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we. WHAT'S AHEAD FOR WORLD? (Co ntinued from Page 1) Difficulties over fix ng a com- mon grain price for ECM were resolved in mid- December, but other troubles lie ahead. Soviet Union, East Europe: By HENRY 8. BR ADSHER MOSCOW (AP)--A fter a dra- matically sudden cly ange in So- leadership in 1 (964, power shift slowly with sin the post "collec iive leader- system has a built-in for Leonid' I. Brezhnev watch are ailing' Mikhall Sus are a , Nikdlai Podgoi ny and am- tious young Alex ander Shele- pin. A formal split w ith China is) coming, leaving tht: world Com- munist moveme nt in th a A Soviet-le d group, Pe- i@'s camp and a large part that tries to reta#in some inde- pendence from be th. a cause ar d a result of Mrs. Sirimavo Bandaranaike, ithe prime minister of Ceylon, spent 1964 trying to keep to- gether a coalition government. The resulting political turmoil almost wrecked Ceylon"s econ- y. 'Southeast Asia: : By MALCOLM W. BROWNE SAIGON (AP) -- Battle lines between the Chinese and the West moved into sharp focus 1964 and war clouds menace the}, Southeast! whole vast area of Asia The fuse is burning hottest in 'Viet Nam. In South: Viet Nam, Saigon troops and their U.S. ad- visers suffer casualties at an un- lagainst Viet Cong guerrillas moves into its fifth year. war between North and South Viet Nam is not too re- mote a possibility. The tiny kingdom of Cam- bodia and the sprawling island' the China split will, be the Soviet! republic of Indonesia, both tech- desire to settle e: :plosive prob- lems with the We st, East-West talks at a high le vel are likely, head-on confrontations unlikely. OFFER MORE (HELP But competitiog: withthe Chi-|>0 nese will force greater Soviet military help. in peripherial areas such as Jche Congo and Viet Nam. Such basic problems as Ger- many. will resnain unsettled while Soviet fea rs of West Ger- many expand it .to 'sharp verbal lashings of West .ern defence pol- icies. Russian doms »stic policies will not change sis iificantly. Eastern Euiy spe, where police controls looseaied in 1964, will continue the frocess of liberal- ization, but #.uch countries as Poland migiit be exceptions. Economic ¢:g erimentation will be bolder ffian Russia's and trade ties wiih the West will be increased. Africa: ! By ANDREW BOROWIEC TUNIS (A P)--Mounting eco- nomic and political difficulties and most lik ely more turmoil lie Ger for restless Africa in The Corggo will remain Af- rica's primary problem country, with the cx»ming year expected to determi e the future of pro- Western Premier Moise Tshombe. There vill be more attacks-- mainly vw :rbal -- against South Africa anji Portugal. But these two countries have been show- ing increa sing signs of ignoring emerging Africa. The fot mer colonial powers, creasing public co - operation with the Viet Cong and both have stepped up activities against their pro-Western neigh- rs. é Thailand, Malaysia, and the Philippines ali have been draw- ing closer to U.S. aims in hold- ing the line against Communist expansion. No one is prepared to guess what'form the showdown in Viet Nam will take but the odds are that it will be a bloody one for all countries concerned, Japan, China, Korea: By JOHN RODERICK TOKYO (AP)--Encouraged by economic advances at home and signs of disarray in the Soviet bloc, China in 1965 will bid to dominate international commu- nism. It is expected to push its line of violence and revolution with new confidence in Africa, Asia and South America. It will step up its already harsh attacks on the United States. It will clothe these power moves in soft talk of peace--on its own terms, China may move against, an- other Himalayan nation, little Bhutan, whose security is me- aced by a massive Chinese buildup in Tibet Given continuing favorable weather, China's agriculture will struggle upward. WALK TIGHT ROPE Japan, with a flourishing economy running into danger signals hoisted over rising retail prices, will continue to walk the tight rope between the China it such as F rance and Britain, will continue {the policy of slow dis- engagemé4:nt from Africa, but the West: will remain in control of large segments of Africa's economy . China,'is bound to increase its activity: on the African con-)i tinent. Russi: has been showing signs of sloveiing down its effort in Af- rica, :ypparently discouraged by some of its earlier difficulties. Midi'le East: | By WEBB McKINLEY | BEWRUT (AP)--The Middle} East, explosive on the fringes and "alm in its usually turbu- lent G.eartland in 1964, heads for sprea ding unrest in 1965. Hardly a country in the area from Cypwus to.the edge of Pakistan; does not face some kind of cri-| sis. Cyprus, whose inner conflict betaveen its Greek and Turkish pop ulations carried Greece and expanding, recogr -- Chiang Kai-shek's on Formosa--and the one it doesn't. Japan will make some tenta- tive ventures into Asian and in- ternational leadership, but may quickly withdraw if it encoun- ters rebuffs anywhere along the e Nationalist China, its economy can expect . more solid support from the U.S. now that Peking has flaunted the bomb, It will still talk of return- ing to the mainland, but without conviction. South Korea sails into 1965 on a period of unusual calm, one which could be violently broken by demonstrations against Pres- ident Chung Hee Park's efforts to smooth over differences with Japan. Mexico, America: By MORRIS W. ROSENBERG MEXICO CITY (AP) -- The Caribbean, Central Tui 'key to the brink of war, should stay relatively quiet until! tht: issue reaches a United Na-| tlans vote, perhaps in February. | he its conflict remains 'ved, and explosive The Cyprus problem will con- ftiitue to threaten Turkish Pre- smier Ismet Inonu, whose Peo- ople's Republican party faces sstrong opposition from the peas- ':ant-supported Justice party in 'national elections. In the Arab heartland, Iraq and Syria can hardly hope to avoid turmoil as they did in 1964. Iraq's President Aref will try to continue his move toward unity with the United Arab Re-| public of President Nasser | The Baath Socialist regime) rules by force in Syria, without| a steady friend in the Arab world. The leading personality in the} Middle East, Nasser, would like} a stable Arab world in 1965 be-! . cause of Egypt's deep financial| distress. He needs profitable! amity with rich Kuwait and Saudi Arabia. This means he) and Saudi Arabia's moderniza-| tion-minded King Feisal will! continue probing for peace be- tween the warring Republicans and Royalists in Yemen India and Neighbors: By CONRAD FINK NEW DELHI (AP) -- Eco- nomic hardship and Political) turmoil are ahead for the Indian sub-continent. India, Pakistan and Ceylon will struggle to feed their mil- lions and ward off political un- rest growing from empty stom-| achs. No one knows if they will succeed. India's Prime Minisier Shastri must limit an exploding birth "grate and increase food produc-j ion. Shastri's opponents, particu- larly the Communists and left- wing Socialists, promise to make the new year a hot one for him. Shastri also must deal with insubordination in his ruling Congress party. SEEK MORE FREEDOM In Pakistan, political aware- ness has reawakened and Pres- ident: Mohammed Ayubkhan is sure to be under increasing pressure to ease his strongman rule. f Pakistan will be better off|pected to be offset by a drop in economically in 1965 than India, investments andthe |will start moving amid gener- Communist dictatorship in Cuba faces an economically critical year which may develop polit- ica] overtones un-| Recent changes in the Cuban| Work out agreement on this |hierarchy are seen by some| =. close observers as evidence of inner - political tensions which could worsen unless economic conditions improve An all-out effort is being made to boost sugar production, basis of the island's economy. The U.S. trade boycott will continue to have a crippling ef- fect on the production and sup- ply of goods in Cuba, Presi Joh 's e ment that the United States is ready to negotiate a new canal treaty with Panama should mark the start of a new, better era of relations between the two countries. In Mexico, the new adminis- tration of Gustavo Diaz Ordaz ally hopeful forecasts for a six- year term of political stability and economic prosperity. In Guatemala and Honduras, military leaders of the facto re- gime are expected to take steps to ogg constitutional govern- ments. South America: By FRANK BRUTTO RIO DE JANEIRO (AP)--For' much of South America, 1065 will be a critical year, one that could lead to serious trouble if the tide of inflation and soaring prices is not stemmed Giant Brazil enters the new year with hope that first results of reforms will be definitely felt by mid-year. Increasing foreign investment and excellent crops -- possibly the best in 10 years--will help. But sharply increasing prices are still a heavy load on the masses. In Argentina, President Ar- turo Illia's administration, now 15 months old, faces increasing tension complicated by March elections to fill half of the cham- ber's 192 seats. Government deficit spending continues with its machinery on a day to day jbasis. Unusually good crops will help in 1965. But a continued favorable trade balatice is ex- Iprecedented rate as the war| 1064 nically non-aligned, show in-| YEAR-END REVIEW. By STEWART MacLEOD eral-provincial relations. "Without compromise," Prime Minister a a gentlemen, could have union contracts." Compromise achieved this in --Brought before Parliament the Canada Pension Plan. --Facilitated agreement be- tween the federal and provin- cial governments on a for- mula for domiciling the con- stitution in Canada, / --Resulted in the establish- ment of a tax study commit- tee to make a thorough in- vestigation of the division of taxing powers. --Implemented a student loan plan. --Gave the provinces a bigger slice of income taxes, And compromise, or. more specifically Mr. Pearson's "co- operative federalism,"' ignited and maintained a bitter politi- cal feud that will certainly spill over into 1965. "There now is greater divi- sion, cleavage and fissure in Canadian Confederation, never equalled since 1867," Opposition Leader Diefenbaker said at one point in reference to the prime minister's co-operative federal- ism. MUST COMPROMISE "You cannot make a federal constitution work . . . without compromises," Mr. Pearson has said. 'They are essential. They are also easy targets for people who hope to make politi- cal capital by claiming that every compromise is capitula- tion, and pretending to see in every general agreement, how- ever useful, evidence of some individual surrender... . "Co - operative federalism, then, means protection of both the federal and provincial inter- ests. It means the closest pos- sible co-operation between the central government and the provinces to the general -- the jnational--advantage. if In putting co-operative feder- alism to work, Mr. Pearson held three meetings with provin- cial premiers during the year, and more than a dozen federal- p.ovincial meetings were held at the ministerial level. The most enthusiasm and the biggest headlines came out of an October meeting in Ottawa when, after some 27 years of tnying, all governments agreed on a formula under which the Canadian constitution would be t under the final author' ity of the Canadian Parliament. Amendments to the British North America Act now must be approved by the British Parliament. The price of this agreement was federal willingness to limit Parliament's existing power to make amendments to the act without first consulting the provinces The section--91 (1)-- which gave the Canadian Par- liament sole jurisdiction in cer- tain fields would be abolished and its contents subject to the the agreement. ACHIEVED AGREEMENT It took Justice Minister Fav- reau and the 10 provincial attorneys-general four days to jneed. for bigger crude oil im- ports. |FACES INFLATION Peru, like the rest of the con- tinent, faces inflation, deficit spending, increasing prices. But with a stable government and strong economy based on its role as the worlds' biggest fish producer, it should have no seri- ous difficulties, Colombia's economy has a number of cracks and_ stiff counter-measures may be forth- coming For Venezuela, Bolivia, Para- guay and Uruguay there will be similar problems, but there are no signs of serious trouble. OTTAWA (CP) -- This was the year of compromise in fed- various amending formulas in} Davie Fulton. Under the formula, no section of the constitution granting leg- islative powers or rights to the provinces can be altered with- out the unanimous consent of the provinces. Sections affect- ing only some of the provinces can be changed with the agree- ment of the affected provinces. Al) other parts of the constitu- tion can be changed only with the consent of two-thirds of the lation of Canada. , "An event of historic signifi- cance," was Mr, Pearson's re- action to the agreement. "A day of great achie- ment," said Premier Lesage of Quebec. "Another big step forward and the. culmination of many years of work,"' said Premier Robarts of Ontario. the reaction was not unanimous. "The Fulton - Favreau for- mula, as it must be known, is a formula for. constitutional futility and absolute rigidity," charged Andrew Brewin, New Democratic Party member for Toronto Greenwood, in the Com- mons. The Toronto lawyer was joined by some Conservatives, including Mr. Diefenbaker, who were critical of a section that allows any four provinces, with Parliament's approval, to enter federal fields of jurisdiction. Outside Parliament, lawyers, college professor and assorted laymen formed up on both sides of the argument. It will still be a lively subject in 1965. RAN INTO SNAG While the constitutional ques- tion caused the most excitement and controversy, it was the Canada Pension Plan, third edi- tion, that was considered by many to be the greatest ac- complishment in compromise. The plan got off to a shaky start when the first bill was withdrawn and a redrafted ver- sion was offered to the Com- mons. Then Quebec annouriced plans to establish its own plan, shattering the hope of one na- tional scheme for all Canadians. Behind closed doors, federal and Quebec officials went to work on the plans. With some give and take by both sides, the two plans were dovetailed so that when and if the two pro- grams get legislative approval, all Canadians will receive iden- tical benefits at the same cost. Early in the year, the govern- ment announced plans to guar- antee bank loans. to university students. Mr. Pearson went to the Quebec premiers conference in March to be told by Mr. Le- sage that he wanted no, part of such federal financing in educa- tion and he might even take it to the courts. The compromise on this was establishing the right of prov- inces to "opt out" of the scheme if they would prefer to establish their own plans, Quebec did. The federal plan now is aper- ating in nine provinces. ~ On Sept 10, Mr. Pearson wrote to the 1@ premiers and jlisted 12 federal provincial 'shared - cost programs from |which they could contract out. There were 16 others from which they could not. Not un- expectly, Quebec announced its lintention of leaving the 12. |SEEK BIGGER CUT Meanwile, led by Quebec, pressure was mounting on the federal government to make |more tax dollars available to |the provinces. The demands reached a peak at the Quebec conference when Mr. Lesage said his province possibly faced double taxation unless a bigger slice of revenue were returned by the federal government. The premiers accepted a fed- 'eral proposal that a joint com- |mittee be established to take a \thorough look at the whole tax picture, defining the revenue needs and responsibilities of each level of government. STAR The VENETIAN FURNITURE & APPLIANCE Mark 10 Series GF-708 Halian Previncial cabinetry rich in sculptured 'detail and antiqued brass occents. Selected hard- wood solids with antiqued veneers of Florentine provinces having half the popu-)in Year Of Compromise Between Governments But this would take at least! two years, and it did little to solve the immediate problem. So within three weeks of the conference, the prime minister wrote to the premiers. He told them of a new tax- sharing deal that would give the provinces an extra $60,000,000 in 1965 and double that in 1966. vincial governments--then get- ting an 18-per-cent share of personal income taxes--will re- ceive 21 per cent in 1965 and % per cent in 1966. Under the existing arrangement, their share would have risen only to 18 per cent in 1965 and to 20 1966. "An immense step forward," ate threat of double taxation in Quebec had ended. Mr. Diefenbaker said the prime minister's decision was "as voluntary ... as a shotgun marriage.' But: New Demo- cratic Leader Douglas and So- cial Oredit Leader Thompson welcomed the move, which they said staved off a crisis in na- jtional unity. | National unity, at the hub of federal-provincial relations, was a preoccupation of Canadians in 1964, and it is almost certain to remain the principal preoc- cupation of the federal govern- ment in 1965. | SHIPS ABOVE THEM Amsterdamers, because they live below sea level, can look up and see ships passing by. Under the new plan, the pro-| 4: said Mr, Lesage. The immedi-| P® "Instant" Calf Bone Used For Human Repairs By ALTON BLAKESLEE NEW YORK (AP) -- "In- stant bone" to repair human oe now is becoming avail- le Made oj calf bone, it is vacuum-packaged in bottles, ready for use by surgeons, This new animal material can substitute safely and ef-' fectively for human bones damaged or destroyed by ac- cidents o: disease, E. R. Squibb and Sons said Tues- \E The new product has been used to straighten a child's leg, to replace parts of shat- tered leg or arm bones or &@ section of missi! , to core rect nose and defects, crushed checks and fractured jaws and to pack cavities re- sulting from disease, surgeons and company officials re- rted. , For various types of repair, the bone material ranges in size from small chips of spongy bone to hard pieces up to five inches or so long. Pieces as large in diameter as a coffee cup have been in- serted to correct skull de- fects, they said. The bone substitute (trade- name Boplant) was recently approved for distribution by the U.S. Food and Drug Ad ministration after trials on more than 5,000 patients, offi- cials told a press conference. They estimated more than 700,000 bone transplantations are performed annually in the U.S One main source of bone for repairs is to borrow some of the person's own bone, from another part of his body. This cannot always be done, and when it can it involves two operations, taken from living or persons can be kept in But one of the greatest problems is that borrowed bone may trigger off an im- mune mechanism leading to rejection of the foreign or borrowed bone. This same re- jection mechanism is the prin- cipal roadblock in research attempts to transplant body organs such as kidneys, livers or even hearts. The bone and cartilage trom calves are chemically processed to remove protein materials that could incite the rejection mechanism, the re- searchers said, PENETRATED BY BLOOD Both animal and human studies show that the calf bone material is soon pene- trated by blood vessels, so that it is eventually replaced by the recipient's. own growth of new bone, they reported. Dr. ©. Andrew L. Bassett of New York City, one of the surgeons studying the mate- rial, said it is not a substitute for all types of bone grafts. There are cases where por- tions of a patient's own bone are best suited, he said. Squibb officials said the bottles of bones will cost hos- pitals $20 to $40, upon sizes and shapes. THE OSHAWA TIMES, Thursday, December 31,1964 F | FINE PAPER TORONTO (CP)--A_ Univer- sity of Toronto research team ros it may have discovered a way of making high-quality eee ree vee oe ae ly for newsprint and wrap- pi r The discovery is commerci- ally feasible, it could be. worth ions of dollars to Canada's giant pulp and paper industry, spokesmen said. ; Cost of the research was less than $100,000, The team was led by W. Ho- ward Rapson, a chemical en- gineering professor other mem- bers were Morris Wayman and C, Bertil Anderson. Mr. Wayman said in announc- ing the new technique the prob- lem was to make better use of groundwood, a pulp made. by grinding spruce logs fn a rotat- ing mill, HAS LITTLE STRENGTH 'Paper Making Process Found more ve to peedace and about wood ff ts tivelvos So foo "aon action, A more efficient way of foes heae an clas bt Wh ste industry 'The new technique makes use of a new bleaching chemical that increases the brightness of groundwood and works on nearly finished paper instead of on the raw pulp. ACID IS EXPENSIVE The new bleach is called pera- i . The acid now is ex- © are considering making it if mand warrants. "If demand went up, the would quickly fall." " Groundwood now makes up about 80 per cent of newsprint, but it has only about 60 per cent of the brightness of high-quality papers and, because the pulp fibres get damaged in the rota- ting mill, comparatively little strength. Because of this, newsprint makers usually add about 20 per cent of pulp made by process- ing wood chemically, which pro- duces longer and more stable fibres. The higher the quality paper, the more chemical pulp used. Chemical pulp, however, is Continental STEAM BATH © MASSAGE @ EXERCISE © HEAT Treatment for musculer aches and poins (rheume- tism ete.) ©@ Registered Masseur Call 728-2460 or 725-2109 16A Ontario St, | Tonight.when it's "One for the Road'"--make it coffee. Walnut or Brushed Parchment White finish BEFORE YOU BUY ... GIVE S 491 RITSON RD. TARR A TRY Ss. -- OSHAWA Fine whisky, tn moderation, plays an important part in the art of gracious living, sa Knowing when to make a "gracious refusal" plays an equally great part in the art of sensible living, This is especially true when the New Year's party is breaking up...when you'ré about to drive home @nd someone suggests, "How about one for the road?" This New Year's Eve, if you are doing the driving, say: "Yes, I'll have one for the road. But, please make it coffee!" Che House of Seagram Ltd. Men who think of tomorrow...practice moderation today