depart- ment suggests. One is that Khrushchev has gained favorable results from his propaganda efforts on the recent United States spy plane incident, so he feels "a few more weeks won't do any harm" to his con- ference plans. He may be trying "to build up such an advantage" that Western leaders will be "impatient" to hold a summit meeting with him. Another reason may be Khru- shchev actually feels the Western powers are belligerent and is ex- pressing "righteous, indignation." Khrushchev wants a summit meeting badly, Prof. Singer said,. and he will probably turn around and ask for another conference, striving for peace at all costs.'He will criticize the United States for its poor intentions. Prof. Singer called the Soviet move politically smart in the short run but that his moves may even- tually "bring the roof down on everyone." He called Khrushchev "irresponsible" in his actions. "The whole incident magnifi- cantly illustrates the utter futility of diplomacy whether it be quiet or open diplomacy," on the ambas- sadorial or summit levels. Diplo- macy cannot be expected to bring results, Prof. Singer said. Khrushchev's actions may be due to influences in Russia from tiha tn tnr~ nfficials_ he raid. --AP wirephoto EISENHOWER LEAVES-The President, shown shaking hands with French premier Michel Debre leaves the Elysee Palace after yesterday's unsuccessful summit session in Paris. French president Charles de Gaulle Is shown center. PROF. PEEK SPEAKS: Calls '60 Issues 'Short-Run' By MAME JACKSON, "The Function of a political cam- paign is to get votes-not to dis- cuss issues." Prof. George Peek of the political science .department said yesterday. He spoke to Theta Sigma Phi, women's journalism society. The significant political issues which will dominate the 1960 cam- paign are designed "primarily to solve short-run problems, and they leave the more fundamental, long- range problems unsolved," Prof. Peek maintained None of them are directly con- cerned with the "two major chal- lenges facing the United States; today - the prosperity challenge! and the challenge of American aid to underdeveloped countries.. "Over the past ten years United States private income and con- sumption rates have risen sharply. During this same period, propor- tionately less of the gross national product has been spent for public affairs uch as education, welfare and defense. "Relative to the economic oner Lop paruy wlil, Ghal. trc A.V V~au"- DRAMA SEASON PLAY:f olden Fleecing To Star David Wayne "The Golden Fleecing," starring David Wayne, will open today at Lydia Mendelssohn Theatre as the second of five Drama Season pro- -"S. ductions. Called an "excursion into hilar- , 4 ity" by a New York critic, the ~ 'V4farce is the story of a group of ; } :. >: ;.:" .:": :. ." " ' k sailors stationed in Venice who, with the aid of an electronic brain, set out to break the bank of a local casino. -fIĀ° Lorenzo Semple, Jr., is the au- thor of the la Featured roles in the comedy .s will be taken by Wayne, Larry ;1':" :4Hagman, Monica Lovett, Donna :: . . "_ " rPearson and two, members of the growth of the country, taxes have been going down. The United States has subsequently come to grips with the problems of pov- erty." The greatest external challenge that faces the United States to- day is not that of a big war, Prof. Peek contended. Rather it is the effective development of under- developed nations. "It is much more important to keep deprived people from starving than it is to get a man into space." Political Mis-Direction Prof. Peek said the political ra- tionale for not discussing these two major issues in the coming campaign is that the solution to both problems rnecesstates in- creased taxation; this is not a method of achieving party sup- port. If we don't face up to these problems in the near future, he predicted, "the United States may become the only country in history which possessed the resources and the knowledge to maintain pros- perous co-existance and didn't be- cause of political mis-direction. Defining the issues to be de- bated in the 1960 election, Prof. Peek cited international, defense as one of the major problems. "While both parties' positions im- ply increased taxation, the Demo- crats advocate additional spend- ing for missiles and army flexi- bility and the Republican party feels that present missile financ- ing is adequate." Domestic Scene *PARIS W--Prime Minister Har- old Macmillan was striving des- perately yesterday to revive the collapsed summit conference. The conference boiled to an angry end over a blaze of Soviet- American recriminations. One thing was sure: President Dwight D. Eisenhower's June visit to the Soviet Union is off. On his initial efforts last night, Macmillan failed in a talk lasting an hour and 35 minutes to placate Soviet Premier Nikita S. Khrush- chev. But the British said contact is being maintained with the Rus- sians on the off chance that the breach could be healed. Expected To Confer Macmillan and Khrushchev are expected to confer again today. (The Soviet news agency Tass in reporting the Khrushchev-Mac- millan meeting, said "a friendly conversation took place" but gave no details.) Eisenhower, described as impas- sively sitting through Khrush- chev's summit tirades over the U2 spy plane episode, and then letting his fury show later in pri- See Interpretive Story, Page 3 vate at the American embassy res- idence, was understood to be awaiting the outcome of Mac- millan's efforts. The fourth summit principal, the host President Charles de Gaulle, was filled in as was Eis- enhower on Macmillan's report of the Soviet mood. Turns To Debacle The Big Four meeting turned into a debacle at the outset in a bitter trading of cold war blasts between Khrushchev and Eisen- hower, The Macmillan - Khrushchev meeting broke up 15 minutes be- fore midnight without an agree- ment for the Big Four to come together again. Although main- taining contact, the British were gloomy and held out but slim hopes. Opening Round In the opening summit round Khrushchev bitterly declared he could not negotiate now unless Eisenhower apologized for the plane incident. He withdrew the invitation for the President to visit Russia nevt month. Outside the conference Eisen- hower angrily accused Khrush- chev of insulting the United