daily herald -

Published every weekday at 3010 Kalum ‘Street,
Terrace, B.C. by Sterling Publishers Ltd.
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“Editor:
_ ‘Brian Gregg Nick Walton
Staff Writer:Photographer: “Sports:
~_ Ralph Reschke Holly Olson
Reception-Classified: Circulation:
Claire Wadley - Sue Nelson

' NOTICE OF COPYRIGHT
. The Herald retains full, compiete and sole copyrigtit
In any advertisement produced and-or any editorial .
ar photographic content published in the Herald,
Reproduction Is not permitted without the written
permission of the Publisher.

The Terrace-Kitimat Dally Herald Newspaper Is
politically Independent and a member of the British
Columbia Press Council.

‘Letters to the Editor

To the Editor,

Regarding the letter sent in by Rod Gillis, We to, have
taken notice of the litter strewn around town. When you
think of how little it costs to put our empty bags, cigarette
boxes or whatever into a garbage can, or how little it takes
to teach the kids to be clean, we should be ashamed to say

"we are oneof them who don't give a darn about a clean town.
Why not ask the ones in charge of the town to put more litter
boxes around, maybe that-will give us a little initiative. We

- live in Copperside, and we have all ages of children living
around here, and there is no.litter boxes around, but the
place is clean. The children here should be commended for
their cleanliness, and also the parents for overseeing this.

Too bad we can’t say the same for the town. We have no
children, but we do appreciate the cleanliness of others.

Keep up the good word Roy, maybe it will get through in
time before disease strikes.

D. L. McCreight

VICTORIA

‘REPORT fi Ue
bys RR
FRANK HOWARD fee. |
Skeena MLA - a fe

Page 2. The Herald, Wednesday, February 15.1964 an

‘Circulation: a,

~ “which have doubled since 1979 and now
4 cent of GNP. :

Economic Cooperation and ‘Developmant,. —
Development Minister Donald Johnston sald: th i

proportion of gross national product: shouldn't Increake.

Governmentspending now amounts to 50 per “cent of GNP an

in OECD countries, compated with 20‘per.cent. in ‘1968,
- He also. noted a consensus for. reducing: r

Johnston told the meeting all forms af prétectonisin must.
‘he resisted if economic growth is to be maintained. roa
. “Almost 30 per cent of our gross: national. product: is sex,

. ‘ported, ” he told the finance and economic (fevelopmint

ministers from 24 countries. Johnston cited ‘the dis

- forms of. protectionism; including quotas, Tegulations ond

export subsidies.

BEIGIE AGREES Soe a .
In Calgary, economist Carl Beigie told a food in istry

conference that chaos could result if the US. ‘government

doesn't tackle its’ deficit — Which he called the main

+ Beigie; former president of. the. &, Di Howe Insiltute and

Chie ‘economist. for: Toronto-based: “Dominion Securities.

"Ames LEd.; said U.S, economic growth must slow down or
. face another Inflationary ppiral’ or a new round of higher
| intérest rates: He forecast U.S. linflation would jump i in the

. ext.couple of months:.

The United States could turn into ry ‘debtor. ation from a
_net creditor in two-or three years, he said. -
“That “change. could have’ internwtlonal. military and
political. ‘consequences, as. well. ‘as domestic economic

: results in: ‘the form of higher unemployment, interest rates,

‘Inflation ‘and ‘alow growth,

Buf Canada can do little but ‘stand by and and wait for the
: United States to'deal with the problem.

- "Because it doesn't have. the resources to finance the
_. eatimated, $1B0-billion deficit: domestically, the U.S. has
"been: using the international sector as asafety valve, Beigie
“sald. ‘The'situation has grown to the point where one in
_ everyfour dollars of the U. S. deficit is being supplied from
foreign'sources,.

HOPES FADE. ;

;, In another ‘development, chaneso ofa freetrade deol with »

- Russians much. like us.

" American ‘car market.

EDMONTON (cP) —
Take away the leaders and
any. difference between the
average Soviet .and his

western counterpart soon”
evaporates, a member of

~ Gordon.” ‘Edwards, a

mathematics” professor -at «

Vanier College in Moritreal,
said in an interview. Soviet
citizens are too often _ per-
ceived as - faceless, . ‘drab

government's “leadership:
ay don’t think we can sell

the Russian people- stiort,”’, :
. Edwards said in his rapid-
fire delivery. "They're: not
stupid. They “ too. realize,

"The darkhaired professor
with intense- eyes says
nuclear war is inevitable if-

the: current ideology of sonie’
governments ‘continues to

decide arms policy.

Canada’s peace movement
said Tuesday.

peasants, - Who:

Is there someone to blame for the failure of our economy.

to perform in a way which provides employment, op-
portunities and a high slandard of living for our people?
Since the beginning of “stagflation” in the early 1970s,
many have called traditional’ understandings of the
economy into question. Economists have tended to search
for new explanations of economic problems and have
_ looked for new policies arising from these explanations,
Fundamentally, the B.C, economy depends on a balance
between our production and sales. If we cannot sell what
we produce, the result will be unemployment.

‘The B.C, economy is often called “an open economy”,

because much of what we sell is exported not only fram the
province, but from the country as well.

Chiefly, our exports tend to be raw materials. Thesé
include metals, ores and concentrates, coal, timber and
logs, natural gas, pulp and fish.

By contrast, weimport consumer goods of all kinds, This
is especially true of durable goods such as appliances,
electronic equipment, automobiles, cameras, and other
Manufactured goods,

One-third of cur economy is Involved in the production of
goods through resource and manufacturing Industries. '
Two-thirds are Involved in providing the services necessary
for the productive sector to work,

Moat people are aware of the severe recession which took
place in B.C. during the last part of 1981 and 1982, Total
production fell by some 7 per cent, while unemployment
doubled to a level of some 200,000.

Recovery in the resource and manufacturing sectors was .

very gradual in 1983, Unfortunately, the service sector did
not recover at all during 1993.

As a consequence, the B,C, economy barely grew at all -

last year and economic activity rerhains well below peak
levels of 1980 and 1981,

The question that remains to be answered is how we can
move the varaus elements of the economy back towards
productive employment:
serious,

There must be balance between industries. We must
insure all industries are at a peak of efficiency,

My colleagues and I in the NDP have been examining the
need for economic recovpry in B.C, and I shall return to.
this theme in future reports.

=r

The long term problems are

oa i i ‘ : . we
The Herald welcomes its readers: :
comments. All letters to the editor of |
general public interest will be‘ printed. -
They should be submitted 48° hours In
advance of desired publication date.’ We
do, however, retain the right to refuse to
print letters on grounds of possible libel
or bad taste, We may also edit letters for.
style and length. All letters to be
considered for publication must be
’ signed.” It is impossible to print a-letter
submitted within 24 hours of desired
publication date.

+

See eo

inquestiotingly follow their -

nuclear annihilation serves Unless we disarm,
no one."” nuclear war is . a
mathematical certainty,"

" hesaid. ‘The question isnot
"whether it will happen, but
where and when.
_ “Anything which has a
finite, - measurable
- probability ’ is. eventually
going to happen. It’s a
‘ mathematical law. There's
7 =6no doubt about it.’”
BUILDUP ‘INSANE’
; A “massive. —_tran-
m™  sformation of con-
. Sciousness” is needed from
the grassroots citizen to
convince world leaders of
the insanity of the arms
buildup, -he sald.

“Nuclear war is not a
spectator: sport. It's
something we are all in-
‘volved in.

' “This is much too im-_
portant a thing to be left to
the military leaders, the
political leaders. - . We
’ can't afford to leave the
decisions to them,’
Edwards was sin

He travels to Calgary on
_- Thursday to conduct’ anti-
nuclear workshops at: that
city's teachers’ ‘eonvention,

~ Public pressure has
‘already resulted in a change
in ‘the: fhetoric of the
- Reagan - administration,
oo’ Bidwards said. Instead of
“-# gaylng the United States
"+ ‘must be prepared to fight
and win a nuclear war,
President Ronald Reagan
now is promoting nuclear
weapons ag a ‘deterrent,

Revenue. Canada out- -gunned

CALGARY (CP) —
Revenue Department is the underdog in its fight to collect

taxes from most Canadians, department’ official Harold |

Romness said Tuesday.
- “We're being a bit outgunned these’ days, ” said Rom-

ness, chief of the appeals division at Revenue Canada’s _
Calgary office. “Taxpayers, particularly the affluent ones.”

with businesses, are engaging well-qualified assiatants for

‘help with their taxes.” 2
"He told about 250 accountants ‘attending’ a conference 7

“organized by the Canadian Tax Foundation that they are a .
major reason why Ottawa has become tough | in its collec:
ten methods.

Revenue Canada’s perceived ‘apdressiveness is “in

response to the aggressiveness of tax planners,”

Romnesa said Canadians are increasingly willing to hire |

high-priced specialists to fight their taxation battles,
placing greater pressure on | overworked Revenue Canada
auditors,

Making the most of available ; ‘staff ‘has meant more
emphasis oti efficiency and that has. Sometimes been seen.
as unnecessary ‘aggressiveness.’ .-*,

Despite the plea from Romness for sympathy, tax lawyer. °

' Joseph Katchen said the governnient:can blame Itself for
the growing popularity of tax specialists, He said Ottawa: ©
- has made taxation laws 80 complex that only experts can

understand them. i
“The Income Tax Act, if: not incomprebenibl, is close to
it,” said Katchen, .

“Contrary to popular opinion, the :

“Katohen urged | businessmen to make even "greater use of
specialists to file their tax returns and handle assessment

“appeals,

If Revenue. Canada had more. staff: it could do more
preliminary research before launching full-scale audits,
Romtiess told reporters. Quite possibly, he said, this would:
“mean ‘less audita initiated and those that were, would
»_ progress faster..."

“Revenue Canada hag been the centre of controversy since-
‘November. . ;

’ The, Progressive Conservatives, who will begin ‘holding .
“countrywide hearings next manth on, Canada’s tax laws,
‘accuse Ottawa-of imposing quotas on tax collectors that
force them. to’ adopt heavy-handed‘ methods.

_, Revenue. Canada offices report thelr staffers are ‘suf-
fering s & growin amount of verbal-abuse. from, the public.
Offices in Toronto and Ottawa have received bomb threats.

. Revenue Minister Pierre Bussieres reacted to the uproar
by. hiting’ an. independent consulting firm to. 8s8e58 the
’ department's methods and organization.

» Two investigators were In the Calgary office. Tuesday,
id. ‘Romneas: ..

Jin an. interview, Katchen sald he hopes: the: consulting
- firm will recommend a complete overhaul of Canada’s tax
“laws. He said--this ‘would: lessen the need -to hire ‘tax '
“Specialists, and atop giving those wha cai atford them an

. ‘advantage 0 over ‘those who can't. -

* But’ Katchen told, the. confererice there will always be
_eitlon between Revenue Canada and taxpayers, -

Thompson. | warried- of blacklist

WASHINGTON (AP) — A former US. Information
Agency official says he warned the agency’s acting deputy *,

director last November: about a blacklist of people te be: oy

excluded from a government overseas lecture program, -'
In an Interview published today: by The Post, W. ‘Soot
Thompson sald that he warned Leslie Lenkowsky about the

speakerg blacklist during a meeting in Lenkowsky’s office,

Thompson, ‘who resigned last month ‘as the agency's °
associate director ‘for programs, described as a “flat lie”
Lenkowsky's statement that he did-not, know about the’
blackligt until he was lold about it last week, Lenkoweky
said he ordered it killed immediately. — .

‘The list was drawn up by senior USTA officials to exclude |-
people perceived as liberals from the overseas speakers -

program. It included former CBS News anchorman Walter :

' og
eer ie

"Cronkite, ‘divi ‘rights aetivial Correta Scott: King and. -
Representative Thomas Downey, a New, York Democrat.
“The list only’ showed ' up in reaction. to Lenkowsky's’

| presaure,” Thompson told The Post, He made clear that

No. one would go out who wasn't an advocate of. this

- (Reagan) administration. ... He reeled off a long list of

-neoeonservatives who whould be selected,”

: Lenkowsky disputed Thompson's account, “I never had
‘any conversation With Scott Thompson abdul a blacklist,"
_ Lenkowaky said.
“thal I would have reacted the same way 1 did list week."

Lenkowsky acknowledged that. he proposed a list of
_mostly® conservative speakers, sayltig that political ap-
“pointees “will ‘know people who -tetid to be more sym-
pathetle with the Sdintnistration.”* er

mit re

eerie

‘including Great-West,

“He never told me that. if he had told me *

‘ti ;
the United States in textiles and lothing j
ment release of a report showing. Cariadian induatey,, bor

and consumer groups don't agree on whether ! [

idea.

Reaction from 80. industry, labor | and ”¢¢
representatives ¢o the free-trade issue varied fro
‘ejection to immediate acceptance,” Industry.

ley said. fe
the ‘nterim report shows: reaction depends on “each

: ‘group’ s business relationship with the United States hd its

degree of specialization.
aie federal Textile and Clothing -Board will col

ntinue {o
ine the issue and will submit a final report in ‘Apel to
be reviewed py the Textile and Clothing Induatriee Tea

reco
profits and record ‘sales for 1933, jolning indy leader
General Motors in the spectacular: recovery: -of: e ‘North

Strong U.S. demand for Canadian-built cars ‘and tric 3 as

_ well as solid growth in overseas ‘subsidiaries pissed: 1988

profits af the country’s No. 2 automaker 10 $153 million 0 on

record sales of $8.6 billion. In 1962, Ford Canada loat #108

n sales of $7.4 billion.

ie "Canada’s eieardm profit, the ‘Oakville-based

company’s first since 1979, was only $1 militon below ilg
previous best year of 1974, when it earned 154 fm ion.

In other business news Tuesday:.
— There were 2,710 consumer and business baakrupteles
last month, down from 3,967 in the first month of 1983, the
Consumer and Corporate Aftairs Department sald. The
figures include 803 business failures and 1,907 consumer
bankruptcies, the bulk of both types occurring. in Ontario

and Quebec.
— Westcoast Tranamisslon Co. Ltd. and Petro-Canada

‘have agreed to build a $65-million natural gas liquids

project . at Taylor, B.C., near Fort St. John; .and-at
Kamloops., Westcoast sald the project will create $3. Jobs
and will use six billion cubic feet of British Columbia asa

-. year — worth $20 million to $25 million a year at current
prices.

— The Pechiney Group said it has signed « a financing
agreement for $525 million ta build its Quebec. aluminuni .

‘ smelter. The banks supplying the funds are the: Bank of

Montreal, the Banque Nationale de Parls and Credit
Lyonnais. Pechiney will have a 50.1-per-cent interest in the
smelter, to be located at Becancour, with the remainder
split between the Quebec government's Societe generale de
financement and Alumax Corp, of San Mates; Calif. a
Japanese-American joint venture. ; ’

NDP considers |
life insurance |.

ty

WINNIPEG (CP) — Manitoba’s government
owned insurance company is considering a move into the
life insurance business — an option that has some * private

insurers worried,

into, the aecond phase 2

meeting... Fidmonipniis, ane ety oud aaa life ingurapee,. fd H

automobile and general insurance divisions,

“We have been asked by the government to see if. It is: a
viable thing for us to broaden our base,” said Carl Laufer,
company general manager. "We ‘are still in the . very

_ preliminary stages,””

But the thought of government moving into life insurance
doesn’t sit well with private insurance companies, .

The Canadian Health and Life Insurance Association
started a: low-key newspaper advertising campaign: last
year that asks readers to write down what they think about
the proposal.

Dean’ Murdoch, head of the association’s Manitoba in-
formation committee, said more than 1. 600 coupons and
cards have been returned to the association and forwarded
to Premier Howard Pavley, ° .

“YT haven't seen one yet that was for it, " said Murdoch,

_ Vice-president of corporate communications for Great-West '

Life Assurance Co. of Winnipeg.

The NDP government announced in the “1982 throne
speech that it would like Manitoba Public Insurance Corp.
to expand into life insurance.

WOULD BE NATURAL

Laufer said the diversification would be natural for the
company, which already handies general commercial,
homeowner aind personal property insurance as wel ag
compulsory automobile insurance,’

He said the Crown company is doing well and wouldn't

‘have to.dip into taxpayers’ pockets to finance the’ move.

In the fiscal year ended Oct. 31, 1963, thie’ company’s
automobile Insurance division had a $9.7-million profit,
down from $15.1 million the previous year. .

. Laufer said Manitoba Public Insurance Corp. : would tend
to. keep life insurance premiums in Manitoba for. in-
vestment in the provinclal economy: “Our policy is to ‘in-

Vest in Manitoba first,"

He said the second phase of the study will took at all
aspects of the viability of life insurance for the corporation.
The study should be completed. sometime: this - year,
_ probably in April, but he said he isn't sure when a final
decision would be made, .

Last year, the corporation’ polled ils 400 private agents
‘across the province to see whether they would be Interested
in handling government Life insurance, —

Laufer said about 20 responded and about half at those

_ ‘were positive.

The questionnaire also asked if there were interest in
government retirement savings plans, annulties, deferred

rofit-sharing plans and a number of other finanelal ‘and
ersonal insurance services.
iS NO REASON.

However, Murdoch said there ian't any reason ‘for ‘the

’ Manitoba government : to get into the life insurance

_ business. “They were not elected to
induatey.* : compete, with private

The 108 private life insurance companies in Nanitoba are
: already competitive and had, about ‘$2.4 billion invested {n
Manitoba in 1982, said Murdoch, Four Of- the’ companies,

ve thie” h ;
Manitoba, he added. ch eadquartets. tn

Murdoch said the ‘government: woita require about $3

‘million In capital to get into life insurance,

“Tt would take them four to seven yeara to get out of the

_‘red and that's being conservative,” _

However, Laufer said private insurance com
panties are

reacting ‘too quickly because the corporati
aes life insurance, ston It oy

esaid Manitoba Public Insurance Co , Could g0

head in the life Jnaurance business and & be wldgo ea
Although Manitoba motorists must buy basic insurance
from Autopac, the corporation's auiomobile insurance
division, Laufer said the company competes successfully

_, with private firms-for additional coverage policies,

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