Democrat Endicott Peabody '42 has been elected Governor of Massachutts by a slim, 8000-vote margin, but incumbent Gov. John A. Volpe is virtually certain to demand a recount in one of the closest elections in the state's history.

After a wild day of counting and miscounting, concessions made and then hastily retracted, and a general air of confusion throughout the State, Peabody was declared the victor by votes.

But yesterday evening, election officials discovered a major ballot mix-up in Holyoke. In the gubernatorial contest, Peabody's 12,000 votes had been given to Volpe, and Volpe's 8000 to Peabody. Switching the votes back again increased Peabody's lead by .

Attorney-Gen. Edward J. McCormack late last night ordered all ballot boxes impounded and placed under 24-hour police guard.

Whatever the outcome of the Commonwealth's gubernatorial contest, the Democrats fared well in other races around the Nation. They captured a 68-32 majority in the Senate, the largest margin since 1938, and maintained a substantial edge in the House of Representatives.

Veteran Sen. Lister Hill (D.-Ala.) and Sen. Ernest Gruening (D.-Alaska) finally won the 67th and 68th seats late yesterday morning. In Alabama, Hill fought Republican James D. Martin right to the wire, and most political observers are amazed by the smallness the long-time Senator's margin of victory.

Five of the 425 House races are still undecided, but the Democrats already hold 254 seats to the Republicans' 176 and lead in the five uncertain contests. Final results will probably show a net loss of only four House seats for the Democrats.

Indiana's Republican Sen. Homer Capehart finally went to defeat late yesterday morning after 18 years in the Senate. Capehart, who has repeatedly called for an invasion of Cuba, was overcome by Birch E. Bayh, minority leader in the Indiana legislature.

Rhode Island lays claim to the closest race in the country, where incumbent Gov. John A. Notte, Jr. leads Republican John H. Chafee by a miniscule 46 votes. A State police guard was hurriedly thrown around the absentee, shut-in, and servicemen's ballots which will not be counted until after a Nov. 21 filing deadline.

In Beverly Hills, Calif., an embittered Richard M. Nixon finally conceded the governorship of California to incumbent Gov. Edmund G. "Pat" Brown.

Brown was leading by almost 300,000 votes at 2 p.m. (EST) yesterday afternoon when Nixon, his hopes for a political comeback ruined, bade farewell to public life in an angry concession speech.

"You won't have Nixon to kick around any longer, because this, gentlemen, is my last press conference," the former vice-President declared.

According to the Associated Press, Nixon, his eyes swollen from lack of sleep and flashing anger, accused the press of distorting his statements.

In one breath, he said he had no complaints. Then he aired a few.

"Thank God for radio and TV," Nixon said through tightly compressed lips, "for keeping the newspapers a little more honest."

Leveling his gaze at assembled reporters, he said: "Never in my 16 years of campaigning have I complained about coverage to a publisher or an editor. I believe a reporter has a right to cover the news as he sees it. But I'll say to a reporter sometimes: 'I wish you had given my opponent the same going over you gave me.'"

Later he told newsmen: "For 16 years, ever since the Hiss case, you've had a lot of fun. You've had an opportunity to attack me. I've given as good as I've taken--and I've had fun matching wits with you."