The IMichiga Da ily
Vol. LXXXV, No. 17-S Ann Arbor, Michigan-Friday, May 30, 1975 Ten Cents Twelve Pages
Govt. sees en to recession
WASHINGTON ,P) - The government
reported yesterday that its index design-
ed to anticipate the economy's future
took the biggest jump ever last month,
providing tentative evidence that the re-
cession has already ended or will end
soon.
But while an end to the recession
sometime in the next few months is just
what most economists expect, the index
also provided an even more tentative
sign that the recovery which follows
could be a strong one.
IT IS the strength of the recovery
which will determine whether or how
fast unemployment recedes from levels
of nine per cent or so. And the strength
of the nation's economic recovery has
been one of the most uncertain factors in
Ind*icators show record uswig
economic projections so far. left the index only one month short of.
The Commerce Department said it s satisfying the "three-month rule" used
composite index of indicators, compiled by the indicator's architects to determine
in a revised form to filter out the dis- whether the signals are sound.
tortions of inflation, jumped 4.2 per Victor Zarnowitz, the University of
cent in April. At the same time it re- Chicago business professor who headed
ported a one per cent increase for the team which redesigned the index,
March. said he and other economists consider
Although the index was revamped, the three consecutive months of movement
Commerce Department has traced its in one direction to be a solid forecast of
new version back to 1948. And the April a turnaround in the economy.
increase surpassed the previous record The index moved up by a total of 1.8
rise of 3 per cent in June 1958. per cent in February and March last
year without presaging an end to the
THE BACK-to-back increases reversed recession.
11 consecutive months of decline and BUT ZARNOWITZ and James Pate,
the Commerce Department's top econ-
omist, said the strength of the latest
rise combined with signals from other
economic signs make the latest increases
impressive.
"I believe it's significant, particularly
because it is supported by other evi-
dence," Zarnowitz said.
Pate said, "The performance of the
index in March and April supports the
forecast of a recovery in over-all eco-
nomic activity in the second half of the
year." He had said earlier that the
economy apparently bottomed out in
April.
IN THE past three recessions the in-
dex has turned up only one or two
months in advance of recovery. But
Zarnowitz said because the current re-
See U.S., Page 6
Greater flexibility
characterizes LSA
academic changes
By SUSAN ADES
Second of a two-part series
Undergraduates who complain of being pro-
cessed rather than educated by the University
will discover, come September, that the Gradua-
tion Requirement Commission's (GRC) changes
will provide them with more flexible educational
opportunities.
The revisions in the literary college (LSA)
faculty code will have a far-reaching effect on
students for they include innovations in counsel-
ing procedures, residency regulations and aca-
demic transcript options.
ALTHOUGH it is unclear at this point whether
or not currently-enrolled students will be affected
by the revisions, freshpeople can definitely plan
to follow the new guidelines since "virtually all
of the changes could be implemented by Septem-
ber first," according to Associate LSA Dean
Charles Morris.
The Registrar's Office will be implementing
one of the most drastic GRC changes involving
academic transcripts. Students will be permitted
to choose from one of four types of transcript
listings including: "listing no courses; listing
courses but no grades; translating all grades into
pass or fail; or listing all courses as originally
chosen."
History Prof. Raymond Grew, chairman of
GRC, views grading as a tool for communication
between faculty and students as well as a means
of external certification in the form of a tran-
script. The new transcript option he said, "makes
the teaching function of grading central."
REFERRING to the increased student control
over the information on their transcripts, Grew
explained that the new policy is "an extension
of rights students have always had."
In a move to give students more independence
in designing their own programs of study, nu-
merous changes in counseling procedures will
most likely become effective by this fall.
Under the new GRC plan, students will not be
required to obtain a counselor's approval for
course selection each semester.
THE ONLY mandatory meetings between stu-
dents and counselor will take place at freshperson
See UNDERGRAD, Page ,10
DOly Photo by PAULINE LUBENS
Mad Madonnas
Members of the Theatre Company of Ann Arbor Inc. rehearse a scene from their performance of "Mad
Madonnas." Billed as "an original production celebrating the forward and positive movement of women,"
the performance will be given tonight and Saturday at 8 p.m. at Schorling Auditorium in the Education
Building.
FATHER COMMENTS ON KIDNAPPING CASE:
Smuts blasts U.S. officials
By DAVID WHITING
Robert Smuts, the father of a local woman kidnapped
last week by Marxist guerrillas in the jungles of Africa
and released Sunday, last night blasted U. S. officials
who attacked Wednesday the Zaire and Tanzanian gov-
ernments' response to release efforts for other captured
victims.
Smuts, a Ford Motor Company executive, branded
as "absolutely untrue" U. S. officials' reports contend-
ing that the Zaire government is doing "nothing sub-
stantive" to secure the release of two American stu-
dents and a Dutch woman held for 10 days by the kid-
nappers in eastern Zaire.
U. S. officials have chided both the Zaire and Tan-
zanian governments for not helping with efforts to free
the hostages. The Zaire officials have reportedly re-
fused to see American diplomats while U. S. Ambas-
sador W. Beverly Carter expressed "deep concern" af-
ter Tanzania "categorically rejected any responsibil-
ity for the release" of the captives.
In contrast, Smuts claimed both African govern-
ments have been "very uncooperative."
Smuts further emphasized that Carter was "pleased
with the cooperation" he was getting from "both Zaire
and Tanzania."
HOWEVER, when asked exactly what this coopera-
tion from the two countries entailed, Smuts responded,
"I don' know," and alluded o the necessiy of secrecy
because lives were in danger.
Smuts explained that his wife, Alice, who flew to Dar
es Salaam Tuesday to be with their daughter, relayed
Carter's feelings yesterday by overseas telephone.
Ms. Smuts, who was living in the ambassador's
house until Wednesday and has been in close contact
with Carter, called from the capitol to "reassure me
that there's more hope than was evidenced in the press
reports," according to Mr. Smuts.
See OFFICIALS, Page 6