JUNKING CORPORATE AMERICA

A firestorm of deals and debt consumed corporate America during the 19 80s. Some contend that this deal mania, and the junk debt that fueled it, enhanced the nation's economic performance and bolstered its globa l competitiveness. Viewed in the context of its aftermath, however, th e evidence suggests that a decade of junk-debt deals subverted economi c performance, weakened the country's economy and rendered it dangerou sly vulnerable to recession, and inflicted a massive opportunity cost vis-a-vis America's foreign rivals.