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Ninety Years of Editorial Freedom
Vol. XC, No. 131 Ann Arbor, Michigan-Tuesday, March 18, 1980 Ten Cents Ten Pages plus Supplement
Gold price
dips under
$500
an ounce
NEW YORK '(AP) - The price of
Id plunged below $500 an ounce for
e first time this year yesterday amid
expectations that President Carter's
anti-inflation program will push U.S.
interest rates higher and propel the
economy into a recession. ]
The. prices of other precious metals
also fell sharply, as did stock prices,
but the dollar soared on -currency
markets as "foreign investors "bailed
out of gold to get into dollars," a bullion
dealer said.
SOME TRADERS are saying "it
would be well enough to get out of gold
now," said John Fraser Jr., senior vice
president in charge of precious metals
at Rhode Island Hospital Trust
National Bank in Providence.
But "the gold market is anticipating
the ultimate impact" of the Carter anti-
inflation program will be felt "three to
six months from now," said Fraser,
Whose bank is a major gold dealer.
Carter's "package has been better
received abroad than in the United
States. Given a chance, it could well do
the trick," said a currency trader here.
And stock-market analyst Larry
W achtel of the brokerage house of
Bache Halsey Stuart Shields Inc. said'
overseas investors believe "this
profligate country is finally coming to
~rips with reality."
In the United States, Wachtel said,
"there was a sense of anticlimax" on
financial markets among- observers
who felt Carter's program does not go
far enough to slow the nation's 18 per
cent-a-year inflation rate.
The price of gold slid $49 an ounce
from Friday's close in London to $477.50
at the end of trading yesterday, and
dropped $35 in Zurich to $489. Prices
also were lower in New York, where
fold for March delivery fell $55 to $471
t midday on the Commodity Exchange
Inc. Gold hit a record $875 an ounce in
New 'York on Jan. 21.
Congress gives
Carter budget
cool reception
From UPI and AP
House Speaker Thomas O'Neill
yesterday said a list of budget cuts
drawn up by Democratic leaders will
receive priority over President Car-
ter's as yet undisclosed cuts.
In the Senate, Carter's economic ad-
visers - chairmen Alfred Kahn of the
Council on Wage and Price Stability
and Charles Schultze of the Council of
Economic Advisers - began explaining
the Carter proposals, and ran into im-
mediate opposition from some
lawmakers.
CARTER FRIDAY announced plans
to cut the budget by $14 billion, but has
not revealed where many of the cuts
will be made. That list is expected to be
sent to Congress by the end of the mon-
th.
Meanwhile, House budget staffers
put the finishing touches on specific
1981 recommendations to be made
tomorrow by Budget Committee
Chairman Robert Giaimo (D-Conn.).
The panel will begin writing the
budget without Carter's detailed
proposal and O'Neill said Congress will
move ahead with its own budget cuts,
making it clear that Carter's list will be
secondary to the list made up by
Democratic leaders.
"IT'S MORE of 'our' cuts than his,"
O'Neill (D-Mass.) told reporters.
House Democratic leader Jim Wright
of Texas said the Democratic leaders
identified "several areas" where cuts,
deferrals or recissions'could be made to
hold down 1980 spending. He did not
elaborate.
Kahn, appearing before the Senate
Banking Committee, said the
president's effort to balance the budget
is the solution to fighting inflation.
"THERE IS no hope of dampening
the spiral of self-justifying inflationary
expectations. . . until we demonstrate
that we are capable of balancing the
federal budget," he said.
Kahn said that $11 billion in revenues
from a new oil import fee, which is ex-
pected to raise gasoline prices by 10
cents per gallon, "provides assurance
that the budget would be balanced" if
'There is 10 hope Of damp-
ercurig the spiral o self-
illti fvitig itf'latiorarti ex
p)ctctIiot)t . . nrr iil iCe
(demonstrate that ((e are
I(5pa le of baltiiiing the
federal buI(get.
-A lf're(d Kanlc allir a,
o f the C~oucil onl Wage
(In d1Price Stability
for some reason the federal spending
reductions Carter has proposed don't do
the job.
But Chairman William Proxmire (D-
Wis.), called the president's package
"timid, . hesitant and really
inadequate."
"It is weaker than I had hoped or ex-
pected," Proxmire said. He also said it
was "unforgivable and wrong" for Car-
ter to delay details of his budget cuts
until after the New York primary elec-
tion later this month.
Daily Photo by MAUREEN OMALLEY
THE DEAD BOYS, a punk rock band touring the country, fled the Second Chance stage Sunday night after being
assaulted by "fans" in the audience.
Dead Boys, fans enag
in See ond Chance melee
By STEVE HOOK
"They were really nice guys when they showed up. They
were well-mannered and real friendly," Stanley Madhatter
said of The Dead Boys' arrival at Second Chance Sunday.
Madhatter, who served as emcee and security guard at the
concert, said he noticed "a general atmosphere of high
energy" when the Dead Boys' performance began that
night.
That "energy" turned into a near-riot at the local
nightclub, in which the musicians and an audience of nearly
600 exchanged verbal insults, beer and glasses, and which
left the Dead Boys, a punk rock group from Ohio,
scrambling for cover.
The scuffle began just 45 minutes into the Dead Boys'
performance, amid a volley of glasses and pitchers
(totalling "at least 200," according to Stage Manager Bob
Tickle). There were no arrests; the Ann Arbor Police
Department was not called.
SECOND CHANCE co-owner John Carver expressed
relief that no spectators were injued in the brawl. He said
that his staff had to "forcibly" remove approximately a
dozen spectators. "Nothing like this has ever happened
before," Carver said.
"A riot broke out, the kids went nuts," recalled lead
singer Stiv Bators calmly over a beer at Second Chance
yesterday afternoon. "They trashed the entire stage; the
music and the stage show just drove them nuts. They were
throwing mugs and pitchers-it was great, one of the best
shows we've ever done."
"The band came out being aggressive, and the audience
gave it right back," said Jim Barry, a local booking agent
who observed the melee Sunday night. "It was a prevailing
feeling, like there was a full moon out."
BATORS SAID THAT the onslaught of verbal and
physical abuse by the audience "was not because they hated
See DEA), Page 7
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Bani-Sadr followers mak
0
4
From AP and UPI
Supporters of Iranian President
.bolhassan Bani-Sadr, who says he
wants an early end to the U.S. Embassy
hostage crisis, scored new gains
yesterday as Tehran votes were coun-
ted in -national parliamentary elections.
The conservative, clergy-dominated
Islamic Republican Party, (IRP), still
held an overall lead, however.
First returns from the Iranian
capital, which will send 30 represen-
tatives to the 270-member Parliament,
showed Bani-Sadr's followers leading
W seven districts against none for IRP
candidates.
THIS WAS AN apparent reversal of
first results from the provinces, which
heavily favored the IRP.
With more than half the returns coun-
ted nationwide, the IRP claimed its
candidates or affiliated candidates had
won 34 of 79 districts where a majority
had been declared. Bani-Sadr suppor-
ters won 16 seats, not counting the
*ehran districts. Earlier reports also
gave two seats each to the Kurdish
Democratic Party and to Adm. Ahmad
Madani's National Front; and one to
former Prime Minister Mehdi
Bazargan's Freedom Movement.
Independent candidates won 21 of the
declared seats and may hold the balan-
ce of power in the Majlis, or
Parliament. Since the IRP ran only 153
candidates, just 17 more than needed to
win a majority in the legislature, clear
IRP domination of the Majlis may be
difficult to achieve.
IN ABOUT 75 districts, no one at-
tained the necessary majority,
meaning there will be a runoff between
the two top candidates April 4. The IRP
claimed its candidates won pluralities
in about half those districts.
In the other 116 or so districts, not
enough votes had been counted by last
night to be decisive.
But Bani-Sadr has said that the,
results - not expected to be known for
two weeks - may be annulled in places
where "extensive fraud" was proved to
have taken place. There were fears that
this could delay the formation of the
new parliament and in turn further
prolong the hostages' ordeal.
ALTHOUGH HE is a devout Moslem,
Bani-Sadr's leftist economic policies
and his efforts to distance himself from
the clergy have led to a political rivalry
between him and the orthodox
clergymen. He sought in the election to
head off strong clerical domination of
the government.
Revolutionary leader Ayatollah
Ruhollah Khomeini says the question of
whether and when the 50 U.S. Embassy
hostages will be freed must be decided
by the new Parliament.
e gains
In contrast with Bani-Sadr's ap-
parently conciliatory stance, the IRP
clergymen may persist in backing the
key conditions of the Moslem militants
holding the embassy - that deposed
Shah Mohammad Reza Pahlavi and his
wealth be returned to Iran in exchange
for the hostages.
Bani-Sadr meanwhile addressed
Iran's armed forces over Tehran Radio
and announced plans for a "major
reorganization" of the poorly-
disciplined army.
The radio, monitored in London by
the BBC, said Bani-Sadr called the ar-
my's organization an "urgent issue"
'M goes green 'for -a day
as A2 celebrates St. Pat's
By MAUREEN FLEMING
It began with green milkshakes.
Leprechauns suddenly appeared all
over shop walls and windows, and even
Hostess Sno- Balls - tinted
'U' must increase minority efforts-Power
By BONNIE JURAN
The Regents have put much energy
into solving the minority enrollment
and attrition problems at the Univer-
sity, but still should do more, according
to Regent Sarah Power (D-Ann Arbor),
who spoke to a small group at the
School of Education yesterday after-
noon.
According to Power, the rate of at-
trition is "one of the big questions"
presently facing those concerned with
minority affairs. Citing the fact that the
percentage of failing students,
.especially among blacks, is par-
ticularly high in introductory math
courses, Power said that efforts to meet
this problem through remedial
programs are "not adequate" and that
this might be one reason many black
students eventually drop out of school.
POWER SAID she supports the idea
of mandatory English and math
programs for those who are lacking in
these areas as a solution to this
problem.'"'We have a responsibility to
enable students to be competitive
especially if we know that some who en-
ter the University may have a deficien-
cy," the Regent said.
Addressing the problem of the small
number of women and minorities in
faculty positions, Power cited the
Regents' method of rectifying this
situation. She said the Regents en-
courage departments to pursue ac-
tively affirmative action goals in filling
appointments, provide extra travel
funds to bring women and minorities to
the University for interviews, en-
courage faculty members to retire a lit-
tle earlier, thereby opening up more
positions, and look with scrutiny at
departments not meeting these goals.
Millie Jeffry, chairperson of the
Wayne State University (WSU) Board
of Governors, said the lack of available
data on minority enrollment and at-
trition is one problem that confronts
Wayne State. Such data, according to
Jeffry, could enable WSU to "provide
sufficient support mechanisms" such
as tutorial or financial assistance.
ADMITTING THAT the WSU gover-
nors are unsure of the reasons the black
enrollment is so low, Jeffry offered one
possible answer. She said that if the
economy is faring relatively well, as it
has in the past few years, the
enrollment tends to decline as people,
are able to get jobs with little difficulty.
During the discussion following the
lecture, members of the audience of-
See 'U', Page 7
green-played a part in heralding one
of the most eagerly-waited days of the
year for both the genuine and honorary
Irish.
St. Patrick's Day is easily
distinguished from other days on the
University campus. It's the only day
that students' favorite color, faded
denim blue, has any competition. Green
was everywhere yesterday, from dyed
hair and beards to jackets, socks, and
T-shirts.
Dooley's, that popular watering hole
on Maynard, had their doors open at 7
a.m. Irish music could be heard from
the street. The most popular St.
Patrick's Day drink, green beer, was
served. Shots of Irish whiskey were 50
cents extra.
THE UNIVERSITY CLUB went
Gaelic with a performance by the
"Irish Roamers," accompanied by
green beer, Irish whiskey, coffee, and
corned beef sandwiches. Harold Evans,
the club manager, cautioned, "Watch
out for Joe Fazio's green dream," an
See 'M', Page 3
creature of the 1950s and I become at ease when wearing
them. The other is that without the starch in the shirts I
start to slump to the floor." Donned in his usual white shirt
and tie, Linderman explained that he had hoped to wear his
Marlon Brando t-shirt to class, but it wasn't starched yet.
St. Pat's Day brouhaha
Riot-equipped police arrested about 200 persons" in
Acghknec~h Wkc, when ,a wzkcrcdrc~,A~l,~hrntinnin ,hnnr,,of,.,'Ct
This isn't the first time March 17 celebrations have gotten
out of hand in the U-W suburb. Thirty-nine persons were
arrested in a similar disturbance last year.
Bull-arney Stone
When Richard Quinn, resident Irishman of Delton,
Mich., showed up for work at his shop yesterday morning
he had a five-ton surprise waiting for him. In front of his
floor-covering store was a massive four-foot tall by five-foot
hands. "It's nothing you'd pick up and sit in a corner, I'll
tell you that," Quinn said. "I'll just leave it until someone
else comes along and picks it up."
On the inside
English Prof. Bert Hornback takes a droll look at
money saving measures on the edit page . . . the arts page
examines the final day of the Ann Arbor 16mm Film
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