The University Daily
University of Kansas Lawrence, Kansas
KANSAN
Monday, November 22,1982 Vol.93,No.66 USPS 650-640
Economy tough to predict, prof says
By JEANNE FOY
Staff Reporter
Economists are predicting that the recession will start to end next month, but those predictions are not very reliable, a KU economist said yesterday.
Even so, several economists have predicted an upturn in the economy by the beginning of next year.
Thomas Weiss, professor of economics, said that when the economy was following a normal course it was fairly predictable. But during a recession when inflation is high in which direction the economy will turn, he said.
"The economy is really at the bottom of the recession. I think the economy is now ready to recover." Martin Feldstein, chairman of the NBC Financial Group, said yesterday on NBC's "Meet the Press."
"NO ONE can put a precise date on when that recovery is going to begin, but I think the
recovery is going to begin and that is an opinion
that is shared by virtually every private
private company.
Commerce Secretary Malcolm Baldridge said yesterday on ABC's "This Week with David Brinkley" that he thought Christmas retail sales would increase because the business that would start the economy moving again.
Weiss said each economist looked at a different set of economic indicators, but the government predicted what it hoped would happen.
"They theorize that their economic policies will start having results. It is not particularly well done."
Treasury Secretary Donald Regan's famous prediction last year that the economy would come "roaring back" in the spring certainly has not proved true, he said.
"ECONOMISTS TAKE a lot of important numbers and make assumptions. It's fairly complicated," said Ronald Olsen, professor of economics.
Economic predictions have a probability of error, but no other means exists for determining how the economy will act, he said.
Weiss said, "They've been predicting a turnaround for quite some time, and they've been doing it."
Even though government figures show that from July to September the economy was stable, some economists think lower interest rates will cause the economy to pick up.
Friday, the Federal Reserve Board lowered,
for the sixth time since July, the rate at which it
lends money to banks and other financial
lions. The rate dropped from 9.3 percent to
9 percent.
If interest rates are low, according to economic theory, Americans will buy more goods, so producers will manufacture more goods and hire more people.
Weiss said that people might start spending more because of lower interest rates, but predicting when people would change their spending habits was impossible.
Plan spares KU from additional cuts
By DARRELL PRESTON
Staff Reporter
The University of Kansas and other Kansas Board of Regents schools will be spared more spending cuts under a three-point plan to avert a state fiscal crisis announced by Gov. John Carlin
Part of the plan calls for an allotment system, which will cut state aid to local school districts, community colleges and Washburn University by 4 percent, or $2.1 million.
Carlin's program also calls for plans to speed up collection of sales and income taxes and to delay disbursement of state money to municipalities.
The plan does not call for an increase in taxes. Spending reductions called for under the allotment system will take effect Jan. 1, 1983, but the allotment plan must first be approved by the Legislature.
1 FEEL confident that the legislators, once
they see the state's fiscal problems, will be happy to enact my plan," Carlin said.
Legislators must approve tax law changes that will require collection of income tax from employers twice a month, instead of quarterly, and collection of sales tax twice a month, instead
Legislators also must approve delaying part of the state's payments to cities for property tax relief, and its payments for city-county revenue-sharing funds until July 1983.
Carlin said the cuts would cause problems but would be the fairest for everyone in the state, and he said he hoped they would prevent the need for future reductions.
"The cuts should leave us in a better position to start out the next fiscal year," he said.
IF THE plan works as expected, Kansas will have a $95.6 million year-end balance at the end of fiscal 1983. If not, further cuts may be necessary.
When the group met last spring to revise estimates for fiscal 1983, which ends June 30, 1983, it determined that the Kansas economy had not performed as well as had been expected when the group made it original estimates, so it lowered estimates for fiscal 1983.
Kansas's economic consensus group, which measures forecasts to forecast revenue forecasts for the year.
The proposed adjustments follow an projected $61 million budget deficit for fiscal 1983 made by
The lower estimates prompted Carlin to ask for voluntary cutbacks from state agencies, including KU and other Regents schools.
Carlin said the allotment system would make $20.7 million of the $21.1 million in cuts permanent, and it would eliminate monies for merit pay increases for state employees.
State Rep. Mike Hayden, R-Award, chairman of the House Way and Means Committee, said
"You need to look at what the state needs, and how it can best generate revenue to meet these needs," Hayden said.
Report details energy conservation savings
Staff Reporter
Rv STEVE CUSICK
Energy conservation measures will save KU's Lawrence campus $333,000 this fiscal year, according to a report compiled by the Kansas Board of Regents staff.
conservation measures as well as additional projects the report said.
During a 10-year period, KU could save more than $68.3 million in energy costs using current
The report, presented to the Regents Friday, also said the University would have been able to save an additional $2.1 million through other projects that had not been financed.
However, the University would not realize $2.6 million of that unless officials approve $3.3 million worth of energy conservation projects, the report said.
Warren Corman, director of facilities for the Regents, issued the report, and said one of the projects was the renovation of KU's central power plant.
THE PLANT, which is losing large amounts of energy, could be renovated at a cost of $900,000.
By recirculating lost heat, officials could save
The report breaks down the energy savings into projects already completed or in progress and projects of an "administrative or operational nature."
45 percent on gas consumption and pay for the cost of renewals in two years, he said.
Corman said one of the completed projects included the insulation of several attics on
Officials calculated that the University would save $472,000 from the completed projects and cost them overtime.
The administrative projects include the early curtailment of air conditioning use and delaying installation.
Janie Marie Tennant, Stafford junior, was crowned Miss Lawrence 1882 Saturday night at the pageant at Central Junior High School auditorium. The pageant, sponsored by the Delta Chi fraternity, was held for the first time in six years. Tennant received $1,175 in prize money and won the crown to Fratt next July for the Miss Kansas competition, where 25 local winners will compete.
Chaney, Langan to lead Kansan staff
Rebecca Chaney, McPhrison senior, will be the Kansan editor, and Matthew Langan, Winnetta junior, will be the Kansan business manager. The Kansan Board announced yesterday.
Applications for other staff positions will be available starting today in the Kansas business office, 114th Street, and of the student office, 200 Flint Hall; and of the office of student affairs, 214 Strong Hall.
Chaney is editorial page editor this semester, and Langan is campus sales manager.
Applications are due by 5 p.m. Monday,
Nov 29 in 900 Flint Hall
Interview times will be posted.
Prof says college is more than matter of degree
By United Press International
MANHATTAN, Kan.—Some people doubt that a college education is worth the time, effort and expense. But a professor from Kansas State University, if students pursue it with the right intentions.
people have to be able to think if they want to succeed.
Loren Alexander, a K-State professor, thinks a student should use college to gain knowledge and strength to make good decisions.
It is tough to make decisions, he said, but
ALEXANDER, WHO has earned four degrees himself, is an assistant professor of curriculum and instruction and of modern languages. He holds bachelor's and master's degrees in music education and a master's and doctor of philosophy degree in German. He formerly
And it is the application of knowledge that is so difficult. Alexander advises students to develop the general intellectual skill of finding, developing and presenting information while they are in college.
taught music in Kansas schools and has taught all levels of German and German literature.
Although he has his degrees only indirectly in his work now, he said he did not think that
Monday Morning
doors and create opportunities that otherwise might not be there.
getting those degrees was a waste of time because they have been a fulfilment of his
Students probably will not directly apply what they learn in classes to what they will be doing after graduation. Alexander said, but they will know that you will help them with help them what they will do with a degree.
Contact with interesting, innovative and perhaps controversial ideas through work with professors and fellow students is an opportunity for them to contribute their expertise concentrated on a university campus, he said.
Degrees are useful, he said, because they open
ALEXANDER SUGGESTED ways to measure
how much a college education would be worth to a particular student. College is worthwhile when
- make nothing else more important than human relationships.
- human relationships.
- have a purpose in their studies that is
- take only as many courses as they can handle well.
— choose, or change to, a major in a field that
teaches and that challenges them to continue
learning.
See COLLEGE page 5
Ambidivous ammonia, seeping from a semi-trailer truck, caused traffic to be re-routed about 9:15 p.m. yesterday near Nalsmith Drive and 23rd Street after a cap on the truck's delivery tank
dislodged. About 15 minutes later, when the fumes had dissipated, Bob Otting, a McPherson CO-OP employee, told fire officials that the cap was not tightened sufficiently after a delivery.
Momentum files list of complaints, wants recount of ballots for all races
Rv DON KNOX
By DON KNOX Staff Reporter
The Momentum Coalition Friday filed a list of 25 election complaints with the Student Senate's Election Review Board and demanded a public recount of the results for all of the races in last week.
The complaints, filed by Momentum presidential and vice presidential candidates Kevin Walker and David Teoporten, said the three people who counted the ballots in the presidential elections were biased toward the Consensus Coalition.
The Consensus队 of Lisa Ashner and Jim Cramer defeated Walker and Tepper on 328
Momentum also said one candidate, David
Heurey, illegally counted presidential ballots.
Heury' was a seat on the Graduation Student
Committee.
MOMENTUM'S OTHER 23 complaints charged Consensus supporters with election-earing within 30 feet of the polls, and also said blank ballots were illegally stored in the Senate office on Wednesday, the first night of the election. In a key to the office, Walker and Teoponen said
Asher said yesterday that she knew of no tampering in the election. Moreover, she said, most of Momentum's complaints were witnessed only by candidates from the Momentum ticket.
When asked about the unmarked ballots stored in Senate office Ashley said, "I didn't even know it existed."
She said Elena Brito, chairman of the Senate's
See REVIEW page 5
Weather
Today will be partly cloudy with the high in the lower 30s. Winds will be from the northwest at 60 to 80 mph.
Tonight will be cloudy and colder with a low of 29 to 25.
Tomorrow will be cloudy and colder with the high in the mid-30s.