Ohio University - Athena Yearbook (Athens, OH)

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M fflH ■! mmT ml fra Inflation, Recession or Depression . . . Stop It, Whatever It Is! BY JOHN MICKLOS The economic outlook was bleak for Americans this past year. The combination of deep recession and double-digit inflation was devastating, and continuing concern about energy added to the problem. Also, President Ford ' s difficulty in working with a Democrat-controlled Congress did little to spur the confidence of the American people in their government ' s ability to solve these serious problems. The worsening recession hit Americans hardest, as production fell and the Gross National Product declined steadily. Unemployment reached 8.2 per cent in January, its worst level in 34 years. Seven and one half million people were jobless, and bread lines appeared for the first time since the Depression. The sharp decline of the automobile industry led to much of the unemployment. Tight money caused sales to drop drastically, and numerous plants were forced to either cut back production or close down entirely. At one point, 245,000 workers, 31 per cent of the industry ' s labor force, were out of work. Led by Chrysler, auto manufacturers tried to boost sales by offering cash rebates of $200 to $600 on new cars. This ploy was only partially successful, and the long-time outlook for auto sales remained dismal. Spiraling inflation also put the crunch on Americans, as prices rose to staggering heights. Utility rates rose, accounting for much of the problem. Nationwide, the cost of electricity rose 20 per cent, and even higher prices were predicted for the future. Telephone rates, especially on long-distance calls, also underwent sharp increases. Food prices rose less dramatically, but still caused consumer headaches. Many individual items shot up in price, and several in this category were staples. Sugar, for example, jumped from a price of 13 cents a pound to a high of 75 cents a pound before stabilizing at about 60 cents a pound. Other everyday items also became increasingly expensive, and Americans became ever more concerned about the high cost of putting food on the table. The American dream became a nightmare for many families trying to make ends meet. Luxury items were omitted, yet families still had difficulties paying the monthly bills. Helpless against the combination of unemployment

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OPPOSITE PAGE Facing an attentive and curious crowd, Dean devoted most of his lecture time tc answering the many questions he was asked about Watergate and the Nixon White House. ABOVE: Outside the Convo a smal group of students protest against the convicted conspirator being paid for his speech LEFT: While being introduced, Dean finds himself in the center of a huge arena, before an audience of which he asked, Do you want to talk about fees, or do you want to talk about Watergate? Rob Engelhardt Dean calculatingly detoured any discussion on his stipend by stating his financial status. If I could speak for free, I would, he said. It ' s just unfortunate that I can ' t come and speak for free. I have to make the best living I can for my family. He then asked, Do you want to talk about fees or do you want to talk about Watergate? The audience lethargically murmured, talk about Watergate, so Dean continued. But an almost subliminal intensity penetrated the arena as did Dean ' s resonant voice, that infamous voice from the tapes, which first warned Nixon that a cancer was growing on the presidency. Dean, a native of Akron, said little here that he had not repeated on the preceding string of campuses where shouts and demonstrations had interrupted or curtailed his remarks. The American tragedy called Watergate that preoccupied the nation for two years and eventually brought down its highest elected official was the worst Rob Engelhardt experience of my life, and possibly one of the best, said Dean. What would my perception of the government be, had we been successful with the cover-up? he asked. Explaining the frame of mind that led the Nixon White House astray, the 35-year-old former aid said, I got blinded by my own ambitions. Dean, released from a federal minimum security prison after four months behind bars, touched briefly on the inner workings of the Oval Office, H.R. Bob Haldeman, Ronald Ziegler, John Mitchell, the White House taping system and his former boss. In one anecdote, Dean told how Nixon called him in for a staged conference on the budget for a group of college newspaper editors because the president thought the short-haired Dean looked like a hippie. Answering a question about a recorded converstation with Nixon about getting enemies of the administration, the former counsel said he was simply kissing ass. Dean previously had been scheduled to appear mid-February, but postponed all engagements when his mother-in-law died in California. At the conclusion of his tour, he returned to his west Coast home to write a book and several magazine articles. Now disbarred. Dean said he would like to pursue a career as an author while working to improve the nation ' s judicial system and other areas of concern. What I learned in prison were the injustices of the criminal justice system, he said. A young person was serving 10 years for possession of one ounce of marijuana, and I got four months. That is injustice. Dean said his brief incarceration had little effect on his reasoning for not wanting to see a president behind bars. President Ford already eliminated the possibility by pardoning his predecessor, without so much as extracting an ounce of truth from Richard Nixon. But who could wish any man to go to prison? Dean asked. I couldn ' t. Kiesewetter, a 1975 graduate, was editor of The Post from February through June, 1975 and managing editor from September 1974 to February 1975. — ed. 25

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and inflation, many people who had previously lived comfortably now had to tighten their belts just to break even. Economic forecasts for the immediate future provided little relief. It appeared that both unemployment and inflation were destined to get worse before they got better. The prospects for a quick upturn in the economy seemed remote, and people prepared for a long siege with hard times. The energy situation continued to loom in the background as a potential source of disaster. Although gasoline was readily available at prices far below those reached during the Arab oil embargo, concern for the future remained. The constant uncertainty of the volatile Middle-East situation served as a harsh reminder of the long lines at gas stations a year ago. Consumers were further frightened by Ford ' s attempt to conserve fuel through a steep oil import tax, as they were already paying dearly for this necessary commodity. Ford ' s efforts to establish a peaceful co-existence with Congress failed, and conflict ensued. His bill to tax imported oil was voted down overwhelmingly by Congress, as was his proposal to raise the price of food stamps. Many of Ford ' s other economic policies drew harsh criticism, including his plan for a tax rebate to encourage consumer spending. Congress favored a larger tax cut to be administered in a slightly different manner. Ford countered these setbacks by accusing Congress of being more concerned with censuring his programs than with taking constructive action to combat the economic dilemma. Locally, the effects of the economic situation were very evident. The university made large budget cuts to make up the deficit left by steadily declining enrollment. The enrollment drop itself may be partially attributed to the high cost of education. The immediate future gave little cause for optimism, and it appeared that tight money might remain a problem for quite a while. Americans have a reputation for standing firm in the fact of adversity, and this year ' s economic crisis gave the country another chance to prove it.