The Michigan Daily-Wednesday, January 28, 1981--Pag.
Reagan to lift
gas, oil controls
From AP and UPI
has decided to lift all controls' on oil
prices and allocations, a move expected
to pu'sh up gasoline prices by as much
as 13 cents a gallon by year's end,
Budget Director-designate David
Stockman said yesterday.
The official White House decontrol
announcement originally was
scheduled yesterday, but was delayed
because of the presidential welcome for
the freed American hostages, Stock-
HE TOLD reporters the decision had
already been made and would be an-
Stockman said the decision to decon-
trol would have a minimal immediate
impact on gasoline prices, since there
currently is an ample supply.
Barring any unforeseen problems in
the . world oil market, Stockman
estimated gasoline prices will rise 3 to 5
cents a gallon at the pumps over the
next few months, and between 8 and 13
cents over the course of the year.
THE CONTROLS limit the retail
price of gasoline and propane that
producers can charge for several
categories of crude oil.
About 25 percent of all domestic
crude oil and all gasoline and propane
are under the price controls, imposed
nine years ago. Their removal began in
June 1979 after then-President Carter
announced a program that would have
lifted all controls by Sept. 30, 1981.
The controls had been imposed by
President Nixon as part of his wage-
price control program and were con-
tinued through several periods of oil
Congress gave the president power to
lift the controls in 1975, but that
authority was ,not exercised until Car-
ter acted to gradually eliminate the
unwieldy controls while trying to avoid
Reagan campaigned on a pledge to
speed up the removal of the controls to
help spur domestic production.
One industry analyst said he doubted
consumers would soon feel the impact
of the Reagan action on gasoline prices
because competition and relatively low
demand are likely to delay some of the
increases at least until spring.
However, other analysts said heating
oil users may feel the full impact of
crude oil decontrol this winter.
Removal of price controls would
mean that domestic crude oil prices
would be allowed to reach world
market levels. The Energy Department
estimates that a barrel of foreign oil
sells for an average of $35, $12 more
than the equivalent amount of domestic
is preserved on
The Michigan Daily
420 Maynard Street
Thousands of people cheered and waved as buses coitaining the freed hostages drove down Pennsylvania Ave. yesterday, on the way to a
White House reception. Later in the day, President Reagan officially greeted them as American heroes.
Hostages welcomed by
express thank's for U.S. support.
0 From AP and UPI
WEST POINT, N.Y. - America's freed hostages
said yesterday they were eager to return to life as
"rank-and-file common citizens" and praised their
families as the real heroes of their 14% months of
captivity in Iran.
At their first news conference since coming home
Sunday, the hostages thanked their countrymen for
thefr love and support, played down reports of
mistreatment in. Iran and said they expected any
lingering effects of their long ordeal to be only temr-
"I DON'T KNOW how the rumors got out about our
experiences, but my talks with all the others at West
Point indicated to nW we all seemed all right," said
Marine Sgt. John McKeel Jr. "I want to get back to
~The, 41 hostages and more than 300 reporters
assembled in West Point's Eisenhower Hall broke in.
to raucous laughter.
The hostages, who were released Jan. 20, were
reunited with their familes Sunday and got two days
of rest and relaxation at the nation's Military
Academy before leaving for Washington and an of-
ficial welcoming reception yesterday at the White
IN WASHINGTON, President Reagan promised,
the hostages that when they take new posts represen-
ting the United States they will be given "every
means of protection that America can muster."
And he issued a stern warning that his ad-
ministration will inflict "swift and effective
retribution" against international terrorists in the
Welcoming the former hostages and their families
to a stirring White House reception, Reagan told
them: "We hear it said that we live in an era of limits
to our power. Well, let it also be understood there are
limits to our patience."
The new president gave no indication of what
specific action he might take in the case of another
embassy seizure or hostage-taking similar to that in
Tehran on Nov. 4, 1979. His aides have sa'd in recent
days tat U.S. policy regarding inrernational
terrorism is under intensive review and that recom-
mendations for new legislation may be forthcoming
within a matter of days.
BUT REAGAN MADE it clear in his brief
welcoming address that he intends to take a hard
"Let terrorists be aware that when the rules of in-
ternational behavior are violated, our policy will be
one of swift and effective retribution," Reagan said.
Meanwhile, the Reagan administration warned
other Americans against traveling to Iran, saying
they would be virtually without protection.
Among dangers is the possibility they could be
"detained without charge," said William Dyess, the
State Department spokesman.
Dyess also said he doesn't think the administration
is considering punishment of Iran as part of its
review of the agreement worked out by the Carter
administration 'for release of the 52 American
Both the ban on travel and the embargo against
trade with Iran were lifted as part of that agreement.
But Dyess said that while ti "is not now illegal for
businessmen to do business with Iran," the Stat
Department is advising them to "go slow."
Iran and the United States once were maor trading
partners. Iran imported American wepbns oilfiel
equipment and food, and sold oil to the United States.
Exxon Corp., the world's largest oil company, i
studying the possibility of resuming Iranian oil im
ports, and the Commerce Department has reported
numerous calls from companies wanting to know how
to resume trade with Iran.
Dyess said the advisory against travel was issue
partly in response to businessmen, who might con
sider going there. But he said it applies to al
Americans, including reporters.
Siamese twins die
e on operating table
NASHV1iLLE, Tenn. (UPI) - Marie
Lynn and Samantha Dawn Self,
Siamese twins whose hearts were
fused, died in the operating room
yesterday as surgeons worked unsuc-
cessfully to separate the infants.
Ginger Carnahan, spokeswoman for
Vanderbilt Hospital, said the twins died
at 5 p.m. EST .after nine hours of
sWe regret to announce that despite
all the hopes and efforts of the entire
staff, the twins expired," Carnahan
"Separation was attempted, but after
the ann arbor
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long and difficult surgery to achieve
partial separation, the infants failed to
tolerate further surgery. The hearts
were found to be completely fused and
this proved to be uncorrectable."
The twins were born Jan. 18 joined
from sternum to navel in a Knoxville
conti ibuted by the publisher.
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