The University Daily
KANSAN
University of Kansas Lawrence, Kansas
Wednesday, October 27,1982 Vol.93,No.48 USPS 650-640
Mark Lomax, Kansas City, Mo., freshman, and Scott Perkins, Topea sophomore, played a cadence on their drums while marching across campus earlier this week as part of their initiation into Kappa Kappa Psi, an honorary band fraternity.
Dow activity spurs speculation
By MATTHEW SCHOFIELD
Staff Reporter
Despite a 36-point drop in the Dow Jones industrial average Monday and an 11-point rebound yesterday, area market analysts are predicting that the New York Stock Exchange is just beginning to enter a long, strong bull market.
The 36-point drop was the largest decline in the peak average since Oct. 28, 1929, when the market (purchased) was $15.74.
But Stephen Hill, account executive for Dean Witter Reynolds, said, "Percentage-wise, Monday's fall was not nearly as large as the one in January," he added. "We have a few few months; you had to expect some decline."
Hill said the market'sgaker yesterday, which sent the average back up to 1,000, indicated the
A number of factors caused the market to fall, but they did not last long enough to destroy it, he said.
PEOPLE WERE taking their profits and getting out," he said. "And there was a lot of disappointment at the Federal Reserve Board not lowering the discount rate."
The Federal Reserve had been expected to lower the discount rate Friday after the Chemical Bank in New York had lowered its prime rate to 11 $\frac{1}{2}$ percent.
The rebound was fueled partly by rumors that the Federal Reserve would cut its discount rate by 25%.
Hill aid the business cycle the United States was in at this point suggested the market would be in a recession.
"We don't think the market has completed one-quarter of its climb," he said. "We see it peaking in the upper teens, around 1,700."
HUT BARRY SHAFFER, professor of economics, said the economy was not in a strong enough position to support a powerful stock market.
"I thought 900 was too high," he said. "I don't foresee the future as that resw."
The high unemployment rate, currently 10.1 percent nationally, along with the business bankruptcy rate of more than 500 a month, a change will be the stock market's albatross, he said.
"Business cannot expand unless people have the money to buy it," he said. "And if people are not willing, that business will fail."
For the market to become solid, a drastic turnaround in the economy would have to take place.
"Even if interest rates and inflation dropped to zero we would be in terrible shape with unemployment and bankrupties being so high," he said.
HARLEY CATLIN, limited partner in Edward D. Jones and Co., said that the economy was turning on and that the market was very solid.
"This is a strong market," he said. "Even if interest rules go up some time it won't stop the economy."
More than $1 trillion in sideline money, money that is waiting to get into the market, should keep the market up and bullish for quite some time, he said.
Sideline money takes time to work its way into the stock market, he said, because investors have to get it out of other markets before they can buy into stocks.
Cattin said that many people bought one-year
All-Said certificates last year in October and
february, making it a good option.
AS PEOPLE start to sell their stocks to profit from the quick market climb of 309 points since the early days of the market.
"Monday we were basically just having healthy corrections in the market, we could correct down as far as 930," he said. "But of over $101 billion in T-Bill and bond money waiting to get into the market, only $2 or $4 billion has gone in. Even the biggest bear predictors on Wall Street are predicting the market will close the year at over 1,200. And there are a lot of pretty respectable analysts who think the market will eventually go over 2,000."
New night bus route starts Monday
Bear markets denote losses in stock prices whereas bull markets denote gains.
"It's a rare opportunity," he said. "No matter what happens in the elections this market is going to remain strong."
A bull market like the present one probably is a once in a lifetime shot, Cattin said.
Bv DON KNOX
Staff Reporter
The Student Senate Transportation Board, in its third meeting since its recent reorganization, last night established a night campus of Lawrence and Lawrence of Lawrence's largest apartment complexes.
The new night route, which will combine the Trailridge and 24th and Ridge Court routes, will begin operating Monday. The route will move once every hour between 6 p.m. and 10 p.m.
The route will serve the Trailridge, Gatehouse and Park 25 apartment complexes, as well as several smaller apartments near 24th and Ridge Court.
The establishment of the route was the first significant addition to the KU on Wheels bus service since an East Lawrence route was opened. The Duane Ggle, owner of the Lawrence Bus Co.
The Transportation Board's action came after some uncertainty arose concerning the development of the new route.
ACCORDING TO budget figures approved last month by the Senate, the bus service was expected to have a surplus of $128,900 by July 30.
But Terry Frederick, Senate administrative assistant, said those figures did not account for funds currently missing from the KU On wheels. "I don't know if we ever, however, to say how much money was missed
Steve McMurry, former coordinator of KU on
Wheels, was arrested Sept. 15 on charges of felony theft involving $30,455 of bus system
David Adkins, student body president and the Transportation Board's chairman, said, "I don't think we can release those figures until they are proven to be approved by the University and its attorneys."
But Harry Warren, Douglas County assistant district attorney, said last week that a police investigation had determined that at least one man was missing from the bus system's funds.
MCMURY, WHO was a student senator at the time of his arrest, had overseen bus system funds since 1974. A preliminary hearing in the See BOARD page 5
Classified employees lookwarily at future
Staff Reporter
By STEVE CUSICK
The talk among KU Printing Service employees these days often focuses on what the future will bring, including the possibility of layoffs, a printing service supervisor said yesterday.
Conversations about layoffs are not confined to Printing Services, either.
Members of the Classified Senate said talk about layoffs had calmed down somewhat since the University budget reductions of last year, but the prospect still was on people's minds.
Last month, Gov. John Carlin named a special committee of state employee to study alterna-
tions in the job market.
Gall Hamilton, president of the Classified Senate, said the committee had discussed only procedures for laying off employees. It will be possible to layoffs during a meeting tomorrow, she said.
THE STATE should look other places before it asks for further reductions in KU's budget, she said.
"We've made a 4 percent cut and I think we need to look at other alternatives before we start laying people off," she said.
But the rumors continue.
The plant will be considered less essential than academic departments when it comes time to move.
"I think most of them are wondering just what is going to happen," Leroy Farmer, a supervisor and member of the Classified Senate, said of the Printing Service employees.
Farmer, who oversees 16 of the 60 to 70 workers at the plant, said the employees thought that the printing plant would be one of the departments most affected by more budget
THE PROSPECT of losing jobs also has made some employees toe the mark more, he said.
See RUMORS page 5
Consumer prices barely rise; inflation rate lowest in years
WASHINGTON-Consumer prices inched up only 0.2 percent last month, the Labor Department said yesterday — another sign just a week later. The increase finished with the lowest inflation rate in a decade.
September's Consumer Price Index was slowed by price declines for houses, mortgages, gasoline, tires and many other goods and services.
By United Press International
So far this year inflation has fallen to a 4.8 percent annual rate, which matches that of 1976.
Most analysts expect the year's average to benefit from more of the same price moderation at the expense of *z* continuation of the recession, which would increase the pressure high unemployment rate of 10.1 percent.
through December, 1982 will finish with the lowest inflation rate since 1972's 3.4 percent.
If their expectations hold from October
PRESIDENT REAGAN was happy to showcase the favorable economic news with only a few days before Tuesday's elections, in which the economy has been a major issue.
"The rate of increase in the past couple of months would suggest it's going to be a lower rate as the year progresses," he told reporters heading to North Carolina on a campaign troi
"By a curious coincidence," Reagan said, "the last time we had that (4.8 percent) inflation rate was the last time there was a Republican president — in 1978 when Gerald Ford was president.
House Speaker Thomas O'Neill Jr., D-Mass, responding with an equally jointan jab, said low inflation "is the direct result of the worst recession since the 1930s."
See ECONOMY page 5
Weather
Today will be mostly cloudy and windy with south to southeast winds at 15 to 25 mph. The high will be around 70, according to the National Weather Service.
Computer sports speed during enrollment test
Tonight will be mostly cloudy with a 30 percent chance of showers. The low will be
By DEBORAH BAER Staff Reporter
Tomorrow will be partly cloudy and cooler. The high will be in the low to mid-60s.
At 1:23:10 p.m. yesterday, the computer operator typed in my student number.
1: 14:35, the printer in the back of the room buzzed in preparation and began to type out my notes.
My adviser made some suggestions. Then I filled out my enrollment card, in ink, and
The adviser also gave me a yellow card for a class that required the instructor's consent for
In one minute and 25 seconds, I had enrolled.
Of course immediately after I enrolled, the operator dropped all the classes from my midnote. I do not really get to enrol until Nov 19.
Gary Thompson, director of student records and registration, said a student who received all of his original class choices could enroll in 90 classes, although each student has been allotted six minutes.
THE SCHEDULE I BROUGHT in had a problem, the data entry operator was new at the time.
Then, on scratch paper, I wrote down the classes I thought I would take and went to see my adviser. Thompson said students should not fill out the actual enrollment card until after seeing an adviser, since each student gets only one card.
Before I went to the enrollment center, 111 Strong Hall, I picked up a timetable at Strong and my confidential folder in the School of Journalism records office.
(Pages four and five of the timetable tell students when and where to get their folders.)
IF AN INSTRUCTOR'S PERMISSION is required, the course listing in the timetable will have an after the line number. If periterm permission is needed, there will be a "P" after the line number.
After I finished filling out my card and received yellow permission cards for the two classes that I noticed required them (I missed noticing the third one), I went to get the required pass.
If a student does not fill out his card There will be a demonstration of the early enrollment process at 3 p.m. tomorrow in the Academic Computing Center Auditorium.
But I had done all that, I bought, so in I went.
I sat down beside Kim O'Bryan at one of the 15 terminals that had been acquired from the center, the latter, checked my watch and asked her to begin.
completely, he will not be allowed into the enrollment center, Thompson said.
First, she typed in my student number, which appears at the top of my enrollment card.
degree I was seeking appeared on the screen.
Then O'Bryton typed in the line numbers from
"London."
appears at the top of my enlistment card.
A command later, my name, school, level and
CLASS TIMES, room numbers, etc., appeared on the screen.
And at the bottom, the IBM told us in bright green letters that an error had been made.
One of my classes can be taken for any number of hours between one and four, and the computer did not know how many hours I wanted. O'Bryan looked at my enrollment card, typed "3" in the appropriate spot on the screen, and the computer was satisfied.
See EARLY page 5
Buddha Mongolian KANSAN
Kim O'Bryon, data entry operator, entered a class schedule into a terminal yesterday to demonstrate the enrollment process.