Page 2-Wednesday, May 19, 1982-The Michigan Daily
Regan predicts
slow recovery
for economy
WASHINGTON (AP) - In the
Reagan administration's bleakest
forecast yet, Treasury Secretary
Donald Regan said yesterday the
economy is in for anemic recovery,
perhaps followed quickly by another
recession, unless huge potential federal
deficits-are trimmed.
Regan made his remarks to NBC
News shortly before the Commerce
Department released figures showing
that Americans' personal income rose
just 0.3 percent last month, the fourth
modest gain in a row after December's
first decline in nearly seven years.
Less encouraging was Commerce's
report that housing starts dropped 6.4
percent in April, with work being begun
on new houses at the slowest pace since
last November. Builders generally
blame high interest rates for making
construction expensive and for making
it tough for Americans to afford new
homes.
NEW HOUSING units were started at
a seasonally adjusted annual rate of
881,000, 32.3 percent below the April
pace ayear ago, the report said.
Commerce officials had reported
earlier that housing starts had risen for
five straight months through March,
but the new report said starts actually
declined 0.4 percent in March. There
was one bright spot: Building permits
for future construction were issued at
an annual rate of 871,000 in April, up 2.4
percent from March.
The economy is "starting to inch
ahead, but it really hasn't gotten under
W,
Today
The weather
A turn for the worse is expected today. Skies will be mostly cloudy with
highs in the 80s. An unwelcome threat of thunderstorms will put a damper on
afternoon plans.
Wait for me, Argentina
C ONVENTIONS IN Argentina, like offshore islands, are running into
a little trouble lately. The University-affiliated Environmental Resear-
ch Institute of Michigan announced that the 16th International Symposium on
Remote Sensing of Environment, to be held June 2 in Buenos Aires, has been
postponed to a later date. According to ERIM, the symposium has been
delayed to accommodate more participants and will be rescheduled
sometime this year. e
Catcher in the Club
HOLDEN CAULFIELD never did like television or actresses of going
to the theater very much. You know. They're all too phony. But J. D.
Salinger, the man who created Holden in his novel Catcher in the Rye, seems
to have different tastes. Salinger recently broke his self-imposed seclusion in
Vermont to make a rare public appearance at a Jacksonville, Fla., supper
club. Why was the author of Franny and Zooey and Raise High the Roof-
beams, Carpenters on the town? He was visiting television and game shoe
celebrity Elaine Joyce during her club appearance. Salinger and Joyce ap-
parently have corresponded for three months, via letters and long-distance
phone calls. The 63 year-old author, shunning the spotlight, gave Joyce a
tongue-in-cheek statement to read to reporters. Rumors that Salinger and
Joyce will appear together on _"Match Game P.M." have been totally un-
confirmed. Q
Happenings
Films
CFT-Sleeper, 4 & 7:30 p.m., Everything You Always Wanted to Know
About Sex, 5:45 & 9:15 p.m., Michigan Theater.
AAFC - State of Seige, 7 & 9 p.m., Lorch.
Cinema Two - Once Upon a Tme in the West, 6:15 & 9:05 p.m., Aud. A,
Angell.
Miscellaneous
Eastern Michigan University - Daniel Carroll, "Technology and the
Management Process," 7p.m., Sheraton University Inn.
Ark - Open Mike Night, 9 p.m., 1421 Hill.
PIRGIM - mass meeting, 7 p.m., conference room 6, Union.
Stilyagi Air Corps - meeting, 8:15 p.m., Union.
Academic Alcoholics - meeting, 1:30 p.m., Alano Club.
Museum of Art - Margaret Coudron, "Leonardo's Return to Vinci," 12:10
p.m.
Student Wood and Crafts - power tool safety class, 6 p.m., 537 SAB.
To submit items for the Happenings Column, send them in care of
Happenings, The Michigan Daily, 420 Maynard St., Ann Arbor, MI. 48109.
The Michigcan Daly
-U-
Regan
. . -gives bleak forecast
steam yet," Regan said.
ECONOMISTS Inside and outside the
government say a sustained recovery
depends partly on lower interest rates.
Regan said lower rates depend on
Congress' willingness to embrace the
president's most recent adjustments to
his economic program, further spen-
ding restraint coupled with some tax
increases.
Senators drop-efforts
to cut Social Security
WASHINGTON (AP)- Senate Republicans on yet a different
Republican leaders, working to stave blueprint, this one designed to compete
off an embarrassing defeat, abandoned with a plan crafted by the House
efforts yesterday to. seek $40 billion in Democratic leadership.
Social Security savings over the next One source said the proposal would
three years. produce a deficit of slightly below $100
In addition, they agreed at a lengthy billion for next year, in part by calling
private caucus to restore election-year for deeper cuts in the defense buildup,
budget cuts totaling $3 billion domestic programs and benefit
previously slated for Medicare, student programs than the Senate plan. No
loans, veterans' benefits, housing and Social Security cuts are contemplated.
space. "IT'S A credible budget . . . but I
THOSE STEPS taken tbgether would really question whether they have"
leave a deficit of $115 billion in 1983, of- enough votes to pass it, said one GOP
ficials said. source, who asked not to be identified.
While majority Republicans The original Senate plan, drawn up
retreated from their original plan, by GOP leaders and embraced by
House GOP Leader Bob Michel (R-Ill.) Reagan, called for $40 billion in Social
completed negotiations with conser- Security spending cuts or tax increases.
Vol. XCII, No. 11-S
Wednesday, May 19, 1982
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