European Stars And Stripes (Newspaper) - July 1, 1987, Darmstadt, Hesse                                The stars and stripes wednesday july 1.1987 top adviser sees danger in fed s tight Money policy Washington api president Reagan s chief economic adviser warned tuesday thai inc Federal Reserve could jeopardize an otherwise upbeat economic scenario if in con Vitues its Light Money policies. Beryl Sprinkel chairman of the coun cil of economic advisers also told con Gress join economic committee that lawmakers must Cut the a Cicil without a general tax increase and Hall moves 10 Ward protectionist legislation in warning inc fed to Case its restraints on the Money Supply Sprinkel said the current tight Money policy is consistent with the generally recognized need to reduce Money growth blow the very rapid rates recorded in i98s and 19b6. "1 would like to take this Opportunity to emphasize however that such a dra Matic slowdown of Money growth if continued for several More quarters cow place the continuation of reason Able growth of real output and employ menut risk he said. Sprinkel a is not the Only administration official expressing concerns tuesday about the Federal Reserve s monetary  of Commerce Malcolm bal Drigo said thai i 0.7 percent Rise in inc governments main economic forecasting gauge inc Index of leading indicators is another sign pointing to healthy economic growth of Between j percent and 4 percent in coming months. Bui Baldrige said tight credit conditions would limit this  Sprinkel said thai with proper poli cies economic growth should accelerate to somewhat More than 3 percent in 1987 and 1988." the administrations official forecast for this year is 3.2 per  has recently declined to 6,2 percent he said and the administration is Likely to revise downward its official forecast of 6.5 percent unemployment in the fourth Quarter of this year. Sprinkel predicted that the recent Rise in inflation to a 4.8 percent annual rate in the first five months of this yer was largely due o temporary. Sip ply Side  he filed the decline in the value of inc Dollar driving up the Price of imports and he noted the rebound in Energy prices. Apr Intel warned against a general tax increase such As any change in the income tax Law passed last year As a tool to increase the Federal deficits which Haic reached record Levels during the Reagan administration. Questioned whether Hal meant he thinks some other specific taxes would be acceptable Sprinkel said that the president has made Clear he would Veio any Las  Senate is currently considering a Trade Protection Bill opposed by Reagan and Sprinkel told the committee that approach would Only Hurt Progress being made in reducing the Trade imbalance. The decline in the Dollar is helping make the . More competitive and the Trade Bill Wouk encourage protectionism abroad just As the Smied slates is set to enjoy a period of Export led growth in the Economy he said. Btry sprinted i photo White House proceeding with plan to pro Fec ships a Phon at in. President Reagan my stale majority Lowder Robert Byrd l meeting on Gulf policy. Washington a the Reagan administration rejecting advice from congressional democrats said tuesday it intends to proceed with plans to give . Naval pre Lection to 11 kuwaiti Oil tankers in the persian Gulf Region by the Middle of jury the administration announcement came a few hours before the Senate for eign relations committee approved a Bill that would ban Hie plan to protect the tankers the democratic controlled panel passed the Bill on an ii a vote. The Vole was generally along party lines with Only sen. Frank Murkowski of Alaska sup porting the measure on the Republican Side. Senior administration officials acknowledged that inc operations include the risk of attacks on both the kuwaiti vessels and their american naval escort ships. "1 did l say they would t be at tacked adm. William Crowe chairman of the join chiefs of staff told reporters after attending a meeting with Reagan top advisers and congressional leaders. You asked me if  could protect them he said to one reporter. Yes  at he same time officials said they would mount a major diplomatic Initia Tive in inc coming weeks to seek an end to the 7-year-old War Between Iran and  is not a risk free operation and it has not been presented As such. Hut inc risks of not doing it i think arc a lot higher said defense Sec Ciary Caspar Weinberger. Cia director William Webster reluctantly conceded to reporter that the re flagging operation probably would create an increase in the threat of violent re  democrats in Congress Nave argued that the plan would involve the United slates in the Iran Iraq War Ana is Lively to Csc Lale the potential for terrorist attacks against the United states. Fielding questions of their own out Side the White House after the meeting. Same Den 9crals said they remain opposed to the president s decision but do not intend Losert. To halt it with legis  speaker Jim Wright of Texas said that to pull the Rug out from under that . Commitment would be Dan  but he said democrats Tow Reagan they were concerned that the United states could inadvertently slip and slide our Way Mlo being an Active participant in the Iran Iraq  Reagan did not appear in the while House briefing room after the High level meeting but he dispatched his senior civilian and military advisers to explain the decisions he has made. Spokesman Marlin Filz water read a statement in which he said the administration is moving Forward with Rouag Ging. We expect those arrangements to be in place by mid july at which tune  plan to  said the United Stales was asking the . Security Council to seek an end to the Iran Iraq War. Including International Post War reconstruction of  be aft Ana senat a i Joni umut no  � ,., & w., a students interested in social issues poll finds jin.,. In Rorn in inn of the students ranking Hal As most , . A today s High school leaders want general aids testing and less sexual promiscuity but icy care much less than their recent predecessors about How much Money they make a new Survey says. The Survey conducted monday the first Day of the Ilsi annual conference of the National association of student councils involved about 1,300 of the 1,700 student leaders from around the nation attending the  Klong meeting in this Buffalo suburb. In surveys  be done with Chr kids in the last few years making Money was much More important said Nash spokesman Lew a Mimeau. Tuday they seem far More concerned with social  the Survey presented 39 questions on current topics trends and the students Hopes for the future. The association acknowledges thai inc annual Survey in us fourth year does nol try to be scientific but that Gen eral conclusions can be drawn from the responses. When asked to rank the five major values in their lives 27 percent of the students ranked having a successful career As most important followed by a Good firs marriage being better parents than their own Are and contributing to hourly each with roughly a percent of inc Vole. Making More Money which had been Tup ranted in to fix Vii surveys according 10 Arm Sicad was a Distant filth with Only 11 pc cml o the s mos when asked whether there should be general testing for acquired immune deficiency syndrome 89 percent of those responding said yes. Asked if there is now of Niue ii promiscuity in american society 48 percent iii20 percent said no and 12 percent said they Weron t sure. Similar breakdowns resulted when Ltd Mudi no leaders were skid if pornography should he l. The  says it is inc Ink Mvi Rubry school government group m the United Sules. The Dele talks rom 1 in huh graders to College freshmen represent 7.