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...Carter also proclaims that the annual pay raise for federal employees in October will be held to 5.5%. Such restraint seems unlikely; last year Carter initially suggested a 7.8% civil service pay hike, only to increase it later to 9.1%. After looking over Carter's numbers, David Stockman, Reagan's budget chief, charged that "the relatively low deficit is entirely cosmetic and artificial...

Author: /time Magazine | Title: Carter's Farewell Budget | 1/26/1981 | See Source »

Reagan's advisers last week quickly began working through the 638-page budget to see how they might change it. Stockman promised to revise the Carter document "from top to bottom, because clearly it is not an acceptable fiscal policy and would only cause further deterioration of the economy." He hopes to trim an additional $30 billion to $50 billion of nondefense expenditures. But despite such grand claims, the Carter budget will remain the centerpiece for discussions about 1982 spending. The Reagan Administration will be able to alter some parts of it, but the broad thrust of federal spending...

Author: /time Magazine | Title: Carter's Farewell Budget | 1/26/1981 | See Source »

Nevertheless, old ways will be hard to change. Congressmen have always fought ferociously to save pork-barrel water projects, obsolete military bases or other federal favors in their districts. Stockman had a preview of future battles two weeks ago during his Senate confirmation hearings. Democrat James Sasser of Tennessee fretted that Stockman's proposed reforms of federal credit programs would increase the borrowing costs of the Tennessee Valley Authority and boost his constituents' electric bills, while Democrat John Glenn of Ohio was concerned that Stockman offered no special help for his state's steel firms...

Author: /time Magazine | Title: Carter's Farewell Budget | 1/26/1981 | See Source »

...Stockman has proposed doing exactly that, but Reagan's own last words on the subject were contradictory. Late in the campaign, he pledged to maintain "necessary entitlements already granted to the American people...

Author: /time Magazine | Title: The Biggest Challenge | 1/19/1981 | See Source »

...about to take on the burdens of the presidency, Reagan seemed unusually relaxed. When reporters questioned him about the fact that Michigan Congressman David Stockman, 34, Reagan's choice as director of the Office of Management and Budget, had been an antiwar activist in the 1960s, the President-elect replied: "I remember some of my own views when I was quite young. For heaven's sake, I was even a Democrat...

Author: /time Magazine | Title: Time Out in Washington | 1/12/1981 | See Source »

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