$Id$ should be preceded by a tab
Don't include ../Makefile.inc when it is not used explicitly
Use the normal amount of horizontal and vertical whitspace (1 tab/none)
Don't override the (correct) default for MAN1
Use the correct order for -I paths
Use config.h generated by `configure', don't use a huge CFLAGS statement
Enable useage of libreadline in config.h, configure didn't enable it itself.