The MacNeil/Lehrer NewsHour (PBS) - 1992-03-16 - 1 of 2

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Language: English (original, YouTube automatic captions)

[0:06] Good evening. I'm Judy Woodruff in New

[0:08] York.

[0:08] >> And I'm Jim Lara in Washington. After

[0:11] our summary of the news this Monday, we

[0:13] preview the whites reform referendum in

[0:15] South Africa. Nobel laurate James

[0:17] Buchanan looks at the US economy and

[0:20] essayist Roger Rosenblad observes trial

[0:22] by television.

[0:24] >> Funding for the McNeel Lair NewsHour has

[0:26] been provided by Pepsico.

[0:40] PES.

[0:43] Part of helping the world live and

[0:45] communicate better is keeping it well

[0:46] informed. That's why funding for the

[0:49] NewsHour is also provided by AT&T

[0:52] and by the Corporation for Public

[0:54] Broadcasting and viewers like you.

[0:57] >> Bill Clinton and Jerry Brown were at

[1:00] each other again today. Clinton said

[1:02] Brown was not cut to be president and

[1:04] ought to pack up his tent and go home.

[1:06] Brown said Clinton had a scandal a week

[1:08] and he would continue to point them out

[1:10] until the convention. Their mutual

[1:12] hostility surfaced in a preman and

[1:14] Illinois primary debate last night in

[1:16] Chicago. Brown accused Clinton of

[1:19] funneling state of Arkansas money to his

[1:21] wife's Little Rock law firm, a charge

[1:24] Clinton heatedly denied. Paul Sunis, the

[1:27] third man in the Democratic race, has

[1:28] stayed out of the mudslinging. In

[1:30] Chicago this morning, he said he

[1:32] believed a candidate who remains above

[1:34] the fray becomes the alternative.

[1:37] Republican candidate Pat Buchanan did

[1:39] some lastminute campaigning in Michigan.

[1:41] Polls showed him lagging far behind

[1:43] President Bush there and in Illinois.

[1:46] Judy, the federal government has begun a

[1:48] criminal investigation of the bank that

[1:51] formerly served the House of

[1:52] Representatives. A spokesman for the US

[1:54] Attorney's Office in Washington said the

[1:57] probe began last fall. He refused to say

[2:00] who or what was targeted. The House

[2:02] Ethics Committee this month revealed

[2:04] that more than 300 past and present

[2:07] House members had written checks on

[2:09] accounts at the bank without sufficient

[2:11] funds to cover them. The Chrysler

[2:14] Corporation today turned to General

[2:16] Motors for a replacement for chairman

[2:18] Liakoka. He is Robert Eaton and he has

[2:22] headed GM's operations in Europe for the

[2:24] past four years. Eaton will hold the

[2:27] title of vice chairman of of Chrysler

[2:29] until the 67year-old Ayakoka stepped

[2:32] down at the end of this year. Aayakoka

[2:34] joined Chrysler in 1978. He will

[2:37] continue to serve on its board of

[2:39] directors after his retirement.

[2:41] >> South African president de clerk today

[2:44] called for a yes vote in the referendum

[2:46] on ending apartheid. He said to do

[2:48] otherwise could plunge South Africa into

[2:51] chaos. Jeremy Thompson of Independent

[2:53] Television News reports on tomorrow's

[2:55] whites only vote.

[2:58] >> In Johannesburg, South Africans woke up

[3:00] to a new campaign commercial. It could

[3:03] be tomorrow's headlines.

[3:05] >> South Africa banned from the World Cup

[3:07] cricket. Negotiations broken off.

[3:10] Underground struggle resumed. Tens of

[3:13] thousands predicted to lose jobs as

[3:14] international sanctions imposed. If you

[3:17] vote no or don't vote at all, this is

[3:20] what you can expect.

[3:22] >> But despite a multi-million pound

[3:24] advertising campaign by the government

[3:26] and big business, South Africa's 5

[3:28] million whites are still deeply divided

[3:30] over which way to vote. Right-wing

[3:32] Africanos still seem unperturbed by the

[3:35] international consequences of a no vote.

[3:37] They're motivated by parochial concerns

[3:40] such as rising crime, recession, and the

[3:42] threat of a black government. Law and

[3:44] order remains a major factor in this

[3:46] referendum. Security was stepped up

[3:49] today after another weekend of violence

[3:51] in the township which claimed 40 more

[3:53] lives. While most blacks will benefit

[3:56] from a vote for reform, there are rebel

[3:58] elements within in Carter and the ANC

[4:00] who are opposed to compromise. It's

[4:03] believed they're using violence to

[4:05] provoke worried whites into voting no.

[4:08] >> We'll have more on this story right

[4:09] after the news summary. Israeli Defense

[4:12] Minister Marshia Arens denied again

[4:14] today Israel sold missiles or missile

[4:16] technology to China. He did so in

[4:19] Washington after a meeting with Defense

[4:21] Secretary Dick Cheney at the Pentagon.

[4:23] Aaron said this to reporters after that

[4:25] meeting.

[4:27] I told Secretary Cheney that there was

[4:29] no ground at all for the allegations

[4:31] that Israel had sold Patriot missiles or

[4:33] Patriot missile technology to China. And

[4:37] uh I think we'll be looking at ways of

[4:38] uh making sure that the United States

[4:40] can verify that that's the case because

[4:42] that is the case.

[4:43] >> Arens and other Israeli leaders have

[4:45] said they believe the allegations were

[4:47] leaked to hurt Israel's image in the

[4:49] United States. White House spokesman

[4:51] Marlon Fitzwater today denied the

[4:53] administration had anything to do with

[4:55] any such thing. He said the US

[4:57] government had worked long and hard to

[4:59] develop good relations with Israel.

[5:01] >> Russia took it a step toward formation

[5:03] of its own army today. President Boris

[5:06] Yelson created a Russian defense

[5:08] ministry which he will head for now. His

[5:11] military aid said Russia could have a 1

[5:13] and a.5 million man force within 2

[5:16] years. Also today, the president of

[5:19] Kazakhstan said he had established a

[5:21] special military force to defend his

[5:23] republic. The moves were a blow to

[5:26] efforts by the Commonwealth of

[5:27] Independent States to keep the former

[5:30] Soviet army under central control.

[5:32] Officials in Turkey said today more than

[5:35] 375 bodies had been found in the rubble

[5:38] of last week's earthquake. They said

[5:40] there was little hope of finding more

[5:42] survivors. The final death toll was

[5:44] expected to be about 800. Another

[5:47] 180,000 people were left homeless by the

[5:50] quake, which struck eastern Turkey

[5:51] Friday. A group of investigators claimed

[5:55] to have solved the Amelia Heheart

[5:57] mystery. The pilot and her navigator

[5:59] disappeared more than 50 years ago while

[6:02] attempting to fly around the world. They

[6:04] were last seen leaving New Guinea on

[6:07] route to Howland Island in the South

[6:08] Pacific. At a news conference today in

[6:11] Washington, the investigators produced a

[6:13] piece of metal they said was part of the

[6:16] plane's fuselage. They also displayed a

[6:18] shoe heel and soul which they think

[6:21] belonged to Miss Heheart. At the news

[6:23] conference, the lead investigator,

[6:25] Richard Gillespie, explained what he

[6:28] believes happened to the pilot and her

[6:30] navigator.

[6:31] >> July 2nd, 1937, Amelia Heheart and her

[6:34] navigator, Fred Nunan, after failing to

[6:37] find Howland Island,

[6:39] flew down a 157 degree line of position

[6:43] and arrived over Niko Moruro, then known

[6:46] as Gardener Island, at about 11:00 a.m.

[6:49] local time. The tide was low and a safe

[6:52] wheels down landing was made on the dry

[6:55] reef flat at the island's western end.

[6:59] For 3 days, radio distress calls were

[7:01] sent. But sometime between July 5th and

[7:04] July 9th, high seas severely damaged the

[7:07] aircraft and swept it out and over the

[7:09] edge of the reef. Hehard and Nunan

[7:12] survived for an unknown period of time

[7:15] before dying on the waterless atal.

[7:19] >> That's it for our news summary. Just

[7:21] ahead on the NewsHour, the upcoming

[7:22] whites only referendum in South Africa,

[7:25] a Nobel Prize winning economist and

[7:28] Roger Rosenlat on the recent run of

[7:30] trials on television.

[7:42] Tomorrow's vote in South Africa is our

[7:44] lead story tonight. The vote is for

[7:46] whites only. They are to say yes or no

[7:49] to continuing the white government's

[7:51] negotiations with the black majority to

[7:53] write a new constitution. Our preview

[7:56] begins with this report by Julian O'Han

[7:58] Howeran of the BBC Newsight program.

[8:02] Hey, you. You. Yes, you. Don't look

[8:08] around. I'm talking to you. Did you vote

[8:11] yes today?

[8:13] >> A desperate appeal from the ruling

[8:15] National Party is targeted at apathetic

[8:17] whites as polling day arrives.

[8:20] >> What about the guy next to you? Well,

[8:24] what's his excuse?

[8:27] The style is hardly seductive, but

[8:29] subtlety has not been a prominent

[8:31] feature of this referendum.

[8:33] >> If friends or colleagues have forgotten

[8:35] that the referendum is on today, please

[8:37] remind them to vote yes. After all,

[8:40] >> it's one of scores of commercials with

[8:42] which South Africans have been bombarded

[8:44] by the powerful alliance demanding a yes

[8:47] to further reform.

[8:49] The ads have focused overwhelmingly on

[8:52] the terror, ruination, and decay which

[8:54] would result, it suggested, from a no

[8:57] majority. To get back into big time

[9:00] business, vote yes on

[9:02] >> decide on your future and better start

[9:04] Africa. Vote yes on March.

[9:07] >> Every no show is actually a no vote.

[9:12] Much of this advertising has been paid

[9:14] for by big business coordinated by a

[9:17] prominent publishing group, Times Media

[9:19] Limited. The newspaper and industry

[9:22] bosses masterminding the publicity have

[9:25] portrayed a no majority as leading to an

[9:27] upurge in activity from the extreme

[9:30] right-wing AWB.

[9:32] >> They will take it as a victory and they

[9:34] will be on the streets and the and the

[9:36] blacks will be against them. We will

[9:37] have stone flang blood in the streets.

[9:39] They admit a lot of the advertising has

[9:42] been negative in tone but say that's

[9:44] justified by circumstances.

[9:47] >> You can't go and paint a rosy picture.

[9:50] 40 years of apartheite,

[9:52] 40 years of evil have left this country

[9:55] as communism left Eastern Europe in a

[9:59] situation where reform is problematic,

[10:02] difficult, treacherous and dangerous.

[10:05] And that's the way it is. The other way,

[10:07] of course, the no way is is is certain

[10:10] doom. Certain doom. The Armageddon.

[10:15] >> 2 hours from Johannesburg, nursery

[10:17] school children in the town of Evander

[10:20] welcome President FW the clerk.

[10:23] Opposition to his policies is high here,

[10:25] but the turnout by parents is better

[10:28] than expected. The clerk who's

[10:30] campaigned 12 or 15 hours a day for 3

[10:32] weeks misses no chance of a photo

[10:35] opportunity.

[10:37] In his speeches, he suggests he can

[10:40] negotiate a place for whites in

[10:42] government even after the black majority

[10:44] get the vote. We're being accused of

[10:48] organizing or promoting a suicide plan

[10:52] for you are here together today. The

[10:55] opposite is true. We working for a

[10:57] survival plan. We working for a success

[11:00] plan. President D Clerk has run this

[11:02] referendum rather like an American

[11:04] presidential campaign. Other national

[11:07] party politicians have hardly been in

[11:09] the picture. While the clerk has been

[11:11] speaking six, seven, sometimes eight

[11:14] times a day. But for all his energy and

[11:17] argument, there's no convincing evidence

[11:19] that he's managed to win back the

[11:21] sivable slice of support he's lost for

[11:24] his reform process during the past two

[11:26] years.

[11:33] >> Half an hour later, the clerk is at a

[11:35] barbecue 10 miles away, giving the

[11:37] impression every voter and every

[11:39] handshake counts.

[11:42] Your foreign minister said the other day

[11:44] that he thought it would be important to

[11:45] get at least 60% on Tuesday. Do you

[11:47] agree with it?

[11:49] >> I a win is a win. I'm not differing from

[11:52] him at 60% will be a marvelous win. But

[11:56] a 1% win is a win and uh it will give me

[11:59] a mandate to go ahead. But the bigger

[12:01] the percentage is uh the bigger the

[12:04] impetus will be that uh that win will

[12:08] give to the whole process.

[12:11] Later the same day, police and farmers

[12:14] gather at Naelstrom northern Transval

[12:17] where the clerk continues on the

[12:18] campaign trail. When excitable farmers

[12:21] try to crowd an entrance to the hall

[12:23] where the clerk is speaking, police give

[12:25] them short trips.

[12:29] >> This is a right-wing stronghold where

[12:31] conservatives disgusted by the prospect

[12:34] of black majority rule sense it's their

[12:37] last chance to alter the course of

[12:38] events.

[12:41] Away from the political meetings,

[12:43] members of a Johannesburg sports club

[12:45] study possibly the most powerful

[12:47] argument in the Yes campaign.

[12:49] >> Come on.

[12:52] >> Holding the referendum while the South

[12:53] African team does battle in the World

[12:56] Cup cricket has been a master stroke of

[12:58] timing. All but one or two of those we

[13:01] met here said they would vote yes and

[13:03] that ending sporting isolation

[13:05] influences their decision. I think it's

[13:08] glad to see us all back and I think

[13:10] that's all what we wanted. We don't want

[13:12] to be isolated. We want to be and show

[13:14] the world what we can do. Will you be

[13:16] voting yes in the referendum? Yes.

[13:24] >> In a country which admits to being

[13:26] obsessed with sport, this could make all

[13:29] the difference.

[13:31] >> Okay, comrades. What we're going to do

[13:33] here today is sticking up these posters.

[13:36] All right. In Johannesburg, members of

[13:38] an ANC branch put in their effort for

[13:41] the Yes campaign. Why? Well said a black

[13:44] member. Because I love the clerk as well

[13:46] as the ANC. But even with the ANC and

[13:50] the white opposition Democratic Party

[13:52] behind it, the Yes campaign is far from

[13:55] confident of victory. Does that mean the

[13:58] big media blitz has failed?

[14:00] >> One has to look what uh at the result at

[14:03] the end of the day. Uh but on the other

[14:06] hand it is true that this is a very

[14:10] momentous decision to take and if you

[14:13] would just think of the distance which

[14:17] which we have required the South African

[14:20] electorate to travel in a short space of

[14:23] time then the fact that we can call such

[14:26] a referendum on such a question

[14:30] uh at this time and hope for a

[14:32] reasonable win is something fantastic.

[14:35] Anyway,

[14:37] >> the National Party in its haste has

[14:40] clearly left an important section of its

[14:42] white support behind. It has staked

[14:45] everything on a new South Africa where

[14:47] it hopes to thrive and recruit a large

[14:49] black membership. Whether the gamble has

[14:51] paid off, we'll know in 36 hours. We get

[14:54] three South African views now. Aar

[14:57] Kachalia is a human rights lawyer from

[15:00] Johannesburg. He was a leader of the

[15:02] United Democratic Front, an

[15:04] anti-apartate organization, now merged

[15:06] into the African National Congress. He

[15:08] is currently a visiting fellow at Yale

[15:10] Law School. Anton Harour is an editor of

[15:14] the Weekly Mail in Johannesburg. He is

[15:16] visiting the United States and he joins

[15:18] us from public television station WGBH

[15:21] in Boston. And Petus Leeb is a political

[15:24] scientist and lecturer in national

[15:27] strategy at Rand Africans University. He

[15:30] has been an analyst and researcher at

[15:32] the South African Department of Defense

[15:35] and the Bureau of Racial Affairs. He is

[15:37] now on a fellowship at the Foreign

[15:39] Policy Research Institute in

[15:41] Philadelphia and he joins us from public

[15:43] station WH YY. Mr. Harbor, let me begin

[15:46] with you. Why did President D Clerk call

[15:49] this referendum now? He had previously

[15:52] promised that before he moved to final

[15:54] constitutional change, he would go back

[15:57] to his elect, the white electorate, to

[15:59] seek a further mandate for them to take

[16:01] that final step. One can debate whether

[16:04] or not he was obliged to keep to that

[16:06] commitment. Uh but as long as one

[16:09] accepts that uh that that commitment had

[16:12] been stated, clearly his perception was

[16:14] the sooner he did that, the better his

[16:16] chances of defeating the far rightwing.

[16:18] >> Mr. Kachalis, would you agree with that?

[16:20] That's the president's reasoning.

[16:22] >> I think to some extent uh president

[16:25] declare was left with very little

[16:26] option. Uh the Portrom bi-election which

[16:30] he lost.

[16:31] >> This is a parliamentary election in one

[16:33] part of South Africa.

[16:34] >> That's correct. That was the third

[16:36] bi-election that the national party

[16:39] president declar national party had lost

[16:41] to the conservative party in in about a

[16:43] year. That together with the fact that

[16:46] President declar

[16:49] anticipated an overwhelming victory in

[16:51] Potter's room uh really pulled the rug

[16:54] from under his feet and he then was

[16:56] really faced with an untenable

[16:58] situation.

[16:59] >> Would you agree with that Mr. Leven that

[17:00] that's why the president did this?

[17:02] >> Basically yes. Uh that is true and the

[17:06] fact that president the clerk himself

[17:09] elevated the potistrom bi-election

[17:12] uh to the level of a test countrywide of

[17:16] his support among white voters because

[17:19] he regarded Potestrom is in the first

[17:21] place regarded as his hometown. He

[17:23] graduated from the potterest university

[17:26] and besides that town is regarded as a

[17:29] fairly stable and even uh

[17:34] a fairly stable white community in rural

[17:38] South Africa. Besides that, factors like

[17:43] the rising crime rate, like a three and

[17:47] a half year old very bad recession,

[17:50] the worst drought in recent memory in

[17:54] South and southern Africa.

[17:55] >> Mhm.

[17:56] >> Factors like ghost among white

[17:58] electorate of a possible future black

[18:02] socialist government. All these has have

[18:05] got no quick solution. And I think

[18:08] President Al Clark decided to opt for a

[18:11] snap referendum because time he

[18:15] considered not to be on his side.

[18:17] >> Just quickly, Mr. Harbor, for those

[18:18] people who don't follow uh South African

[18:21] affairs so closely, why is it that only

[18:24] whites are voting in this election?

[18:27] >> It's a throwback. It's an uh it's it's a

[18:29] result of um our existing constitution

[18:32] which is subject to negotiation at the

[18:34] moment but remains in place which gives

[18:36] only whites the vote. Um the clerk got

[18:39] his mandate uh originally to begin the

[18:42] reform process from a white electorate

[18:45] and he feels the need to go back to that

[18:47] electorate to renew that mandate.

[18:50] >> What is really at stake here Mr. Harbor?

[18:52] Is it the stark all or nothing scenario

[18:55] that's being painted on on both sides

[18:58] really in this debate?

[18:59] >> I think that's a little too stark. Uh it

[19:03] is a real super Tuesday uh in that there

[19:06] is a great deal at stake. If the nose

[19:08] win, we will be in for a good many years

[19:12] of very difficult a very difficult time

[19:15] uh at which uh there will be a great

[19:18] deal of conflict and at great cost to

[19:20] the country at great human and economic

[19:23] and political cost. But I think that the

[19:26] process that has begun in the last

[19:27] couple of years is irreversible. The

[19:29] decision being made tomorrow by the

[19:31] white electorate is whether that process

[19:33] is speeded up and moves faster that we

[19:36] have an interim government uh within the

[19:38] next few months or whether we in for a

[19:40] long hard difficult struggle to prove to

[19:44] a a a a more right-wing government that

[19:47] that path is the essential path.

[19:49] >> Mr. Kalis, would you agree that it's

[19:50] just a matter of how fast the process

[19:52] moves? that this is something that's

[19:54] irreversible that that South Africa is

[19:56] on a path and it's just a question of

[19:58] how quickly it moves.

[20:00] >> Well, because

[20:01] >> what is irreversible is that there can

[20:04] be no turn back. There can be no going

[20:07] back to old style apart.

[20:09] But what is unclear is whether the

[20:12] process ultimately ends up in democracy

[20:15] or whether it just disintegrates uh as

[20:18] the process proceeds. Uh what is of

[20:21] course vitally important is uh what's

[20:24] going to happen in the weeks ahead. It

[20:26] seems from the way the campaign has been

[20:28] run that uh South Africa is in a

[20:32] desperate state at the moment

[20:34] >> and because of the economy the drought

[20:36] and and

[20:37] >> yes and if the results of the referendum

[20:40] go against the government decisively

[20:43] uh the the future looks bleak. Uh that's

[20:47] all the scenario scenario is a bleak

[20:50] one.

[20:51] >> Bleak in what way? What do you mean?

[20:53] Because the government the president the

[20:55] clerk has said that he won't be able to

[20:57] proceed and he'll call for a different

[20:58] election. I guess

[20:59] >> I think one one has to look at at uh the

[21:02] way the campaign in the referendum is

[21:04] being run on the conservative party's

[21:07] side. They are invoking the spectre of

[21:10] chaos of what they refer to as a black

[21:14] communist government with incre with

[21:16] nationalization all the sorts of things

[21:18] that white South Africans have been told

[21:21] for for the last 40 years to be very

[21:23] afraid of.

[21:25] >> President the clerk on the other hand is

[21:27] also campaigning quite negatively. He's

[21:29] saying that there's going to be

[21:30] increased isolation, there's going to be

[21:32] more sanctions.

[21:34] uh that in fact it's interesting enough

[21:36] that President Zclerk himself is saying

[21:38] that there'll be an armed struggle

[21:39] again. So whites are really you know

[21:42] some people have said that it depends

[21:44] who threatens the white electorate more.

[21:46] >> So it's it's it's almost a case of who

[21:48] can out frighten uh the other side. Mr.

[21:51] Levenber would you agree with that that

[21:52] it's that it's a uh that what what we're

[21:56] hearing from both sides is starker than

[21:59] what's really going to happen if either

[22:01] side wins loses. The negative factor is

[22:05] unfortunately I think true. Uh unlike

[22:09] previous elections

[22:11] recent polls in have indicated a fairly

[22:15] large number of percentage of

[22:17] uncommitted white voters.

[22:21] Now clearly both sides are playing or

[22:24] are beating the drums of fear. the

[22:27] Conservative Party, the one set of fears

[22:29] at the National Party, that of massive

[22:32] black resistance against whites, even

[22:35] violence, irrespective of whether you've

[22:37] voted yes or no, and uh maybe

[22:41] reinstating of sanctions and economic

[22:44] rune. Now clearly the impact of these

[22:49] two sets of real or perceived fears

[22:54] what the the the impact on these

[22:56] uncommoted uncommitted voters will have

[22:58] a tremendous impact on the outcome of

[23:02] the referendum

[23:03] >> on the result. It's who can

[23:04] >> but but I want to emphasize also the

[23:07] positive side. Many white South Africans

[23:12] will vote yes because they clearly and

[23:14] honestly believe that there is no

[23:17] alternative.

[23:19] And what is interesting and I think I

[23:22] know the people fairly well that is that

[23:25] everybody virtually in South Africa

[23:27] among the white community in any case uh

[23:30] is of the opinion that the stat status

[23:33] quo can't be maintained for much longer.

[23:36] So you sound like you're arguing that

[23:37] it's going to win that that that the yes

[23:39] vote for Mr. Declerk's reforms is going

[23:42] to is going to win.

[23:44] >> Well, it's still the the situation is

[23:48] extremely fluid and unpredictable. But

[23:51] let me say this, and we've seen it a

[23:53] while ago, that the the white uh uh

[23:57] electorate is being bombarded with

[24:00] propaganda, pre-referendum propaganda by

[24:03] a very powerful alliance consisting out

[24:06] of the ruling national party.

[24:08] >> Yes, we've seen that in

[24:09] >> the Liberal Democratic Party. And even

[24:12] the ANC, though it rejected the what it

[24:14] termed to be a racist referendum, is

[24:16] assessing to some extent. plus the fact

[24:20] that various very influential uh uh uh

[24:24] uh governments from overseas especially

[24:26] the United States, the United Kingdom

[24:28] and Germany.

[24:30] >> So what is what is your point though

[24:31] quickly?

[24:31] >> My my point is that I think the yes vote

[24:35] is going to win by a fairly narrow

[24:37] margin

[24:38] >> by just by a narrow margin. Mr. Harbor,

[24:40] would you agree that it's close and that

[24:43] the yes is likely to win?

[24:45] >> I think so. But I think one does have to

[24:47] realize that a closed vote leaves the

[24:50] clerk with a number of political

[24:51] problems.

[24:53] I think that uh if he doesn't get more

[24:56] than about 55% for a yes, then uh the

[25:00] result will in fact slow down the

[25:02] negotiation process. I think there will

[25:04] be a number of people from within his

[25:06] party, from within his cabinet who will

[25:08] say yes, we do have a mandate to

[25:10] negotiate, but um we do have to be more

[25:14] careful of our constituency. We have to

[25:15] move slower, more cautiously, and

[25:17] perhaps make more concessions. I think

[25:19] it's even possible that if it's too

[25:21] close, the clerk himself will face a

[25:23] leadership challenge from within the

[25:24] party from a more cautious, a more

[25:27] conservative faction.

[25:28] >> So, you're saying that he has to do

[25:30] ballpark, but you said over 55% in order

[25:32] to have the mandate that he needs.

[25:35] >> I think so. Yes. Uh to make it strong

[25:37] enough so that the Conservative party

[25:39] cannot argue that if he called a white

[25:42] election, he would lose it. And to do

[25:44] that he needs about 55%.

[25:46] >> Mr. Kachi, would you agree with that

[25:47] that he needs a margin of of 55% or so

[25:50] to say that he's won with con, you know,

[25:53] a convincing victory?

[25:54] >> I wouldn't stick with a 55%. Certainly

[25:57] he needs a substantial victory and that

[25:59] could be anything uh from 60%.

[26:03] But uh let me say that the the problem

[26:07] with the narrow margin is not just uh a

[26:11] a political problem in the sense of

[26:13] white electoral politics.

[26:15] uh what will happen I think with a

[26:18] narrow vote uh or a narrow victory on

[26:21] the part of declare is that it's going

[26:23] to give those far rightwing elements who

[26:26] are planning terrorist actions against

[26:30] uh declare the ANC a future democratic

[26:33] government it will give them a lot more

[26:35] confidence they will feel that they have

[26:38] a substantial support in the white

[26:40] community and of course in just in the

[26:42] last weekend there's been an dramatic

[26:44] escalation, a frightening escalation in

[26:47] violence in the country. So I think my

[26:49] main concern is that a a narrow victory

[26:53] on on the part of Declare is going to

[26:55] give further impetus to far right-wing

[26:57] groups to to pro proceed their campaign

[27:00] of terror.

[27:00] >> Mr. Levenberg, is that a legitimate

[27:02] concern?

[27:03] >> I think so. uh President the Clerk is in

[27:07] the position of having to keep one eye

[27:10] on his own right wing within his own

[27:13] party and on the other hand uh one of

[27:16] his major negotiating partners the ANC

[27:20] with a youth wing especially very

[27:22] impatient

[27:24] uh that there should be progress towards

[27:27] a new South Africa and then on the other

[27:30] hand what uh uh regarding the right wing

[27:35] I think a yes vote victory, even a

[27:39] narrow one,

[27:41] could on the other hand strengthen the

[27:45] hands of a sizable minority or a sizable

[27:49] proportion within the official uh

[27:52] opposition conservative party who wants

[27:55] to negotiate, who wants to place their

[27:58] ideals and ideas on the negotiating

[28:00] table

[28:01] >> could strengthen that moderate

[28:02] viewpoint.

[28:03] to to to strengthen that.

[28:05] >> Yes.

[28:05] >> Uh because up till now the official

[28:07] leadership has turned them down. But

[28:09] >> but you're saying that's going to happen

[28:10] even with a narrow wind because

[28:13] >> it could be we're talking of the far

[28:15] right on the one hand committed to a

[28:18] more radical uh way of going about and

[28:22] uh emphasizing their ideals. that I

[28:25] think a fairly substantial uh percentage

[28:28] of the people on the right are not

[28:32] wishing for a civil war or a violent

[28:36] kind of option.

[28:37] >> Yeah. I I guess I I just want to cut you

[28:39] off because it I seem to you I thought

[28:41] you initially said you agreed, but now I

[28:43] hear you saying that you think the right

[28:44] will moderate if there's a victory. And

[28:46] I I guess I'm not hearing the

[28:48] >> within certain

[28:49] >> whether you're agreeing with Mr. Coach

[28:51] or not.

[28:52] within certain limits, it could have

[28:54] that effect on a certain percentage of

[28:58] people within the official Conservative

[29:00] Party.

[29:01] >> All right. And finally, uh uh Mr.

[29:03] Harbor, uh you you do believe that there

[29:06] will be uh a win for the Yes. Uh but a

[29:10] narrow win. Is that right? If things go

[29:13] >> That is correct. Yes.

[29:15] >> All right. Well, thank you all. Mr.

[29:16] Harbor, Mr. Cachelia, Mr. Leeberg. Thank

[29:19] you all for being with us.

[29:22] Still to come on the NewsHour tonight, a

[29:25] Nobel conversation about economics and a

[29:28] Roger Rosenblat essay. But first, this

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[38:05] Next tonight, the last in our series of

[38:07] conversations on the state of the US

[38:09] economy. Last week, we heard from three

[38:12] Nobel Prize winning economists, Robert

[38:15] Solo, Paul Samuelson, and Milton

[38:17] Freriedman. Tonight, a fourth. He is

[38:20] James Buchanan, 1986 laurate, professor

[38:23] of economics at George Mason University

[38:26] and founder of the school center for the

[38:28] study of public choice. Charlene Hunter

[38:30] G spoke with Professor Buchanan last

[38:32] week. Professor Buchanan, thank you very

[38:35] much for joining us. There seems to be

[38:37] such a plethora of economic proposals

[38:40] out there. You hearing anything from the

[38:42] candidates that you think is viable?

[38:45] Well, I I hear a mixture of things.

[38:47] There are some things in several

[38:49] candidates that are quite viable. Um I I

[38:53] um in a sense uh uh think of a composite

[38:57] of candidates would be my choice. Uh I

[38:59] certainly hearing things from Jerry

[39:02] Brown that I like very much. namely that

[39:04] he does understand. I think the only

[39:06] candidate who understands

[39:09] uh that uh the uh tax structure should

[39:13] be fixed and in place so that people can

[39:15] make a decisions on the basis of some

[39:18] expectations of quasi permanence. I

[39:21] don't go along necessarily

[39:23] >> excuse me that's one one tax rate for

[39:26] everybody.

[39:27] >> No, no, no, no. I don't go along with

[39:28] that. I I don't I think that's too

[39:30] simplistic. I think that would be added

[39:32] on and it would be a tremendous revenue

[39:34] raiser for the government which would

[39:36] worry me. But I think he's absolutely

[39:38] right in thinking that the tax system

[39:40] ought to be in place. I think we had a

[39:43] legitimate expectation that the 86

[39:45] reform act which did broaden the base

[39:47] very considerably and lowered the rates

[39:50] would have stayed in place for quite a

[39:51] while so people can make their plans on

[39:53] the basis of that tax structure. I think

[39:56] it's scandalous what both parties are

[39:58] doing now. Every year they come back and

[40:00] they manipulate, they change. I don't

[40:02] know how anybody can act under the

[40:04] expectations that the tax structure has

[40:06] any permanence at all. And Brown seems

[40:08] to be the only one recognizing that

[40:10] point.

[40:11] >> What's good about that?

[40:13] >> Well, it seems to me we need a a a

[40:16] structure such that people can make

[40:18] their long range plans. Businessmen in

[40:20] particular uh can make investment plans

[40:23] and so forth. How can you make

[40:24] investment plans when uh one year

[40:27] they're going to put on a investment tax

[40:29] credit, the next year they're going to

[40:30] take it off, one year they're going to

[40:32] reduce capital gains, the next year

[40:33] they're going to put it back on, it just

[40:36] destroys any sort of permanence to the

[40:39] rule, so to speak, to the tax rules. And

[40:42] of course, the secondary bad feature of

[40:44] that continual changing it it it causes

[40:47] some of our best minds to go into law

[40:49] and not into producing value. I mean,

[40:53] worrying about how they're going to uh

[40:55] act for this or that pressure group to

[40:57] get this or that tax favor.

[40:59] >> Mhm. All right. Uh so that's Jerry

[41:01] Brown. One down. What else are you

[41:04] hearing that you like?

[41:05] >> Well, I like Paul Song's recognition

[41:09] that in fact uh we must have the

[41:13] business or productive sector of the

[41:15] economy prosperous in order for anything

[41:17] else to happen. Unless that happens,

[41:19] nothing else can happen. Uh so I

[41:21] certainly like that and although Bob

[41:23] Kerry is no longer in the race, I

[41:25] certainly liked his proposal to cut back

[41:27] on the number of departments and

[41:29] particularly to cut back the size of

[41:31] congressional staffs. Uh that was a very

[41:33] good feature uh of his campaign. I like

[41:38] some of Pat Buchanan's uh idea about

[41:41] cutting back on the intrusion of

[41:42] government in our lives, but of course

[41:44] he offsets that by trying to get the

[41:46] government to protect everybody and

[41:47] everything, which I don't like at all.

[41:50] And I like George Bush's free trade

[41:52] position. Uh but I'm just wondering

[41:54] about whether he has the conviction

[41:56] necessary to carry it through. If he

[41:58] quits carrying Liakoka around with him,

[42:01] maybe I'd be a little more supportive.

[42:02] >> And what about Bill Clint uh Clinton's

[42:04] middle class tax cut, which is echoed in

[42:08] other

[42:08] >> I think the manipulation of the tax code

[42:10] this year by both parties is is just

[42:13] almost an open scandal. and and I I

[42:16] think the best thing to do with the tax

[42:19] system, the best thing we could possibly

[42:20] do would be leave it alone. Again, for

[42:22] the reasons I mentioned,

[42:25] >> what do you think is missing in this

[42:26] debate?

[42:30] >> Well, I I think the what missing in this

[42:32] debate is the following. It seems to me

[42:34] I've been surprised, amazed really that

[42:38] there's been little or no feedback on

[42:40] our politics by the momentous events

[42:44] that have happened in this post89 period

[42:47] where we have we're in a genuinely

[42:49] revolutionary period where the death of

[42:52] socialism has has really uh should have

[42:55] shown us that the solutions to things

[42:57] are not by trying to control the economy

[43:00] through politics. None of our

[43:01] politicians with a partial exception to

[43:03] Jerry Brown seems to have understood

[43:05] that.

[43:05] >> What exactly do you mean by that? I

[43:07] >> I mean that the the our politics or our

[43:10] government should really set the rules

[43:12] to give the framework within which uh

[43:16] private enterprise and business can in

[43:18] fact get the dynamics of the economy

[43:20] going. Congress comes close to

[43:22] recognizing that at times, but still

[43:25] they don't recognize, it seems to me,

[43:27] the the limits of politics and and the

[43:30] the effects of the post-revolutionary

[43:33] moment in a sense does not seem to have

[43:35] fed back on on our political thinking.

[43:38] >> If you were a candidate

[43:40] >> or advising one, what would you be

[43:42] telling that candidate to say to

[43:44] encompass what you just laid out? Well,

[43:47] I would I would like to see us, as I've

[43:50] for a long time, I I I've said, I I

[43:52] would like to see us uh affect try to

[43:56] implement policy and change policy at

[43:58] the level of basic constitutional rules,

[44:02] an economic constitution, so to speak. I

[44:05] for a long time advocated that the

[44:07] federal government should should try to

[44:09] have its budget balanced and and we need

[44:12] a constitutional rule amendment to

[44:14] require the government to b balance its

[44:16] budget. I would like to see the Federal

[44:19] Reserve subjected to to more of a of a

[44:22] dictate that their job is to maintain

[44:24] the value of the dollar for example uh

[44:27] and nothing else. I would like to see uh

[44:30] us us open up our economy to free trade.

[44:33] I would like to see the free trade

[44:35] agreement with Canada and Mexico signed.

[44:38] Those are the kind of things. Those are

[44:40] structural changes, not this

[44:41] temporizing. That's what I object to and

[44:43] I think is very damaging. This sort of

[44:45] shortrun temporizing, manipulating here,

[44:48] there and yan. Uh imposing all sorts of

[44:51] regulatory burdens. But the worst part

[44:53] of all is the is the temporizing that is

[44:56] the the failure to recognize that these

[44:59] political uh effects on the economy

[45:03] should not be continuously changing.

[45:06] >> Why is that happening?

[45:08] >> It's happening because that's the way

[45:11] the politicians

[45:13] uh uh think that they can um satisfy the

[45:18] various pressures. they're simply uh

[45:21] responding to catering to to the

[45:24] pressure groups.

[45:26] >> Just quickly on the on the current

[45:29] recession, one of our Nobel laureates

[45:32] criticized the Fed for not acting soon

[45:34] enough to lower interest rates and that

[45:37] has extended the recession. What's your

[45:40] view of that?

[45:41] >> I think the the Fed made a a mistake

[45:44] last year. They they they failed to

[45:46] understand the impact of the bailout of

[45:49] the savings and loans. They finally came

[45:51] around to understanding in the last week

[45:54] in December and acted quite quickly to

[45:57] try to cover their mistakes that they

[45:58] had made for a year and a half before.

[46:01] Uh now they I think recognize what's

[46:03] going on. Uh whether or not they will

[46:05] overshoot or whether they will do it

[46:07] just right or whether they'll

[46:08] undershoot. I wouldn't know that any

[46:10] more than anybody else would. I I think

[46:12] they are now on top of the of the

[46:14] problem. However,

[46:17] >> so that in terms of of what could

[46:19] happen, what should be happening right

[46:21] now in terms of this recession, both

[46:23] President Congress are working on

[46:24] proposals to cut taxes, help business

[46:27] investment, help homeowners and home

[46:29] builders. Are they on the right track?

[46:32] >> I don't think any of that is needed. I I

[46:34] think that we are going to come out of

[46:36] this recession fairly quickly now

[46:38] because the Fed is moving and has moved

[46:40] very very quickly to uh get some more

[46:43] liquidity in the economy and I think

[46:46] there are all sorts of signs right now

[46:47] that we're moving out. uh whether that's

[46:50] going to be uh you know uh uh effective

[46:54] enough is another question but um uh

[46:57] certainly in a temporary sense I think

[46:59] the manipulation by the congress of

[47:01] trying to do something now it' be better

[47:03] for them not to do anything

[47:05] >> if