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Publication: European Stars and Stripes Saturday, August 10, 1985

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   European Stars And Stripes (Newspaper) - August 10, 1985, Darmstadt, Hesse                                Page 18 the stars and stripes August 1985 Canadas Mulroney faces major decisions by Charles Campbell associated press Ess than a year after winning the biggest to encourage foreign l landslide election Victory in Canadian Histo prime minister Brian Mulroney is finding it Tricky to stay popular while in after being forced by an emotional Public outcry to reverse one of the progressive conservative governments few important initiatives to Cut Canadas Large budget Mulroney is being very cautious these he is approaching two major decisions whether to accept president reagans invitation to participate in Star wars and whether to propose some kind of free Trade agreement with the United the government appeared almost traumatized by the fierce reaction to its proposal to limit old age pen Sion costo living adjustments to the inflation rate minus 3 the pensions Are fully in finance minister Michael Wilson proposed the partial Dei dexa Tion in his May 23 saying it would save hundreds of Mil Lions of the problem was that mul in his election Campaign last promised he would never touch the inflation Protection for pen the outcry was soon Wilson announced the government was Back ing Mulroney was Riding High after his 4 Victory gave him 211 seats in Canadas 282 member the most although John Diefenbaker in 1957 had a slightly higher percentage of a smaller the liberals were reduced to just 40 the socialist new democrats have 30 and there is one after the Public opinion polls had More than half the electorate saying they would choose the tories again an exceptional showing but As Mulroney troubles have the approval rating has the latest Gallup poll showed 44 percent of those surveyed favouring the conservatives to 33 percent for the liberals and 21 percent for the new Mulroney position is still not so he has his huge majority in remains Well ahead in popularity of the devastated liberals who had governed for 20 of the previous 21 years and can Call the next election any time in the next four he has won Praise for repairing relations with the pow Erful provincial for putting in place a new regime of taxes on Oil and Gas production to stimulate the Industry and for replacing the foreign investment review Agency a Symbol of prickly Canadian nationalism with an Agency called investment under orders up photo Brian Mulroney right with finance minister Michael but the government has been rattled by its shaky handling of the pension Issue and by such Embarrass ing affairs As the resignation of defense minister Rob Ert Coates for socializing in a Sleazy West German things Promise to get More difficult because of developments in provincial which have great Powers in Canadas Loose the liberals have taken Over in the most populous ending a 42year tory so Mulroney will have to Deal with new Liberal Premier David Peterson on such matters As International Trade and acid a Liberal government is also nearly certain to take Over in Quebec this fall or next even though Mulroney a native of Quebec was a Leader in the fight against the separatist Aims of the parti Quebe Cois under Premier Rene the pm hated the liberals so much they helped Mulroney in last years election and continued to have Good relations with the tory the top issues facing the government Are the proposals for free Trade and the strategic defense known As Star under Mulroney agreed to let a parliamentary committee travel the country asking for comment on both is sues in Public hearings and report in Mulroney has worked hard nurturing a close relationship with Reagan and it appears he would like to oblige his Friend by participating in the but he has to be cautious about widespread Public which Are spilling out at the Mulroney is even More cautious about Many Canadian economists and Industrial leaders saying nearly All other Industrial countries have unimpeded Access to Large consumer markets argue that can Ada must negotiate a Trade pact with the United states or be left but free Trade is one of the most emotional issues in Canadian twice governments were kicked out of office for proposing such part of Mulroney strategy is refusing to use the pre Ferring Freer Trade enhancement or a Cess to whatever its the Canadian labor the Ontario Liberal government and representatives of such protected industries As textiles and Beer say there against Canadian newspaper recently report ing a surge of interest in Trade now Sug Gest Mulroney May prefer not to risk getting on the unpopular Side of another emotional cum nosh  rnpsouta00ut Senegal and Gambia fell in communist Coute ims about flourishing a Mockaite n today crossword by Eugene Sheffer across Lone 4 two 8 three 12 May honoree 13 in really 14 Steak order 15 mine output 16 soft drink 17 samoan port 18 fist held weapon 21 blushing 22 suffix 34 Long time 35 Airport autos 36 the works Jit exodus hero 38 gave in 45 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