Jobs dominate debate in hard-hit Pittsburgh By MIKE NETHERLAND *Collegian Staff Writer PITTSBURGH Revitalizing the steel industry and reducing uneMployment in Pennsylvania were the dominant themes of last night's debate by the three Democratic presidential candidates. Columnist Elizabeth Drew, who asked questions she said were submitted by Pennsylvanians, moderated the strictly controlled event sponsored by the League of Women Voters. Drew added a new wrinkle to the debates by allowing the candidates to ask prepared questions of each other. The Rev. Jesse Jackson said by eliminating wasteful defense spending and channeling the savings into • infrastructure programs "we could rebuild the 50,000 bridges in this country with steel and put America back to work." While saying he believed in free trade, Jackson said, "our government should be sensible enough to support" fair trade. He said foreign government subsidized competition in the world steel market puts this country "in a difficult competitive posture." Federal bailouts of companies such as Chrysler Corp. are gestures of the government's commitment to fair • trade, he said. Drew asked Sen. Gary Hart, who favors a national industrial policy instead of single company bailouts, on which industry he would concentrate revitalizing. He said certain keystone industries such as steel, automobile, machine tool and machinery are "central to this nation's national security." Walter Mondale, who siad he wouldn't tolerate the disappearance of basic industries like steel, said a reductitii3n of the federal deficit, followed by a drop in interest rates, is the key to returning these industries to Demonstrators gather before debate to protest Reagan policies By William Scott Collegian Staff Writer PITTSBURGH —.Nearly 200 demonstrators, most of them Pittsburgh laborers , rallied last night before the Democratic presidential debate to,protest Reagan administration policies, both foreign and domestic. The demonstrators, most carrying signs and banners, stood outside the David L. Lawrence Convention Center chanting "jobs, peace and freedom," and "Ronald Reagan, he's no good; send him back to Hollywood." Photo by Eric C. Hegedus Gov. Dick Thornburgh opens a gift a glass eagle from the Corning Glass Works plant while State College Chamber of Commerce president Lassie Martsolf looks on. Congress takes whip to deficits By CLIFF HAAS Associated Press Writer WASHINGTON Congress yesterday took its first major steps this year toward taming runaway budget deficits, with the House adopting a budget blueprint that accommodates a $lB2 billion Democratic plan for cutting federal red ink. The Senate gave final congressional approval to an $8.2 billion package of spending cuts. After a $205 billion plan drafted by Republican leaders, including elements embraced by President Reagan, was defeated on a 311-107 vote, the House voted 250-168 in favor of the package supported by Democratic leaders. the daily administration's decision to help the floundering automaker Answering a foreign policy question about U.S. relations with the troubled Philippine government of - Ferdinand Marcos, Jackson said, "I would never negotiate away human rights." He admitted that the military bases there are of strategic importance but that he would not trade "our self respect" for them. "I would use aid as a leverage to humanize that society," he said. Jackson warned that "we should not make the same mistake in the Philippines as we did in Nicaragua," referring to U.S. policy at the time to support the government of Anastosia Somoza against the Marxist-Leninist Sandinista rebellion. Hart said Marcos needs U.S. aid more than the United States needs his military bases. "His economy would collapse," he said. Mondale claimed to have changed the tone of U.S.-Philippine relations after former Secretary of State Henry Kissinger "kept the heat off Marcos" on human rights abuses. He said he told Marcos in 1978 that "we can not tolerate human rights abuse and remain silent." In response to a Jackson question on South Africa, Mondale outlined severe economic measures to force that country to abandon its racist policies. He said he would expand current embargoes to include police equipment. He also would prohibit loans to and investment in that nation. The sale of South African gold Krugerrands would be banned, as would flights by South African airlines to and from the United States. Please see related story, Page 14. Rich Wild, a member of the United Commercial Workers, said he was protesting to show the Reagan administration that "we're still alive and not . just, sitting . back."_ Wild, wearing a placard that read "Stop union busting now," said he has, been unemployed since December, when the . Amour Food Company ceased operation in Pittsburgh. Despite the plant's closing, however, Wild said the company is still using the plant to distribute its products outside the Pittsburgh area. "We want products that are made here to be sold here," he said. Mick Kako, chief negotiator for the There were 229 Democrats and 21 Republicans voting in favor of the plan while 139 Republicans and 29 Democrats voted against it. • The budget outline that was adopted contemplates that during the fiscal year beginning Oct. 1, the government will spend $9183 billion with a projected deficit of $175.8 billion. Rep. James R. Jones, D-Okla., chairman of the House Budget Committee, argued that the GOP plan gave too much to the military, contained elements such as user fees that could not be enacted and was "not real" because it sought $2B billion in savings through improvements in government efficiency olle, • lan profitability. "I don't know what Hart thinks about Chrysler, but I restored . . . jobs and put an automobile company," back on its feet, he said referring to the Carter Pittsburgh Shipbuilders union, said the 1,500 union members have been striking since December. Most of the workers are employed by Dravo Corp., which rnanufactures_barges and towboats. Kako said he hoped last night's debate would attradt attention to the plight of some of Pittsburgh's labor organizations. "I'm hoping that one of these candidates will see us all together out here. They're the only ones that can help us. Reagan is out to bust the unions," he said. Kako said he would support former Thornburgh urges long-run economic strategy By MIKE KINNEY Collegian Staff Writer Gov. Dick Thornburgh last night told the State College Chamber of Commerce that Pennsylvanians must adopt a long-range economic strategy that will permit the state to participate fully in the national trend of economic growth. "The basic challenge today is to deal with an economy that is in transition, an economy that can no longer look to iron and steel and coal and heavy manufacturing as the be-all and end-all of our economic potential," Thornburgh said. The governor spoke on six key areas concerning what the state is doing or planning to do to further its goals and meet the basic challenge. Those areas were: creating a positive business climate; strengthening the state's traditional industrial base; meeting the challenge of advanced technology; providing job retraining; making public investments that will enable Pennsylvanians to capitalize on private investments; and improving the quality of life in the state. Thornburgh said he felt his administration has a "valid prescription for the economic improvement of this commonwealth." He asked the members of the Chamber of Commerce to look over the "Blueprint for Republican Leader Robert H. Michel of Illinois argued that the House had been subjected to a menagerie of meaningless numbers. He attacked the Democratic plan as cutting too much from defense. Despite the arguments, the House action came down to a partisan test of strength, which the Democrats won. "It was a victory for a united Democratic Party and a defeat for Reagan's unfairness," House Speaker Thomas P. O'Neill Jr., D- Mass., said in a statement his office issued after the final vote. Across the Capitol, the Senate ended a stalemate over how to proceed with its deficit-reduction Democratic presidential hopefuls (from left) Jesse Jackson, Gary Hart and Walter Mondale laugh as they clasp hands last night following a debate in Pittsburgh. The debate was the third in a series sponsored by the League of Women Voters. Vice President Walter Mondale, who has the endorsement of the AFL-CIO, but added that the•rank-and-file members may not necessarily , "If Jesse Jackson weren't black, I think a lot more people would Vote for himA think his race has a lot to do with it. But if the people were blindfolded, he'd be elected," he said. Protesting Reagan's foreign policy and foreign spending, Cary Lund, of the Pittsburgh-based Woman's Peace Network, said that group insists that people recognize the threat the arms race is to the world. Lund said she Economic Development" and other materials that he left for them. He also encouraged listeners to share their opinions with him so they could become active participants in the economic development process. "When I became governor, there was no more painful a tag that Pennsylvania had to deal with than that we were inhospitable to business, that there was an anti-business climate here, that our taxes were too high, that we were too bent on over-regulation, and that we were inadequate with regard to aid. And we've set out to change that," Thornburgh said. Thornburgh noted that for five years, during a major recession, the state was able to hold the line on business taxes and this year is able to propose a 10 percent reduction in the corporate net income tax. "We feel this will send a signal to the investor and the businessman and the financier around this nation that we are intent upon improving the climate and showing that we know how to be responsive to business needs," Thornburgh said. The state has quadrupled the allocation to the Pennsylvania Industrial Development Authority and provided new opportunities for growth and capitalization of businesses, he said. "Since 1979, some $315 million has also been pumped into much needed investments in land, buildings, and new capital investments targeted for areas of high unemployment, small work and passed 67-26 a measure the House passed last year containing $8.2 billion in spending reductions. That bill now goes to the president for his sigliature. Those reductions come mostly through delaying the cost-of-living increases for federal civilian and military retirees from May until the end of the year to conform with the Social Security bailout legislation enacted last year. Senate Majority Leader Howard H. Baker Jr., R-Tenn., had said he hoped to follow a shortcut prdcedure this year, forgoing a budget resolution and moving directly to consideration of the elements of a three-year, $l5O billion plan Reagan backs. Friday, April 6, 1984 Vol. 84, No. 154 28 pages University Park, Pa. 16802 . Published by students of The Pennsylvania State University ©1984 Collegian Inc. thought Jackson was the best candidate to achieve that goal because "he is the most meaningful candidate for progressive people." - - Marguerite Babcock, from the same organization, said, "Jesse Jackson is the only one that represents real change." Joni Rabinowitz, a member of the Hunger Action Coalition, said she hoped the three Democratic candidates would address issues that have great impact in Pittsburgh. "What we need to do is take the money out of the military and corporate tax loopholes and spend it inside • People suffering from tension or migraine headaches, asthma, and ulcers may be able to deal with these afflictions by expressing anxieties or working them out physically with regular aerobic exercises Page 3 index Arts Classifieds Comics Opinion Sports State/nation/world Weekend weather, Variably cloudy, windy and cold today with a few rain or snow showers. High of 44. Mostly cloudy and cold tonight with a low of 30. Partly sunny, breezy and cool tomorrow with a high near 48 by Glenn Rolph on meaningful jobs at a union wage," she said. ' She added that she too would support Jackson but that Mondale has "the right relationships with the right groups" and would probably receive strong support in Pennsylvania in Tuesday's primary. When asked about Sen. Gary Hart's chances, Rabinowitz said Hart is not well-established and, in contrast to Mondale, does not have the support of organized labor. • "Hart's an adjective looking for a noun. He's just hanging out there," she said. businesses and advanced technology enterprises, " Thornburgh said. He mentioned that four international offices in Mexico City, Paris, Tokyo and London have been opened to attract more foreign investment to the state and to aid in the export of Pennsylvania products into those markets. "I'm pleased to say that Pennsylvania ranks among the nation's leaders in this area." "Pennsylvania also has been named the number one state in the United States in programs for small businesses last year," he later added In an interview before the address, the governor said he told University President Bryce Jordan earlier in the afternoon that Penn State was an important part of Pennsylvania's economic recovery. "I told Dr. Jordan that we were looking forward to continuing our cooperation with the University on projects like the Ben Franklin Partnership and PennTAP (Pennsylvania Technical Assistance Program)," Thornburgh said. "I had a chance today to be on campus with some of the outstanding students and to see my good friend Dr. Bryce Jordan, the leader of our great Penn State University. I have reaffirmed my belief that Happy Valley is a very hospitable place to be," the governor said. Please see related story, Page 2 AP Laserphoto