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Pragmatically recognizing the key role that capitalist initiative plays in dynamic economies, some ruling socialists have taken steps toward encouraging freer enterprise. Britain's Labor government, for instance, is planning to announce efforts to stimulate individual initiative and investment. West German Chancellor Helmut Schmidt has angered the radical wing of his Social Democratic Party by braking the rate of pension increases and halting the planning of new ambitious welfare schemes, like a costly increase in health benefits. To stop a headlong plunge into bankruptcy, Portugal's Socialist Premier Mario Scares has been uncomfortably forced to restore to private ownership farms...

Author: /time Magazine | Title: Socialism: Trials and Errors | 3/13/1978 | See Source »

...know whether to snicker or be outraged, and most have been hesitant to dignify the theory by formally investigating it. Last month a team of intrepid researchers at Johns Hopkins University ventured into the area. Writing in the Archives of General Psychiatry, Psychologist John Shaffer and Psychiatrist Chester Schmidt reported that despite biorhythm's "wistful appeal," the theory just doesn't work...

Author: /time Magazine | Title: Behavior: Those Biorythms and Blues | 2/27/1978 | See Source »

...tried to persuade West Germany to help spur a worldwide economic recovery by dumping its slow-growth policies in favor of accelerated expansion-and once again the Germans have refused. At a tense three-hour meeting in Bonn, Treasury Secretary Michael Blumenthal was lectured last week by Chancellor Helmut Schmidt about the U.S.'s economic "sins." Among the most grievous cited by Schmidt: the absence of a coherent energy program; the U.S.'s huge foreign trade deficit, which stimulates international inflation; and Washington's unconscionable failure to support the sagging dollar...

Author: /time Magazine | Title: Business: Growing Gap Between Allies | 2/27/1978 | See Source »

...Schmidt and his colleagues argue that the Carter Administration is dangerously overestimating West Germany's capacity to act as the locomotive that could pull its trading partners out of the economic doldrums. After Blumenthal's departure, a German Finance Ministry official complained that the U.S.'s arm-twisting tactics showed "a shocking lack of understanding of our economic realities...

Author: /time Magazine | Title: Business: Growing Gap Between Allies | 2/27/1978 | See Source »

...risen from next to nothing in the mid-'60s to a postwar high of 1.2 million, or 5.4% of the labor force. West German economic growth, which in the '60s rivaled that of the Japanese, has slowed to a stumble. At last May's London summit, Schmidt assured fellow leaders that his country would achieve a 5% expansion in 1977. The true figure, however, was only 2.4%, and there is no guarantee that Bonn will achieve its 3.5% target...

Author: /time Magazine | Title: Business: Growing Gap Between Allies | 2/27/1978 | See Source »

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