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...Keynesianism was flourishing a decade and more ago. One shortcoming was the Keynesian assumption that supply would simply take care of itself once demand was stimulated. So long as inflation stayed low, that is in fact what happened. Even modest increases in consumer demand would bring quick jumps in output. So productive were U .S. plants and factories that they not only filled the needs of the nation's domestic market but also deluged the world with material abundance...

Author: /time Magazine | Title: To Set the Economy Right | 8/27/1979 | See Source »

Agriculture is in even worse shape than the mining industry. In southern Zambia, farming has been disrupted by guerrilla warfare. In the Gwembe Valley, crops are rotting in local cooperative stores because nobody wants to collect them. Most of the preindependence white farmers have left Zambia, and agricultural output has dropped accordingly. Zambia's farmers no longer grow tobacco, once a flourishing crop, nor do they produce as much corn as the country needs...

Author: /time Magazine | Title: World: Zambia: Beleaguered Host | 8/13/1979 | See Source »

Some members are beginning to take price-boosting actions on their own. Last week Nigeria announced plans for a 10% cutback in the production of its much prized low-sulfur crude, Algeria threatened an even larger 20% cut of its own, and Kuwait indicated that it intended to reduce output by as much as 25% early next year...

Author: /time Magazine | Title: Business: Rip-Off Time Once Again | 8/13/1979 | See Source »

...help U.S. farmers increase output, Bergland lifted the federal "set aside" requirement that has obliged them to keep 20% of their acreage out of cultivation...

Author: /time Magazine | Title: Business: Grain for Ivan | 8/13/1979 | See Source »

...Energy Department study has concluded that by 1982 the use of gasohol will have spread to the point where it will be supplanting about 3% of gasoline consumption. As output of alcohol rises to meet demand, its high cost-commercially distilled pure alcohol now sells for as much as $1.85 per gal.-will come down, making the price competitive with gasoline's. Eventually, alky fans hope, the U.S. will catch up with Brazil: by the early 1980s some 15% of all automobile fuel used there will be straight alcohol...

Author: /time Magazine | Title: Business: Home-Brew Fuel | 8/6/1979 | See Source »

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