November 5, 1971

HEW Dept informs Columbia Univ that its eligibility for Fed contracts is in jeopardy because it has failed to meet legal requirements for equal employment opportunity; dept's Civil Rights Office asks dept attys to institute formal proceedings that could lead to termination of all Fed contracts with Columbia and barring of univ from future Fed contracts; univ recd $53-million in Fed funds in '69, of which $33-million was in contracts; notification of action went to pres McGill in 12-page lr from office dir J S Pottinger, detailing unsuccessful efforts during 30-mo period to obtain satisfactory plan for hiring members of minority groups and women in all divisions of univ; recommendation for formal proceedings will be dropped if univ submits suitable plan in meantime

Labor Dept repts wholesale prices declined slightly in Oct, marking 2d monthly drop in succession; key indus sector remained unchanged, but declined 0.3% after seasonal adjustment, marking 1st time in 9 yrs that index dropped for 2 consecutive mos; over-all index declined by 0.1% to 114.4, but rose 0.1% seasonally adjusted; Under Sec Walker calls rept most reassuring one on inflation in long time, news conf; says index provides 'persuasive evidence of broad compliance with freeze'; stresses freeze rules will not end Nov 13 but remain in effect until modified by Pay Bd and Price Comm; Cost of Living Council deputy exec dir E Fiedler says Govt has found significant degree of noncompliance with one aspect of freeze, requirement that Stores make available information to consumers on ceiling prices for each item

HR passes overwhelmingly desegregation aid proposal, including antibusing amendment as part of higher educ aid bill; also rules that no Fed ct order requiring busing should be allowed to go into effect until all appeals have been exhausted or time for appeals has passed; Sec Richardson says much of proposal is designed simply to express an attitude and that it is hard to tell what practical effect of amendments will be; HR bill differs from Sen bill, which contained no antibusing provisions; conf com will try to reconcile differences between HR and Sen versions; opponents to antibusing provision question wisdom of defying Sup Ct rulings; note busing of black children to avoid integration in '50s and '60s was not contested and fear provision will force local people to pay for busing

Sen Finance Com votes to give Pres almost unlimited authority to impose import quotas if US internatl econ position is found to be threatened; approves Pros authority to increase tariff surcharge on imported products to 15% and to include all products at maximum rate; action will give US new statutory methods of applying econ pressure on foreign govts to persuade them to make changes in their internatl trade policies; stipulates that Pres must find US balance of payments measured by basic balance or official settlements basis in deficit for 4 consecutive qrs, that US has suffered serious decline in its internatl monetary reserves and that there is serious threat to internatl, financial or trade position of US; follows request by Treas Dept that Govt be given new authority to reduce tariffs by as much as 30% and to negotiate removal of nontariff barriers to trade; Treas also asked that Adm be given authority to amend any statute as necessary during internatl negotiations of trade matters, subject only to Cong veto; com notes authority requested by Adm was so broad that Treas officials present were unable to explain specifically how they would use authority if they were granted it; Finance Com, in other action, approves its own version of tax incentive to Amer corps to increase their exports

Natl Fertility Study, Census Bur survey and Natl Health Statistics Center compilation find rapid, dramatic downward trend in nation's population growth with possible long-term implications; if reduced rate persists, yr 2000 population will be 30 million less than 300 million predicted; 3 repts find rapid and sharp drop in number of children married women intend to have, coupled with increase in number of single women; Aug total births fall below Aug '70 in 5th straight monthly decline and steepest since '47, resulting in 2.2 fertility rate that approaches 2.11 zero-population-growth rate; births in 1st 8 mos of '70 drop 3% while women of child-bearing age increase 3%; experts offer explanations but caution that it may be too soon to confirm trends; graph showing percentage of single women ages 20-24 from '50-70; graph showing number of children per woman ages 15-44 from '20-71