Ambassador Notes Economic Trouble By Suellen McKinley British efforts to stabilize the pound by placing a surcharge on imports could temporarily hurt the United States and other exporters to United Kingdom countries, Lord Harlech, British Ambassador to the United States, said Friday. Lord Harlech, formerly Sir David Ormsby Gore, was speaking at a press conference Friday afternoon at the Kansas Union. He commented on world affairs ranging from nuclear weapons to the Common Market. Lord Harlech had been guest of honor the night before at a dinner meeting of the English-Speaking Union in Kansas City. The ambassador said that by this autumn the British government could tell that exports were not rising fast enough to maintain the precarious balance between imports and exports. "MAINTAINING THIS BALANCE is like sitting on a knife's edge." Lord Harlech said. While the government was trying to expand the economy at a fast rate, the exports were not rising fast enough, and there was a loss of confidence in the pound, Lord Harlech said. The British government felt that exports and imports might not get back into balance by themselves and that "drastic steps" were necessary, Lord Harlech said. HE SAID THE ECONOMIC reserves in Great Britain in proportion to the liabilities were less than the United States'. One of the steps taken to stabilize the economy was to place a heavy surcharge on imports and a marginal tax rebate on exports. There was also an increase on lending to seven per cent. As imports decline substantially, the pound will stabilize, and the surcharge and increased bank rate can be gradually removed, he said. The surcharge does not include raw materials such as tobacco and grain, which comprise many U.S. exports. "IWOULD EXPECT THE SURCHARGE to do some harm to U.S. exports for a while," Lord Harlech said. "However, we are determined to do away with it at the earliest possible date." On the topic of nuclear weapons, Lord Harlech said the British people recognized the need for keeping "rather formidable" nuclear weapons as long as the Soviet Union had them. The question today, according to the ambassador, is who should provide these weapons. "THE UNITED STATES IS PROVIDING them primarily now," Lord Harlech said. "We have been seeking to find out if there is any way we can share nuclear weapons with alliance (NATO) countries, so we don't have to maintain them independently. Lord Harlech said the nuclear arms question was a source of debate between the two British parties. The Conservatives say that Britain should retain its own arsenal. British hopes for gaining entrance into the Common Market were described by Lord Harlech as "poor." "The objections that France has advanced still remain," the ambassador said. "We do not wish to re-embark on negotiations which are bound to fail." LORD HARLECH SAID THAT a partial membership could perhaps be influenced by French policy. The British government must watch the development of Common Market policy, he said. "Although we have been excluded from the Common Market, there is no reason why we should not have friendly relationships with the member countries," Lord Harlech said. "We are still interested in finding other cooperative enterprises." The British ambassador defined the controversy in the United Nations over Russia's delinquent dues "not as a dispute between the U.S.S.R. and the United States, but a dispute between the U.S.S.R. and all nations who want to uphold the U.N. charter." HE SAID THAT IF THE Soviet Union did not pay their dues, they should lose their vote in the General Assembly under the provisions of the charter. England upholds the provisions of the charter, he said. Lord Harlech also commented on the possibility of Southern Rhodesia becoming an independent nation. "It would be a great mistake for Southern Rhodesia to become independent with the aid of the rebels," Lord Harlech said. "They would have no stability and would be an outlaw to other African nations." Under these circumstances, Southern Rhodesia would not be able to maintain relations with the Commonwealth, he said. AFTER THE PRESS CONFERENCE, Lord Harlech attended a reception at the Kansas Union to greet students from Commonwealth countries. While he drank tea (the only liquid refreshment served at the Englishman's reception), Lord Harlech chatted with his countrymen and other guests on topics ranging from Kansas City steaks to the British Press. Earlier the British ambassador had attended a luncheon at the Kansas Union with four Rhodes Scholars, who studied at Oxford University in England. James R. Surface, vice chancellor and dean of faculties was host at the luncheon in the absence of Chancellor W. Clarke Wescoe. Lord Harlech has been British ambassador to the U.S. since October 1961. Daily hansan 62 Year, No. 57 LAWRENCF, KANSAS Monday, Dec. 14, 1964 KU's Proposed Budget Cut by State Director By Robert Henry A Board of Regents budget request for KU's 1966 fiscal year was slashed Friday by James Bibb, state budget director, at hearings in Topeka for all colleges and universities under the Board of Regents. Bibb's recommendation to Governor-elect William Avery is more than $1,387,000 below that requested for KU by the Board of Regents. Among the items rejected by Bibt was a four per cent increase in salaries for KU faculty members. "WHAT MUST BE REMEMBERED is that the budget director's recommendations are made with a view to stimulating discussion," W. Clarke Wescoe, KU chancellor, said this morning in a prepared statement. "The budget hearing . . . was very satisfactory so far as higher education was concerned." Chancellor Wesoe said. "The governor listened with a sympathetic ear. I believe that he, who is convinced of the need for expanding Kansas' economic base, recognizes full well that higher education is the basic building block of the expansion," the chancellor said. AMONG THE ITEMS which were requested for KU by the regents and the budget director approved were $2,750,000 for a new biological and life science building with funds to be allocated over a two year period and $345,000 for an addition to Malott Hall. The chancellor said, "There is no question that to fund the new budget for the state, increases in taxes will be required. I, for one, am prepared to pay them—for Kansas must move forward." "Mr. Avery is the key. His background, both by way of experience and of education, must have convinced him that higher education is the state's No.1 priority." Chancellor Wescoe said. Bibb will also recommend $450,000 for the second phase of the new physical education building, the first phase of which is now under construction across the street south of Summerfield Hall; $275,000 for remodeling the "C" building at the KU Medical Center in Kansas City to provide facilities for treating patients from the state penitentiary at Lansing; an eight per cent increase in civil service personnel for the Geological Survey; and an eight per cent increase in salaries for civil service employs. In addition, the budget director approved an increase of 61.3 new faculty members at an average salary of $8,000; an addition of 22 faculty members for the summer session at a cost of $44,000; an increase of $152,000 for operational funds; and a $45,000 increase in funds for operation of the power plant. THE REGENTS HAD REQUESTED 64 new faculty members, an increase of $210,000 for operational funds, and a $75,000 increase for the power plant. Among the requests which the budget director rejected were a $45- Fire at Lewis Greets Dates A small fire in a trash chute added a little extra glow to the Christmas activities at Lewis Women's Residence Hall Saturday night. The fire was discovered in a trash chute between the sixth and seventh floors on the north wing of the hall. The alarm was sounded shortly before 6 p.m., just minutes before many residents and their dates were to begin a formal Christmas dinner. Residents poured out of the seven-story hall as a fire truck and several police cars arrived. Many of the women had been entertaining men guests in the lounges of the hall during an open house. MORE THAN 500 people gathered in the first floor areas of the building while firemen unraveled a hose and doused the flames upstairs. 000 increase in funds for student help; a $75,000 special book fund for the library; $150,000 for expansion of the University Press; $15,000 for a sub-basement at Blake Hall; $25,000 to repair and replace windows in Marvin Hall; $20,000 for outdoor tennis and handball courts; and $15,000 for sidewalks leading to the Blake Hall area. In action Saturday, the Board of Regents announced a cooperative program between the three Kansas universities—KU, Kansas State University, Wichita State University—and the University of Missouri. RECOMMENDED BY KU'S Chancellor Wescoe and Elmer Ellis, president of MU, the program calls for an exchange of students between the two states to eliminate expensive duplication of instructional programs. Kansas students will attend the school of dentistry at MU in Kansas City, the school of forestry and the program of wildlife management at MU in Columbia, and the mining engineering program at MU in Rolla. MU students will attend schools of architecture and engineering at KU and KSU. KU will also offer graduate work in social work, and KSU will offer their program in grain milling. The program must be approved by the Missouri Board of Curators. Present plans call for it to go into effect next fall. The regents also approved a contract for acquisition of land near the KU Medical Center in Kansas City. The contract, with the Kansas City, Kan., Urban Renewal Agency, would exchange property near the center's present site. Details concerning the amount of land to be exchanged were not disclosed. The transaction must be approved by the 1965 Kansas Legislature. 40th Year Vespers Tradition Continues By Karen Lambert A Christmas tradition at KU, the annual Christmas Vespers, was presented for the 40th year in Hoch Auditorium yesterday afternoon and evening. Combined performances by the University Symphony, Chamber Choir, Concert Choir, Choral Ensemble, and Laurel Everette Anderson, professor of organ, provided music in the Christmas spirit. Four tableaux designed by faculty members in the art department furnished visual impressions of traditional Christmas stories and customs—prophesying the birth of Christ, caroling, and depicting the 'awe-striken shepherds and a nativity scene. PRECEDING THE Vespers program, Albert Gerken, University carillonneur, played the bells in the Memorial Campanile and the Brass Choir, directed by Kenneth Bloomquist, played Christmas carols from the outdoor balcony of the auditorium. Vespers began with an organ prelude by Prof. Anderson. The auditorium stage was bathed in lavender lights and banked with evergreen and seven point candelabra. The chamber and concert choirs entered the auditorium singing "Oh Come, All Ye Faithful" and carry- lighted candles. In the dark auditorium, the singers were mere shadows, and the flickering candle flames looked like subdued fire flies marching in dignified procession down the aisle. The program featured performances by all the music groups. ROBERT BAUSTIAN, professor of orchestra, Clayton Krebbl, professor of vocal music, and James Ralston, assistant instructor of choral music, shared music direction. The four tableaux were presented with background accompaniment by the choral ensemble. "Prophet," designed by Raymond Eastwood, professor of drawing and painting, represented the prediction of Christ's birth, Gary Mellenbruch, Overland Park junior, as the prophet, stood with arms upraised against a deep red background. The ensemble sang "Lo How a Rose." Weather "Carolers" designed by Nick Vaccaro, associate professor of The weather bureau predicted partly cloudy and colder weather for tonight with clearing weather tomorrow. The low tonight is to be 10 to 15. "THREE SHEPHERDS," designed by Robert Wright, instructor of drawing and painting, and "Nativity," designed by Robert Green, associate professor of drawing and painting, depicted the two most familiar scenes associated with the Christmas story. The shepherds were framed by floor-to-ceiling paintings of impressionistic angels. The tableau was in a black and olive green color scheme and the shepherds wore bright colored robes. drawing and painting, showed four carolers in medieval dress. The carolers were framed in black silhouette of circular lines. Lavender lighting surrounded the tableau. "Navitity" showed the Virgin, dressed in a royal blue and scarlet robe, watching over the child. Christmas Vespers began in 1924 when D. M. Swarthout, former dean of the School of Fine Arts, directed the first program. Since then, audiences have been asked to donate money that goes into the Christmas Vespers Scholarship Fund. This year, seven students majoring in some fine arts program hold scholarships. For the first 13 years, only one Vespers program was given each year. Overflow crowds initiated the decision to give two performances each year, beginning in 1937.