441V 44&W clale 4F t!gan :4 vrtll! CpyWhtpe1990 Vol. Cl, No.14 Ann Arbor, Michigan - Wednesday, September 26, 1990 Te Mca oa Wieseld receives honorar award b Annabel Vered Bus for h request Mideast E S help To pay tribute to Raoul Wallen- berg and his courageous acts, Nobel Peace Prize laureate and Prof. Elie Wiesel received a medal and delivered a subsequent lecture on responsibil- ity at Hill Auditorium yesterday. A University alumnus and Swedish diplomat, Wallenberg led an effort in Hungary to save the lives of Hungarian Jews by issuing Swedish protective passports to them during the Second World War. The Nazis would have been in violation of diplomatic conventions if they ar- rested citizens from such a neutral country as Sweden. University President James Dud- erstadt awarded the Raoul Wallenberg Medal to Wiesel in the hope that it becomes a tradition "to honor each year that great moral courage that so gloriously characterized Wallenberg's life." "Tonight we honor another hero, Elie Wiesel. An active spokesperson for international peace and human rights, Mr. Wiesel has increasingly been viewed as the conscience of our nation. He tells the tale to humanity in order to prevent another catastro- phe," Duderstadt said. Wiesel spoke of Wallenberg and the celebration of Jewish arts in a speech titled "The Passion for Mem- ory. Wiesel celebrated the memory of Wallenberg. "A very great man, why was he so great? To be human, does it re- quire such greatness? He wasn't WASHINGTON (AP) - Presi- dent Bush appealed yesterday for a "generous response from the world community" for countries rocked by the Persian Gulf crisis as the Pen- tagon reported new buildups of Iraqi troops and armor in Southern Iraq and occupied Kuwait. Bush, speaking to the annual meeting of the 152-member Interna- tional Monetary Fund, announced he was forming an international clear- ing house to coordinate financial help for the most seriously affected countries. "We are determined not to allow the brutal behavior of one aggressor to undermine the historical process of democratic change or to derail the movement towards market-oriented economic systems," Bush told the gathering world financial leaders. The U.N. Security Council voted yesterday 14-1 to impose an air embargo against Iraq in retaliation for its invasion and annexation of Kuwait. Cuba cast the long dissenting vote in the special session, which extended the powers of an earlier U.N. trade embargo. It was the ninth resolution passed by the Security Council condemning Baghdad and its leader, Saddam Hussein, for its blitzkrieg of Kuwait. The lightening Kuwaiti takeover, which took hours to complete, left Iraq in control of 20 percent of the world's oil reserves. World prices of oil have nearly doubled since the invasion to almost $40 a barrel, the New York Stock Exchange has sunk to a 14-month low and gold has passed $400 an ounce as the economic repercussions of the invasion became apparent. Crude oil prices are equal to a record set 10 years ago. Meanwhile,Pentagon spokes- person Pete Williams said about 430,000 Iraqi soldiers are now in southern Iraq and Kuwait, within striking distance of Saudi Arabia. Last week, the total was put at 360,000. Williams said the Iraqi deployments still appeared to be "essentially a defensive force," but were capable of readily converting to an offensive unit But Bush was told earlier by Turkish President Turgot Ozal that western estimates of Saddam Hus- sein's military capability may be overstated, a State Department offi- iations cial said. Deputy Assistant Secretary of State James Dobbins, briefing re- porters on the Bush-Ozal meeting, said that Ozal and his aides told Bush that "there is an inordinate concern with Iraqi capabilities. It is an exag- gerated concern." In his speech to the IMF and the World Bank, Bush said he was creat- ing a Gulf Crisis Financial Coordi- nation Group to help "transform commitments into concrete contribu- tions." And, while the group will first meet under the auspices of the U.S. See GULF, Page 5 Crude oil prices edge Elie Wiesel, winner of the Nobel Peace Prize and professor of philosophy and religion at Boston University, is given the first University of Michigan Raoul Wallenberg Medal by President James Duderstadt. toward $40 NEW YORK (AP) - As crude oil approaches $40 per barrel, some analysts say consumers should enjoy $1.35 a gallon gasoline while they can. Gas prices are likely to go up, perhaps even beyond $2 per gallon, if a shooting war breaks out in the Persian Gulf, experts said yesterday. And if oil should stay high for a sustained period, the fallout will be widespread, running up the cost of practically everything while slowing economic growth. "This is not good news for the consumer," said Peter Beutel, an oil analyst with Pegasus Econometric Group Inc. in Hoboken, N.J. "The problem with energy is it permeates the economy like a ripple in a pond. It's not just the price of heating oil and the price of gasoline." Not all analysts believe oil will stay as high as it is. They say that per barrel too much war hysteria may have been built into the market, that Iraq's ability to take out the Saudi Arabian oil facilities may be overestimated, and that replacing a bombed oil well is much simpler than replacing a bombed factory. Others, including Beutel, say $40 barrels of oil seem inevitable in the near future. Some estimates have put oil at $60 to $65 during a war. Oil prices have climbed steadily since Iraq invaded Kuwait last month. Saddam Hussein's saber- rattling this week put them less than $1 away from the ominous $40 figure. Crude oil last reached that plateau a decade ago, in the last oil crisis. "What it means, I'm afraid, in solid terms, is the consumer is probably going to be lucky to find $1.35 gasoline, and probably a lot See FUEL, Page 5 alone. There were people all over Europe who had risked their lives to save Jewish families and their chil- dren. It was simply a matter of de- cency," he said. "But very few people in the world mentioned Wallenberg. Why the silence? And then I think I un- derstood why, because most of the people were embarrassed to remem- ber. It is wrong to say then that evil had such a power that no one had the capacity to resist it. Proof - look at Wallenberg. He remains such an im- portant example." "I believe that there are times when if I or anyone does not respond to the appeal of those who need our help, we lose our self-respect." Wiesel continued, "Everyone should say, we are responsible for one an- other, and I more so." Wiesel spoke of the celebration for Jewish arts. "I believe that Jew- ish art, as a part of Jewish culture See WIESEL, Page 5 *Economy at a halt, report eindicates WASHINGTON (AP)- The na- tion's economy nearly came to a standstill in the second quarter, edg- ing up a feeble annual rate of 0.4 percent, the government said yesterday. Many of the nation's top economists believe a recession is imminent - if not underway al- White House spokesperson Marlin Fitzwater said, "we don't beleive we are in a recession right now." He acknowledged the latest Commerce Department report on the gross national product "is certainly cause for concern. It's not good news." The department's revised report on the GNP - the nation's total utput of goods and services - was the lowest since a 0.3 percent rate during the last quarter of 1989 and showed the economy weakening even before the Persian Gulf crisis. "The economy was headed toward a recession before Iraq, and Iraq was just the nail in the coffin," said Allen Sinai, chief economist for the Boston Co. A recession "seems inescapable," he said. * Surveys following Iraq's Aug. 2 invasion of Kuwait - and the subsequent oil-price spiral - showed many top economists fore- casting an imminent recession. The National Association of Business Economists reported yesterday that more than half of the 71 professional forecasters responding to its survey in late August and early September said a recession had already begun or will --acr in h fu r t.. n ..4 r A A Crowded rooms still a problem by Stefanie Vines Daily Staff Reporter The scenario is a familiar one. When students rush to class to grab a seat, all of the seats are taken. With no alternative, students are forced to sit on the floor and use their notebooks in place of desks. The situation is one which stu- dents complain of every year, yet so- lutions to the problem are rarely dealt with. "The solution to overcrowded rooms lies in limiting the number of enrolled students, while at the same time, opening the class to those stu- dents who need the class for gradua- tion," said LSA Registrar Alfred Stuart, who is in charge of assigning classrooms. Stuart explained that because pro- fessors can not take attendance in classes with 300 or more students, this solution is often unattainable. In addition, Stuart said, "Many times what happens is that students who aren't enrolled attend the class anyway, limiting space for enrolled students." Stuart said such problems are un- fair. "It is inappropriate for students to sit on the floor given the tuition they pay," Stuart said. "But the long-term solutions to the problem of overcrowded classrooms are diffi- cult to solve." Stuart is not the only concerned administrator. "There definitely is a problem," said LSA Assistant Dean Henry Halloway. "The only thing we can do is to provide the schedul- ing office with available rooms and then through CRISP, try to accom- modate all of the departments." Halloway added the problem lies in the unpredictability of enrollment figures. "We have no way of knowing what classes students want and what will be popular. All we do is tell the departments what is available and the number of seats in the room. That's all we can do," Halloway said. As one answer to solving the See ROOMS, page 2 Dinin' outM Guitar teacher and member of the band, "The Difference," Ramsey Gouda eats at Frank's Diner at least once a week. MSA approves amended 1990-91 budget by Christine Kloostra Daily MSA Reporter The Michigan Student Assembly (MSA) approved an amended 1990- 91 budget last night using a process the assembly's Budget Priorities Committee (BPC) hopes to formal- ize by next year. Through a motion made at last week's meeting, committee and commission chairs submitted item- ized budget requests to the BPC. Previously, the BPC and executive officers set the budgets for the com- mittees and commissions without input from the chairs. ize the process, which would involve having chairs submit itemized re- quests at the end of winter term, then holding hearings with the BPC. "I'm glad this went the way it went," Dudley said, adding that most of the budget difficulties, including cuts, would have been avoided if the University's Board of Regents had approved a requested student fee in- crease at their July meeting. However, not all representatives felt the new method was the most ef- fective way of dealing with the bud- get. purchase of a computer for MSA's front office until further investiga- tion could be made into costs, said MSA President Jennifer Van Valey. The BPC budget, which allocates funds to student organizations, was reduced by $2,528 in the amended BMC receives budget. BPC Vice Chair Eric Bau- mann explained that the cut would not have a large effect because BPC usually has leftover funds from stu- dent groups who fail to correctly ob- tain their allocations. "Thanks to concessions and bi- partisan support, we've got a pretty nice buffer," Baumann said. - The Elections Committee saw the largest increase in funding from the final budget, an allocation of $6,000. The original budget allo- cated $3,500 to the committee. $1,000 allocation from MSA The Michigan Student Assembly approved a controversial $1,000 al- location to the Ella Baker-Nelson Mandela Center for Anti-Racist Edu- cation (BMC) as part of their 1990- Steve Koppelman, explaining that the BMC could also receive student organization funding from the Bud- get Priorities Committee (BPC). An amendment to prohibit the for the Assembly. "I don't think we should have backdoor automatic funding," Engi- neering Rep. Scott Chupack said, adding that the allocation created the