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June 08, 1972 - Image 8

Resource type:
Michigan Daily, 1972-06-08

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Page Eight


Thursday, June 8, 1972

Page Eight THE MICHIGAN DAILY Thursday, June 8, 1972

U.S. Treasury dept. suggests
abandonment of gold standard news briefs
by The Associated Prm,
WASHINGTON (P) - The "The demonstrated sensitivity in the next year or two.
y ..'ep' l iii c yesceru+A- osfuse-goio mA 4-ec -to 1seis-gen-

t reasu y LDepartment yesterday
declared that the volatile and
rumor-swayed free gold market
is a prime reason why the
world should phase out the pre-
cious metal in a new monetary
As the free price of gold sky-
rocketed, the Treasury describ-
ed as false two reports that
have been feeding the specula-
One is a rumor of a secret
U.S.-Soviet deal to raise the
price of gold drastically.
The other report, published
in London, that the U.S. under-
secretary for monetary affairs,
Paul Volcker, plans to resign is
without foundation, the Trea-
sury said.
TV & Stereo Rentals
$10.00 per month

of the gold market to self-gen-
.erating and self-serving ru-
mors . . . simply provides fur-
ther evidence of the need to
build a monetary system not
dependent on that commodity,"
the Treasury said.
It was a tacit recognition.
however, that the free market
price of gold has at least a psy-
chological impact on the value
of the dollar.
The dollar weakened in trad-
ing overseas as the price of
gold hit $65 an ounce.
The Nixon administration's
statement was cleared by Volck-
er, chief architect of the In-
ternational Currency Agreement
reached last December.
Volcker wants to phase out
the part that gold plays in the
present monetary system.
The value of the dollar, and
other currencies as well,'is peg-
ged to gold's official price $38
an ounce.
Volcker is known to be ex-
hausted from his labors but
Treasury sources say he is vital
to the upcoming negotiations as
the American official best-in-
formed on the problem.
The Treasury has clashed
with Arthur Burns, chairman of
the Federal Reserve Board, on
the future role of gold in the
new system that will be shaped

In a recent speech, Burns
said gold should be diminished
in the new system, but doubted
if it could be completely elimi-
Volcker said that there is no
difference of opinion between
him and Burns on building the
new system, only a difference
in emphasis.
The Treasury said that Presi-
dent Nixon has made it clear
that administration policies on
shaping the new monetary sys-
tem are unchanged.
"As the President said, in an-
nouncing the appointment of
Secretary-designate G e o r g e
Schultz, there will be a chang-
ing of the guard but no change
in the rules," it said.
Spokespersons said the Lon-
don Gold market is simply a
commodity market, highly spec-
ulative and subject to rumors.
Turbulent plasma
Prof. Terry Kammash of the
nuclear engineering department
has recently authored two ar-
ticles appearing in the Journal
of Plasma Physics, entitled, "An
Improved Hierarchy for Turbu-
lent Magnetized Plasma" and
"Resonant Three Wave Inter-
actions in Plasma."


CASTRO of Cuba visited a
Warsaw school yesterday and
declared his heart was as strong
as steel, despite reports from
Polish officials that he was suf-
fering from heart strain.
Officials serving as a con-
tact between Castro and the
press said the Cuban prime
minister was very tired but de-
nied that he was suffering from
heart trouble.
The school Castro visited is
dedicated to Che Guevara, the
onetime associate of Castro
who was slain while undertak-
ing a guerilla campaign in Bo-
STATE POLICE in Mansfield,
Conn, yesterday arrested a man
they said was carrying a hand
grenade and heading for the
U. S. Coast Guard Academy,
where Vice President Spiro Ag-
new was scheduled to speak.
Jerome Jackson, 26, was
charged with possession of a
dangerous weapon in a motor
vehicle and held pending ap-
pearance later in the day in
state Circuit Court.
Conn. State Police said they
received a tip Tuesday night

that a man with a grenade was
going to the academy at the
time Agnew was to be there.
install auxiliary fans in the gas-
filled Rhodesian mine where
428 coal miners have been trap-
ped since Tuesday.
No contact has been estab-
lished with the men since three
massive explosions entombed
them Tuesday morning.
Rescue work was hampered
by secondary explosions which
damaged the mine's ventilating
The mine is owned by the An-
glo American Corp and is Rho-
desia's largest mining complex.
THE HOUSE W a y s and
Means Committee agreed ten-
tatively yesterday on a bill ex-
tending the present $45-billion
national debt ceiling through
Oct. 31, assuring that Congress
will again consider the issue
this year.
If sustained, the decision
means President Nixon will be
denied his request for a $15 bil-
lion increase, enough to take
care of treasury borrowing
needs through February 1973.

Newspapers to offer
college course program

Federal government announced
yesterday a grant to the Uni-
versity of California at San
Diego to develop a program for
college-level courses which, if
successful, will be distributed by
newspapers throughout the
Dr.yRonald Berman, chair-
man of the National Endow-
ment for the Humanities, said
his agency has made an out-
right grant of $96,000 for the
first year's development and
testing and a matching grant of
$75,000 to begin work on a sec-
ond course.
We have been neglecting
one of the most potentially po-
tent mediums of mass educa-
tion at our disposal," Berman
said in a statement. "That me-
Residential College
Summer Players
JUNE 14-17
Co-sponsored by UAC
* Preparation for tests required for
admission to graduate and pro-
fessonal schools
" Six an4 twelve session groups
* Small groups
* Voluminous material for home
study prepared by experts in
each field
* Lesson schedule can be tailored
to meet individual needs
Summer Sessions
Special Compact Courses
Weekends-I ntersessions
21711 W. Ten Mile Rd., Suite 113
Southfield, Michigan 48075
(313) 354-0085
Success Through Education
Since 1938
Branches in principal cities in U.S.
The Tutoring School with the
Nationwide Reputation

dium is the American newspa-
The course will be aimed at
three groups: the casual read-
er who finds the material inter-
esting, the reader who wants to
know more about the subject,
and the reader who enrolls for
college credit.
The pilot program will con-
sist of 2 lectures of about 1,400
words each, written by dis-
tinguished teachers around the
The lectures will be written
around the theme, "The Future
of Man," and will examine the
American experience, the im-
pact on cultural patterns and
the future of technology as it
relates to the quality of life.
Lewis noted that the news-
paper offers advantages over
radio and television, media
more commonly used for mass
education: the paper may be
retained indefinitely, it can be
read in the learner's own time
and studied at his own speed.
Participating papers, now be-
ing selected, will agree to print
the lectures free of charge over
a 20-week period, and to pub-
licize the course.
When a newspaper has agreed
to publish the course, officials
will contact the extension serv-
ice of a university in the locale
and seek to make arrangements
for readers to take the course
for credit.
"X Y and ZEE"
SHOWS AT until 5 p.m.
1, 3, 5, 7, 9 p.m. 5 p.m.
$2.00 from

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