The Michigan Daily - Monday, December 2, 1985 - Page 3 1 BUSINESS 'State reduces income tax to5.1 % LANSING (UPI) - A state income tax reduction yesterday from 5.35 percent to 5.1 percent will put about $50 a year into the household budget of a typical Michigan family of four ear- ning $25,000 annually, but difficult times still loom ahead for the state. The drop signals a turnaround from one of the most dismal years of Michigan fnancial history - a decade-long tale of accounting gim- mickry, underfunded universities, deteriorating roads and bridges and the humiliation of having to rely on money borrowed from Japanese banks to avoid default. FEARS already are surfacing about the future. While praising state of- ficials' role in Michigan's turnaround, some economists say further changes are needed and top Wall Street of- ficials express uneasiness about Michigan's ability to stay on top. Huge federal deficits, an unstable national economy, Michigan's ties to the auto industry and a political at- mosphere that dictates lower taxes loom as ominous signs of Michigan's vulnerability to a future downturn they warn. Administration officials, however, insist Michigan is back to stay. "What we're celebrating is not all those fuz- zy budgets and voodoo bookkeeping, but an end to all that," Gov. James Blanchard said recently. THE accounting gimmickry referred to by Blanchard extends as far back as 1976, when state officials extended the fiscal year to 15 months. The decision was made to conceal a burgeoning pile of red ink that even- 'What we're celebrating is not all those fuzzy budgets and voodoo bookkeeping, but an end to all that.' -Gov. James Blanchard tually would result in a state debt estimated at $1.7 billion. Now, almost a decade later, Michigan is solvent because of a tax increased pushed into law by Blan- chard, prudent money management and a more prosperous national economy. Prosperous accounting has been restored and the budget is balanced. Blanchard says there is no turning back. "It's not by accident that Michigan was in a category with Puerto Rico on our credit ratings and had to go to a consortium of Japanese banks to get through the year," the governor said. "State officials were not willing to make the tough decisions. We did and it wasn't worth coming all this way to return." Career Planning & Placement Recruiting Schedule The following employers and representatives from graduate/professional schools will be on campus to conduct in- terviews. January 13 Banker's Trust Citibank January 14 Banker's Trust January 15 Aetna CNA Insurance Co January 16 Aetna National Bank of Detroit Sears, Roebuck & Co. January 17 IDS Financial Services Sears, Roebuck & Co. January 20 A. S. Hansen Paul Revere Insurance Co January 21 Do w Chemical-Communications Mutual of Omaha Proctor & Gamble - Sales January 22 Burroughs Corporation Dow Chemical-Marketing & Technical GTE May Company Northern Trust Co. of Chicago Xerox Corporation January 23 Dow Chemical-Marketing & Technical May Company Morgan Guaranty Trust Co. National Security Agency Proctor & Gamble-Customer Services January24 New England Mutual Life Insurance University of Michigan Medical School January 27 Cedar Point Nationwide Insurance Co. January 28 Central Intelligence Agency Hawlett-Packard Co. Michigan Bell Telephone Co. Mutual Bell Telephone Co. Mutual of Omaha Naval Weapons Center January 29 Central Intelligence Agency Chrysler Corporation United Way of America January 30 First National Bank of Chicago General Amercan Life Insurance Co. Lincoln National Life Insurance Co. Mass Mutual Life Insurance Co. National Oceanic & Atmospheric Admin. Contact the Career Planning and Placement Offices for more infor- mation. Survey says '86 job outlook brighter EAST LANSING, Mich. (AP) - Next year's college graduates should find the job market slightly better than this year's graduates, with the most marked growth in technical fields, according to a national survey of employers. "Again this year, the largest demand and highest starting salaries are those in the technical fields," said John Shingleton, placement director at Michigan State University who conducted the study with assistant director L. Patrick Sheetz. THE 15th annual Recruiting Trends Survey found employers expect to ,hire 0.4 percent more graduates with bachelor's degrees next year at star- ting salaries averaging about 1.8 per- cent more than the current year. Demand remains high for minorities and women, according to responses from 710 employers in business, industry, government and eduction. EMPLOYERS indicated they would hire 3.9 percent more electrical engineers, 3.8 percent more computer scientists, an additional 3.4 percent mechanical engineers and 3 percent more industrial engineers, Shingleton said. "One of the significant changes is the increased demand for graduates with degrees in education," Scheetz said. "This year, for the first time in a decade, education moved into the top 10 of fields showing the highest per- centage of increase, 1.9 percent," he said. "The demand is especially good in special education, mathematics and science, and teachers in English, Spanish and French." Nearly every academic major showed some gain, except agriculture, which remained the same as the previous year, the researchers said. The survey shoed demand for ac- Estimated starting salaries for college graduates next year: Electrical Engineering ................ .............. Mechanical Engineering ..................................... Chemical Engineering ...................................... Com puter Science .............................. ............ Physics ..................................................... Chemistry .................................................. General Business Administration ........................ Mathematics .................................. Liberal Arts ................................................ Geology .................................................... Education .................................................. Natural Resources .......................................... 29,187 28,971 28,739 27,775 24,370 19,679 19,589 19,014 17,358 17,185 16,903 15,709 I counting majors rose 2.7 percent; marketing and sales, 2.7 percent; hotel, restaurant and institutional management, 1.8 percent; chemical engineering, 1.8 percent; general business administration, 1.5 percent; metallurgy and materials science, 1.5 percent; chemistry, 1.4 percent; and civil engineering, 1.3 percent. Failures delay Fermi H start-up ACCESS -an opportunity to develop foreign language commercial business skills -night & day tutorial language classes Call Dr. Milne at 994-1456 or Visit 617 E. University Suite 250 -Michigan's 1st & Only State & Certified Commerical Translating Study Program PUT US TO THE TEST! WOULD YOU PAY FOR NON-MEMORY TYPING? ' LOW PRICES ON: * ACADEMIC PAPERS - {handwritten) * Theses, Dissertations " Letters and Application Forms PRINTING CENTER , IN 769-COPY 761-TYPE From United Press International The start-up schedule at Detroit Edison's Fermi II nuclear plant has been delayed by at least six months due to equipment failures and operational problems, the Detroit News reported yesterday. Federal regulators, who just mon- ths ago pointed to Fermi II as a model for other utilities, now say the plant has developed one of the worst start- up records in the Midwest. THEY SAY their confidence in the plant, built along the Lake Erie shore near Monroe, has been "shaken." Eight months ago when operational testing began, Edison officials expec- ted Fermi II would be operating at 75 percent capacity by October. It is now two months past that deadline and the plant is restricted to low-power operations while federal authorities investigate its problems. The new target date is March. The cost of Edison and its 15- percent partner, the Wolverine Power Supply Cooperative, continues to escalate by $1 million a day in interest until the company can begin charging its ratepayers for the cost of construc- tion. EDISON last week recalculated the price at $3,765 billion, up some $190 million from the previous estimate. And Edison has begun cutting expen- ses in the face of Fermi II costs. -Problems at Fermi II bring political implications as well. In Lan- sing, energy officials vividly remem- ber the abandonmentolast year of Consumers Power Co.'s Midland nuclear plant and now are dealing with the question of whetherdutility customers should pay for a plant that doesn't generate power. In Washington, Nuclear Regulatory Commission officials - who this past FIAPPENI NGS- Highlight The Saline Big Band will perform music of the swing era tonight at the Ark. The concert is a benefit to help the Ark raise money to put in an elevator accessible to wheelchairs. The performance begins at 8 p.m. Films Mediatrics - A View to a Kill, 7:15 & 9:30 p.m., Natural Science Bldg. Performances School of Music - Recital, bassoon, Margaret Phillips, 8 p.m., Rectial Hall; New World String Quartet, 8 p.m., Rackham. Speakers Friends for Mental Health - Jay Callahan, "Crisis Intervention," 7:30 p.m., Public Library. Guild House Reading Series - Stephen Dunning, Martha Clark Kalin, 8 p.m. 802 Monroe. Studies in Religion - Harvey Cox, "Jesus and the Moral Life," 8 p.m., MLB 3. Women's Research Club - Sharon Sutton, "Current Research in En- vironmental Psychology," 7:45 p.m., W. Conf. room, Rackham. Meetings LS&A Facultu -4:10 p.m., MLB 4. Miscellaneous summer said Edison has "set an example for other utilities around the country" - now wants to make sure their praise for Fermi II was justified. "I would say Fermi has had more than its share of problems," said Paul Byron, NRC senior resident inspec- tor at the plant. But "there is no doubt in my mind" it eventually will be able to operate safely. The question of cost, however, is not of concern to the NRC, whose job it is to make sure the utility builds and operates a safe plant - as Byrn put it, to make sure Edison "does what the law requires." The Undergraduate Law Club presents: Allan Stillwagon Dean of Admissions, U of M Law School Tuesday, December 3 7 p.m., Michigan Union ANDERSON ROOM 'Because you never get a second chance ... to make a first impression." CAREER DIMENSIONS COMPLETE RESUME SERVICE M.A. CAREER COUNSELING JANET B. ROBINSON 761-2458 321 South Main Suite 210 "Good service. good coverage. good price - That's State Farm * ?ef~flopen we days, venings " P0feksU Centers ?E. clti. 1W Research Experts. " o *ryCs. 10lctos CONVENIENT LOCATION: MICHIGAN UNION (High-speed Copy Services Available) Your search for the ultimate salon is over. Timms Place, Ann Arbor's only Hair and Body Salon, is now open and invites you to discover the sensuous treasures within. And to entice you to visit during our Grand Opening, we're offering the following specials for the entire month of December: 15% off all retail products 10% off all massages, salt glazing and herbal wraps 25% off full manicure 25% off sculptured nails 25% off silk wraps Complimentary make over to first time clients ($15.00 value) 10% off hair coloring The new Timms Place. Come in and discover what a complete salon really is. Timms Place. Your Body's Oasis. PL A C E HAIR & BODY SALON 2295 South State St. 663-9577 Monday-Friday 9 a.m. - 9 p.m. Saturday 9 a.m. - 5 p.m. 662-3149 203 E. Hoover Ann Arbor, MI 48104 Permanent Centers In More Than 120 Major U S Cities 6 Abroad For Information About Other Centers OUTSIDE N.Y. STATE CALL TOLL FREE 800-223-1782 In New York State Stanley H Kaplan Educational Center Ltd 7- r cZY A n ~ The University of Michigan SAINT ANDREW'S SOCIETY GRADUATE SCHOLARSHIP The St. Andrew's Society of the State of New York will offer graduate scholarships up to $10,000 for study at Scottish universities during the 1986-87 academic year. Applicants must be seniors graduating from a U.S. college or university; perma- nent residents of Pennsylvania, New Jersey, New York, or a New England state; and be able to provide evidence of Scottish descent.