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March 21, 1953 - Image 1

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Michigan Daily, 1953-03-21

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I

A TAX CUT OR DEFENSE
See Page 2

Y

Sir 43&U

D43a it

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Latest Deadline in the State THUNDER SHOWERS

VOL. LXIII, No. 117

ANN ARBOR, MICHIGAN, SATURDAY, MARCH 21, 1953

FOUR PAGES

'U' Appoints
Engineering
Project Head
Regents Accept
$59,177 in Gifts
Professor Richard G. Folson, of
the University of California, was
appointed director of the Univer-
sity Engineering Research Insti-
tute yesterday by the Board of Re-
gents.
University President Harlan H.
Hatcher announced the appoint-
ment, which will take effect about
July 1, to fill the post currently
held by Professor Albert E. White
who will begin his retirement fur-
lough in July.
Professor Folson is now chair-
man of the Division of Mechani-
cal Engineering and director of
the Mechanical Engineering Lab-
oratories at California. His field
of study has centered on rockets
and fluid mechanics.
* * *
THE REGENTS also appointed
Lawrence H. Van Vlack to profes-
sor of metallurgical engineering
for the term expiring June 16,
1956 and Maurice H. Seevers,
chairman of the pharmacology de-
partment, to the executive com-
mittee of the Phoenix Project un-
til June 30, 1956.
* * *
IN OTHER action the Regents
accepted gifts and grants, ap-
proved 26 leaves of absences, a
record contract, and issued a
memoir in honor of the late Pro-
fessor Clarence F. Kessler of the
engineering college.
Gifts and grants accepted
amounted to $59,177, with the
largest being $10,900 from the
National Science Foundation in
the form of two separate grants
for study in physics and mathe-
matics.
Professor Marston Bates, of the
zoology department, was provided
with $6,000 by t he Rockefeller
Foundation to do research in how
biological knowledge can aid hu-
man behavior and social prob-
lems.
The Regents also accepted $5,-
000 from the C. S. Mott Founda-
See SABBITICALS, Page 4
Korean War
~Goes Through
,1,000thDay
SEOUL-An-Soldiers grappled
briefly in the mud and raiding
planes searched low In the drizzl-
ing skies for the sight of Com-
munist trucks Friday as the Kor-
ean War sputtered through its
1,000th day.
South Korean troops stood firm
on the Western Front in a rain-
storm against two small attacks
by Chinese Reds on an outpost:

Regents OK $50
Dormitory Hike
Rent Boost To Start This Summer;
5,000 Students To Be Affected
By ERIC VETTER
The final stamp of approval was given a $50 a year resident hall
rent hike yesterday by the Board of Regents.
Anticipated for over a month, the rent hike is expected to affect
5,000 dormitory residents. It will go into effect during the 1953 sum-
mer session and will bring the average charges for a double room
to $700 for room and board for two semesters.
* * * *
FIRST MENTION of the increase was made about a month ago

Reed Attacks
GOP Stand
On Tax Cuts
Challenges Party
To KeepPledge
WASHINGTON--P)-The old-
est Republican in continuous ser-
vice in the House said yesterday
the GOP "will have sold the peo-
ple down the river" unless it re-
duces taxes at this session of Con-
gress.
Chairman Reed (R-N.Y.) of the
tax-writing ways and means com-
mittee threw that challenge to his
party in proclaiming "I have not
surrendered to anyone in the tax
reduction battle."
He renewed an indirect charge
that President Eisenhower and
other GOP leaders are betraying
campaign pledges by opposing
early tax cuts.
* * *
THE 77-YEAR-OLD New York-
er said he is confident House lead-
ers will bring to the floor "in the
very near future" his bill to chop
personal income tax rates 10 per,

Malenkov

Gives

Up

Post

As

New

Party

Secretary

by Francis

C. Shiel, Business Manager of Service Enterprises, at an
Inter-House Council meeting. The

Tito Suggests
Red Nations
EscapeOrbit
LONDON-OP)-Marshal Tito's
foreign secretary said yesterday
that Soviet satellites had been
shaken by Stalin's death and sug-
gested they follow Yugoslavia out{
of the Kremlin orbit.I
The secretary, Col. Gen. Koca
Popovic, told 300 newsmen Stalin's'
death dealt a blow to the internal
stability of Russia as well as the
East European satellites, and add-
ed, "the example of Yugoslavia
may be very instructive to the
satellite states. They must be
shown there is a genuine alterna-
tive."
* * *
TITO LED Yugoslavia out of the
Soviet orbit in 1948 after a row
over the rights of smaller states
in the Red camp.
Popovic's conference marked
the last full day of the Com-
munist President's history-mak-
ing visit to Britain and coin-
cided with a Supply Ministry
announcement Britain will build
about a million dollars worth of
helicopters for Yugoslavia on an
"off-shore" order from the Unit-
ed States Air Forces in Europe.
Tito told newsmen last night at
a reception he was "very satisfied
with the result of my visit. In fact
I regard it as even better than I
could have hoped when I first
received Mr. Churchill's invita-
tion to come to London."
The British Foreign Office is-1
sued a communique on the Tito
visit which was similar to the re-
marks made by Popovic.

resident halls Board of Governors
approved the hike last week and
the Regents okay was the final
step in its passage.
Shiel said he was sorry the1
increase had to take place but
"the figures speak for them-
selves." In this he was referring
to statistics which show reve-
nue has increased 41.5 percent
since 1946 while expenses have
soared 50.2 percent.;

Khrushchev
To Top New
Secretariat
Five Men Take
Vacated Position
MOSCOW-()-Prime Minister
Georgi M. Malenkov, head of the
Soviet government, has resigned
his post as secretary of the Cen-
tral Committee of the Soviet Un-
ion Communist Party, it was an-
nounced yesterday.
Malenkov thus will be able from
now on to devote his full time to
his position as prime minister.
* * *
N. S. KHRUSHCHEV, 58, a fast
rising Ukrainian Soviet politician,
appeared to have stepped into the
old job of his boss.
The job is leadership of the
powerful Central Committee of
the Soviet Union Communist
party. The Moscow radio re-
ported the committee met in
plenary session March 14 "to
accede to the request of the
chairman of the USSR Council
of Ministers prime Ministers;
G. M. Malenkov for his release
from duties as secretary of the
Central Committee of the Com-
munist party of the Soviet
Union."

Shiel named increased labor cent annually starting June 30.
costs and annual debt service ob-yt

ligations as the factors behind theC
increase. He foresaw the possibili-
ty of even higher expenses because
of proposed labor wage hikes.,
University President Harlan H.!
Hatcher told the Regents when
making the rent hike increase that{
"expenses for the next year will'
be 57 percent higher then they

However, Chairman Allen (R-
Ill.) of the House Rules Com-
mittee-which now has the Reed
bill bottled up-said he knew of
no assurance to Reed as to when
the proposal will be brought to
the floor.
Allen and other House leaders
denied they are welshing on cam-

were seven years ago." ,, ll, wc,- .. AB----- --
paign pledges. They said .the GOP
promised to do just what it is do-
BROKEN down the increase ing, balance the budget and then
in expenses, Shiel said, amounts cut taxes.
costs, 34.4 percent increase in food Sen. Taft (R-Ohio) said Thurs-
costs and 99.1 percent increase in day night the party did not pro-
otserexans99.1ersucents ines mise tax reduction in 1953 but
other expenses such as utilities, could make substantial cuts in
laundry supplies and mainte- 1954.
n~an~

>
r
i
t
i

-Daily-Don Campbell
LOVE FINDS A WAY-"But how did they do it?" puzzled two of love's eager harbingers on the
first day of Spring. A solid, rusted padlock offered no solution to their problem.
ON STATE INCOME:
Musgrave Favors Tax Plan

Ilice. '
The rent increase amounts to
a 22 cent per day rise and in-
creases the cost of a double room
since 1946 by 41.8 percent.
Leonard A. Schaadt, Business
Manager of Resident Halls, said
"the hike had been thought about
as far back as three months ago
and will affect all men and wom-
en resident halls except Fletcher
Hall."
* * * .
QUAD LEADERS protested vig-
orously when they first heard of
the proposed rise from Shiel. They
claimed that residents are never
consulted when hikes are planned
and used a similar increase last
year as an example.

Just when House leaders planned
to clear the Reed bill was becloud-
ed. Chairman Taber (R-N.Y.) of
the appropriations committee said
yesterday it will be late May be-
fore the defense spending bill is
ready for the House and June be-
fore foreign aid appropriations are
ready for action.
That could indicate a similar de-
lay for Reed's bill, to allow time
for the new budget to take shape
before taxes are considered. The
Eisenhower administration, how-
ever, has promised to give Taft by
May 1 an estimate of next year's
spending level.
REED, A House member for 34
years, had threatened to use a
special prerogative as ways and
means chairman to force his bill
to the floor over the heads of the
rules committee and House lead-
ers.
Candidates To Air
Views Over Radio
All-campus election candidates
interested in airing their views
over quad station CBN should con-
tact Burt Zack, '56, before 8 p.m.
today at South Quad.
Free air time for speeches or in-
terviews will be provided next week
beginning Monday, Zack said.
Elections are scheduled for March
31 and April 1.j

I
3
I

By ARLENE LISS
Evaluating the respective nerits
of two proposed income tax hillsF
recently introduced in the Sta, -
legislature, Prof. Richard Mus-
grave of the economics department
said that a state income tax with
adequate exemptions "would seem
to be a very fair solution to the
state's economic problems."
"There are many vital reasons
for some additional taxation,"
Prof. Musgrave pointed out, "'or
example there isn't enough money
to pay teachers' salaries."

ed at allowing the state to meet
this year's obligations and, if pos-
sible, wipe out the existing defi-
cit. Sen. Robert E. Faulkner pro-
posed a 3% flat rate on incomes
with $600 exemption for each tax-
payer, the plan to go in effect
July 1. At the same time Sen.
Faulkner is in favor of letting
sales taxes expire in November.
Lewis Chirstman's proposal
was for a 1% income tax with
exemptions based on the federal
income tax plan.

progressive, sales taxes are regres-
sive," he explained.
Consequently, Prof. Musgrave
described the income tax pro-
possal as "an excellent compro-
mise to meet the present emer-
gency."
However, Prof. Daniel McHargue
of the political science department
estimated the chances of an in-
come tax being passed in-Michigan
as "not too good." He said if the
bill got through the legislature it
would probably be vetoed by Go ;.
Williams, whose policy has been
"no more taxes on consumers."

I
3
I

Khrushchev has the reputation
in Moscow as being a firm, strong
man. He already is a member of
the ruling Presidium of the Su-
preme Soviet.
MALENKOV used the job of
secretary of the Central Commit-
tee as a stepping stone to the pre-
miership which he took over .fol-
lowing the death of Joseph Stalin.
The other four members of the
new five man Secretariat listed in
order were identified as Mikhail
Suslov, Peter Pospelov, Nikolai
Shatalin and Semyon Ignative.
In 1947 Khruschev was named
as Ukrainian Communist Party
secretary after having served sev-
eral years as premier of that re-
public.
Khrushchev had previously serv-
ed as secretary of the Party in
1949 but was dropped from the
position when the Communist
machinery underwent a major
shake-up.
More Medical
Men To Face
Draft inApril
LANSING-(A')--Michigan hls

Dulles Stand on IBohlen
AttacHed by McCarrat
W7AS GT N ( M-LPSei, 1,Mr.Carn (D-N.) \ h'1, ' a r vo e s p'ter-

onLittlh oday that Secretary of State Dulles overrode objections of his chief
Yonchnfhsecurity officer in backing Charles E. Bohen for ambassador to Russia.
F84 Thunderjet fighter-bombers Dulles promptly denied it.
caught 20 Red trucks in a convoy Dle rmtydne t
north of Pyongyang, the Korean The Nevada senator asserted the security chief, R. W. Scott Mc-
Communist capital. Pilots said six Leod, refused to clear Bohlen for the strategic diplomatic post, but'
trucks were destroyed and six dam- that Dulles gave him clearance anyway in testimony before the Senate
aged by bombing and strafing. Foreign Affairs Committee Wednesday.
Navy ships and planes hit the Dulles, in turn, said there was no difference between him and
Reds ba reduced numbers because McLeod on the final evaluation of an FBI report on Bohlen's back-
that Red fears of a possible Allied ground. There is absolutely nothing in the report, the secretary said,
landing have prompted installation which reflects on Bohlen as a toy-
of new gun batteries at the bat- alty or security risk. 'RUIMPELSTILTSK
tered port of Wonsan on the north-
east coast. SEN. MC CARTHY (R-Wis.)
An estimated 30,000 Red soldiers jumped into the argument with a
are pinned down in that shell- declaration that Dulles' statement A rsS t T h e
tered area, target of the long- "would appear to be untrue" from:
est blockade in the history of the what he knows of the situation.
U. S. Navy. "My information is in com- By MARK
plete accord with what Sen. Mc- A small hunchbacked man, ca
W est Germany Carran said," the Wisconsin shoulder, peers qaerilously at a lit
W estor told a hastily called news dungeon.
mE' - Ub_ F -1YcnfrncThe girl is woflderina how to

THE TWO plans were both aim- Prof. Musgrave explained that
if the two plans were merged this
might be the reply to Michigan's
DC-4 Crashesg . "perennial budget worry." He ad-
iA vocated the Christman exemption
H ile plan with the income tax being
A 3 . illed adually established, at the same
____time permitting some of the sales
By The Associated Pres~s taxes to be removed.
Thirty-five crew members and "From a distribution point of
soldiers were killed in the crash view such a measure would be
of a Transocean Air Lines DC-4 more equitable than the present
near Alverado, 20 miles south of sales taxes," he said. The econo-
Oakland, Calif., last night. mist went oi to estimate how un-
The plane, which took off at der this proposal a family with
Roswell, N. Mex., had cleared with two children earning $3,000 would
the Oakland Airport tower for aE only be taxed 1 % of their income,
landing there shortly before the while under the present sales taxes
crash without reporting trouble. they are paying 2.2%.
At least six ambulances were "While a flat rate income tax
called to the crash site. even with exemptions is distinctly'

IN' REVISED:
pater To Give Children's Play

Proposed Tax
Plan To Raise
$31Million,
LANSING --fP - Sen. George
N. Higgins (R-Ferndale), one of
the legislature's key tax men, yes-
terday proposed a package of rev-
enue measures designed to produce
$31,500,000 a year.
Higgins' proposals stemmed'
from recommendations of the
Princeton University survey made
for the legislative tax study com-
mittee, of which he is chairman.
THE SIMILARITY with the
Princeton plan extended to putting
a 1955 expiration date on the new
tax measures with the idea that
legislature can adopt long-range
fiscal reforms in the interim.
Higgins proposes:
$19,000,000 from a 25 per
cent incdease in the corpora-
tion profits tax;
$9,000,000 from a 10 cents a
barrel levy on crude oil inort-
ed into Michigan via pipelines;
$4,000,000 from a 75-cents-a-
barrel increase in the beer tax;
$7,000,000 from a five per cent
increase in the state liquor price
markup;
$2,500,000 from a three per
cent service tax on hotel rooms,
motels and tourist accommoda-
tions.
Higgins said he would file later'
a bill to increase the state's reve-
nue from horse racing.
Hundreds of bills flooded into
the House and Senate as the dead-
line approached for the introduc-
tion of all but tax and appropria-
tion measures. Under an extension

* * *

.

READER
arrying a mysterious sack over his
ttle girl sitting alone in the king's
spin straw into gold.

been called on to draft 38 phy-
sicians and 17 dentists, in April
and has had to raise age limits to
meet the call, Lt. Col. Arthur A.
Holmes, state selective director,
said yesterday.
The age limit for physicians will
be raised two years to 38 to meet
that call, but raising the dentist
age limit five years to 41 will only
produce four eligible dentists,
Holmes said.
Eight physicians will be called
by Washtenaw boards 85 and three
each by Wayne boards 94 and 99.
Two physicians each will be
drafted by Genesee board 2, Len-
awee, Oakland board 66 and
Wayne boards 93, 95, and 102.
The following boards will sup-
ply one physician each: Calhoun
Board 13, Calhoun board 217, Ge-
nesee board 25, Jackson. Washte-
naw board 341, Kent board 43,
Oakland board 65 Van Buren, and
Wayne boards, 87, 88, 98 and 100.
Washtenaw board 85 will be
called on for four dentists and
Wayne board 98 for three.
Two dentists each will be called
by Oakland board 67 and Wayne
board 88. One each will bg called
by Emmet, Igham, Menominee,
Saginaw, Wayne board 87 and
Wayne board 94.

10 Fay Israel
K$822,000,000
BONN, Germany - UP) - West
Germany ratified yesterday her
agreement to pay 822 million dol-
lars reparations to Israel for Nazi
persecution of the Jews. Israel is
to give the Jewish material claims
conference a share totaling 107
million.
Parliament's final approval was
completed with a unanimous vote
in the upper house, the Bundes-
1-a- fa. Dvacn PriCf 3 (n ThPn~rH-1iq

"I know what's in Bohlen's file."
McCarthy said the foreign rela-
tions committee should recall Dul-
les, "put him under oath," and
then ask him whether he still con-
tended there was no disagreement
between himself and McLeod.
The sharp new controversy over
Bohlen, a 48-year-old career of-
ficer in the State Department, be-;
gan on the floor of the Senate,
where McCarran made his charges.
Wiley's committee voted 15 to
0 Wednesday to approve Bohlen
as ambassador to Moscow, and

Spectators at the Arts Theater will view this and other such fan-
ciful scenes at 1:30 and 4 p.m. today and tomorrow when the Child-
ren's Theater presents its first production of the classic fairy tale,
"Rumpelstiltskin."
* * * *
WRITTEN EXCLUSIVELY for the Children's Theater by David
Shepard of Chicago, the play tells the story of Rosie, a poor miller's
daughter, who decides to give her first born child to Rumpelstilt-
skin, if he will help her escape from prison.
Two notable additions have been added to the original story.
New characters have been introduced in the persons of Dove
and Owl who befriend the plight stricken Rosie, and Claw, the
greedy servant of the king.
Mariane Bates and Douglas Baily will play Owl and Dove respec-
tively, Mike Staeble will portray Claw.

_f ;:fi:;

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