Ninety-One Years
of
Editorial Freedom
£I1*IIE
:43 tti
DISMAL
Look for cloudy skies today
with occasional showers.
Highs in the 50s. Lows in
the 30s.
XCI, No. 44
Copyright 1980, The Michigan Daily
Ann Arbor, Michigan-Friday, October 24, 1980
Ten Cents
Fourteen Pages
Study reveals
growing
consumer faith
By NANCY BILYEAU
Consumer confidence in the economy showed
ignificant improvement for the first time in
hree years, according to a survey report
Although consumer confidence in the
economy appears to be up, Carter
campaign forces are worried that the
release of new govetnment inflation
figures today could hurt the
president's chances of re-election. See
story, Page 6.
eleased today by the University's Institute for
Social Research.
The Index of Consumer Sentiment registered
67.8 in the July-September survey, an increase of
13.4 points from the second-quarter record low of
54.4, and up 3.9 points from a year ago.
THE INSTITUTE'S latest findings, compiled
by Survey Director and Economics Prof.
Richard Curtin, were based on nation-wide
telephone interviews of 2,008 people contacted
between June 23 and Sept. 21.
This increase, described by Curtin as "a large
and substantial one-quarter improvement," in-
dicates consumers may be more optimistic
about personal financial expectations, business
conditions, and employment chances," than
before the recession began.
However, Curtin warned that even though
thesg recent changes have been deemed satisf-
actory,"the level of attitudes and expectations is
still rather low."
The survey showed that even though respon-
dents expect improvements in their personal and
financial conditions, "they more frequently tell
us they're currently worse off rather than better
off than a year ago," according to Curtin.
"They expect economic conditions to be better
in the future," Curtin explained.
IN THE July-September survey, personal
financial expectations were found to be more
favorable than at any time during the prior two
years. This represents the first survey since late
1978 in which a higher proportion of families ex-
pected to be better off financially in the year
ahead.
According to the ISR report, families who ex-
pect improved business conditions "more
frequently mentioned the potential impact of the
upcoming elections and government economic
policies" as reasons for their hope for brighter
days.
Stabilization in the unemployment rate was
another common expectation found by ISR
researchers. There were twice as many respon-
dents, however, who expected unemployment to
remain at the,current level rather than decline in
the coming year.
The most rapid increase in expected economic
improvement that ISR discovered was among
residents of the western and southern regions of
the U.S. Those over 35 were found to have the
highest economic expectations.
This recovery in consumer sentiment is not yet
firmly established, Curtin pointed out. "Con-
sumers' evaluations still remain unfavorable,"
he said, "and it's likely that the recovery path
will be marked by temporary reversals."
Curtin suggested that the recent improvement
in buying attitudes may be due to improved
credit conditions. He said he recognizes the
possibility that recent increases in interest rates
"are likely to again weaken buying attitudes.
"Much greater improvement in sentiment
must be recorded before sustained growth in
consumer sales can be expected," Curtin said.
k;
3 -___
Action on
honors
GPA
postponed
By JULIE SELBST
The LSA Honors Council tabled the
issue of raising the minimum required
honors grade point average yesterday
after approximately 45 minutes of
discussion, Honors Council Director
Jack Meiland said after the meeting:
A memo saying that the average LSA
grade point-2.9 to 3.0-approaches the
required minimum GPA a student must
maintain to stay in the honors program
spurred the directors of the Honors
Council to include discussion of the
issue on the council's meeting agenda.
MEILAND SAID the issue will be
discussed next year after grade point
statistics are compiled from the entire
student body.
All student records currently are
being fed into a computer program. The
results of the program should be
available to the Council early, next
year, Meiland said.
He said the statistics would aid the
members of the Honors Council in
reaching a decision because there are
currently many dissenting views on the
matter.,
"THERE ARE lots of arguments on
both sides of the question," Meiland
said. "I'm undecided. I can see both
sides, it's just that the figures on grade
averages in the college raised the initial
question."
The Honors Council consists of ap-
proximately 45 departmental honors
advisors, the director and associate
director of the Honors Council, and two
students.
David Handelsman, president of the
Honors Student Council, said he favors
raising the minimum GPA required
during an honors student's freshperson
and sophomore years.
STUDENTS MUST reapply to a
specific department in the Honors
program if they wish to continue in the
program after their sophomore year.
"Requirements for upperclass honors
programs vary.
Anthropology honors advisor Richard
Ford said he is against raising the
required GPA to remain in the honors
program because it is an inaccurate
barometer of a student's potential suc-
cess in honors.
"Grade point doesn't measure
research potential," he said. "If we
have to use the subjective approach of
whether a student can camp in the field
for two weeks, it's more useful to us
(than grade point) in knowing what
kind of archaeologist that student will
make."
Daily Photo by LISA KLAUSNER
CANDIDATES FOR THE 53rd district seat in the state House of Representatives, Libertarian Jeffrey Quick, Inde-
pendent Ronald Graham, and Republican Ray Barton discuss campaign issues last night at Washtenaw Community
College.
Preli, O'Reilly trad
barbs in 2d district race
*
Soviet
Premlier
Kosygrn
resign ,s
MOSCOW (AP)-Premier Alexei
Kosygin, a fixture of the top Soviet
leadership for 16 years, resigned his
post yesterday because of illness. He
was succeeded by his first deputy, 75-
year-old Nikolai Tikhonov.
Soviet President Leonid Brezhnev
announced that Kosygin, 76, had
decided to step down from the second
most powerful position in the country
during a meeting of the Supreme
Soviet, the national parliament.
TIKHONOV HAS long been
associated with Brezhnev, and his
takeover of the premiership further un-
derlines the president's supremacy in
the Kremlin hierarchy. < 4
Kosygin came to power in 1964 in a
leadership "troika" with Communist
Party chief Brezhnev and then-
President Nikolai Podgorny following
the ouster of Nikita Khrushchev.
As premier, Kosygin was boss of the
Soviet economy and of the day-to-day
running of the government, and served
as a much-traveled diplomatic
troubleshooter.
will t
WESTERN analysts said they believe
his departure will have little immediate
impact on the direction of Soviet policy.
Brezhnev -and Foreign Minister An-
drei Gromyko are widely believed to
run foreign affairs. Kosygin's grip on
economic policy has loosened as his
health has deteriorated, although the
resignation could be seen as a symbol of
change for the deeply troubled
economy.
Kosygin, who reportedly suffered at
least two heart attacks in recent years,
has not been seen in public since Aug. 3,
the closing day of the 1980 Summer
Olympics in Moscow. He was absent
when Brezhnev announced his decision
to step down.
"He has been trying to resign for
some time," a Soviet source who knows
Kosygin's family said. "He just wanted
to rest, to fish. But other Soviet leaders
have been reluctant. Perhaps they've
been wondering how to replace him."
Tikhonov, a deputy premier since
1966, was named Kosygin's top deputy
four years ago and stood in for him
frequently during the premier's Ko
illnesses. ... st
By SUE INGLIS
During last night's heated debates at the League of
Women Voters "Meet the Candidates" night, U.S.
Congressman Carl Pursell (R-Second District) said he
has been consistent and urged his challenger Kathleen
O'Reilly to "check the record."
O'Reilly replied, 'The record is a flip-flop," and
proceeded to attack Pursell's record on the issues of abor-
tion and f feral tax reform.
Pursell countered by saying "if she has been in
Washington five years, let's have some specifics on the
table."
PURSELL ADVOCATED a supply-side investment tax
policy. He called O'Reilly's proposed closing of tax
loopholes for big business a "glossy solution" and a
"change in policy which represents less than one percent
of our tax."
Some politc
It was the third time the candidates have met in the last
three nights.
"I'm not a lobbyist, I'm not a lawyer. What we don't
need in Washington is another lawyer and a lobbyist," he
said referring to O'Reilly. Lawyer O'Reilly headed the
Consumer Federation of America.
Pursell, O'Reilly, and the American Independent Party
candidate, John Wagner, answered questions posed by a
League representative and members of the audience at
Washtenaw Community College.
All three candidates voiced opposition to a draft. Wagner
said he was opposed to a peace time dra(t but said that
"Enemies realize that they can do anything they want and
we (the United States) are not going to do anything about
it."
"America is very strong nation that is not using its
power," he said.
rans for Tisch
onov
;ke charge
By JOYCE FRIEDEN
Two of the three candidates in the
53rd district state representative
race who attended a meeting last
night at Washtenaw Community
College said they favor the con-
troversial Tisch tax-cut amen-
dment.
Libertarian Jeffrey Quick and
American Independent Ronald
Graham said they support the
amendment-Proposal D-which
would slash property taxes in half
while requiring the state to reimbur-
se local governments for lost
revenue.
THE OTHER candidate who at-
tended the meeting, Republican Ray
Barton, said he opposed the
proposal. "Tisch is an attempt at
reducing a problem we all
face-higher taxes," he said.
"We'd be causing government to
have their revenues reduced and we
don't kn'ow where the make up (in
revenues) is coming from," Bartor
explained.
The-fourth candidate in the race,
incumbent Perry Bullard (D-Ann
Arbor), could not attend the
gathering because he was speaking
at a campaign engagement
featuring the Smith/Bullard tax
proposal, which he co-sponsored.
QUICK, IN HIS opening
statement, denounced the expansion
of government and called for a
decrease in government services.
See BULLARD, Page 2
eps down
TODAY
Love thy neighborsn
LIBERTY STREET
post office patrons
and other passers-
by were greeted on
the steps of the Liberty
Station Post Office yester-
day by self-employed car-
However, Narowski continued his vigil, albeit minus
the tent. Neither rain, snow, sleet, nor gloom of
night...
Drugs and sex and
rock and roll...
Two Minnesota preachers are in the midst of a nation-
wide crusade aimed at wiping out what they claim is the
satanic influence of rock and roll 'music. Jim and Steve
Sabbath, the Bee Gees. and John Deriver. John Denver? O
Cincinnati class
Ah Cincinnati, thy beauty is exceeded only by the class
of thy charming inhabitants. Witness one Steven Thacker,
resident of Cincinnati and card-carrying member of the
Pepsi-Generation, who was obviously deeply moved by the
soda pop commercial in which a romantic young gentleman
asks his girl Sue to marry him by having the Big question
emblazoned on the horizon by a skywriter. Citizen Thacker,
who works for a firm which sells advertising for the city bus
svsem haid sucns nut un on the backs of ten of theA~ buen
happily ever after.
Inmates seered
m]
The inmates at Shelby County jail in Memphis, Tenn.
were not pleased when they heard about a redecorating
proposal for their cells. An unidentified business represen-
tative-offered to donate 100 gallons of pink paint to the jail.
"The citizen who donated it thought pink would have a good
behavior effect on the prisoners," Deputy Sheriff Bill Coop
said Tuesday. "But I think the men in the jail, who regard
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