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...large part because the two men share the same world view: the Soviet Union can only be prevented from dominating the West by a rapid buildup in the military might of the U.S. In the White House, Weinberger is opposed by Chief of Staff James Baker and David Stockman, Director of the Office of Management and Budget, who feel that the defense buildup should be eased somewhat to curb the deficit. But Weinberger can carry the day singlehanded with the President by raising the specter of the Soviet threat. Says a top White House aide: "The President simply trusts...

Author: /time Magazine | Title: More a Ladle Than a Knife | 12/20/1982 | See Source »

...climactic budget session on Nov. 15, Stockman reported that the most that social spending could be reduced in fiscal 1984 was $26 billion, even assuming an $8 billion saving in Social Security. Whether Congress will take an ax to Social Security is doubtful, given the political perils involved. And lopping $18 billion from other social programs is highly questionable unless Reagan obliges with an accompanying cut in defense spending. In any case, Stockman said, that still left a $155 billion deficit, even projecting 4% economic growth in fiscal 1984, which is the most optimistic assumption anyone dares to make...

Author: /time Magazine | Title: How Reagan Decides | 12/13/1982 | See Source »

...argument" with particular skill. Transportation Secretary Drew Lewis insisted that the 5¢ boost should be considered a "user fee," calculated to make those who drive on federally financed highways pay for their upkeep. The contention has some merit, but its real point was to avoid that awful word tax. Stockman countered by arguing that whatever it might be called, using a federal impost to finance repair work done by states and localities would violate Reagan's New Federalism concept. The President, however, recalled that as Governor of California he had agreed to an increase in the state gasoline tax that...

Author: /time Magazine | Title: How Reagan Decides | 12/13/1982 | See Source »

...which it was reached illustrated a danger in Reagan's decision-making system: the President often gets a slightly skewed view of the world from his advisers, who present to him not the arguments they really believe but those that can be fitted into the Reagan cosmology. Stockman's true objection to the highway program had little to do with New Federalism; he believes that revenues from higher taxes (or "user fees") should be devoted to reducing the budget deficit rather than financing new spending. But he knew that argument would be ineffective with a President who was about...

Author: /time Magazine | Title: How Reagan Decides | 12/13/1982 | See Source »

Whether the President can prevail in his determination to slash funding for social programs, rather than military projects, in tackling deficits now estimated as high as $200 billion in each of the next two years is doubtful. Last week Budget Director David Stockman ordered the Department of Health and Human Services to save some $500 million in the fiscal 1984 budget by sharply cutting the personnel of the Public Health Service. All ten regional offices of the Public Health Service would be abolished. The Stockman directive will be effective unless it is withdrawn by the Administration or vetoed by Congress...

Author: /time Magazine | Title: Lame, but Lively, Ducks | 12/13/1982 | See Source »

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