European Stars and Stripes (Newspaper) - July 31, 1978, Darmstadt, Hesse Page 10 the stars and stripes monday july 31, 1978 spending curbs tax incentives included anti inflation options considered by r. Gregory Nokes Washington a faced with a rapidly worsening inflation rate the Carter administration is exploring a wide Range of options to put new clout into its anti inflation program administration officials say. While the administration has not yet focused on any single new measure those receiving careful consideration include tax incentive programs to Reward industries whose wage and Price increases Are kept within a certain Range. Labor management councils in which key industries could draw up voluntary wage and Price guidelines aimed at gradually reducing the growth of wages and prices. Further curbing of Federal spending through such measures As a temporary luring freeze by the Federal government. Although inflation has worsened wage and Price controls still Are out in nearly everybody s speculation and the administration continues to disavow them in the strongest possible terms. Of the measures that Are being Dis cussed it is understood that none has gone to the president s desk yet because no firm conclusions have been reached about any of them even at lower Levels of the administration. But the fact that alternative proposals Are being considered indicates an admission that the administration s current anti inflation program which stresses Volun tary wage and Price restraint by business and labor is falling Short of expectations. Both wages and prices continue to Rise at a Pace exceeding administration goals and officials concede there is Little Prospect of winning voluntary cooperation the Way things Are going. Unions Aren t listening and neither Are businesses officials say. G. William Miller chairman of the Federal Reserve Board complained that while some Busi Nesses initially said they would cooperate most Are now backing off. None of the several Union contracts settled since the program was initiated car Riding in a convertible Minneapolis millionaire Percy Ross tosses Silver dollars to children along the route of the millionaire has his fling Aqua Tennial torchlight Parade. The head of an investment firm Flung a total of $16,500 in Silver dollars. Rockefeller used to give out dimes during the de pression said Ross. They d be Worth a Dollar _ a photo most residents of nursing Homes satisfied with Core Survey shows Washington up nursing Homes and other Long term care facilities across the nation have been performing Well enough to satisfy 90 percent of heir Resi dents and 92 percent of the patients next of Kin according to a 1976 government sur vey released saturday. The census Bureau Survey also said 75 percent of the residents were satisfied with the social activities offered. The Survey conducted for the depart ment of health education and welfare showed that 15 million persons resided in 2,608 lung term care facilities during 1976 it defined Long term As a period of 30 Days or More three fourths of the facilities surveyed were nursing or convalescent Homes and the remainder included mainly Homes for the physically or mentally handicapped psychiatric centers and children s institutions. About 80 percent of the facilities had fewer than 100 Beds 53 percent were oper ated for profit 39 percent were private non profit and 8 percent were govern ment owned and operated. Nine out of 10 residents said they liked the staff members lodging and accommodations and 92 percent of next of Kin said they believed that needs were being met by inc institutions. However while a majority of Long term care institutions had been licensed by one or Mure state and or local agencies less than one fifth were accredited by at least one professional organization the Survey said. Forty percent of the institutions it indicated used residents fees As their main source of financial support while 37 per cent were funded mainly through the medi Caid program less than 1 percent reported medicare As their main source of support. The results also said that for about six out of every 10 institutions the monthly charges for Basic care and the Cost to the institution to provide that care were about equal that is they were within $49 of the lowest monthly charges were for Small institutions for the physically Handi capped with median costs of $346 and children s institutions with median costs of $472. Larger children s institutions charged up o $1,000 a month courts admitted 25 percent of the Orcsi dents of facilities for the physically and mentally handicapped and Mure than one third of the residents of psychiatric institutions and nearly one half of the residents of children s facilities were admitted by a court the Survey said it said almost no nursing Home residents were Admi led As a result of court action. While the Survey concluded that fewer than one half of the institutions employed at least one physician psychologist psychiatrist or 84 percent of the institutions kept a medical doctor on Call at Al limes tier this year with the possible exception of the yet a ratified postal workers agree ment has heeded the administration s plea to keep wage increases below the Levels of the past two years. The problem with the administration program in the opinion of some officials is that no one thinks it will work and Busi Ness and labor leaders Don t want to commit themselves in Advance to behaviour they could not follow if inflation continues out of control. Friday s report showing consumer prices increased 0.9 percent in june for the third consecutive month was a major blow officials conceded because june was the month when things were supposed to begin getting better. With Price increases of 5.1 percent during the first six months of the year an annual rate of 10.4 percent one offi Cial conceded it is unlikely the administration can keep inflation this year at the 7.2 percent target it Only recently set. Even that target had been revised upward from the 6.1 percent goal the administration set in january. Prices last year Rose by 6.8 percent so the situation clearly is getting worse and repeated assurances by administration officials that the Price trend will improve dramatically after mid year sound hollow to businesses and labor unions. Discussions on new measures to contain inflation Are being led in the administration by Robert s. Strauss the president s special adviser on inflation and Barry Bosworth the director of the Council on wage and Price stability. Warns of recession Bosworth warned recently that the coun try is headed toward another recession if inflation in t soon brought under control. On Friday Miller told the House banking committee a serious recession is Likely in the near future if something in t done soon. Miller in t a member of the administration but he is a Carter appointee and car Ries considerable weight in the White House. Bosworth recently said the administration May soon have a workable tax incentive plan. Although he gave no details such a plan would probably include re warding businesses with a tax break if they kept wages and prices below a certain level. As recently As three months ago officials were saying they did t think any such plan would be feasible because of difficulty in administering it. Most Likely the internal Revenue service would manag it. Guidelines proposed Miller proposed a Council of major Indus tries that would recommend Price and wage guidelines for individual industries to follow. He said he would prefer that approach Over government guidelines. But a guideline is Little More than larget that All sides in an Industry agree to work toward. Although Miller said he was Only offer ing a personal View of what might be done it was Learned that such an approach is under discussion in the administration. Guidelines Are Well Worth exploring said a source who did not want to be men tidied the problem is always How proct eally these things if the guidelines idea proceeds Beyor the discussion stage in the administration it would need to be cleared with business and labor representatives. It could t Wor without their cooperation. While both Strauss and Miller a talked in terms of a second phase my inflation program speculation about comprehensive new plan is premature a1 cording to officials. But one official said obviously the discussions Are intended for something we develop a Good viable idea Well a pose it. But so far it in t
