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October 02, 2001 - Image 2

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The Michigan Daily, 2001-10-02

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2 - The Michigan Daily - Tuesday, October 2, 2001


Continued from Page 1
Schwarz, however, faces name
recognition problems in his run,
and one pundit, Bill Rustem, a
senior vice president with Lansing-
based think tank Public Sector Con-
sultants, ventured so far as to say,
"Dick Posthumus has pretty much
got it locked up right now."
Rustem said Posthumus has
effectively used the perks and
prominence of his office to meet
with groups around the state and
build up his name recognition.
But Schwarz said enough Michi-
gan voters will know who he is by
next August for him to be a suc-
cessful candidate.
"I don't give a rip right now what
my name recognition is," he said.
Inside Michigan Politics Editor
Bill Ballenger said that McCain's
support is necessary for Schwarz to
have a chance in the primary but
cautioned it would by no means be
enough for him. Everything else, he
said, would have to go his way in
order for the former Battle Creek
mayor to win. "He's just not a great
campaigner," he said.
Democrats face an even more
divided primary. In that race, for-
mer Gov. James Blanchard will face
state Attorney General Jennifer
Granholm, U.S. Rep. David Bonior
of Mt. Clemens and state Sens.
Gary Peters of Bloomfield Town-
ship and Alma Wheeler Smith of
Salem Township.
Rustem said Schwarz, in order to
win, would have to convince a number
of Democrats and independents to vote.

Continued from Page 1
The administration is meantime seeking to navigate other
legal restrictions on providing assistance to several crucial
allies in any military campaign, Pakistan in particular.
Though Islamabad remains under U.S. sanctions imposed
when its democratically elected government was ousted in a
1999 military coup, the administration has already provided
an initial infusion of cash to Pakistan, which has been loud-
ly applauded by the United States for cooperating in the
anti-terrorist effort.
The administration has waived three other sets of sanc-
tions placed on Pakistan because of its nuclear weapons
program and is now waiting for the final restrictions to be
lifted by Congress before offering a major aid package.
That $600 million economic support program, being
assembled by U.S. officials, would be offered once Con-
gress acts on a bill introduced by Sen. Sam Brownback (R-
Kan.), waiving sanctions placed on Pakistan after the 1999
coup. These restrictions bar the United States from provid-
ing economic and military assistance to Islamabad.

A spokesman for Brownback said the measure is now
pending before the Senate Foreign Relations Committee,
where action could come this week.
Some members of Congress want the aid package, likely to
be provided over several years, to finance schools, roads and
other infrastructure, while the administration would rather
provide Pakistan with budget support, said a Bush official.
Bush gave Pakistan an initial S50 million installment last
week, the maximum allowed each year under the remaining
sanctions. But since the federal government began a new
fiscal year yesterday, officials said they expect Bush to sign
off on another $50 million in the coming days.
In further American largess, the administration last week
reached agreement with Pakistan on rescheduling $379 mil-
lion in debt to the U.S. government. This step came after U.S.
officials indicated in January they would reschedule this por-
tion of Pakistan's $2.7 billion debt to the United States once
Islamabad completed an economic reform program under the
supervision of the International Monetary Fund.
The IMF gave its blessing last week to Pakistan's perfor-
mance and approved a $135 million loan for Islamabad.
This represented the third and final portion of a $596 mil-
lion stand-by loan with the fund.

Continued from Page 1
against terrorism," said Iraq's U.N.
Ambassador Mohammed Al-Douri.
The Palestinian U.N. observer said
the mayor's tough words might have
drawn a negative reaction were he not
speaking against the backdrop of the
devastation in lower Manhattan.
"No state would hesitate in expressing
a clear-cut position against international
terrorism, and in favor of the fight. The
sympathy was clear," said Nasser al-
Kidwa, the Palestinian representative.
Normally slow to act, the General
Assembly and the Security Council
immediately condemned the attacks,
and the council moved rapidly to adopt
a U.S.-sponsored resolution on Friday

which requires all 189 U.N.-member
nations to deny money, support and
sanctuary to terrorists.
Under the resolution, all countries
must make the "willful" financing of
terrorism a criminal offense, immediate-
ly freeze terrorist-related funds, deny
terrorists "safe haven," and speed the
exchange of information, especially on
terrorist acts and movements.
New U.S. Ambassador John Negro-
po te, in his first U.N. speech, called for
swift implementation of the resolution.
He also reissued U.S. charges that
Osama bin Laden's al-Qaida group was
behind the suicide hijackings that hit the
Trade Center and the Pentagon. More
than 6,000 people from 80 countries
died in the attacks.
"We cannot let them act together, we

Fed expected to cut interest rates
The Federal Reserve, faced with an America gripped by fears of more terror-
ist attacks, is expected today to push a key interest rate to its lowest level in four
decades in an effort to get consumers spending again.
In the wake of the worst terrorist attacks in U.S. history, consumer confidence
has plunged by the largest amount since the Persian Gulf War, an ominous
development given that consumer spending accounts for two-thirds of total eco-
nomic activity.
Wall Street, after two weeks of volatile trading, took a breather yesterday,
awaiting the Fed's next move. The Dow Jones industrial average closed down
10.73 points at 8,836.83.
Both of the major readings of consumer sentiment - done by the Conference
Board in New York and the University of Michigan - show that confidence has
been badly jolted by the attacks on the World Trade Center and the Pentagon.
The Conference Board reading fell by 14.4 percent in September, taking the
largest one-month tumble since October 1990, when the United States was
preparing to go to war against Iraq following its invasion of Kuwait.
The University of Michigan index of consumers' expectations about the future
fell to 73.5, a plunge of 13.7 percent from the August reading.
Bush to reopen Reagan National Airport
President Bush has decided to reopen Reagan National, the only airport still
closed three weeks after the Sept. I 1 terrorist attacks, a White House official said
But the airport closest to the U.S. capital will face some of the stiffest security
measures in the nation, including new flight patterns that take planes away from
national landmarks such as the Capitol, lawmakers and aviation sources said.
Bush's decision came after a White House meeting yesterday with Virginia
lawmakers of both parties, who told him that permanently closing Reagan
National would cost their state billions of dollars.
"Closing the airport is a multibillion-dollar proposition at this point, and I
don't think that anybody wants to go there," Rep. Tom Davis (R-Va.), who repre-
sents a nearby suburban district, said after meeting with Bush.
Other members of Congress, many of whom fly from the airport to their home
districts, also had urged the administration to keep the facility open.
While an announcement from the president is expected as early as today, bringing the
airport back to life could take from several days to more than a week, lawmakers said.


cannot let them act alone, we cannot let
them act at all," he said. "Freedom -
the first value of the new millennium -
is worth the price of vigilance and
Giuliani said he believes the increase
in terrorism and terrorist groups over
the past 15 years is a response to the
spread of freedom and democracy to
many nations.
"Our freedom threatens them,
because they know that if our ideas of
freedom gain a foothold among their
people it will destroy their power. So
they strike out against us to keep those
ideas from reaching their people."
Secretary-General Kofi Annan
warned the world body against letting
slip the unity forged among members
after the attacks.


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High court won't
hear profiling case
The Supreme Court, showing little
interest in the issue of racial profiling,
refused yesterday to hear a challenge
to a-small New York town's decision to
stop and question every young black
man in the area as police looked for a
crime suspect who was black.
The court also turned away a job
bias claim from a Muslim woman who
says her boss at a rental car agency
told her she could not wear a full head
scarf while serving customers. She
later quit and sued the company for
discrimination based on her religion.
The two cases were among more
than 1,800 the court dismissed as it
opened its new term.
Since the Sept. I1 terror attacks,
President Bush and Attorney General
John Ashcroft, among others, have
been quick to say that racial profiling
and religious discrimination are wrong
and should not be tolerated.
Peres criticizes ann
for ignoring cease re
Israeli Foreign Minister Shimon Peres
lashed out at his nation's military yester-
day, accusing a senior officer of wanting
to assassinate Palestinian Authority Pres-
ident Yasser Arafat, as violence threat-
ened to torpedo the cease-fire announced
last week.
Since Peres and Arafat agreed to the
cease-fire Wednesday, at least 18 Pales-
tinians have died and more than 200 have

been wounded in the West Bank and
Gaza Strip. More than a dozen Israelis
have been wounded. Palestinians have
fired mortar shells at Israeli settlements,
held large-scale demonstrations and
clashed with troops. Yesterday morning,
a car bomb exploded in a busy
Jerusalem neighborhood.
At a Cabinet meeting Sunday, the
Israeli government decided to give
Arafat just 48 more hours to enforce
the cease-fire before reassessing its
own commitment to the truce.
ST. PAUL, Minn.
28,000 workers walk
off the job in ste
The state's two largest public
employee unions went on strike yester-
day in a dispute over wages and health
benefits, idling as many as 28,000
Involving about half the state's
workers, the strike would be the largest
government work stoppagein the
state's history and the first since a 22-
day strike in 1981.
Employees involved in the action
included highway maintenance work-
ers, tax collectors, janitors, office
clerks and parole officers. Those unaf-
fected included state police officers,
prison guards, state college teachers
and forest firefighters
"We're asking all of our bargaining
units and members to withhold their
services as of today," said Murray
Cody, a spokesman for the 10,500-
member Minnesota Association of
Professional Employees.
- Compiled from Daily wire reports.



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