Ninety-four Years of Editorial Freedom I 4' Lift 43UU a i4Iaiii Panmixia Skies will be overcast today with a 50 percent chance of snow: High near 26 degrees. Vol XCIV-No. 98 Copyright 1984, The Michigan Daily Ann Arbor, Michigan - Saturday, January 28, 1984 Fifteen Cents Eight Pages Trade deficits set new record WASHINGTON (AP) - America's trade deficit soared to a record $69.4 billion in 1983, the government reported yester- day. One analyst said the problem already has cost the nation more than a million jobs, and federal and private economists alike feared the imbalance will top $100 billion this year. The trade deficit last year was 62 percent higher than the record $42.7 billion set in 1982, and would have been even worse had not oil prices declined, the Commerce Department said. THE TRADE situation looked bleak all over. In the impor- tant category of manufactured goods, the deficit hit $38.2 billion, almost four times what it was in 1982 and a category where the United States was running a surplus in 1981. The nation posted a record $21 billion trade deficit with Japan - traditionally the country that contributes the most to the U.S. imbalance. But America also ran up a $1.6 billion deficit with the countries of the European Common Market, the first such deficit since 1972. For December, the overall trade deficit narrowed to $6.3 billion from November's $7.4 billion, but analysts attributed the improvement to two temporary factors - a dip in oil im- ports and a surge in aircraft sales of $500 million. For the month, exports were up 2 percent and imports were down 3.2 percent. THE IMPROVEMENT was not expected to last, and most forecasters saw the trade imbalance growing to $100 billion or perhaps $110 billion this year. Commerce Secretary Malcolm Baldrige, who last week was forecasting a $90 billion deficit in 1984, revised that projection upward yesterday to $100 billion. The nation's poor trading performance is blamed primarily on two factors. The high value of the dollar makes U.S. exports expensive and imports relatively cheap. And the U.S. economy is growing much faster than that of other nations, resulting in brisk American purchases but a lag in foreign buys of U.S. goods. Many economists blame the dollar's high value on the large federal budget deficits, which boost interest rates, en- couraging foreigners to put their money in U.S. financial markets, thus increasing the worldwide demand for dollars. Shower of gold AP Photo A quality-assurance inspector for the Waterbury Companies factory in Waterbury, Conn., spotchecks the stability of 24- carat gold-plated brass buttons before they are shipped to clothing manufacturers who will then attach them to U.S. Army Uniforms. Campus Inn averts tragedy By NEIL CHASE AND KAREN TENSA A combination of equipment failures, that "supposedly can't happen" nearly touched off a disastrous explosion at the Campus Inn Thursday night, city fire department officials said yesterday. The hotel was evacuated around 7:30 p.m. after smoke from an overheated } boiler began to filter into the hotel's restaurant. The evacuation was ham- pered by a malfunctioning fire alarm system, said city Fire Marshall Wesley Prater, and employees and firefighters had to'go door-to-door and call the room to empty the building. PRATER SAID the boiler, which should have shut off automatically when the system failed to keep it full of ' water, became so hot that it melted plastic and aluminum in the room and seriously damaged itself. "It was a 'I'm sure that room plosion.' if there would have been gas in ... there would have been an ex- - Jack Donaldson, director Ann Arbor Building Department. that the gas valve malfunctioned. City officials said the hotel's fire alarm and boiler system had apparen- tly passed annual inspection last year, and they expected that no criminal charges would arise from the incident. Guests were put up at several area hotels Thursday night and were allowed to return to their rooms yesterday af- ternoon after the fire alarm system was repaired and tested, hotel employees said. The building is being heated by an auxiliary boiler, and Donaldson said the exact cause of the problem may never be discovered because much of the heating system was destroyed. "When we got there it was so badly melted that you couldn't tell" what had happened, he said. "All the controls had been virtually melted down by the in- tense heat that was in the room." "Everybody was very fortunate," Donaldson said. very dangerous, hazardous condition," he said. "I'm sure if there would have been gas in that room... there would have been an explosion," said Jack Donaldson, director of the city's building depar- tment. He said the extreme tem- peratures in the room would have ignited any natural gas that escaped from the gas-powered system. Prater added that if water lines had melted or broken, choking steam could haye filled the building. THE BOILER converts water to steam to heat the building, and four separate safety controls are built into the system. Two of those controls are supposed to shut off the gas if there is a problem, and Donaldson speculated U.S. policy on Mideast wrong, speaker says Newspaper box explodes AP Photo- By ERIC MATTSON A speaker at Rackham Amphitheatre last night blamed most of the problems of the Middle East on American politics, America's inability to com- prehend the Arab world, and the in- fluence of the pro-Israeli lobby. Cherif Basiouni, a professor of law at DePaul University said that the U.S. is adopting a misguided policy in the region by continually bowing to the wishes of Israel. BASSIOUNI was the final speaker in yesterday's conference, "The United States and the Search for Peace in the Middle East." The conference, sponsored by the Cen- ter for Near Eastern and North African Studies, continues at 9:30 this morning. Bassiouni said the U.S. is so concer- ned with the spectre of communist in- fluence in the Middle East that it is not establishing friendships with potential allies. "I simply do not see the Arab people . as becoming communistic or becoming allied with the Soviet Union," he said. But Bassiouni added that unless the United States makes more overtures towards Arab nations, the Soviet Union may gain influence in the region simply by default. "THE ONLY thing the Soviet Union has to do to gain ground (in the Middle East) is to do nothing, he said. Bassiouni said the close relationship between the U.S. and Israel is causing America to follow a narrow, self- destructive course. He said it is "propaganda" to say that Israel is the only reliable U.S. friend in the region. "We have ... natural allies in the Arab world," he said. See SPEAKER, Page 5 A bomb planted in a newspaper vending machine exploded yesterday mor- ning outside an apartment complex in Dallas, killing a 63-year-old man. The explosion appeared to be a random act, police said. Nuclear.aens uard Williams recruiter By CLAUDIA GREEN When Williams International Cor- poration decided to interview Univer- sity engineering students for jobs, the company never asked for or wanted security protection. But that was exactly what they got from "Nuclear Security Agents," a group sarcastically protesting the company's production of cruise missile engines for the federal government. Williams International is the same Walled Lake company which recently faced large demonstrations because of its defense department contracts. INSIDE A tiny room at the career planning and placement office in East Engineering, fourteen students met behind a paper covered window with the company's personnel manager, Daniel McCullen. Outside the door, four men stood silently, dressed in long trenchcoats and dark glasses. They claimed to protect the company representative from "lef- tist thuggery" on a campus tainted by three sit-in protests.in the past year. Two of those protests were against the See CAMPUS, Page 3 Bunker brigade AP Photo Three U.S. Marines in Beirut yesterday build a bunker at "Golf Co.," near Beirut International Airport. TODAY- Shakespearean honor ITIZEN OF THE YEAR in Calhoun County, Alabama, is a man who needs no introduction. He was, in his own words, "A fellow of infinite jest, of most excellent fancy." Forsooth, we joke not, it's cepted in a world so different from the world he lived in." The honor annually goes to a person who has done the most to help the town philanthropically, industrially, and culturally. "In trying to pick that person this year, we realized that all of the descriptions of real people applied to the spiritual father of the Shakespeare Festival," said Chris Waddle, managing editor of the newspaper. The per- son who has done the most to help Ann Arbor philan- thropically, industrially, and culturally hasn't been named yet, but an unidentified source said he saw the judges all standing at the corner of State and William recently inter- sity vice president for state relations, said the 1 p.m. com- mencement will allow more time to seat the larger audien- ce, and keep them from shivering in the cold April morning. "The temperature at 10 o'clock can be uncomfortable," he said. But that time change has made things uncomfortable for a number of schools who had plans for their own graduation exercises. Business Administration graduates will attend their private convocation at 9 a.m. now instead of in the afternoon; The School of Nursing will hold its ceremony at 9:30 a.m. instead of 2:30 p.m., and the School of Engineering's ceremony has been pushed back to 5:30 p.m. " 1933 - A self-proclaimed "B.M.O.C." who ran a Daily personal ad to find "a beautiful date for the J-Hop" said he. was worse off than before he ran the advertisement because of the huge number of women clamoring to attend the annual event with him. . 1966 - A Washtenaw County Circuit Court jury took 20 minutes to convict 20 students protestors of trespassing for their part in a Vietnam sit-in at the Ann Arbor draft board. e 1972 - In a contradiction to the national trend, Washtenaw County's gonorrhea rate dropped by more than 100 cases. I is I I i