Page 2-Wednesday, March 25, 1981-The Michigan Daily
Two polar bears bask in the sun yesterday at the Detroit Zoo during the first warm weather of spring. More or the same is predicted for the next few days.
ITO DECLARES SUPPOR T FOR 'FREE TRA DE'
WASHINGTON (UPI)-The ad-
ministration and Japan climaxed days
of speculation about possible U.S.
restraints on auto imports Tuesday by
simply declaring their support for "free
trade" without announcing a new ac-
cord to help depressed American car
Japanese Foreign Minister
Masayoshi Ito topped off wide-ranging
conversations with several ad-
ministration officials by meeting with
President Reagan for one hour in the
Oval Office. By all accounts, the con-
versation was very general.
PRIOR TO Ito's arrival, Reagan had
met a number of congressmen concer-
ned about the damage auto imports are
doing to American car makers. But
when the Japanese official departed,
there was virtually nothing new an-
nounced tocheer up Detroit.
While Reagan was unavailable for
questioning, Ito and Secretary of State
Alexander Haig agreed no specific
steps were discussed on how Japan
might ease the burden on American
Treasury Secretary Donald Regan,
who met separately with Ito, did say,
however, the Japanese expressed a
desire to have the import question
solved before the May 7-8 visit to
Washington of Japanese Prime
Minister Zenko Suzuki.
THAT WOULD please Congress,
where, according to Senate Republican
leader Howard Baker, "There's a
building pressure to do something by
statute" to restrain the imports.
Sen. John Danforth, (R-Mo.), who
also met with Reagan Tuesday, has in-
troduced a bill to cut Japanese imports
to 1.6 million cars a year through 1983.
And Danforth told reporters he thinks
his quota-considering the current im-
port level of 2 million cars a year-is
Ito, speaking through an interpreter,
said after his meeting with the
president he was given "a clear ex-
planation of the situation of the
American auto industry, the plight in
which that industry finds itself, as well
as the mood on Capitol Hill.
"THE AGREEMENT that came out
from the meeting," said the bespec-
tacled foreign minister, "is firstly that
a major objective is to preserve the
principle of free trade."
"As to the specifics of what methods
might be followed in pursuance of this
objective, there will continue to be
discussions between the two sides," Ito
said. "At this time we did not go into the
specifics ,of what kinds of steps might
be desirable on the part of Japan."
Haig called it a "free exchange of
views," but pressed for the specifics of
the conversations, said, "I'm not going
beyond the statement of our visitor.
"WE CAN GO through a prying exer-
cise, but there would be no response."
American car companies will be
more pleased with a major
deregulation program the ad-
ministration promised for Wednesday
that sources said will reduce costs to
the domestic industry and include the
elimination of mandated airbags.
Compiled from Associated Press and
United Press International reports
Banks lower interest rates
NEW YORK-Three money center banks cut their prime rate yesterday to
17 percent from 17% percent, and although many large regional banks adop-
ted the lower rate, most major institutions held back in announcing a lower
prime interest rate.
Citibank, the nation's second largest bank, led the move yesterday to 17
percent, and was followed by First National Bank of Chicago and Morgan
Guaranty Trust. Chemical Bank has posted a 17 percent rate since last week.
The lower prime rate reflects an easing of money market rates and a vir-
tual drying up of business loan demand at banks.
"There's no doubt that short-term business credit demands have faded
over the last month," said Marc Goloven, vice president at Manufacturers
Manover Bank. "And we believe this is indicative of slower economic ac-
But banks have been slow to pass on lower costs to their business
customers, even allowing for the historic lag in the prime.
Gloven said while it's partly the historic lag, the caution is due in great
part to the volatility seen in money market rates in recent months.
Bodies found near home
of jailed sex offenders
WEEKI WACHEE, Fla.-Police said yesterday they have recovered one
skeleton and a portion of a second and suspect as many as four more bodies
may be buried near the rural home of a father and his two sons, all now
behind bars on sex-related charges.
A skeleton discovered March 16 is believed to be that of Elaine Ziegler, i5°
of Warren, Ohio, who disappeared from a nearby campgrounds Dec. 31, 1975.
Laboratory tests were being conducted to confirm the identification.
Deputies digging within 10 feet of the old mobile home, which has un-.
finished brick additions attached, discovered more human bones Monday.
Hernando County Sheriff's Maj. C.E. Crosby said Tuesday the bones ap-
peared to be those of a female between the ages of 9 and 14 and said they
were not those of a 21-year-old woman Tampa police earlier believed may be
buried at the site.
Tampa police said last week they had reason to believe the body of Sandra
Jean Graham, who disappeared from a Tampa lounge last April 27, might be
buried on the tract of land.
wants to dismantle Conrail
WASHINGTON-The Reagan administration, already pushing to
eliminate most passenger rail service across the country, said yesterday it
wants to dismantle immediately the Northeast's major rail freight carrier.
The Transportation Department told Congress it wants to sell the most
lucrative elements for the 16-state Conrail system to private railroads. And
it urged lawmakers to cut off federal subsidies for the line, which also serves
parts of the Midwest, after this fiscal year.
In addition to its freight lines, Conrail runs commuter trains, carrying
500,000 people a day, primarily into New York City and Philadelphia. There
is widespread agreement that the commuter service, which itself loses
money, should be turned over to local transit agencies, whether or not the
parent line survives.
UMW council approves
new 3-year contract
WASHINGTON-The United Mine Workers bargaining council yesterday
approved 21-14 a new three-year contract with the soft-coal industry. But it
made no effort, as the union's president suggested, to sidestep its proud "no-
contract, no-work" tradition to avert a nationwide strike Friday.
The contract will be printed and sent to the coalfields for a ratification vote
by the union's 160,000 rank-and-file miners. Approval by the bargaining
council cleared the first obstacle in the process, which likely will run will in-
to next week.
The group did not consider seeking an extension of the current pact, which
expires at 12:01 a.m. EST Friday, making at least a short walkout likely.
'Great Train Robber' seeks
to avoid extradition
BRIDGETOWN, Barbados-Ronald Biggs, kidnapped mastermind of
Britain's "Great Train Robbery," pleaded yesterday to be allowed to return
to his Brazilian home in exile rather than face extradition to England where
a 28-year jail term awaits him.
Biggs, 51, was being held in a Bridgetown police station along with four
Britons and one American who allegedly abducted him fast week in Rio de
Janeiro, stuffing him into a sack and spiriting him out of the country.
The five and Biggs were towed into Bridgetown harbor Monday night
aboard a disabled yacht by the Barbados Coast Guard after the vessel
strayed into Barbadian waters.
Vol. XCI, No. 141
Wednesday, March 25, 1981
The Michigan Daily is edited and managed by students at The University
of Michigan. Published daily Tuesday through Sunday mornings during the
University year at 420 Maynard Street, Ann Arbor, Michigan, 48109.
Subscription rates: $12 September through April (2 semesters); $13 by mail
outside Ann Arbor. Summer session published Tuesday through Saturday
mornings. Subscription rates: $6.50 in Ann Arbor: $7 by mail outside Ann
Arbor. Second class postage paid at Ann Arbor, Michigan. POSTMASTER:
Send address changes to THE MICHIGAN DAILY, 420 Maynard Street,
Ann Arbor, MI 48109.
The Michigan Doily is a member of the Associated Press and subscribes to United Press International,
Pocific News Service. Los1 Angees Times Syndicate and Field Newspapers Syndicate.
News room: (313) 764-0552, 76-DAILY: Sports desk, 764-0562: Circulation. 764-0558 Classified advertising
764-0557: ispl'y advertising, 764-0554: Biling764-0550: Composing room.764-0556.
Proposals threaten 'U' research
(Continued from Page 1)
GRADUATE ASSISTANTS WANTED
IN EASTERN MICHIGAN UNIVERSITY
GET GOOD TEACHING EXPERIENCE
WHILE WORKING TOWARD AN M.A.
$1575 PER SEMESTER, PLUS 8 HOURS
FREE TUITION PER SEMESTER.
For information call Donald Low-
niczak or Milton Poster 487-1363
FOR APPLICATION FORMS, WRITE
Director of Graduate Studies
Eastern Michigan University
Ypsilanti, M EP48197U
-AffIRMAT)VE ACTION EQUAL OPPORTUNItY
ALTHOUGH THE University will
feel some of the effects of the
elimination of science and engineering
education funds, officials are more
concerned by cutbacks in basic resear-
The University received 184 grants
from NSF in fiscal 1980, a total of $11.8
million. Though specific effects of im-
pending cuts cannot yet be determined,
proposals outlined for NSF research
grants call for a 75 percent reduction in
social and economic science allocations
and a cut of more than 60 percent in the
These are the cuts that will have the
most direct effect on the University.
One unit that is the focus of particular
concern is the Institute for Social
Research, which is internationally
famous for its studies of consumer
behavior and election analyses.
ISR DIRECTOR Tom Juster is un-
ii SU RPLUJS
We stoCk a full line of clothing, boots, camping equipment,'
* hunting clothing & winter coats,.
U ' 201 E. Washington at Fourth I
* Open M-Sat 9-6 994-3572 1
I - - I
with this coupon
. (exCept sale item's)1
VISA ; Expires March 28, 1981
I u m m - - - - - r mm - - - - - -
sure what the extent of the cutbacks
will be. "I could make some guesses,
but they would just be guesses," he
said. He emphasized that the cutbacks
are still in the proposal stage. "There's
a very high degree of uncertainty," he
The Institute presently operates on a
$15 million budget, of which only
$300,000 comes from the University
general fund. Almost three-quarters of
the remainder is federal money, in-
cluding NSF grants.
While the social sciences are absor-
bing reductions, Reagan proposals are
increasing funding to research in
engineering, mathematics, and
physical science in fiscal 1982.
THE CARTER administration had
allocated $84.6 million to engineering
research nationally; under the Reagan
plan, this discipline will receive $102.6
million in NSF grants. A similar in-
crease is scheduled for math and the
life sciences with funds increased from
the Carter request of $255 million to a
Reagan projection of $295.4 million.
Vice President for Research Charles
Overberger said he believed the social
sciences are targeted for more cut-
backs than the engineering and life
sciences because the public does not see
tangible products and inventions
stemming from social research. This
lack of concrete results has caused
people to regard the social sciences as
unimportant, he said.
"Social science has sometimes been
referred to as a 'soft science'," he said.
"It's a mistake to view it that way."
KEN LATTA, an administrative
associate to Juster, agreed with Over-
berger. "To know more about how a
society operates is of tremendous im-
portance," he said. Latta cited the con-
sumer price index as just one example
of a major product of social research.
In addition to reductions in research
money, .NSF funds for science and
engineering education will be cut more
than 90 percent. The $9.9 million
remaining under the directorate will
cover the second and third year of
current graduate fellowships.
According to Renirie, the decision to
eliminate science and engineering
education funding was jointly made by
NSF and the Office of Management and
"THE MONEY we spend in education
doesn't develop as much leverage as
the money we put into basic research,"
explained Renirie. Such education fun-
ding represents only one percent of
total federal dollars spent for
education. "You aren't going to miss it
as much as you would miss 20 percent
pulled out of research funds," he said.
Despite the promise of more budget
cuts, Renirie was optimistic about the
future of research funds within the
foundation. "We would not pull out of
support of basic research," he said.
"There's no way NSF would do that.
That's our primary function."
NASA reductions are putting a fur-
ther bite into University research ac-
tivities. According to Carignan, their
operation receives 20 percent of its fun-
ding from NSF. The foundation's
priorities, however, include space
research, so reductions in those grants
are not of great concern he said.
MAJOR CUTBACK woes stem from
the space research program's main
funding source, NASA, where the
budgetary situation is "changing
rapidly," Carignan reports.
Half of the $6 billion left after NASA
was trimmed by $500 million is ear-
marked for the space shuttle program.
Another one billion dollars is put
toward the operation of the 10 NASA
centers. Since only two billion dollars
remains for general NASA projects, the
$500 million cut can be considered a full
30 percent funding reduction.
"And counting that against inflation,
it's more in the neighborhood of 40 per-
cent," said Carignan. "We eat money
at a given rate. When our source is cut,
we have to reduce our eating rate and
that means letting people go," he ex-
plained. So far, only non-faculty
research staff have been laid off.
"IT DEMORALIZES everyone," he
said. In addition to the budget cuts,
Carignan said the program will have to
contend with the problem of getting
people to stay at the University. He said
one good engineer has already left.
"People here for 20 years have had to
leave with one month's notice," he said.
Some areas are already beginning to
suffer. "The planetary, exploration
Guest Artist Workshop:
Photography of Art Objects:
Making Slides for Your Portfolio
1 o..m -Mrch 28 , 3-5PM
"Monoging Editor..............JULIE ENGEBRECHT
University Editor................ ORENEO GENET
Student Affairs Editor .............. JOYCE FRIEDEN
City Editor ELAINE RIDEOUT
Opinion Page Editors DAVID MEYER
Arts Editor ANNE GADON
Sports Editor........... ......MARK MII4ANOViC
Executive Sports Editors...........GREG DEGULIS
Business Manager. .. RANDI CIGELNIK
Sales Mnger ......... BARS FORSLLIND
Operations Manoger. ... SUSANNE KELLY
Display Manoger..........MARY ANN MISIEWICZ
Assistant Display Manager E. NANCY JOSLN
Classilied Manager ........... DENISE SUIVAN
Finance Manager... :. .. GREGG HADDAD
Nationals Manager .......... CATHY SAER
Solar Coordinator. . . ANDREW PETERSEN
BUSINESS STAFF: Bob Abrahoms. Meg Armbruster.
Joe Broda. Maureen DeLove Judy Feinberg. Koren