Economic Considerations and Reagan's New Federalism Swap Proposals

Upon coming to office, President Ronald Reagan proposed a numberof programs collectively referred to as the New Federalism.These programs were designed to alleviate some of the problemswhich the president saw as plaguing the intergovernmental systemand to accomplish Reagan's goal of decentralizing authority.One of the most highly publicized and debated— indeed,probably the most controversial—aspect of the President'sNew Federalism package was the "Big Swap" plan. Both versionsof this plan, however, were bad deals for the states and theircommunities, and it would appear that several interrelated economicconcerns played a role in the opposition of many state and localofficials to these proposals. To demonstrate just how bad theseproposals were, the article documents the effect that inflationand recession had had on the fiscal health of state and localgovernments, and the projected impact that these plans wouldhave had on state and local revenue and tax systems.     

Wrongful termination lawsuits: the employers finally win a few

Much attention has been given of late to the erosion of the "employment-at-will" doctrine. Exceptions to this doctrine began to emerge when courts held that at-will employees could sue if their termination violated public policy. The at-will doctrine was further eroded by court rulings that a contract requiring good cause in order to terminate could be inferred from employee handbooks, company personnel policies, and circumstances of employment. As the initial flood of wrongful termination lawsuits now reaches the appellate level, some guidance on the standards employers must observe can be drawn from court decisions. The authors examine these decisions as well as the legislative reform being proposed in response to them.