European Stars And Stripes (Newspaper) - April 25, 1987, Darmstadt, Hesse                                Saturday. April 25. 1987 the stars and stripes Page 3 finance experts in dither Over Dollar 26-month slide has spawned new problems new York a Twenty six months after Ilic Dollar began its unsteady descent financial markets Are in turmoil and the United states is searching for new ways 1o get its Trade problems under control. The new approaches include cajoling trading part ners about the need Tor cooperation and threatening them with sanctions when cooperation tails to Materi Alize. See conversion ram. Page 27. Economists agree thai the depreciation of the Dollar remains a powerful tool for making american products More competitive and bringing pressure on trading partners to increase their imports. But the Dollar s slide in recent weeks has sent Stock and Bond markets gyrating Between Hopes for higher exports and corporals profits and fear that a cheap Dollar would trigger higher inflation and interest rates. Related Story pages typifying inc confusion Llic Dow Jones average of 30 Industrial stocks recorded its second biggest Point gain Ever on tuesday up 66.47 Points Only to plunge 51.13 Point son wednesday. Since its Strong Days of february and March 1985, inc Dollar has fallen 45 percent against the japanese yen and the German Mark and 33 percent against the British Pound but it has declined much less against the currencies of other Trade partners 5 percent against inc Canadian Dollar and 1 percent against the korean won for example. The Dollar slipped against most major currencies following a Commerce department report on the Gross National product that indicated slowing economic growth coupled with higher in  Ion. On Friday it dropped 1.65 in to a record Low Clos ing of 1j9.jo yen on the Tokyo foreign in change Market. The Bank of Japan intervened heavily buying dollars in an Effort to Cheek the yen s further up Prada lion. The cheaper Dollar helps close the Trade deficit by lowering the Cost of american made goods relative 10 those of other nations thus cutting into imports and stimulating exports. The process however has been agonizingly slow and obscured by Price changes thai keep the monthly deficits High in Dollar terms even As the volume of Trade is beginning to shift in inc United states favor. Trying to Correct Trade imbalances with a cheaper Dollar atone is Tike trying to drive a car with Mushy steering some economists believe. The reaction is so slow hat the world Economy could crash before reach ing its destination. . Policymakers have therefore slopped letting the Dollar do All the talking. In a series of meetings with major trading partners icy have stressed he need for global coordination of fiscal and monetary policies to keep the world Economy sound and growing. The United states will curtail its  by cutting the Federal budget deficit . Officials pledge. In return they say Japan Germany and other nations with Large Trade surpluses must stimulate their economics to consume Marc in order to slave off a worldwide recession. The meat of inc new . Is that global posters depict Pope As a target bad taste in Cologne Cologne a posters show ing the face of Pope John Paul ii in the Center of a gun sight were pasted on the Walls of several buildings throughout the City police said thursday. Cologne will be the first Slop on the pontiffs five Day trip to Germany which starts a pril 3d. Police said they did not believe the posters were he work of a group plan Ning an attack on the Pope. We Sec this instead As just being something in grossly bad taste police spokesman Werner Schmidt told the associated press we do not think it is a dangerous Situa Tion Schmidt speaking in a Telephone interview said several local left Wing groups Hay voiced opposition to he Pope s visit mostly through leaflets or underground newspapers. The spokesman said about 20 pos ters were pasted on buildings through out Cologne on wednesday and Early thursday. The posters showed a profile of the pontiff with his head in the Center of inc telescopic gun sight markings. The markings one three concentric circles with Cross hairs Schmidt said investigators were seeking id determine who was responsible for inc pasters but he said they had no solid leads. Tin1 Pope s trip will take him to 11 cities and towns concentrating on he nearby Ruhr Industrial Region hard hit by unemployment and the soul i pm stale of Bavaria a cite Lulic stronghold. In Cologne the in be will t c my Edith skin. A Catholic nun born of jewish parents. She had grown up Asni outspoken atheist and Wai own Lually killed in naj germans s Drain Camp in a Schwil in 14-11. John Paul ii will be making his Syc Ond visit to Tien Nany since becoming punt i it. Denn Selig Bunur wer ins himmelre1ch Ein Geht. Joh.47.ll a Liolu Tun sight Cross hairs lire superimposed on a Phitts Rapti if i up Jilin i jul ii. Is disc i t economic coordination is cd Lial for everyone not just a bailout for the United states. And in Case inc new message Doc not get through there is a new Way to drive it Home Trade sanctions. The $300 million in tariffs imposed recently on cer Tain japanese televisions computers Ami Power touts was ostensibly in retaliation for alleged japanese Viola Tion of a Trade agreement on computer chips. Bui Many analysts believe the tariffs were actually intended to impress upon Japan that ii must drastically Reform its traditional Reliance on exports for eco nomic growth for its own Goud and the Good of i he world Economy "1 refer to current american strategy As incl Cal protectionism David Hale chief economist of Kimper financial services inc. In Chicago said in a recent interview the danger. Hale said is thai tactical protectionism could snowball especially Given the mood in washing Ion. High Tariff Walls such As those of the 1930s could freeze Trade and Send the world Economy into de pression. Another risk Little spoken of so far. Is that intense . Pressure on Japan could weaken the nations longstanding Friendship. While the United Stales com Plains about being flooded with High tech japanese products the soviet Union might prove a willing Pur Chaser. Anti census activists under investigation Mainz. Germany a German prosecutors were investigating five peo ple Friday following raids on Green party and communist party offices opposed to the May 25 census authorities said. Chief Mainz prosecutor Werner hem Pel old the a in a Telephone interview that police also searched several private Homes thursday but did not say if icy a cloned to members of the greens or inc fringe communist party. He Tipler said officers confiscated Leaf lets at greens and communist offices in Mainz urging citizens to damage their census questionnaires and take them loan alternative Colic cd Ion  we have five people inc alleged pub Lishers of the leaflets under investigation on suspicion of inciting criminal action Boycott the census Hempel said. He said police also searched offices belonging to the left leaning Young democrats the protestant student association of Mainz and the general Stu Dent commission of Mainz University. Federal preparations for inc census inc first in Germany since 1970, have been hampered by a leftist led Boycott Campaign. Critics say the census will endanger Cili ens pcs Acy because collected data will be accessible to police and other Security organs. Conservative Chancellor Helmut Kohl s government argues thai the Dilia will he used Only in nil kills involved in economic and social planning. Kohl s government is waging 11 Multi i Miluin Itu irk advertising Campaign to win it r fix s of the census. Estimated in opinion polls to represent As Many As 1u percent Fine people. Chile Bolivia hold folks Monit Vii i o it i Chile agreed thursday m us Sidur n request limn landlocked Bolivia to maw an Export corridor from the Audi s to the Pacific Ocean in the i isl be pulsations bi1 Luecil inv Tun nations in nine Jears