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...deficit of at least $105 billion. Democrats are refusing to support any tax increase at all in an election year. Some had hoped to repeal the final the President's three-year program to reduce individual income taxes by 25%. But Reagan has stubbornly refused to forgo that slash and apparently has the support to keep it intact...

Author: /time Magazine | Title: Biting The Bullet On Deficits | 8/2/1982 | See Source »

...debt load. Ohio, which will owe $2 billion by mid-1983, expects to pay $100 million in interest alone in 1983, and $200 million more in 1984. Since federal law prohibits the use of state unemployment funds to pay these costs, the states will have little choice but to slash services or hike income taxes, or both. Warns Tom West, an economist for the Michigan Employment Security Commission: "Without any changes in the law it's going to be at least ten years before the system becomes solvent again. And it's going to be very painful...

Author: /time Magazine | Title: High Cost of Joblessness | 8/2/1982 | See Source »

...Superintendent Trevor Lloyd-Hughes agreed, warning that Fagan might skip trial, commit other crimes or hurt himself. "His present state of mind is such that his movements and actions are totally unpredictable," the policeman said. "He has serious personal problems and has suicidal tendencies. He has twice tried to slash his wrists, and the marks are still to be seen...

Author: /time Magazine | Title: Buckingham Follies, Act II | 8/2/1982 | See Source »

Over the past decade, heavy tax and wage burdens, along with sluggish growth, have cut deeply into business profits. Confronted by lagging profits and steep interest rates, Western companies have been forced to slash their spending for capital investment. In 1970, the U.S. and Western Europe devoted about 4% of their national income to buying new equipment and building factories that would add to industrial capacity. By 1982, that ratio had fallen to less than...

Author: /time Magazine | Title: What in the World Is Wrong? | 7/19/1982 | See Source »

...runaway cost of health care has played havoc with the federal budget, which has seen outlays for federally financed medical coverage under the Medicare and Medicaid programs rise from $26 billion in 1976 to $56 billion in 1981. In a desperate effort to slash expenditures and trim a projected overall budget deficit of at least $103.9 billion for the fiscal year that begins in October, Congress agreed to slice $15.2 billion off projected spending of $270 billion for the programs over the next three years...

Author: /time Magazine | Title: Those Sky-High Health Costs | 7/12/1982 | See Source »

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