The proposal effectively exempts the school system from an across-the-board spending cutback that the Mayor said would be necessary to avoid a budget shortfall.

Nowadays, it worries about its 13 percent unemployment rate, one that threatens to get even worse because of military spending cutbacks planned over the next five years.

One has been the Salinas Administration's spending cutback.

Those increases will, he predicted, offset spending cutbacks in categories like airlines, brokerage firms and mutual funds, insurance, resorts, telecommunications and tours.

Although military spending cutbacks have had an impact, aerospace continues to be a major factor.

In a report issued this week, the commission said 800,000 jobs had been lost in California since 1988, about 25 percent of them because of military spending cutbacks.

Add the shares of Intermec to the list of casualties of military spending cutbacks.

Claude Allen, assistant to the president for domestic policy, said aides had not focused on specific spending cutbacks.

The 1990 budget law was designed to reduce the deficit by about $500 billion over five years through modest spending cutbacks and tax hikes.

Wall Street fell, military spending cutbacks hit some parts of the region, and major corporate restructuring played a big role in weakening Westchester's economy.