GREAT BRITAIN THE SHOCK OF TODAY (SEE COVER) THE SIGNS AND SYMBOLS 
OF PROSPERITY ARE EVERYWHERE IN BRITAIN, CROWDING THE PAST, COMPLICATING THE 
PRESENT . ALONG ROLLING ROMAN ROADS AND WINDING COUNTRY LANES, PAST 
SLEEPING NORMAN CHURCHES AND WHITEWASHED FARMS, WEEKEND TRAFFIC FLOWS LIKE AN 
INVADING ARMY . LONDON'S RAW NEW OFFICE BUILDINGS JOSTLE GEORGIAN MANSIONS 
; A HILTON HOTEL STARES IMPERTINENTLY DOWN ONTO BUCKINGHAM PALACE . 
BOWLING ALLEYS AND DANCE HALLS ARE PACKED EACH NIGHT OF THE 
WEEK . ON CITY ROOFTOPS, TV ANTENNAS STAND AS THICK AS 
THE ENGLISH ARCHERS AT AGINCOURT . IN ONE DECADE, THE NUMBER 
OF CARS ON THE ROADS HAS DOUBLED (TO 6,000,000), THOUGH THE 
ENTIRE ISLAND BOASTS ONLY 190 MILES OF EXPRESSWAY . MOST BRITONS 
EARN TWICE AS MUCH AS THEY DID IN 1949, AND THEY 
ARE GAMBLING AND BETTING THEIR LOLLY AT THE STUPEFYING RATE OF 
$3 BILLION A YEAR . ONE OF LONDON'S MOST EXQUISITE 18TH 
CENTURY HOUSES OPENED RECENTLY AS AN OPULENT GAMBLING CLUB . IN 
THE PAST TWO YEARS, BINGO PALACES AND BETTING SHOPS HAVE MUSHROOMED 
THROUGHOUT THE COUNTRY, WHICH SOME NOW CALL " THE WINDFALL STATE 
. " THESE DAYS, MORE THAN 3,500,000 " INSULAR / BRITONS 
GO ABROAD EACH YEAR MOSTLY TO THE CONTINENT, WHERE DARTS AND 
MARMALADE AND TEA AT 4 : 30 ARE NOW AN ACCEPTED 
PART OF THE RITES OF SUMMER . BRITONS ARE BETTER EDUCATED 
AND IN BETTER HEALTH THAN EVER BEFORE AND NEED PAY NO 
DOCTORS' BILLS . YET, FOR ALL THEIR HEADY NEW AFFLUENCE, THE 
BRITISH TODAY FEEL DISTURBED AND INSECURE . THEIR TROUBLED MOOD IS 
INDEFINABLE BUT INESCAPABLE . IT IS A SENSE OF UNEASE IN 
WHICH IS BLENDED THE AWARENESS OF NATIONAL DECLINE, THE CONSCIOUS SENSE 
OF FAILURE TO FIND NEW OUTLETS FOR THEIR ENERGIES, A FEELING 
THAT MANY OF THEIR HALLOWED INSTITUTIONS AND TRADITIONS ARE INCREASINGLY IRRELEVANT 
TO A FORMIDABLY CHANGED WORLD . TWO RINGS . THE NATION'S 
COMMERCE AND INDUSTRY, ITS EDUCATION AND ETHICS, WERE ALL DEVELOPED TO 
MEET THE CHALLENGE OF GLOBAL POWER . ITS HISTORY BOOKS AND 
LITERATURE REVERBERATE WITH THE NAMES OF SOLDIER-HEROES AND THE BATTLEFIELDS ON 
WHICH THEY WON AND HELD AN EMPIRE : OMDURMAN AND LUCKNOW, 
QUEBEC, KHARTOUM, MAFEKING . IN EVERY CORNER OF THEIR ISLAND, STATUES 
AND STREET NAMES STILL CELEBRATE A GLORY THAT HAS PASSED . 
" YOU USED TO OPEN THE ATLAS, " MUSES A MANCHESTER 
BUSINESSMAN, " AND HALF THE WORLD WAS RED . NOW BRITAIN 
IS JUST A LITTLE RED SPECK OFF THE COAST OF EUROPE 
. " SUEZ CRUELLY DEMONSTRATED TO THE WORLD THAT IT TAKES 
POWER TO BE A POWER . BUT EVEN THEN, BRITONS COULD 
NOT COME TO TERMS WITH THE HARSH REALITY OF VANISHED MIGHT 
. THEIR FEELING OF SHOCK TODAY IS ALL THE GREATER BECAUSE 
IT HAS BEEN SO LONG DELAYED . AS IF BY SOME 
MALEVOLENT DESIGN, A WHOLE SERIES OF FRUSTRATIONS AND FAILURES HAS BESET 
BRITANNIA IN A FEW SHORT MONTHS, DEEPENING THE NATION'S ANGST . 
THE ABRUPT U.S . CANCELLATION OF THE SKYBOLT MISSILE RUDELY EXPOSED 
THE FACT THAT BRITAIN'S " INDEPENDENT " NUCLEAR DETERRENT IS IN 
FACT ALMOST WHOLLY DEPENDENT ON WASHINGTON . THERE WAS A TIME 
WHEN U.S . PRESIDENTS SOUGHT BRITAIN'S COUNSEL AND EVEN APPROVAL BEFORE 
TAKING ANY MAJOR INITIATIVE IN WORLD AFFAIRS ; IN THE CUBAN 
CRISIS, THE MOST PERILOUS OF THE LAST FEW YEARS, THE CELEBRATED 
JACK-MAC TELEPHONE RANG JUST TWICE . BACK ON THE DOLE . 
BRITAIN'S INSECURITY HAS BEEN EXACERBATED BY 14 LONG MONTHS OF HAGGLING 
WITH THE EUROPEANS . SWALLOWING THEIR PRIDE AND REVERSING CENTURIESOLD TRADITION, 
THE BRITISH DECIDED IN MID1961 TO CROSS THE CHANNEL AND MAKE 
COMMON CAUSE WITH THE CONTINENT . THEN LAST WEEK, JUST AS 
THEY WERE WITHIN SIGHT OF THEIR GOAL, CHARLES DE GAULLE OF 
FRANCE CONTEMPTUOUSLY CLOSED THE DOOR ON PERFIDIOUS ALBION . EVEN AT 
HOME, THE STORM SIGNALS WERE FLYING . ONCE AGAIN THE LINES 
OF UNEMPLOYED WORKERS ARE LENGTHENING OUTSIDE LABOR EXCHANGES . THE HALF-FORGOTTEN 
WORD " DOLE " IS BACK IN THE LANGUAGE . BRITAIN'S 
OVERALL UNEMPLOYMENT RATE OF 2.6 PER CENT , THOUGH MILD BY 
U.S . STANDARDS, IS AT A FOUR-YEAR PEAK AND STILL RISING 
. MOREOVER, MOST OF THE 600,000 MEN WITHOUT JOBS ARE CONCENTRATED 
IN A FEW DOZEN " BLACK SPOTS " IN THE NORTH, 
WHERE IN SOME COMMUNITIES UP TO 14 PER PER CENT OF 
THE WORK FORCE IS ON THE DOLE ($13 A WEEK FOR 
A MARRIED MAN) . GAP NONETHELESS, BRITAIN'S PROSPERITY IS POISED ON 
A KNIFE EDGE . IN THE PAST DECADE, ITS ECONOMY HAS 
GROWN ONLY 2FY PER YEAR ON AVERAGE ; IN 1962 IT 
ROSE ONLY 1 PER CENT , WHEREAS IN THE COMMON MARKET 
EVEN A 4 PER CENT GROWTH RATE IS CONSIDERED DISAPPOINTING . 
SINCE 1950, BALANCE-OF-PAYMENTS CRISES HAVE BROUGHT BRITAIN TO THE BRINK OF 
BANKRUPTCY SIX TIMES . BY DRACONIAN MEASURES THE GOVERNMENT SUCCEEDED LAST 
YEAR IN BOOSTING EXPORTS 3 PER CENT FOR A NEW $11 
BILLION POSTWAR RECORD, HELPING TO MAINTAIN GOLD AND HARD-CURRENCY RESERVES . 
HOWEVER, IT WAS ONLY ABLE TO ACHIEVE STABILITY BY CUTTING BACK 
CREDIT AND CURBING INDUSTRIAL EXPANSION . " OTHER COUNTRIES HAVE HAD 
THEIR ECONOMIC MIRACLES, " SIGHS A MANCHESTER JOURNALIST . " BRITAIN 
HAS HAD ITS CRISES . " BRITAIN NEEDED URGENTLY TO EXPAND 
ITS MARKETS AND BROADEN ITS SHAKY FINANCIAL BASE . ONCE INSIDE 
EUROPE, BRITISH INDUSTRY WAS CONFIDENT THAT IT COULD SUBSTANTIALLY BOOST EXPORTS 
TO THE SIX . IT ALSO ANTICIPATED A HEAVY INFLUX OF 
INVESTMENT CAPITAL FROM U.S . AND OTHER FOREIGN COMPANIES EAGER TO 
HAVE A BRITISH TOEHOLD IN THE COMMON MARKET . IF BRITAIN 
WERE FINALLY EXCLUDED FROM EUROPE, INVESTMENT WOULD CONTINUE TO DWINDLE AND 
BRITAIN MIGHT BE FORCED AS A RESULT TO MAKE DRASTIC CUTS 
IN ITS LIVING STANDARDS . MEANWHILE, IT MAY EITHER RETREAT BEHIND 
HIGH TARIFF WALLS OR ELSE RETURN TO ITS CLASSIC IDEAL OF 
FREE TRADE, POSSIBLY IN ASSOCIATION WITH THE U.S . AND EUROPEAN 
NATIONS OUTSIDE THE MARKET . THIS WEEK, AS M.P.S FLOCKED BACK 
TO WESTMINSTER FROM THE CHRISTMAS RECESS, UNEMPLOYMENT THREATENED TO BE AN 
EVEN MORE EXPLOSIVE ISSUE THAN THE COLLAPSE OF THE COMMON MARKET 
NEGOTIATIONS . THE GOVERNMENT'S BEST ASSET IN TIME OF CRISIS HAS 
ALWAYS BEEN THE PRIME MINISTER, A POLITICAL MACHOUDINI WHO CAN SLITHER 
OUT OF ALMOST ANY TRAP BY SHEER SLEIGHT-OF-HAND . UNDISTURBED BY 
THE COUNTRY'S MOUNTING FRUSTRATION OVER UNEMPLOYMENT AND HOUSING, MACMILLAN DID NOT 
SWING INTO ACTION UNTIL LAST SUMMER, AFTER THE TORIES HAD SUFFERED 
THE WORST SERIES OF BY-ELECTION REVERSES INFLICTED ON A BRITISH GOVERNMENT 
IN 40 YEARS . IN HIS THIRD AND MOST DRASTIC CABINET 
RESHUFFLE SINCE HE TOOK OFFICE, MACMILLAN PURGED HALF HIS MINISTERS, HANDED 
KEY POSTS TO SOME OF THE BRIGHTEST YOUNG POLITICIANS EAST OF 
THE NEW FRONTIER . TO GINGER UP THE FALTERING ECONOMY, NEW 
CHANCELLOR OF THE EXCHEQUER REGINALD MAUDLING CUT INTEREST RATES, GAVE GENEROUS 
NEW TAX CONCESSIONS TO INDUSTRY, SLASHED PURCHASE TAXES ON AUTOS AND 
A WIDE RANGE OF CONSUMER GOODS . TO SPEED HOMEBUILDING AND 
SLUM CLEARANCE A TASK THAT MACMILLAN HIMSELF DISCHARGED WITH DISTINCTION IN 
HIS FIRST CABINET POST IN 1951 THE PRIME MINISTER BROUGHT IN 
SIR KEITH JOSEPH, 45, AN ASTUTE POLITICIAN AND ONETIME CONSTRUCTION COMPANY 
EXECUTIVE, AND GAVE HIM THE GO-AHEAD FOR A MAJOR PUBLIC-WORKS PROGRAM 
. GEOFFREY RIPPON, 38, THE PARTY'S " BACK-ROOM " HOUSING EXPERT, 
WAS ASSIGNED TO STREAMLINE ARCHAIC BUILDING CODES AND TECHNIQUES . TWO 
WEEKS AGO, AS UNEMPLOYMENT KEPT RISING AND SUPPORT FOR THE GOVERNMENT 
SLUMPED TO AN ALLTIME LOW (36 PER CENT V . 45 
PER CENT FOR LABOR), MACMILLAN ASSIGNED LORD HAILSHAM, HIS MINISTER OF 
SCIENCE AND FORMER PARTY CHAIRMAN, TO MAKE A CRASH EFFORT TO 
HELP THE WORST DEPRESSED AREAS AS CABINET MINISTER RESPONSIBLE FOR THE 
NORTHEAST . THE GOVERNMENT DOES NOT HAVE TO CALL AN ELECTION 
FOR 21 MONTHS . IT HAS RECENTLY SEEMED LIKELY, HOWEVER, THAT 
MACMILLAN WOULD GO TO THE PEOPLE IN THE COMING FALL . 
BY THEN, POLITICIANS FIGURED, BRITAIN WOULD HAVE MADE HER TRIUMPHAL ENTRY 
INTO THE COMMON MARKET, AND THE GOVERNMENT'S PUMP PRIMING WOULD HAVE 
THINNED THE UNEMPLOYMENT ROLLS AND REINVIGORATED THE ECONOMY . BUT AFTER 
LAST WEEK'S DIMMING OF HOPES FOR A PROMPT ENTRY INTO EUROPE, 
THE GOVERNMENT MAY FEEL CONSTRAINED TO SEEK A NEW MANDATE EVEN 
EARLIER . THE CONSERVATIVES HAVE BEEN IN POWER FOR ELEVEN STRAIGHT 
YEARS, THE LONGEST UNBROKEN INNINGS THAT ANY PARTY HAS ENJOYED SINCE 
THE 23-YEAR TORY REIGN THAT ENDED IN 1830 . SIXTEEN BY-ELECTION 
SETBACKS FOR THE TORIES IN THE PAST YEAR HAVE BADLY DENTED 
MACMILLAN'S PRESTIGE . UNTIL HUGH GAITSKELL'S DEATH LAST WEEK, A TORY 
DEFEAT IN THE NEXT ELECTIONS SEEMED AT LEAST A POSSIBILITY . 
AGAINST A DEMORALIZED, LEADERLESS OPPOSITION, THE CONSERVATIVE CHANCES ARE FAR BRIGHTER 
FOR THE FOURTH STRAIGHT ELECTORAL VICTORY . SOME EXPERTS SPECULATE THAT 
HAROLD MACMILLAN MAY DECIDE TO STEP DOWN AFTER THE ELECTION . 
HE HAS NO CLEAR HEIR, BUT DEPUTY PRIME MINISTER R . 
ARAB " ) BUTLER, AN ASTUTE TACTICIAN WHO IS DISTRUSTED BY 
TORY RIGHTWINGERS, WOULD SUCCEED HIM IF MACMILLAN WERE REMOVED TOMORROW . 
