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...these false charges. There is this insidious suggestion that I was conducting an operation. It's untrue, unfair and totally wrong. I met Max Gomez three times and never discussed Nicaragua with him. What I did discuss was what he was doing in terms of the counterinsurgency in El Salvador, something that is of fundamental policy interest to the U.S. There was no linkage to any operation, yet it keeps coming up. There are all kinds of weirdos coming out of the woodwork on this thing...

Author: /time Magazine | Title: An Interview with Vice President George Bush | 12/8/1986 | See Source »

...plan to strengthen the economy and reduce dependence on U.S. largesse. He devalued the Salvadoran colon by 50%, which led to consumer price increases, and imposed a tax on coffee, the country's main export, to pay for the war. With an average per capita income of $535, El Salvador now faces as much as 50% unemployment, up to 40% inflation and a flight of capital as wary businessmen invest overseas. To make matters worse, half a million people have been forced from their homes by the war. The earthquake, which killed as many as 1,500 people, left more...

Author: /time Magazine | Title: El Salvador Up Against Hard Realities | 12/1/1986 | See Source »

Finding that money will be difficult. After the quake, El Salvador received $52 million in aid from the U.S. ($350 million more has been recommended by the U.S. embassy) and was promised $130 million from Italy and $50 million from West Germany. Many other countries and private agencies chipped in immediately, but the costs of full reconstruction dwarf their contributions...

Author: /time Magazine | Title: El Salvador Up Against Hard Realities | 12/1/1986 | See Source »

Duarte and a democratic El Salvador may find it difficult to last without substantial doses of continued American economic and military support. The U.S. has a high stake in Duarte's survival but seems uncertain precisely how best to strengthen his hand, apart from providing massive aid indefinitely. Says a Salvadoran banker: "The poor are a lot less afraid of Communism than the wealthy, and it is the poor who are suffering." U.S. policymakers are mindful of that assessment. To counter the implicit threat, Duarte, whose government is reportedly plagued by low-level official corruption, must not only obtain additional...

Author: /time Magazine | Title: El Salvador Up Against Hard Realities | 12/1/1986 | See Source »

...Sunday afternoon Aquino summoned Enrile and Vice President Salvador Laurel to her Malacanang Palace residence. After a 25-minute session Enrile emerged smiling and waved at bystanders but made no comment. Ninety minutes later Aquino went on television to announce that the Defense Minister had stepped down. She also declared, "We shall be acting on the other resignations in the next few days," and emphasized that Ramos "has taken preventive measures against the recklessness of some elements in the military." Ileto became the first member of the new Cabinet to be sworn in. Lest anyone miss the point, Ramos issued...

Author: /time Magazine | Title: The Philippines Cory Shows a Steely Side | 12/1/1986 | See Source »

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