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Other statistics embroidered the picture of deepening decline. The index of leading indicators, those measurements of the economy that are thought to give the best clues to the future, dropped .6% in January, its ninth straight downward move. The index would have fallen a shocking 2.8% if Government statisticians had not decided to exclude from the calculations a sharp decline in the length of the average work week, on the questionable ground that severe weather in January had distorted that figure. New orders received by American factories fell 1.2% in January, despite a sharp rise in orders received by defense...

Author: /time Magazine | Title: A Season of Scare Talk | 3/15/1982 | See Source »

...credit agencies to the stated deficit, the Federal Government borrows about 35% of all the lendable funds in the country. Henry Kaufman, chief economist of the investment banking firm of Salomon Bros., predicts that as a rising deficit bumps up against the borrowing demands of businesses and individuals, "the downward trend of interest rates will probably reverse before midyear, and in the second half, long-term rates will once again threaten their peaks of 1981." Worse, there are widespread fears that the actual deficit will soar beyond Reagan's projections of $98.6 billion this fiscal year and $91.5 billion...

Author: /time Magazine | Title: Paying More for Money | 3/8/1982 | See Source »

...Salvador. The official U.S. view of the situation was restated last week in the State Department's annual country-by-country survey of human rights practices around the world. In 1981 in El Salvador, says the report, "human rights violations were frequent, but there was a downward trend in political violence." By the count of the U.S. embassy in El Salvador, there were 6,116 violent deaths during the twelve months, against 9,000 in 1980. The report says the guerrillas, the right-wing death squads and members of the government's internal security forces all have...

Author: /time Magazine | Title: Central America: A Question of Objectivity | 2/22/1982 | See Source »

...downward pressure is apparent on the spot market, where relatively small quantities of oil are traded on a day-to-day basis. The cost of crude in these sales has often been the most sensitive barometer for world oil prices. During 1979 and 1980 leaping spot market prices encouraged oil exporters to begin raising their long-term contract prices to levels that eventually reached $40 per bbl. With demand now ebbing, more and more companies have been dumping their excess crude and petroleum products on the spot market. By last week spot prices had slipped...

Author: /time Magazine | Title: Plunging Petroleum Prices | 2/22/1982 | See Source »

...except for a brief period late last year, rates have not declined much at all, and now they are headed up again. Several major banks last week raised the benchmark prime lending rate another .75%, to 16.5%. The jumps have been extremely discouraging for the Administration, since a downward trend in rates is necessary to spur the business investment boom that Reaganomics needs. The latest interest rate increases have also renewed worries in Western European countries that their costs of borrowing will start climbing once again, forcing their economies still deeper into a slump...

Author: /time Magazine | Title: The Great Deficit Dilemma | 2/15/1982 | See Source »

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