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...Even with those cuts, Wall Street bonuses may still look inflated in light of the industry's dismal performance in 2008. For example, so far this year, Wall Street has underwritten $1.5 trillion in bonds. Sounds like a lot. But it is $500 billion less than what Wall Street did in debt back in the same time period in 2002, which was the last time Wall Street had a significant downturn. And that year Wall Street bonuses were just $8.6 billion, or $5.4 billion less than they are expected to be this year...

Author: /time Magazine | Title: How Washington's Bailout Will Boost Wall Street Bonuses | 10/27/2008 | See Source »

...Afghanistan through 2008. Add to that the $700 billion financial bailout package passed in October, plus another economic stimulus package likely to take shape in the coming months that could cost as much as $175 billion, and you're talking about an all-inclusive fiscal 2008 deficit exceeding $1 trillion...

Author: /time Magazine | Title: Does Anyone Care About a Trillion Dollar Deficit? | 10/25/2008 | See Source »

...Ashworth believes the U.S. savings rate will rise to 5% of GDP over the next two to three years. "We're going to save more and spend less, because now we don't have a choice," he says. That increase in savings, he figures, will amount to some $1 trillion - about the projected size of next year's deficit...

Author: /time Magazine | Title: Living in a World with Less Credit | 10/23/2008 | See Source »

...tying together Democrats is government concern for working families. As a teenager, he went to work in a convenience store after his father died, while his mother worked two minimum-wage jobs; he remembers borrowing $1,100 to get himself through Ole Miss. He's appalled by the $10 trillion national debt, but he's an economic populist who doesn't assume government spending is bad. He believes that Republicans convinced many Southerners that Democrats don't share their values because of hot-button culture issues like guns--he doesn't mention race--but he has an A rating from...

Author: /time Magazine | Title: Blue Dog Democrats on the Prowl | 10/23/2008 | See Source »

Keynes' argument was that when private citizens and businesses panicked and hoarded money, the only way to prevent depression was for government to become the spender of last resort. It's certainly acting like that now--the U.S. federal budget deficit may top $1 trillion in the current fiscal year, and everybody in Washington seems to be looking for ways to make it bigger. Federal Reserve Chairman Ben Bernanke backs more fiscal stimulus, and President Bush is on board too. Democratic congressional leaders are thrilled by the prospect. Even the Concord Coalition, founded to battle the big deficits...

Author: /time Magazine | Title: The Comeback Keynes | 10/23/2008 | See Source »

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