January 17, 1972

Rockefeller expected to exert strong pressure in upcoming wks to keep proposed $7.9-million austerity budget, fiscal '72-73, intact; reptdly is willing to battle with conservative NYS Repub legislators, mainly from Upstate, to avoid cuts; has power to veto increases on 'line item basis' if Dems seek to approve additional appropriations; Assembly Minority Leader Zaretzki says Dems will fight every effort to cut austerity budget; Assembly Speaker Duryea says Assembly plans to take 'good hard look' at expenditures for unproductive state programs

Agr Sec Butz announces Nixon Adm has rescinded order withholding $202-million from $2.2-billion Cong appropriation for Fed food stamp program, move that would have affected 2.1-million needy persons in NY and other indus states; Sen McGovern hails move; food stamp program outlined; effects of Adm cuts discussed; Butz illus

Projects designed to bring water to irrigate arid farmlands in Midwest are coming under increasing criticism by many who contend that region's lack of water has resulted from area farmers' wasteful and extravagant habits; situation in Arizona described; map

New York City yesterday sported a plethora of mufflers, fur hats and hoods, of re luctant automobile engines, and of faces windblasted red and raw.

Mounting unemployment in Western Eur arouses concern but authorities believe they can prevent generalized recession with some pump priming and spill-over from anticipated improvement in US business; econ upswing is slow process and unemployment rate, which currently is less than 6%, US figure, will probably increase before it gets better; Western Eur has large number of immigrant workers from Southeastern Eur and Mediterranean countries who are 1st to be let go to preserve jobs for local workers; policy has effect of exporting Western Eur's unemployment to other countries, where unemployment rate is already high; unemployment situation in various Western Eur countries cited