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...long struggle had begun last January, when Reagan presented a budget so in the red and so heavy on increased military spending that not a single Republican Senator was willing to introduce it. Reagan wanted a 10% hike in defense funds and virtually no tax increases until 1986, when, he proposed, some $50 billion in new revenue would be sought if the economy did not sharply improve. He insisted that there be no tampering with his 10% income tax rate cut, scheduled to go into effect this July...

Author: /time Magazine | Title: Budget Deal | 7/4/1983 | See Source »

...would be at risk." The Fed governor said the Reserve Board might gently nudge up short-term interest rates, now at about 9%, to the 10% range. Many private experts, including Alan Greenspan, who was chief economic adviser to President Ford, agree that the economy can withstand a small hike in interest rates. The recovery could be cooled, Greenspan believes, without being crushed...

Author: /time Magazine | Title: Showing Some Real Muscle | 7/4/1983 | See Source »

...Chevalier's greatest worries is the disparity between French and West German wage settlements. He pointed out that while unions at Volkswagen accepted a 3.2% pay increase in 1983, Renault workers have won a 10% pay hike. Such a difference in wage contracts is likely to mean continued currency troubles between the two countries...

Author: /time Magazine | Title: Europe: Some Smoother Seas | 6/27/1983 | See Source »

...cranial screw-top procedure, one tends to believe her when she claims to have a headache. Still, that's the least of her meanness, and one is sympathetic, even relieved, when Martin makes a citizen's divorce (it consists of making an announcement and taking a hike) in order to sin in his mind, as it were...

Author: /time Magazine | Title: Cinema: Head Trip | 6/20/1983 | See Source »

...things relieving some of the pressure on the Mexican government seems to be a widespread attitude of ni modo, a fatalist mood of "nothing can be done about it." Even labor unions are not optimistic about getting big wage increases. They had been asking for a 50% hike but probably will get only 20% at best, even though inflation has chopped the buying power of the average worker by 60%. Working union members seem happy enough just to have jobs. Two weeks ago, attempts to get a general strike off the ground fizzled. While bankers and economists feverishly work...

Author: /time Magazine | Title: Mexico Tightens Its Belt | 6/13/1983 | See Source »

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