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Newspaper
Lompoc Record
Location
Lompoc, California, United States of America
Date
Jan 13, 1975
Page
3
United States economy slips into new year with unemployment at 7.1 percent and 6.5 million unemployed. Payrolls decline. personal income falls. factory pay down. wholesale and consumer prices rise at slower rates. industrial output marks one of its sharpest 20 year declines.
President Ford tells Time magazine the Middle East crisis risks escalating each day without progress toward peace. He signals no immediate U S security guarantee to Israel but calls for real concessions and step by step progress before engaging with Geneva. He notes a link between U S national security and Israeli interests.
Rebels ring Neak Luong, a river town 35 miles from Phnom Penh, in a full siege that has closed the Mekong to shipping for two weeks. The fall would sever the capital’s main supply route. In Saigon, U S aircraft conduct reconnaissance over North Vietnam and Viet Cong areas as a 1,000-man South Vietnamese task force fights into Hoai Duc.
Soviet cosmonauts Lt. Col. Alexei Gubarev and Georgi Grechko spent their second day reactivating Salyut 4 systems and checking instruments. They reported feeling well and all onboard systems functioning normally as they approach 288 orbits. The docking with the station was noted as precise despite radio silence during linkup.
In Paris at Orly Field two men fired bazooka shells toward an El Al jet taxiing for takeoff with 147 aboard. A Yugoslav airliner was struck causing injuries to a Yugoslav steward and a French policeman. no one on El Al was hurt. Authorities cite a probable broader organization behind the attack.
President Ford plans a State of the Union address addressing job creation, the economy and energy. He drafts proposals including a possible one time 10 percent tax rebate and a $10 to $15 billion 1975 tax cut, funded by oil tax increases. Deficit projections loom despite the plan.
New Agriculture Department estimates show the poor bear higher food costs than better off shoppers, though the gap may be narrowing. The Economy Diet for a four person family cost 36.30 weekly in November, up 12 percent from a year earlier, while the Liberal Plan rose 10.8 percent. Low and Moderate diet costs also rose, with four person families earning 6000 to 9000 dollars up 12 percent and 9 to 15 thousand dollar earners up 11.1 percent from a year earlier.
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