January 18, 1979

Treas Dept sends to Cong details of Pres Carter's proposal for real wage ins program, but Adm strategists indicate White House may abandon proposal if HR does not approve it by end of March; Treas Sec Blumenthal, in lr to Cong, says plan promises 'direct and major impact on wage-price spiral'; Adm keys passage to mo of March because teamsters' union and major trucking cos hope to negotiate new contracts by that date (M)

Members of US Natl Security Council, backed by State Dept officials, have urged until recently that US make concession to Mex, which set a price for its gas that would be about 30% higher than domestic supplies; they argued that US needs better relations with Mex, that successful deal on gas would contribute to resolving border problems and illegal immigration and that a deal would gain greater access to Mex's large oil reserves (S)

FAIRFIELD, CONN.

Fighting intensifies in coastal areas captured earlier by Vietnamese; Vietnam rushes heavy reinforcements into country; Vietnamese planes bomb Kampot, indicating significant resistance has risen; map (M)

Carter says he dismissed Abzug because of lack of 'good cooperation' between com and Pres (S)