News stories from Sunday December 18, 1977

Summaries of the stories the major media outlets considered to be of particular importance on this date:

A 7 percent price increase for basic sheet steel products used in automobiles and home appliances announced by the Wheeling-Pittsburgh Steel Corporation was coolly received by the director of the Government's Council on Wage and Price Stability. The increase, effective Jan, 3, could add about. $100 to the cost of a standard-size car by next spring, [New York Times] The American dollar's decline in foreign exchange markets is cutting down earnings of American multinational corporations, "For us it means we will pay less in dividends this year," said the treasurer of an international hotel chain with headquarters in New York. His company is one of the corporations that have built up big financial investments abroad, largely based on borrowings in local currencies. [New York Times] An outbreak of gastrointestinal disorders aboard a Dutch cruise ship after she left Miami Dec. 2 is being investigated by federal health inspectors. The Statendam had failed a federal health inspection three days before she had sailed. It was the sixth test she had flunked in the past year. When she returned to Miami after the 10-day Caribbean cruise, at least 82 passengers had been taken sick. Failure to pass the test is common among cruise ships, according to government figures. [New York Times] Federal agencies responsible for regulating the nation's banks lack some of the powers, the ability, and in some instances the will needed to monitor the industry effectively, say many people who know the federal banking laws. Bert Lance's resignation as federal Budget Director because of his alleged irregular banking practices while head of a Georgia bank, and a couple of past major bank failures that are still vividly recalled have focused attention on the regulatory agencies. [New York Times] Many cities offering bonds for sale are seriously "deficient" in their accounting and disclosure practices, and New York City has the most serious deficiencies, according to a study by the Council on Municipal Performance, a New York-based independent research group. The council's study of recent bond offerings by 55 municipalities around the country says that city governments fall "far short" of meeting the voluntary standards suggested by the Municipal Finance Officers Association and that owing to the lack of uniform standards it is "impossible" for purchasers to compare the soundness of the securities offered by various cities. Boston and Philadelphia were also criticized in the study for offering financial statements that are "virtually meaningless to the average reader." [New York Times] Israel's proposals for a Middle East peace were regarded by President Carter as "a fair basis for negotiations," Prime Minister Menachem Begin said. The President was not asked for and did not give an endorsement to the proposals, which will be presented to Egypt within the next 10 days, Mr. Begin said. United States officials said the proposals were "constructive" and showed "flexibility," but said that they were not endorsed in Washington because they clearly raised problems for the Arab nations. [New York Times] Prime Minister Begin's meeting with President Anwar Sadat was expected to take place in Ismailia, Egypt, on Christmas Eve at the earliest, and possibly a few days later. The Egyptians had said that they expected a meeting Wednesday, but the delay was believed to have been caused by logistics. Optimism about the meeting's outcome remained strong. [New York Times] In China's villages the relative laxness of Communist control is illustrated by the survival of what used to be called marriage by purchase, which is prohibited. One explanation for this measure of autonomy in rural areas is that the family still controls much of rural life. And peasants can look to a network of kinsmen for assistance. [New York Times]