INSIDE

LEAD: The new president of Gallaudet University, the nation's only college for the deaf, resigned early today in response to protests by students and faculty because she was not deaf.

Demonstrations by the Deaf Bring A Resignation but Not Yet a Truce

LEAD: Two days before his departure on a crucial visit to Washington, Prime Minister Yitzhak Shamir today sharply criticized the newest United States proposals for a Mideast peace settlement.

ISRAELI REJECTS SHULTZ PLAN

LEAD: The Reagan Administration said the Palestine Liberation Organization must shut its observer mission to the United Nations within 10 days or the United States would take action in Federal court to close it. Page 4.

U.S. to Close P.L.O. Mission

LEAD: The anger and defiance that marked Gary Hart's first withdrawal from the 1988 Presidential race last May were gone today as he withdrew a second time.

Hart, Conceding People Decided, Quits Again

LEAD: President Reagan imposed new economic sanctions on Panama today, saying the United States would not conduct ''business as usual'' until Gen. Manuel Antonio Noriega, the military ruler, relinquished power and left the country.

U.S. Withholds a Canal Payment In New Steps to Oust Panamanian

LEAD: Yasir Arafat, chairman of the Palestine Liberation Organization, has rejected Secretary of State George P. Shultz's approach to an international conference on the Middle East and insisted that the P.L.O. must be fully represented at any such talks.

Arab Stresses P.L.O. Role

LEAD: In a pair of largely reassuring reports on the economy, the Government said today that prices at the producer level declined in February while retail sales continued to show scarcely any adverse effect from last fall's stock market plunge.

Producer Price Index Dipped in February As Retail Sales Rose

LEAD: A severe shortage of computer memory chips is hurting the sales of computers and placing new strains on the semiconductor trade agreement between the United States and Japan, an agreement that some executives blame for the shortage.

Shortage of Memory Chips Has Industry Scrambling

LEAD: Saying ''we're hanging by our fingernails,'' Bob Dole announced today that he planned a final appeal over Illinois television Saturday night in an effort to salvage his Presidential campaign.

DOLE WILL MAKE LAST-DITCH EFFORT IN TELEVISION TALK

LEAD: Robert C. McFarlane, President Reagan's former national security adviser, pleaded guilty today to four misdemeanor counts of withholding information from Congress and agreed to serve as a prosecution witness in the criminal investigation of the Iran-contra affair.

McFARLANE ADMITS WITHHOLDING DATA ON AID TO CONTRAS

LEAD:  INTERNATIONAL 3-6, 32  Robert McFarlane pleaded guilty to four misdemeanor counts of withholding evidence from Congress. The former national security adviser agreed to be a prosecution witness in the Iran-contra criminal investigation. Page 1  Israel's Prime Minister criticized the newest U.S.

NEWS SUMMARY: March 12, 1988

LEAD: ''We're hanging by our fingernails.'' - Senator Bob Dole.  [ 1:3. ]

Quotation of the Day

LEAD: After 12 days and hundreds of casualties, Iran and Iraq stopped missile attacks on each other's cities this afternoon. But each side threatened to resume the strikes if the other broke the unofficial truce.

Iran and Iraq Call a Halt to Missile Strikes on Cities

LEAD: An article yesterday about recommendations of a New York State education task force misidentified a co-chairman. He is Dr. Edward J. Mortola, current Chancellor of Pace University.

CORRECTION

LEAD: A picture caption in Business Day last Saturday with an article about the Rover Group inaccurately described the Range-Rover, a four-wheel-drive, four-door vehicle intended for highway and off-the-road driving. It is sold worldwide, not just in the United States.

LEAD: An article in The Living Section on Wednesday about the Guide Michelin gave an incorrect address for the Traveller's Bookstore. It is at 22 West 52d Street in Manhattan.

LEAD: A headline in Weekend yesterday in the Sounds Around Town column misstated the location for performances by John Wallowitch and Bertram Ross. They are at Danny's Skylight Room, 346 West 46th Street.

LEAD: An article in the Business People column on Monday about Donna Frame Tuttle, the nominee for Deputy Secretary of Commerce, misstated her college graduation year.

LEAD: In a dozen mud hut camps along both sides of the road between this nondescript market town and the even smaller village of Thal, 40 miles nearer the Afghan border, 150,000 refugees are waiting.

'Allah Will Call,' Afghan Refugees Say

LEAD: An article yesterday about Brooklyn co-op owners whose building is threatened with seizure by the Federal Government in the Hyfin Credit Union scandal incompletely identified a mortgage lender. It is the Dime Savings Bank of Williamsburg.

LEAD: President Daniel Ortega Saavedra says he thinks contra leaders will come to the negotiating table this month in ''a position of weakness'' because of the recent Congressional vote cutting off aid to their movement.

Ortega Says Congress Hurt the Contras

LEAD: The Reagan Administration said today that the Palestine Liberation Organization must shut its observer mission to the United Nations within 10 days or the United States would take action in Federal court to close it.

P.L.O. Told to Shut Mission in 10 Days

LEAD: The Alfama district is Lisbon's slum by the sea, along the banks of the Tagus River where it widens to enter the Atlantic.

Lisbon Journal; In Old Section of City, A Ghetto With a View

LEAD: Urging his countrymen to learn from their past for the sake of their future, Chancellor Franz Vranitzky led Austrians through a day of somber ceremonies and events marking the 50th anniversary of Austria's willing absorption by Nazi Germany.

SOMBER AUSTRIA MARKS DAY OF NAZI TAKEOVER

Sebastian Brendel is a German sprint canoeist who has competed since 2007. Brendel is the 2016 Olympic champion in the C-1 1000 metres and C-2 1000 metres events.

Sebastian Brendel, German canoe racer

Sebastian_Brendel

Konstantinos "Kostas" Mitroglou is a Greek former professional footballer who played as a striker. He is nicknamed "Mitrogoal" and "Pistolero" by fans due to his goalscoring abilities.

Kostas Mitroglou, Greek footballer

Kostas_Mitroglou

Cristian Chagas Tarouco, or simply Titi, is a Brazilian professional footballer who plays as a centre back for Goiás.

March 12, 1988

Headlines from March 12, 1988

INSIDE

Demonstrations by the Deaf Bring A Resignation but Not Yet a Truce

ISRAELI REJECTS SHULTZ PLAN

U.S. to Close P.L.O. Mission

Hart, Conceding People Decided, Quits Again

Billboard 200

Dirty Dancing

Faith

Kick

Tiffany

Bad

Notable Births

Historical Context for March 12, 1988