March 13, 1997

Clinton Administration officials say Pres Clinton has decided to shelve idea of establishing commission to recalculate cost-of-living adjustments for Social Security and other benefit payments that are tied to Consumer Price Index; say Administration may reopen issue later, perhaps even in time to use it as part of agreement between White House and Congress this year to balance Federal budget by 2002 (M)

French 18th-century furniture claims center stage in American interior design, displacing the minimalist and English country house look; is admired for its clean lines and exuberance; sales at New York auction houses are up 50 percent; photos (M)ï

Federal investigation into whether China had concerted plan to influence American officeholders began in early 1996 when National Security Agency secretly monitored series of communications between Beijing and Chinese officials in US; law-enforcement officials say conversations offered fragmentary sketch of China's interest in matching Washington lobbying success of Taiwan, and also suggested that Beijing was prepared to funnel money to American politicians in violation of US law; say FBI prepared list of about 30 members of Congress who bureau thought might be subjects of Chinese effort, but advised only half dozen of them in private meetings (M)

James Bennet analysis notes that Pres Clinton has asked broadcasters to surrender free air time to candidates in exchange for new licenses to provide digital high-definition television; maintains that broadcasters have already begun to fight, saying such a plan would cost them fortune and violate their rights under Fifth Amendment, which bars private property from being taken for public use without just compensation, as well as their free-speech rights under First Amendment (M)

Nation's real estate developers, afer their crazed overbuilding in the 1980's helped ruin hundreds of banks and savings and loan associations, are starting to put up speculative office buildings again, breaking ground before they know who will fill most of their floors; developers say they will not repeat their past excesses; instead of building huge skyscrapers, they are mostly constructing squat boxes, often varying in little but trim, in outlying suburbs; economic growth and new hiring are feeding resurgence in building; cost-conscious tenants like thrifty image these surroundings convey; though bent on squeezing more employees into less space, they often need newer buildings with more parking and heavier utility service that technological advances demand; graphs; photos (L)

Extravagant bar and bas mitzvahs are giving way to more spiritual celebrations among Reform and Conservative Jews, who are mindful that 'mitzvah' means religious commandment or good deed; syngogues are also expanding their requirements for bar and bas mitzvahs beyond the basic reading of a Torah portion and blessing; photos (M)

Dow Jones & Co announces it will replace 4 of 30 stocks in closely watched Dow Jones industrial average--first change in the index in nearly six years; company says moves--to be effective March 17--reflect growing role of technology, health care and financial services in the economy, but changes clearly represent effort, as well, to get rid of some losers in the index; joining the Dow are Hewlett-Packard, Johnson & Johnson, Travelers Group and Wal-Mart Stores; leaving are Bethlehem Steel, Texaco, Westinghouse Electric and Woolworth; chart (L)

New York State Assembly Democratic leaders, staking out education as their top priority this year, propose to increase school spending by more than 50 percent over five years, including money to make preschool available for all 4-year-olds statewide and $2 billion bond act for school construction; plan could run into roadblock from Gov George Pataki and Senate Republicans, who want to spend extra money on property tax relief (M)

Elisabeth Rosenthal, in special report Doctors and Death, contends that as judges and legislators mull over theoretical pros and cons of assisted suicide, physicians face very real and agonizing decisions on whether to prescribe lethal dose of sedative or to inject on request deadly narcotic; few issues have proved so divisive among doctors or so confusing to them individually; virtually ever major medical organization opposes physician-assisted suicide, but recent surveys have found that majority of practicing doctors favor legalizing practice and that, if it were legal, about third of them would help patients commit suicide; a few already have; some doctors comment; photos (M)

KENNEDY AIRPORT RAIL PLAN -- The Port Authority says it will go ahead with a plan to build a rail connection to Kennedy Airport, but the Giuliani administration may stand in its way. Metro Business, B7. AIDS INSTRUCTION AT ISSUE -- A group of New York City students said they have not received mandated classes on AIDS. B3. FALLOUT AT ADELPHI -- Adelphi trustees are trying to block compensation for the school's ousted president. B6.

Two giant New York insurance brokerages, Marsh & McLennan Companies and Johnson & Higgins, announce that they are merging; $1.8 billion deal will make combined company the world's largest insurance broker; merger will create a firm with more than $5.3 billion in annual revenue; Marsh & McLennan says it will pay one-third of $1.8 billion purchase price in cash and balance in stock; table (L)

Congress, bending to Clinton Administration pressure, seeks to find way to criticize Mexico over its lapses in fighting drugs without disrupting Mexican economy; White House says Pres Clinton may veto House bill that would overturn his recent finding that Mexico is 'fully cooperating' with US in fighting drug trafficking; committees in both houses are seeking milder expressions of unhappiness after Administration officials and business executives warn that 'decertifying' Mexico runs risk of undermining foreign investors' confidence; first Congressional effort to find way out of certification quandary without appearing indifferent toward narcotics corruption will be House proposal to leave certification in place if Pres Clinton, within 90 days, reports he has received 'reliable assurance of substantial progress' toward variety of anti-drug goals (M)