Page 2-Thursday, August 12, 1982-The Michigan Daily
'U' economists0
predict upturn in
nation's
By SCOTT STUCKAL
The nation's economic clouds will'
begin to clear by the end of the year due
to increases in consumer spending,
University economists predicted
yesterday.
In an update of an economic forecast
made last November, University
economics Prof. Saul Hymans and
economic research assistant Joan
Crary said the Gross National Product
(GNP) would rise at an annual rate of
3.9 percent by the end of the year,
signalling anincrease in the amount of
goods produced.
The increased production will be
fueled by a jump in consumer spending,
Hymans said. A moderate -inflation
rate along with an increase in
disposable income due to the upcoming
income tax cuts will allow consumers to
spend on more durable goods, he said.
Production will increase because
business inventories goods - goods
stocked in warehouses - will not be
enough to offset the spending increases,
Hymans said.
Hymans said the country is presently
in the "early stages of a recovery," but
he cautioned that government fiscal
and monetary policy will be the major
determining factor of whether the
recovery will continue.
economy
CAR SALES statistics are one exam-
ple of the recovery, he said, addingthat
Michigan will share in the recovery.
"I think we're already seeing some
improvement in the Michigan
economy. It's no longer going down,
but it's beginning to go up, and it will
continue in the next three or four mon-
ths," Hymans predicted.
He added that high unemployment
rates in Michigan and around the coun-
try will not stall the recovery.
"I DON'T want to minimize that the
people who are unemployed are not suf-
fering a loss, but the people who are
employed will be spending their
money," Hymans said.
. Hymans and Crary predicted that
unemployment will peak at 10 percent
before leveling off at 9.5 percent.
They also said that despite record-
breaking government deficits proposed
by the Reagan administration, interest
rates will continue their slide below the
present mark of 15 percent.
"What the deficits represent is a shift
in liquidity from the government to the
private sector," Hymans said. This
means, he explained, the federal
government incurs the debt while
giving the private sector more money
to use and invest. -
Today
The weather
Today will make you wish the weekend was already here. Temperatures
will reach the upper 70s with plenty of sunshine available. Q
Dirty Dennis
SOME READERS OF Dennis the Menace feel the mischievous
cartoon tyke should have his mouth washed out with soap. A cartoon
strip published by some newspapers showed Dennis and some friends
leaving a movie theater. "That was a dirty trick," comments the bib-
over-alled tyke, "killin' off the bad guy while I was in takin' a leak." Field
Newspaper Syndicate of Irvine, Calif., had sent a milder alternate captiorn,
but some newspapers overlooked it. The Laramie, Wyo. Daily Boomerang,
among a number of other papers around the country, carried the first ver-
sion. A few days later, the Boomerang published an apology to readers
saying ". . . apparently Dennis couldn't resist the temptation to put one over
on the editor. We'll keep an: eye on him in the future." Leighton
McLaughlin, Field syndicate editor, said in a telephone interview that the
originator of Dennis the Menace, Hank Ketcham, wrote the caption in the
form that has drawn some objections. "We talked to Hank. He contended
times are changing. We felt perhaps Dennis was an exception to that
progression."L i
Happenings
Films
AAFC - Sisters, 7 & 10 p.m., Chained For Life, 8:40 p.m., Lorch.
CFT - Suspicion, 3:30 & 7:15 p.m., To Catch A Thief, 5:15 & 9 p.m.,
Michigan Theatre.
Miscellaneous-
Ann Arbor Advocates for Safe Alternatives in Childbirth - "New Parents
Panel," 7p.m., First United Methodist Church, Huron and State.
Campus Crusade for Christ - meeting, 7 p.m., 2003 Angell.
Intervarsity Christian Fellowship - meeting, 7 p.m., Union.
Scottish Country Dancers - beginning class, 7 p.m., intermediate class, 8
p.m., Union.
Ann Arbor Support Group for FLOC - meeting, 7p.m., 308 E. William.
Medical Center Bible Study - meeting, 12:30 p.m., Room F2230 Mott
Children's Hospital.
School of Music - "The Fantasticks," 8 p.m., Mendlessohn Theater.
To submit items for the Happenings Column, send them in canc of
Happenings, The Michigan Daily, 420 Maynard St., Ann Arbor, MI. 48109.
TeMichigan Daily
Local detectives to question
murder suspect in Houston
(ContinuedfromPage1)
bargaining agreement with Watts, but
delayed final sentencing until next
Tuesday to ensure Watts' cooperation.
"It was the best we could do," Shaver
said.
The nine cases were "unsolvable"
without Watts' information, Houston
Assistant District Attorney Jack Frels
and Houston Detective Mike Karadat-
zke said.
FRELS ALSO said that the Ann Ar-
bor detectives would not be allowed to
question Watts until the investigation in
Houston was completed to the satisfac-
tion of authorities there.
"No one has questioned him (Watts),
and his attorney said they won't talk
until everyone agrees to the plea-
bargaining offer," Frels said. The
cases in Harris County, Texas will be
handled before any of the others, he
said.
"We're satisfied that he is respon-
sible for nine murders in Harris coun-
ty," Frels said. "There is one other girl
missing, but we don't have any reason
to believe that Watts is involved."
DEFENSE attorney Zinetta Burney
said he had originally planned to use an
insanity defense, but after the con-
fession Monday, Judge Shaver received
a report from the Rusk State Hospital
certifying that Watts had been
examined for 21 days and was found to
be sane.
Although Frels said the Texas in-
vestigations could be "quite time-
consuming," Hawkins said the Ann Ar-
bor officials would likely stay in Texas
until an agreement is reached.
Asked whether or not he was op-
timistic about getting information from
Watt's plea-bargain agreement,
Hawkins said "not unless he gets a
heavy, heavy sentence in Texas."
HAWKINS also said the agreement
was "somewhat favorable," because
Ann Arbor police otherwise do not have
enough evidence linking Watts to the
slayings to obtain a warrant for his
arrest. Prosecutor Delhey has final
authority to decide whether or not to of-
fer immunity from prosecution to ob-
tain information, Hawkins said.
"I do know he (Delhey) plans not to
(make the offer of immunity) unless
there is a heavy sentence in Texas,"
Hawkins said.
"The 60-year sentence would mean
abut 20 years before he (Watts) is up for
parole. That means he'd be 48-years-
old when he gets out, and he could come
back to Ann Arbor. What happens
then?" he said.
Detective Karadatzke said Watts led
police to the buried bodies of two
women he admittedly killed, and also
involved himself in seven other killings -
in the Houston area.
Frels said Watts hinted at other
killings in Austin and Galveston,
Texas; Detroit, Ann Arbor and
Kalamazoo, Michigan; and Windsor,
Ontario. His plea-bargain agreement
would be to "help solve unsolved mur-
ders in those areas in return for im-
munity from prosecution," Frels said,
Vol. XCII, No. 60-S
Thursday, August 12, 1982
The Michigan Daily is edited and
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