Word: depression
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...argue that this part of the deficit is going to crowd out private credit demands is nonsensical. The question really is: Crowd out compared with what? Suppose we had no tax cut and no extra fiscal stimulus. Then a recovery would probably be aborted, and this would really depress private credit demands by causing much greater inventory liquidation, cutbacks...
Henry Ford II estimates that if the tough 1977 rules are not postponed, they will add $750 to the cost of a car and further depress sales. (The EPA estimates the added cost at $250 to $350.) In addition, GM's Murphy contends, "If you set emission standards higher, there's got to be a sacrifice of fuel economy." The EPA disagrees. Astonishingly, a study it released last week argues that there "is no inherent relationship between exhaust-emissions standards and fuel economy." The best guess now is that Congress will push back the 1977 regulations...
...program could actually depress the economy a bit further for a few months. Ford's tariff on imported oil will push...
...were told to take off weight and lower their salt intakes. Some patients were put on an almost totally salt-free rice diet so unappealing that most of them abandoned it as soon as they left the hospital and medical supervision. A handful of doctors even tried surgery to depress blood pressure. The operation was called a sympathectomy; it cut certain nerves leading to the organs of the chest and abdomen on the theory that this would relax the arterioles. It did but only temporarily; the arterioles soon responded to hormonal signals to constrict...
...will finance the storage and transport of the grain and who will control it? U.S. Secretary of Agriculture Earl Butz, whose views are crucial because no reserve system could function without major U.S. participation, worries that the existence of the surplus stocks could hang over the commercial market and depress the prices paid to farmers for their crops. His fear is based on the Government's experience handling the enormous U.S. grain surpluses during the 1950s and 1960s. American farmers commonly-and often bitterly-complain that the Government sold some of those stocks whenever grain prices moved up, thus...