The Economy: The Squeeze Of the Freeze

A SIGN in a Chicago appliance store urges: "SUPPORT THE PRESIDENT, BUY A FREEZER." That prompted Chicago Daily News Columnist Robert J. Herguth to ask: "After 90 days, a sale on defrosters?" All over the U.S., the freeze is touching people's lives in myriad ways. A sampling of its effects last week:

IN PASADENA, CALIF., Rose Bowl officials stopped selling tickets to the Jan. 1 classic pending a ruling by the Cost of Living Council on whether a proposed price hike from $8 to $10 is legal. Though the game will be played after the freeze expires, Bowl officials want to avoid refunds to early ticket buyers.

IN COLUMBUS, Ohio Governor John Gilligan was refurbishing his statehouse office at a cost of $41,000 when the freeze forced him to renege on promised wage increases for state employees. Responding to public pressure, Gilligan cut back on the remodeling. He decided against a $5,000 Oriental rug and had an old one returned to his office.

IN NEW YORK CITY, the freeze threatened bus service for 116,000 schoolchildren—8% of them handicapped—by preventing the city from paying bus companies an increase agreed upon in their transportation contracts. The companies said that they would carry the kids for the first few days of school at last year's rate—but pleaded possible bankruptcy unless the Cost of Living Council reverses its ruling.

IN BOSTON, the Hospital for Women, already running under capacity because of a drop in the birth rate, had planned to raise room charges to make up a monthly deficit that ran to $123,000 in July. The freeze has made the increase impossible, and the hospital may be in serious trouble.

IN CHICAGO, by contrast, three hospitals run by the Missionary Sisters of the Sacred Heart cut daily room rates by $2. Refunds will be made to patients, retroactive to Aug. 14. Administrator Joseph J. Rossi Jr. explained that the reduction was possible because the freeze on salaries of hospital employees had generated some unexpected money.

INMINES, ORE., the freeze has forced an end to the hot-lunch program for schoolchildren. To make up for higher food costs, Hines School District Principal Jim Red planned to raise lunch prices from 25¢ to 40¢. Now that he cannot, the 298 kids in the district have to bring sandwiches from home, or else go hungry.

IN LOS ANGELES, a woman telephoned Office of Emergency Preparedness Supervisor Pat Hogan and asked: "Does the freeze apply to the money a prostitute gets?" Informed that it does—because the money is a fee for services rendered—the caller complained: "That's not fair. This is a tough business—we've got to make it while we can."