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The World - News from Aug. 19, 1986

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Australia announced that it will not take part in joint military exercises planned for next month with the United States because it lacks the necessary funds. Defense Minister Kim Beazley said that participation in the Sept. 5-20 exercises in the Philippines, code-named Cape Thunder, has been dropped in favor of another exercise in May, 1987. The decision came on the eve of an expected 1986-87 austerity budget and growing Australian government resentment over subsidized U.S. wheat sales to China and the Soviet Union, traditional Australian markets.

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