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Cedar Rapids Gazette: Wednesday, October 23, 1974 - Page 2

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   Cedar Rapids Gazette (Newspaper) - October 23, 1974, Cedar Rapids, Iowa                                 Weather-  Chance of rain tonight and Thursday. Lows tonight, lower 50s. Highs Thursday, lower lids.  rn  '•ethic leapt do  CITY  FINAL  15 CENTS  VOLUME 92 - NUMBER 287  CEDAR RAPIDS, IOWA. WEDNESDAY, OCTOBER 23, 1974  KISSINGER UN  Demos' Economic Plan Asks Businesses To Sacrifice, Too  __ASSOCIATED    PRESS,    UPI,    NEW    YORK    TIMES  MOSCOW  Gazette Leased Wires  WASHINGTON - Senator Edmund Muskie has proposed requiring business to pay a share of the cost of fighting inflation and recession as a major part of a Democratic alternative to President Ford’s proposals.  .Sharply critical of Ford’s suggested economic remedies, the Maine Democrat said Tuesday night. “If the President wants Americans to eat less, drive less and demand less, he should be prepared to ask some of them to charge less.”  ‘‘The depressing realities about the President’s economic message.” Muskie said, are that “if strikes hardest against the average American family. It exempts those who already have most. It does little for those who have least.”  Muskie spoke on N’BC-TV in a speech billed as the Democratic response to Ford s address a week earlier in Kansas City.  A spokesman said senate Democrats are irked because  CBS and ABC refused to carry the response. The networks contend that Ford's speech was not controversial enough to invoke television’s fairness doctrine.  “Part of Problem”  “The President's speech does not reflect the seriousness of I our economic situation,” Muskie complained.  I  Stocks Retreat  NEW YORK (AP) - Stocks on the New York Stock Exchange Wednesday fell broadly in response to more bad economic news. The Dow-Joncs Average cf 30 industrials at 2 p.m. was down 18.54 points to 644.32 in moderate trading.  He added:  “My concern is that it aims entirely at slowing inflation, which is part of the problem, but denies the threat of a deep recession, which is more and  Ford: Demo Landslide May Threaten Peace  WASHINGTON (AP) - President Ford, stepping up his personal campaign for Republican candidates, is arguing that a big Democratic election victory could threaten the peace of the world.  After painting this dire picture Tuesday at a G.O.P, rally in Oklahoma City, Ford stopped in Cleveland before returning to the White House and said:  “I call on Republicans in Ohio and the rest of the country to turn out to vote on Nov. 5 like you never have before. Confound the doomsayers. Fool the pessimistic pollsters.”  White House reporters were alerted just before Ford spoke in Oklahoma City to expect an important foreign policy statement.  Congressional Votes  Ford announced no new foreign policy move but. in what Press Secretary lion Nessen said was a reference to congressional votes to soon cut off Lh S. aid to Turkey, the President said:  “I am concerned about the breach of this bipartisanship between a Republican President and a Democratic congress...  “I am concerned that if we get a congress that is veto-proof. a congress that has the wrong philosophy — both domestically and internationally — the possibility for the next two years when our country faces the challenges in the Middle East, the challenges in the Mediterranean, the challenges in the Caribbean and in Latin America, the challenges in the Pacific — as we try to work to broaden detente, as we try to continue the normalization of relations with the Peoples Republic of China, as we, in the While House, and those in the congress who understand bipar-f!s*an>htp and who believe that partisanship should end at the water’s * dge if we get the wrong kind of congress p ace could be in jeopardy.”  Raver Instincts  The Ford statement prompted this response from Democratic National Chairman Robert Strauss:  Today s Index  “I was both saddened and troubled at hearing President Ford's shocking implication that the election of Democrats would  I have an adverse effect on world peace. This kind of rhetoric is reminiscent of the Nixon-Agnew campaign of 1970. when they appealed to the baser instincts of the American public and were soundly rejected.”  In a speech in Kansas City. Kan . Sen. Muskie (D-Maine) scoffed at Ford’s warning. “I can only attribute it to a slip of the tongue in the heat of the campaign” and it indicates the Republicans are “desperate.” Muskie said.  The President tried to raise red warning flags against the election of “additional extremists in the Democratic party” to the senate and house in the Nov. 5 balloting. He argued that if the opposition party gains decisive control of congress it will embark on “wild spending programs.”  As he doc*-, at every campaign stop. Ford called for support of his recommended surtax and other elements in the administration's economic program. He  :  said:  “Two weeks from today, I urge you to send a message to the congress in Washington — that you. the American consumer. the working man and woman, the housewife, the plain citizen, are sick and tired of rising prices and want something done about it. Let the congress know that you want action on the 31-point program which I requested two weeks ago to help us whip inflation and conserve energy.”  more real to millions of American families; that it will put this country through the wringer unnecessarily, and that the final result will be a weaker nation and not much progress on inflation.”  The senator called for the Federal Reserve Board to pump more money into the economy in order to make credit more easily available for housing and small business. And he demanded firm presidential pressure on business and labor leaders to depress wage and price increases.  Voluntary Guidelines  “I would like to see the President meet regularly with business and labor leaders in all major sectors of the economy to work out guidelines for action and agreements for restraint,” Muskie said.  “A temporary cut in payroll (Social Security) taxes to help fatten pay envelopes should be a central part of a trade-off to help moderate wage demands.  “But let us be clear that if vigorous, voluntary wage- and price-control efforts fail. mandatory action must be taken."  The thrust of Muskies speech was much the same as one last week in which Senate Demo-lcratic Leader Mike Mansfield ^recommended a stronger governmental role against inflation and recession. Mansfield’s remarks were in response to Ford's message spelling out his economic proposals, whose centerpiece was a 5-percent surtax on middle- and upper-income Americans and on corporations.  Slap at Nixon Men  Muskie said he is disappointed that “President Nixon’s men of narrow vision are still in the i White House — the ones who en-jgineered the policies of high interest, high prices and high unemployment, the ones who continue to make the economic policy President Ford pursues.”  When Republicans took over the White House in 1969. Muskie said, inflation was 4 percent, today it is 12 percent: unemployment was 3 5 percent, today is 5 8 percent; the prime interest rate was 7 percent, and today is IPI percent.  'We’ve had two freezes and four phases, two recessions and two devaluations,” said Muskie. “We’ve had tight money and runaway prices and unemployment.”  “Cruel Advice"  Opposing the 5-perceni surtax. Muskie, chairman of the senate budget committee, said many Americans believe “they have been sacrificed to . . . Republican economic policies of inflation control by recession: That their jobs, their standard of living. their hopes and their dreams are being sacrificed by this administration.”  He said Ford's plea to balance family budgets and to save  (Continued: Page 3. Col 7 >  Textbook' Bombing  UPI Telephoto  A pre-dawn dynamite explosion Tuesday left this Midway elementary school classroom in shambles. The school is located in Kanawha county, W. Va., where some residents have staged a protest against textbooks that they consider immoral and unpatriotic. Authorities said the blast was connected with the protest. Midway Principal Emmett Shaffer surveys t he damage.  Dean Admits Using Funds  s  A  tanle y : ,  Assumed Strike Over  W ASHING TO N (AP) — j five days on the witness stand Former White House counsel under prosecution questioning. John Dean testiiied at the Wa    limey moon Trip  tcrgate coverup trial Wcdncs-  Dean !wtjfied    in dctall   day that in Bt72 and 1972 he ,r, c  senate Watergate committee made personal    use of    $4,850    about his personal use    of money  withdrawn from    a $350,000 se-    from the White House    fund. Its  crc! White House fund.    significance in the trial is how it  . . .    .    ,, affects the jury’s opinion of his  the admission was drawn out  cha (er  ^ honesty. in cross-examination by defense , |der crossK f xamination   lawyer John Wilson -n an appar- w     testified    that  em effort to discredit    ->     ?|r> M in cash was de|lveml  , 0   character rn the eyes of the, hjs offjce by  ^  whj(e  , |()Ust>   ^ ur ^‘    .    aide Gordon Strachan.  In two days of cross-examina-    j ur y “there  tion, Wilson has    yet to    attack     were ma ny $ too bills,    $50 bills  the substance of    Dean s    narra-     anc j  sma jj er  bills ”  tion of how he participated for [) e an said that on Oct. 12. nine months in covering up the*^^ the eve of his honeymoon. Watergate scandals.    he took out $4,850, part of which  Defense lawyers acknowledge was spent on the trip and part privately that six White House  0 f which was used for miscella-tapes heard by the jury so far neons expenditure over the next make it difficult to dent the tes- >jx month 1 -, timony given by Dean during Wilson repeatedly questioned  ----Dean about the propriety of  using the funds without advising anyone at the White House “For a period of six months you used money that didn't belong to you. didn't you?” Wil-:son asked.  Dean: “Yes, sir ”  Cheek Not Covered * The former White House coun-  Butz Expects Stable Beef Prices This Year     Comics    . 91)      Crossword    91)      Daily Record    SA      Deaths  4     3A      Editorial Features    CA      Farm    MC      Financial    IQI)      Marion    I SC      Mov ies    HI)      Society    12B-I5B      Sports    ID-51)      State    HMC      Telex ision    tis      Want Ads    12D-I5D     WASHINGTON (UPI) — Agriculture Secretary Butz predicted Wednesday that supermarket beef prices will remain about the same until at least early 1975. but that {Kirk and poultry prices may increase.  Butz also said that the nation’s cattlemen "are in real trouble” because beef prices have declined so sharply since the first of the year.  “The price of fed beef has dropped $20 a hundredweight the last IO months in this country.” Butz said. “Theres been nothing like that showing up at the retail counters ”  Hi- admitted that “margins ar<* wide, but they're wide partis because of increased cost of transportation, increased labor costs, and other restrictions in the distribution process ”  Butz, who was interviewed on the NBC “Today” show, said that consumers can look for  "fairly level meat prices the rest of the year. There may be some decline in meat price as ; slaughter picks up  “We've having pretty heavy slaughter of cattle right now and fairly heavy slaughter of hogs right now. When we get into the new year, 1975, I would anticipate that pork prices may go up some because of decreased supply of pork, and poultry prices may go up some  “Beef prices I would antiei pate would continue pretty stable***  Butz said that cattlemen’s complaints that beef imports are hurting them is unfounded because imports make up only 2 or 3 percent of the nation’s beef consumption  “If imports rise to a point that they do really threaten further (Mir domestic beef industry, we will have to take a hard look at it,” he said.  Service Station Explosion Fatal To C.R. Man, 25  Walter R Myers. 25. of 2737 O avenue NW. was killed Tuesday in an explosion and fire at a service station where he was cleaning the floor with gasoline, according to authorities.  Myers was dead on arrival at St. Luke’s hospital after firemen pulled him from a fire that followed the explosion Fire officials said Myers was using an electric buffer on the bay area floor at Al’s Skelly station. 1822 Johnson avenue NW when a spark apparently ignited the gasoline shortly before 8 p.m. Tuesday  The fire that resulted was under control within three to five minutes, according to dis* trot tire chief Thomas Phelps. Extensive damage to the station  Nationwide Hunt For Two Men in Chicago Heist  CHICAGO (AP) A nationwide alert has been issued for two men and a green van in I connection with tin- $3 8 million burglary of an armored truck company, the FBI .reported Wednesday Being sought were Charles Mar/anc. 12. and Peter Gushi, 45. the FBI said The two were believed to have left the Chicago area in a 1974 Ford Econoline 200 van The alert was issued after a company security guard failed a lie detector test and was sus-  was caused by the fire.  Two other persons in the sta Hon at the time of the blad, Jeff pended, the Chicago Tribune re-Hoffman. 15. of 2200 Johnson av-1 ported He appeared before a enue MV, and James O’Deen, p (K) ^ county grand jun lues-1901 First avenue SW, escaped day, the newspaper said, and with minor injuries that dul not denied involvement in the theft. require hospitalization. * According to the newspaper.  Myers’ death brings to three the guard was a known astite number of persons who have!    Marzano who was  died in fires this year in Cedar questioned about but never  j charged in connection with an *    *    *    !    $800,000    burglary    of    Tiara Jew  eiry Manufacturers in Evanston  Myere. 2) an employe of Down-  W ^ rai refused t0 ran(jrm  mg Box Bo. andla part-t.me ^     d    had    fadt , d |h(   employe of Al s Skelly service station, was born Dec 31, 1948. in Cedar Rapids.  He and the former Eleanor  Rapids  Walter It a v rn end (Bud I  lie  i Continued: Page 3, Col. 3.)  any guard detector test The newspaper rejiorts said about 25 current and former Ar mored Express employes were I tested.  sel acknowledged that although he placed a $4,850 check written to cash in his office safe with the balance of the funds, there was not an adequate balance in his checking account to cover that amount.  Dean said. however, that he had other personal funds, including a stock brokerage ac-count totalling $80,000 at one point, which he was prepared to use to account for the $4,850.  Dean said that in April 1973. he informed his lawyer about the $4,850 and the more than $10,000 remaining in the cash originally placed in his White House safe.  Dean said the total $15,200 is now' held in a non-interest-bearing account in a hank in suburban Rockville. Md  Nixon Appearance?  Meanwhile, there was an indication Tuesday that former President Nixon may testify in the trial. Ilks attorney, Herbert Miller, asked for transcripts of White House tape recordings, used in the trial so Nixon can prepare his testimony.  Nixon has been subpoenaed by defendants II. R, Haideman and John Ehrlichman. and Milles told Judge John Sirica in a motion:  “It . may be anticipated  that he will be questioned in detail abend events and conversations extending back at least 2‘a  years.”  Miller said the tapes will he part of the court record by the time Nixon testified and that the request “represents a reasonable. simple accommodation, making it possible for Mr Nixon to begin at once the necessary and helpful refreshing of hts memory ”  Sirica indicated Wednesday that Nixon might bt* called as a court witness, v.ith neither side having to vouch for his credibility.  “That eould Happen. Sirica told lawyers involved in the case “I’m not saying it will happen ”  The issue of Nixon s believability arose during a discussion among Sirica and prosecution and defense lawyers on how to introduce to the jury witnesses w Ik>se testimony may conflict with other Watergate Inures or with their own previous statements on Watergate.  Shredded Notebooks  In Tuesday's testimony, Wil-  (Cofitinued: Page 3, Col. 3.)  Toduy's Chuckle  .Sign on a closed service sta tion “Under no management.”  tupyriytit  i    -    .  By Frank Nye  State Rep. David Stanley was unaware a strike was still in progress when he held a news conference at the Roosevelt hotel Wednesday morning, he told The Gazette shortly before noon Wednesday.  Stanley is the Republican candidate for the U. S. senate.  “I assumed when our staff set this news conference up (for 9:30 a m. Wednesday) that the strike was over.” Stanley said.  “I parked a block cast of the hotel and went in the east (parking ramp) door. I saw no pickets then.  “The first picket I saw was when I came out of the hotel after the news conference.”  Stanley said he did not intend to cross the picket line set up by the Hotel Restaurant and Bar Tenders International union several weeks ago.  He pointed out that only a few' weeks ago he had a commitment to address the Cedar Rapids Kiwanis club at the Roosevelt but notified club officials he would not cross the picket line.  The club then moved its meeting to the Montrose hotel, whose  (Continued Page 3. Col. 5.)  Talks Will Focus on Arms Lids  MOSCOW (AP) — Secretary of State Kissinger arrived in Moscow Wednesday tor another attempt to move the Soviet and U. S. governments toward an agreement to curtail the nuclear arms races But Western observers doubt any dramatic breakthrough is likely.  Kissinger is believed to have sent the Kremlin new proposals to get the strategic arms limitation talks (SALT) moving again, including a schedule of suggested limits on the production of offensive missiles.  Soviet Communist party chief Leonid Brezhnev has given no indication what his response might be. But the prospect, in the view of Western observers, is for more difficult bargaining in the second round of SALT talks, which opened in Geneva last month and then recessed to await the outcome of Kissinger’s third visit to Moscow this year.  Ford .Meeting  Also on Kissinger’s agenda are the future of Arab-Israeli peace negotiations and the possibility cf a get-acquainted meeting between Brezhnev and President Ford daring Ford's visit to the Far East next month.  Enroute to Moscow, Kissinger stopped off in Copenhagen for talks with Danish officials and with the U. S. ambassadors to Denmark, Finland, Norway and Sweden.  In the first round of SALT negotiations in 1972, the U. S. and the Soviet Union agreed on a permanent limitation of defensive missile systems, known as ABMs. But limits cm offensive nuclear arms were only agreed on through 1977.  Renegotiate Pact  The two governments have agreed in principle that this pact should he renegotiated to extend its life through 1985, During hi? visit last March, Kissinger tried to achieve a 'conte pt u a I breakthrough” but failed, and at their meeting last summer Brezhnev and former President Nixon could only agree that a new agreement should be “completed at the earliest possible date.”  Associated Press correspondent Barry Schweid reported from Washington Tuesday that Kissinger will view the Soviet response to his proposals for arms negotiations as a test of Brezhnev’s interest iii promoting detente with the new American administration.  U.S. Suspects Soviet Atomic Pact Cheating  WASHINGTON (AP) The I S is a king Russia about some puzzling construction and radar de\element to make sure they d> not violate the nuclear arms limitation agreement, administration .sources say.  These sources stressed there is no evidence of any Soviet cheating hut that “we are approaching the Russians on certain ambiguities, certain things they are doing  In recent months. U. S. reconnaissance satellites reportedly have pie ked up photographic evidente that the Russians are building something that look-* ah though it could Se new I UBM silos  Source also said the I . s. is asking the Russians about signs that they are developing a new mobile radar that some experts think could be used iii connection with the .Soviet anti-missile system  Presumably Secreter y of  Vt a*. k'n*iniinr a, ill Hisn I vs. the  matter with the Russians during his Moscow talks The 1972 interim agreement on strategic offensive weapons forbids the construction of any additional launching silos for intercontinental ballistic missiles besand those in place or kung built .'is of July I, that year.  They say it is for command and control,” said one administration source, indicating the U. S. already has had ome discussions with the Russians.  There us nothing in the SALT agreement to bar new underground hunker.' for controlling the Soviet misfile force The 1972 U.S.-Soviet treaty li-rn 11 i n g anti missile systems states spec if trail y that “each party undertakes not to develop, test, or deploy ABM systems or component* which are sca-based, air based, space based, or mobile land based ”  There was some opinion that the new radai is designed to improve Russian anti-aircraft defenses, rather than the Soviet ABM system.   

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