European Stars And Stripes (Newspaper) - March 29, 1986, Darmstadt, Hesse                                Page 4 the stars and stripes saturday March 29,1986 Economy still sending out positive signals Washington a the govern ment s main forecasting gauge of future economic activity Rose a Sharp 0.7 percent in february As the Economy continued to Send out signals of better Days ahead. The Commerce department said the in crease in its Index of leading indicators was the largest since a 1.5 percent Decem Ber Rise which had been the biggest surgeon two years. In addition the january change in the Index which had originally been reported As a 0.6 percent drop was revised upward on the basis of new data to show no change. The february increase and the big up Ward revision in january were certain to be viewed As positive signals that economic growth will strengthen in the coming months. The Economy As measured by the Gross National product Rose at a barely perceptible 0.7 percent annual rate in the final three months of the year a weak change that helped push growth for All of 1985 More pieces from shuttle brought up Cape canaveral Fla. Up divers hauled up More smashed wreckage from challenger s Crew Cabin Friday but Navy experts say they cannot guarantee recovery of key rocket debris before the National aeronautics and space administration s Accident report is due next month. A solid week of High winds and rough seas have disrupted Salvage work but search ships pressed on Friday hoping for predicted improvement in what has been a unrelenting period of bad weather. The Salvage ship preserver whose divers earlier recovered 75 percent of challenger s Crew Cabin and some remains of the seven astronauts remained at sea overnight and Early Friday ran into More problems with poor visibility on the seabed near the Cabin crash site called Contact 67." nonetheless divers were Able to haul up four fairly Good size pieces of wreck age. Right now my intentions Are to remain on station weather permitting the ship Captain radioed. Recovery is going slow. And i Don t anticipate filling the Fantail too fast wit what debris we be got available. So i Don t anticipate coming in  Down to 2.2 percent the slowest performance since the 1982 recession year. But the Reagan administration is predicting growth will rebound to a robust 4 percent this year. While this prediction was greeted with widespread pessimism when it was first issued a number of economists now believe it May come True. The new found optimism comes from the Steep declines in Oil prices of recent months. The Price of West Texas crude has plunged by almost $20 a barrel since november reflecting similar declines in worldwide Oil prices. The dramatic plunge in Oil prices has already helped to push interest rates Down and the combination of lower interest rates and lower Oil Bills is expected to give the Economy a significant boost in the month ahead most analysts feel. The leading Index is designed to predict economic activity six to nine months Down the Road. Many analysts believe that the rebound in growth will really pick up steam in the second half of the year. Some economist believe that growth in the first three months of 1986 rebounded Only slightly from the weak 0.7 percent rate in the final three months of 1985. With the january revision the Index has now gone without a decline for 10 straight months. The largest positive Factor by far last month was a Rise in orders for business Cap ital equipment. The other four positive fac tors were a Rise in Stock prices an increase in the Money Supply a gain in the number of new businesses and a slowdown in product deliveries considered a positive Factor because it reflects growing demand. The february Rise came despite the fact that six of the indicators fell last month As opposed to five that increased. The biggest negative Factor was a decline in the length of the average workweek. Other negative factors were a drop in build ing permits a decline in business and con Sumer credit a drop in manufacturers or Ders for consumer goods a Rise in weekly unemployment claims and a change i prices for sensitive materials. The various changes left the Index at175.4 percent of its 1967 base of 100. Economists Are in general agreement about the positive Impact of falling Oil prices but they disagree Over the negative fallout from lower Oil Bills. Some argue that economic growth in the first half of the year will be depressed because of cutbacks in regions of the country with Energy Industry concentrations. The dispute Over growth in the first three months of the year is not just an academic exercise. Under provisions of the Gramm Rudman budget balancing Law if Gnu growth is below 1 percent for two consecutive quarters then Congress must vote on whether to suspend the required budget cuts for a year. While pessimistic forecasters say first Quarter growth could Well be under 1 per cent most analysts Are calling for growth of 2 percent or better. Canine Kitty up photos ii two arts affix Asaua higher cancer rate reported near Massachusetts base fryc Towt / am a i l. T .1.  of Boston a people who live in the four Cape cod towns adjoining the Massachusetts military reservation die from can cer at a rate 7 percent higher than do Resi dents of other parts of the Cape according to a state study. The towns with the higher cancer death rate Bourne Falmouth Mashpee and Sandwich surround the military Reser vation that includes Otis air National guard base. The study on cancer death rates was re leased thursday. State health officials re viewed data on pollution originating at the base and said contaminants including carcinogens in the drinking water Are an important potential cancer risk for residents near the base. But David gute director of the state Center for health promotion and Environ mental disease prevention said there is not enough information to say the environment is making people sick or to Rule out or Rule in the effect of contamination from  health officials must collect More information on air Quality at the military installation and on the histories of residents of Western Cape cod to try to determine Possi ble causes of cancer he said. The report said women living in the West Ern part of the Cape get liver bladder and kidney cancer four times More often than women living in other parts of the Cape. Joel Feigenbaum a spokesman for a Resi dents group that requested the study said those types of canc cars can be caused by polluted drinking water. Studies have shown that hazardous wastes and carcinogenic chemicals were dumped or spilled at the military base and have entered the Cape s ground water. The report released thursday also said that residents of Western Cape cod had a 154 percent greater heart disease death rate and a 14.1 percent higher respiratory death rate than residents of the rest of the Cape. Telephone messages left Early Friday with Otis officials were not returned. Or Wavu by Wun us orc Iris were not returned. Increased Security at san Diego naval bases ties up traffic san Diego a traffic entering latinnc.,_ of aipie0 up traffic enteri"8 lations within the City limits several Navy bases Here was backed up for Miles Friday As vehicles were searched in response to threats of terrorism following clashes Between . And libyan Force authorities said. San Diego police placed a citywide tray say it s business As usual but it s hat something s going on said Mith of the police traffic division. John Palafoutas administrative assist ant to rep. Duncan Hunter r-calif., a member of the House armed services committee said the Navy confirmed Secu Rity was stepped up in reaction to libyan threats. Hunter is a member of the House armed services committee. There has been an increase in Security on our base it. John Semcken of the Miramar naval As said. Security would remain in effect. At the North Island naval As on Cor onado across the Bay from downtown san Diego a civilian Navy spokesman said there were no traffic problems getting tothe base