POLAND: PRICE INCREASES

Created: 1/30/1982

OCR scan of the original document, errors are possible

POLAND: Price Increases

Ths regime ie trying to auehton the payohologioal impaat of price increaaea. Premier Jaruselaki will attempt to reorganize the trade unione and the party. Pravda hatabridged oereion of Jaruaeleki'a epemeh on Monday. I

Food prices apparently are still scheduled to rise by as muchercent beginning on Monday. The government is counseling people to lessen the impact of increases byraislng their own food or by getting an extra Job. PfJJJ

Consumers have alreadyaste of increases as prices on some manufactured goods have escalated this month. Under reform provisions effectiveanuary, firms have been allowed considerable latitude to pass their actual costs to the consumer. Shoppers also face lowered butter rations and tho start of rationing of oil, lard, and margarine.

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Comment: Despite its nervousness, the regime seems Intent on forging ahead with its plans for marketplace austerity. This time, however. It Is making every effort to avoid taking consumers by surprise. The government may deem It prudent to increase security around the country. fflH

Jaruzelski's Options

A reliable source recently prepared an analysis of Jaruzelski's possible courses of action in the months ahead. The source believes that Jaruzelski will totally reorganize the trade unions, basing them on industries or geographic regions andamu to economic issues.

In addition, tho source believes that thehopes to pull the party back together with aof intimidation and patronage. As for the military, he believes that the senior officer corps

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for Dato Jlffi

enjoys its new power and enhanced self-image and will continue to be Involved in administration after the formal lifting of martial law. faBBBg*vJflHABaVV

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comment: Elements of this alleged strategy are plausible, especially the plan for rebuilding the party. In the past, party membership has carried nriv^Laqes^ar their lure will be Irresistible to some-

The other aspects of the strategy are morecause problems for the government. The regimewould not be able toew unionwould be attractive to workers while preservingof control the regime sees as necessary. military officers are influential now because ofstate of the party and government, theirsets the stage for latercon^Hctswhentheto reassert

January2

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