August 11, 1984

A compromise Salvadoran aid plan was approved by Congress. It would give El Salvador an extra $70 million in military assistance during the current fiscal year. Though below President Reagan's request for $117 million, the compromise represented a significant endorsement of his Administration's efforts to support the Government of President Jose Napoleon Duarte. (Page 1, Col. 6.) Concerts in Malaysia were dropped by the New York Philharmonic. It had scheduled two concerts in Kuala Lumpur from which, at the request of the Malaysian Government, a Hebrew-inspired work was to have been deleted. The work was Ernest Bloch's ''Schelomo, A Hebrew Rhapsody for Cello and Orchestra.'' The cancellation was announced after widespread protests from Jewish organizations and government officials. (1:5.)

Prices at the producer level rose a moderate three-tenths of 1 percent in July, the Labor Department reported today. It was the first increase in three months but was still a continuing sign that inflation remained in check, despite the surprisingly strong growth of the economy this year. The increase in the Producer Price Index of finished goods, which represents the price that manufacturers charge retailers for their products and which foreshadows future changes in the prices that consumers pay, was spurred by the first jump in food prices since March. The 1.4 percent food price increase was led by advances in beef, veal and pork prices but was partly offset by a drop in citrus prices. At the same time, energy prices declined, falling 1.7 percent. In a month when gasoline prices are usually expected to rise, they fell 3.1 percent.

Congress approved a compromise today that would give El Salvador an extra $70 million in military aid in the current fiscal year. While the figure was below President Reagan's request for $117 million, the Congressional action represented a significant endorsement of the Reagan Administration's efforts to support the Government of President Jose Napoleon Duarte. The vote came in the House and the Senate as the two chambers adjourned for a three-week recess. 'Give Democracy a Chance' Representative Jack F. Kemp, the New York Republican who sponsored the measure in the House, told his colleagues just before the vote: ''Let's not pull the rug out from under President Duarte. Let's give democracy a chance in El Salvador.''

It was touched off, city officials say, by a family feud. Yet the violence that erupted here Wednesday night reflected deep ethnic divisions, according to Hispanic residents, who began arriving in this tough old industrial city two decades ago. And that view was affirmed by the people descended from earlier immigrants, French-Canadian, Irish or Italian. Most people here readily admit that the two sides harbor much anger and resentment. Only a few of Lawrence's citizens, notably some of its elected officials, insist that the recent surge of hostility was totally unexpected.

Federal District Judge Harry E. Claiborne of Las Vegas was convicted by a Federal jury today of filing false income tax returns for 1979 and 1980. He is the first sitting Federal judge in United States history to be convicted of a crime committed while on the bench. Judge Claiborne was acquitted of the criminal charge that he intentionally failed to list a $75,000 loan in his 1978 financial statement to the Federal Judicial Ethics Committee. The 67-year-old judge faces a maximum of six years in prison and possible financial penalties for the tax convictions, which involved failure to report more than $100,000 in income for the two years.