Page 2-Friday, February 13, 1981-The Michigan Daily
State Dems. file
new tax plan
Democratic leaders proposed yester-
day an alternative to the Milliken ad-
ministration tax reform plan which
would give greater property tax relief,
especially to lower income groups, but
require an even higher sales levy.
The constitutional amendment was
introduced one day after Gov. William
Milliken's announcement that he had
reached agreement with legislative
leaders on a process aimed at reaching
a compromise on the tax reform issue
by March 18.
INTRODUCED BY Senate
Democratic Leader William Faust and
Sen. Jack Faxon, the measure would
exempt homeowners from the first $660
of their property taxes, while compen-
sating for the loss of revenue by raising
the state sales tax from four percent to
Separate legislation would offer
credits to ease the pinch of the sales tax
increase on low income families.
The -Milliken proposal would slash
property taxes by 35 percent, while
raising the sales tax by one percentage
The proposal, which like Milliken's
requires voter approval, offers steeper
cuts-an average of about 50 percent
The benefit for those with lower
property taxes is much greater under
the Senate proposal than Milliken's
because if offers a flat dollar reduction
rather than a percentage cut.
Last week the powerful United Auto
Workers union, usually allied with the
Democrats, criticized Milliken's
proposal for favoring the rich and doing
too little for low and middle income
Daily Photo by BRIAN MASCK
CARD chairman speaks
Rev. Barry Lynn, chairman of the National Committee Against Registration
and the Draft, spoke at the Unitarian Church in Ann Arbor last night. He told
an audience of about 35 that registration is only one small part of the
"overall excessive militarization" of the United States.
Reagan advisor predicts
balanced budget by '84
Weidenbaum, chairman of the
President's Council of Economic Ad-
visers, said yesterday he hopes the
Reagan administration can balance the
federal budget by 1984.
"That's my personal hope," Weiden-
baum said during a White House
briefing for reporters.
THE ADMINISTRATION came into
office aiming to balance the budget by
at least fiscal year 1983. Since then, of-
ficials have cited a jumble of possible
President Reagan is expected to give
the official version of this goal Wed-
nesday, when he announces details of
his economic program of tax cuts for
individuals and business and deep cuts
in government spending.
In atn introduction to Weidenbaum's
briefing, the president called again for
"a profound and dramatic change in
the direction"of economic policy.
"THERE CAN NO longer be a
business as usual approach," Reagan
Weidenbaum's belief the ad-
ministration may not achieve a balan-
ced budget until the final year of
Reagan's term appears in line with
reports that other officials have scaled
downan optimistic forecast of what
Reagan's program might achieve.
Profs predict growth
(Continued from Page 1)
Ackley states in the report that the
policies of the Reagan administration
appear "unclear, contradictory, and of-
"I don't think the administration has
any idea what it wants to do," Ackley
said in an interview yesterday.
Recent rapid improvement in
business conditions was caused by
hopes of an improved economy under
Reagan, according to Curtin, and
evaluations of current market con-
ditions are actually not as good because
of tight credit conditions.
Compiled from Associated Press and
United Pressinternational reports
Operator error blamed for
nuclear plant aceident
SODDY-DAISY, Tenn.-An operator error was blamed yesterday for a
nuclear plant accident that triggered an embergency alert and sent 100,000
gallons of radioacitve water raining down on 13 unsuspecting workers.
The mishap, which authorities said had a danger potential of about "one-
half" on a scale of 10," happened in the reactor room at the Tennessee Valley
Authority's Sequoyah plant in East Tennessee.
TVA officials said an assistant operator accidentally opened a valve,
diverting the radioactive water to a sprinkler system in the reactor co-
tainment building of the $2 billion plant.
TVA officials said yesterday the reactor coolant water was only slightly
radioactive and did not injure the workers. The men stripped off their
clothes, showered to remove the contamination and were given complete
checks by TVA doctors.
Plant spokesman Steve Goldman said the workers received a dose of about
one to five millirems. "In comparison, an x-ray is about ten millirems," he
tested in Michigan hospital
DETROIT-The first nationwide test of laboratory-produced insulin,
hailed by doctors as a major scientific advance in the treatment of diabetes,
is getting under way at Henry Ford Hospital.
The hospital currently has just two volunteer patients in its program, but
is aiming for 50. The first injection was given Tuesday to a 53-year-old
Detroit woman who asked not to be identified.
Volunteer patients began receiving the first injections of "biosynthetic"
insulin this week in Detroit, Philadelphia, Minneapolis, Seattle, Trenton,
N.J., and Wichita, Kan. Patients must be referred to the program by a doc-
Biosynthetic insulin, manufactured by Eli Lilly and Co. of Indianapolis
through genetic engineering, is chemically similar to the hormone produced
by the human pancreas to regulate blood sugar.
Doctors said it would offer a cheap and abundant substitute for animal in-
sulin, now used by some two million American diabetics, and eliminate
dangerous allergic reactions in some of those patients.
French communists' racial
PARIS, France-A communist mayor's accusation that an immigrant
family is guilty of selling drugs has rekindled a nationwide debate over the
Communist Party's racial policy.
It was the second communist-inspired attack against immigrant workers
in less than two months. The latest incident began last week when Robert
Hue, mayor of the predominantly communist suburb of Montigny in nor-
theastern Paris, accused a Morroccan family of using and selling hashish.
Hue encouraged Montigny communists to demonstrate against the family,
and on Monday they left their home. The incident came seven weeks after a
Christmas Eve attack in another suburb against an African immigrant
The Dec. 24 bulldozer attack against a housing unit for 30 workers from the
African nation of Mali occurred while the communist mayor of Vitry-sur-
Seine stood by and watched. The mayor had contended that his suburb,
where ten percent of the people are immigrants, could not absorb any more
France's 4 million foreign laborers, most of whom hold low-paying jobs
shunned by the French, are increasingly the targets of French frustrations
about an ailing economy.
Zimbabwe prime minister
declares war on ex-guerillas
BULAWAYO, Zimbabwe-Prime minister Robert Mugabe yesterday or-
dered his former foes, the white-officered regular army and air force, to
smash mutinous ex-guerillas loyal to Joshua Nkomo, a minister in Mugabe's
The rebellious former guerillas, who were allied with Mugabe's forces in
the seven-year war that brought his coalition to power, are acting against
the orders of their leaders, including Nkomo, the prime minister said.
"I'm determined to descend on them like a hammer," Mugabe told the
Zimbabwe House of Assembly in Salisbury. He spoke after six days of
fighting between former guerillas loyal to him and the forces led in the war
by Nkomo, a sometimes uneasy partner in Mugabe's 18-month-old coalition.
Correspondents in the area around the embattled city of Bulawayo repor-
ted well over 100 dead yesterday afternoon, up from a known 19 on Wed-
Yorkshire Ripper charged
with 13 killings in England
DEWSBURY, England-Suspected Yorkshire Ripper Peter Sutcliffe will
be charged with all 13 slayings by Britain's worst mass murderer who
terrorized northern England in a 5-year killing spree, authorities said
In addition, Sutcliffe, 35, a truck driver who has only been charged to date
with the last of the 13 Ripper killings, will be indicted on seven counts of at-
tempted murder, officials said.
0 ble 3tJtga atul
Vol. XCI, No. 115
Friday, February 13, 1981
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Consumer sales will probably im-
prove this year, but the growth will be
cautious and in response to changes in
credit conditions, Curtin predicts in the
University president Harold Shapiro,
Economics Department Chairman Saul
Hymans, Economics Prof. E. Philip
Howrey, and Assistant Research Scien-
tist Joan Crary worked on the
evaluation of the 1981 forecast.
oriental food to
Prof. to aid Reagan
ERLY LUCKY JIM'S
Business Administration Prof. Paul
McCracken has been named to
President Reagan's Economic Policy
Advisory Board, a White House
spokesperson said yesterday.
McCraken, 64, is one of 12 economists
and business leaders who were named
to the advisory council this week. He is
currently out of the country and could
not be reached for comment.
The advisory board will meet three or
four times a year to advise Reagan of
domestic and international economic
conditions, the spokesperson said.
McCracken has been active in gover-
nment since 1942 when he was an
economist in the Commerce Depar-
tment. He chaired the Council of
Economic Advisers for both former
Presidents Richard Nixon and Dwight
The new board will report to
Treasury Secretary Donald Regan, and
will be chaired by former Treasury
Secretary George Shultz.
1232 PACKARD 994-3151
open Mon-Sat, 11-9 Sun,3-9
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DR : I ' . 1164DUAD IERSMcCracken
THRU SUNDAY ... named to Reagan's
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University Editor ................. LORENZO BENET
Student Affairs Editor.............JOYCE FRIEDEN
City Editor.......................ELAINE RIDEOUT
Opinion Page Editors................DAVID MEYER
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