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...budget deficit and the trade deficit are really aspects of the problem of too much consumption and not enough saving. As Harvard professor Benjamin Friedman points out in his forthcoming book Day of Reckoning, the share of national income raised in federal taxes is exactly what it was in 1979, but the share returning to individuals in the form of transfer payments (Social Security and so on) has gone up. The Government borrows the difference, thus replacing national savings with consumption. The 1980s' consumption boom, Friedman notes, has been financed in three ways: by this shift in the Government budget...

Author: /time Magazine | Title: Campaign Issues Deficits: Lunchtime Is Over | 10/3/1988 | See Source »

...high prices as a kind of risk premium. The high prices, in turn, produce enormous profits that irresistibly lure vicious gangs, who are taking over large areas of cities. The gangs employ armies of pushers who spread the very plague the drug laws are supposed to combat. Says Milton Friedman, guru of free-market economists and a Nobel prizewinner: "The harm that is done by drugs is predominantly caused by the fact that they are illegal. You would not have had the crack epidemic if it was legal." Finally, addicts too are irresistibly driven to crime -- prostitution, mugging, burglary...

Author: /time Magazine | Title: Thinking the Unthinkable | 5/30/1988 | See Source »

...heavily regulated; for example, they would be forbidden to sell to anyone under 21 years old. But there are many variations. Some supporters would permit the legal sale of marijuana only; Washington Mayor Marion Barry might add cocaine but is dead set against legalizing PCP (angel dust). Economist Friedman would permit the sale of every imaginable brand of upper and downer at the local drugstore. Dershowitz would go so far as to distribute heroin free from mobile vans in inner cities to "medically certified addicts...

Author: /time Magazine | Title: Thinking the Unthinkable | 5/30/1988 | See Source »

...Today's creators insist that their show is not competing with network news. "Television is a menu," says Friedman, "and not everything has to be / meat and potatoes." Tinker dismisses suggestions that the video dessert tray is not in keeping with the tonier series (The Mary Tyler Moore Show, Hill Street Blues) he has been identified with. "My definition of a good television show," he says, "is one that hits the target it aims...

Author: /time Magazine | Title: Video: Get Ready for McRather | 4/11/1988 | See Source »

...format and main studio in Rosslyn, Va., are still under construction. But four network-credentialed anchors -- NBC's Bill Macatee and Robin Young and ABC's Edie Magnus and Kenneth Walker -- have been hired, and Friedman sounds confident that he has caught the next video wave. Says he: "This is television for the '90s." Gulp...

Author: /time Magazine | Title: Video: Get Ready for McRather | 4/11/1988 | See Source »

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