your chances of living to 100 are better than ever. we’ve got...
TRANSCRIPT
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PLUS How One Doctor Stays Healthy and Happy
S U N DAY, JA N UA RY 2 2 , 2 0 1 7 | PA RA D E .CO M
Your chances of living to 100 are better than ever. We’ve got the moves to get you there, p. 11.
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© PARADE Publications 2017. All rights reserved.
ASSIGNING EDITOR ___________ | MANAGING EDITOR __________ | COPY EDITOR __________ | PHOTO EDITOR __________ | EDIT. DIRECTOR __________ | EIC __________ ASSIGNING EDITOR ___________ | MANAGING EDITOR __________ | COPY EDITOR __________ | PHOTO EDITOR __________ | EDIT. DIRECTOR __________ | EIC __________
PAGE: 2 CODE: 21A1 BOOK: 20 ISSUE: 1-22-2017
2 | JANUARY 22, 2017
WALTER SCOTT’S
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WALTER SCOTT ASKS ...
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RACHEL BLOOMThe Emmy-nominated actress, 29, stars as slightly off-kilter Rebecca Bunch, a sharp attor- ney who lacks certain social skills as she searches for love, on Crazy Ex-Girlfriend. The musical comedy wraps up its second sea-son Feb. 3 on the CW. “Crazy” is in the title. Is Rebecca a little bit crazy? I think everyone on the show has shown themselves to be a bit crazy. The character Greg [Santino Fontana] said, “Settle for me.” That’s a crazy thing to do, to woo someone by saying, “I know I’m second choice, but go for me any-way.” So I think that we all do things that are crazy.
How can Rebecca be so good at her job and so inept socially? I think that intelligence IQ and social EQ are two totally different things. I’ve experienced this personally. When you develop one part of yourself but neglect the other, it’s possible to be really good at something and not good in other areas.
Girlfriend has had some pretty risqué songs for network television. We sometimes do get approval
to write really raunchy songs!
How did you acquire your love of musicals? I was raised to love musicals. My mother is a musician, [and] her father was an amateur theater director and stand-up comic who taught me show tunes when I was very young. I instantly fell in love with them.
When did you know you were funny? When I was 11, I created a solo talent show sketch called “The Me Station,” which was about a TV station where I played all the roles. It was a rip-off of the SNL [Gilda Radner] sketch “The Judy Miller Show.” It was the first time I made people laugh, because up until that point I was just a weird drama kid.
Anything up with one of my favor-ite actresses, Christina Ricci?
—Scarlett C., Charleston, S.C.
A: The Lizzie Borden Chronicles TV star will be back on television in Z: The Beginning of Everything, which follows Zelda Fitzgerald’s turbulent life, beginning with her first meeting with the famous author F. Scott in 1918. Ricci, 36, says the ’20s wardrobe, which includes some racy clothing, helped her get into character as the flapper, who became an icon for America’s Jazz Age. “We wanted her to be risqué and kind of bold,” she says. Z begins streaming on Amazon Jan. 27.
I’m dying to know more about Prince Harry’s girlfriend, who stars on Suits.
—Elizabeth B., Austin, Texas
A: Meghan Markle, 35, is a Los Angeles native who graduated from Northwestern University with a dual degree in theater and interna-tional relations. Her work as global ambassador for World Vision Canada brought her and the prince together. Markle will be back in the role of sexy paralegal Rachel Zane when Suits returns to USA Net-work Jan. 25. Visit Parade.com/harry to find out how the prince protects his girlfriend.
MAD FOR BRADEmail your questions for Walter Scott to [email protected]
What advice did she get from Tina Fey? Go to Parade.com/bloom to find out.
A few years ago in New York, my husband and I saw a play with a young man who looked a lot like the actor who’s now on the TV show The Magicians. Is that possible?
—E. Talbot, Trenton, Pa. A: Yes, and highly likely! Jason Ralph, 30, who stars as Quentin Coldwater on the Syfy series, which returns Jan. 25 for a new season, played the lead in the 2013 off-Broadway production of Peter and the Starcatcher. You may also have seen the native of McKinney, Texas, in TV roles in other shows, including Madame Secretary, Aquarius, Manhattan and Blue Bloods.
Country music superstar Brad Paisley, 44, returns to his roots in the Appala-chian Mountains for a special outdoor concert at West Virginia University when Brad Paisley—Landmarks Live in Concert: A Great Performances Special airs Jan. 27 on PBS. Here are five facts about the three-time Grammy winner.
1. He built a fully functional Irish pub–style private bar in his home in Franklin, Tenn., where he recorded many of the tracks for his 2014 album, Moonshine in the Trunk.
2. Paisley’s custom tour bus is modeled after a 1958 Corvette and valued at $1.74 million.
3. To get her to go on a date, he hired actress Kimberly Williams to appear in a music video after seeing her in the 1991 movie Father of the Bride. They’ve been married since 2003.
4. His clothing and boot line, Moonshine Spirit, is sold exclusively at Boot Barn.
5. Paisley draws all the animated videos he uses in his concerts.
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Anything up with one of my favor-ite actresses, Christina Ricci?
—Scarlett C., Charleston, S.C.
A: The Lizzie Borden ChroniclesTV star will be back on televisionin Z: The Beginning of Everything, which follows Zelda Fitzgerald’sturbulent life, beginning with herfirst meeting with the famousauthor F. Scott in 1918. Ricci, 36,says the ’20s wardrobe, whichincludes some racy clothing,helped her get into characteras the flapper, who became anicon for America’s Jazz Age.“We wanted her to be risqué andkind of bold,” she says. Z beginsstreaming on Amazon Jan. 27.
I’m dying to know more about Prince Harry’s girlfriend, who stars on Suits.
—Elizabeth B., Austin, Texas
A: Meghan Markle, 35, is a Los Angeles native who graduated from Northwestern University with a dual degree in theater and interna-tional relations. Her work as global ambassador for World Vision Canada brought her and the prince together. Markle will be back in the role of sexy paralegal Rachel Zane when Suits returns to USA Net-work Jan. 25. Visit Parade.com/harry to find out how the prince protects his girlfriend.
MAD FOR BRAD
A few years ago in New York, my husband and I saw a play with a young man who looked a lot like the actor who’s now on the TV show The Magicians. Is that possible?
—E. Talbot, Trenton, Pa. A: Yes, and highly likely! Jason Ralph, 30, who stars as Quentin Coldwater on the Syfy series, which returns Jan. 25 for a new season, played the lead in the 2013 off-Broadway production of Peter and the Starcatcher. You may also have seen the native of McKinney, Texas, in TV roles in other shows, including Madame Secretary, Aquarius, Manhattan and Blue Bloods.
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© PARADE Publications 2017. All rights reserved.
ASSIGNING EDITOR ___________ | MANAGING EDITOR __________ | COPY EDITOR __________ | PHOTO EDITOR __________ | EDIT. DIRECTOR __________ | EIC __________ ASSIGNING EDITOR ___________ | MANAGING EDITOR __________ | COPY EDITOR __________ | PHOTO EDITOR __________ | EDIT. DIRECTOR __________ | EIC __________
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Parade
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Dog’sA
LifeThe moral of the heart-tugging live-action film A Dog’s Purpose (in theaters
Jan. 27) is to remind us that a dog’s job is to help us love and laugh a little more. This week, why not give the love back by helping a pet?
CHANGE A PET’S LIFE DAY Adopt a homeless pet or help one get the medical care it needs. Visit petmeds.org for more information.
The number ofshelter animalsadopted eachyear
JANUARY 24
2.7 million
THE SHOW THAT CHANGED TELEVISIONIn True South: Henry Hampton and Eyes on the Prize, the Landmark Television Series That Reframed the Civil Rights Movement (Viking), documentarian and civil rights worker Jon Else takes us behind the scenes of Eyes on the Prize, the 1987 landmark series he produced. Avail-able Jan. 24. $30, bookstores and online
LAUREN ALAINAIS ‘DOIN’ FINE’Like any good country singer,Lauren Alaina uses her own life
(overcoming an eating disorder, her parents’breakup) as inspira-tion for her songs.
The season 10American Idol
runner-up’ssecond al-bum, Road
Less Traveled, is available
Jan. 27. VisitParade.com/alaina to findout the true-life dramabehind herup-tempoalbumopener,“Doin’Fine.”
4 | JANUARY 22, 2017
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© PARADE Publications 2017. All rights reserved.
ASSIGNING EDITOR ___________ | MANAGING EDITOR __________ | COPY EDITOR __________ | PHOTO EDITOR __________ | EDIT. DIRECTOR __________ | EIC __________ ASSIGNING EDITOR ___________ | MANAGING EDITOR __________ | COPY EDITOR __________ | PHOTO EDITOR __________ | EDIT. DIRECTOR __________ | EIC __________
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JANUARY 22, 2017 | 5
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Dog’sLifeThe moral of theheart-tugginglive-action filmA Dog’s Purpose(in theaters
Jan. 27) is to remind us that a dog’s job is to help us love andlaugh a little more. This week,why not give the love back byhelping a pet?
CHANGE A PET’S LIFE DAY Adopt a homeless pet or help one get the medical care it needs. Visit petmeds.org for more information.
The number of shelter animals adopted each year
JANUARY 24
2.7 million
THE SHOW THAT CHANGEDTELEVISIONIn True South: Henry Hampton and Eyes on the Prize: The Landmark Television Series That Reframed the Civil Rights Movement (Viking), documentarian and civil rights worker Jon Else takes us behind the scenes of Eyes on the Prize, the 1987 landmark series he produced. Avail-able Jan. 24. $30, bookstores and online
LAUREN ALAINA IS ‘DOIN’ FINE’Like any good country singer, Lauren Alaina uses her own life
(overcoming an eating disorder, her parents’ breakup) as inspira-tion for her songs.
The season 10 American Idol
runner-up’s second al-bum, Road
Less Traveled, is available
Jan. 27. Visit Parade.com/alaina to find out the true-life drama behind her up-tempo album opener, “Doin’ Fine.”
continued on page 6
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ASSIGNING EDITOR ___________ | MANAGING EDITOR __________ | COPY EDITOR __________ | PHOTO EDITOR __________ | EDIT. DIRECTOR __________ | EIC __________
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6 | JANUARY 22, 2017
Parade
Edited by Alison Abbey / L I K E U S AT FA C E B O O K . C O M / PA R A D E M A G
THEY LIKE IKE!In Parade’s Jan. 20, 1957, cover fea-ture, released on the day President Dwight D. Eisenhower was being inau-gurated for his second term in office, readers weighed in on “Why They Like Ike.” Among the reasons: “He gives you confidence.” “ He attends church and he’s a God-
fearing man.” “You feel like he’s a good Joe.”
THE 411 ON HEALTH CARE IN 2017With a new year and a new president, change is in the air. If you’re
wondering what’s on the horizon for health care, we’ve got you covered. Parade’s Health Care Detective, Frank
Lalli, weighs in on what to expect from the new administration with regard to Obama- care, Medicare, employer health insurance
and more in an exclusive online feature. Visit Parade.com/healthcare for the scoop.
Visit Parade.com/numbrix for more Marilyn vos Savant Numbrix puzzles
and today’s solution.
Numbrix®
Complete 1 to 81 so the numbers follow a horizontal or
vertical path—no diagonals.
63
13
69
15
79
17
81
75
41
31
19
59
57
51
5
11
That’s how much YouTube comedian and vlogger Roman Atwood
made last year.Go to Parade.com/earn
to share your salary and possibly be featured in our most popular issue!
$8 million (est.)
from page 5
FLASHBACK
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JANUARY 22, 2017 | 11
FOREVER YOUNGYour chances of celebrating your 100th birthday are better than ever. Now what?By Katie Neal
P once de León’s quest for the Fountain of Youth may have ended in disappoint-
ment, but we’ve learned a thing or two since then. In 2017, thanks to scien-tific strides in nutrition, chronic disease diagnosis and treatment, genetics and more, the possibility of living to 100 is within many Americans’ reach. In a 2016 survey, 82 percent of Parade readers said they believed they’ll live longer than their parents.
With longevity a hot top-ic, we’ve teamed up with the world-renowned Cleveland Clinic and its chief well-ness officer, Michael Roizen, M.D., for a yearlong serieson living to 100. What doesa healthy, happy 100-yearlife look like? How can youboost your odds of mak-ing it there? And how doyou plan for it—financially, emotionally, logistically?We’ll tackle all these ques-tions and more throughout2017, drawing on the latesthealth news, advice fromthe experts on the frontlines of aging research andthe feedback you give us onhow you’re approaching thepromise of a longer life.
Here’s just a hint of what you can expect to learn this year about living to 100.
Turn the page for Dr. Michael Roizen’s
longevity-boosting day.
Take Our Survey!Do you want to live to 100?
Tell us that—and more— in our 2017 survey at Parade.com/survey
and you could win a $500 gift card!
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PAGE: 12 CODE: 31A2 BOOK: 20 ISSUE: 01-22-17
12 | JANUARY 22, 2017
“I do 10 push-ups every morn-ing, then I breathe and do another 10.”
—Supreme Court Justice Ruth Bader
Ginsburg, 83
“I don’t know what I would have done so many times in my life if I hadn’t had my girlfriends. They have liter-ally gotten me up out of bed, taken my clothes off, put me in the shower, dressed me, said, ‘Hey, you can do this,’ put my high heels on and pushed me out the door!”
—actress Reese Witherspoon, 40
WITHERSPOON BY ANDREW LIPOVSKY/NBC/GETTY IMAGES; GINSBERG BY NIKKI KAHN/THE WASHINGTON POST VIA GETTY IMAGES; ROIZEN BY CLEVELAND CLINIC;W/ WIFE BY ROIZEN FACEBOOK; WHITE BY KELSEY MCNEAL/ABC; BUSHES BY GLOBE PHOTOS/ZUMA; BRIN BY JIM SMEAL/REX SHUTTERSTOCK VIA ZUMA
90 The number of minutes
Roizen aims to spend on his treadmill desk by walk-ing during conference calls
and radio interviews
Friends
Diet & Exercise
The Keys to Longevity
The bad news: There’s no one secret to living longer. The good
news: There’s more than one secret to living longer. These are just a few of the factors emerging as crucial to extending your life.
(Stay tuned for more!)
A Day in the Life of YOUNG DR. MIKE
Want to live to 100? Here’s how one of the premier experts on
longevity works health and happiness into every day.
A t 71, Cleveland Clinic’s chief wellness officer, Michael Roi-zen, M.D., keeps a schedule of patient visits, radio interviews,
research, writing and, yes, even some fun that would exhaust people decades younger. But that’s hardly a surprise. “Young Dr. Mike” (as he’s known on Twit-ter) has dedicated much of the past 20 years to the study of longevity—specifically, the idea that simple daily choices can make your body and mind years younger than your calendar age. And there’s no question the co-author of the upcoming book AgeProof: Living Longer Without Running Out of Money or Breaking a Hip (available Feb. 28) practices what he preaches. Here are just a few of the ways he boosts his longevity every day.
5:00 a.m. MORNING SMOOCHES“The first thing I do is kiss my wife, Nancy.” Choosing your partner wisely and with passion is one of Roizen’s keys to longevity. 5:05 a.m.
A LITTLE HEAD CLEARING
A five-minute meditation in the shower sets his
intentions for the day and helps manage stress.
5:45 a.m. A HEALTHY BREAKFAST
He eats heart-healthy oatmeal with walnuts while
checking email.
2:00 p.m. WALK & TALK
Roizen breaks up sitting time by walking up a flight of stairs
or two with patients, while monitoring their pulse, or having one-on-one “walking meetings”
with colleagues.
5:30 p.m. CONNECTING WITH FRIENDSHis evening commute is good for the soul: He likes to catch up with friends on the phone. And several times a week he uses FaceTime to video chat at home with his grown children, Jennifer and Jeffrey, and granddaughter, Julien.
6:30 p.m. WHOLESOME
MEALSDinner, which Nancy (left), a
pediatrician, typically cooks during the week, might be salmon, quinoa and
cabbage. If she’s working, he’ll whip up a quick spicy soup with drained canned tomatoes and corn—
and lots of onions! “If you can use a chef’s knife and a spice cupboard, you can eat healthy and eat food that you love to taste.” His favorite longevity-boosting
spices: turmeric, garlic, rosemary and oregano.
8:00 p.m. PLENTY OF FUN
You can find the sports-loving Roizens cheering on the
Cleveland Cavaliers and the Indians. “If we don’t have tickets
or they’re away, I’m usually watching the game on TV just
before bed,” he says. “That’s my calm-down ritual.”
25The calories in a small piece of dark choco-
late, a favorite Roizen pick-me-up (along with a handful of walnuts) if
dinner will be late
32 oz.water
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JANUARY 22, 2017 | 13WITHERSPOON BY ANDREW LIPOVSKY/NBC/GETTY IMAGES; GINSBERG BY NIKKI KAHN/THE WASHINGTON POST VIA GETTY IMAGES; ROIZEN BY CLEVELAND CLINIC; W/ WIFE BY ROIZEN FACEBOOK; WHITE BY KELSEY MCNEAL/ABC; BUSHES BY GLOBE PHOTOS/ZUMA; BRIN BY JIM SMEAL/REX SHUTTERSTOCK VIA ZUMA
Brain Games
“I don’t have any trouble memoriz-ing lines because of the crossword
puzzles I do every day to keep my mind a little limber.”
—actress Betty White, 95
Love
“My parents can’t get enough of each other. Their love has grown stronger with each passing year. They laugh at each other’s goofy jokes, hold hands when no one is around and generally look at each other like teenagers in
love.” —Marvin Bush, 60,
son of Barbara, 91, and George H.W. Bush, 92
Know Your Genes
“Until the fountain of youth is discov-ered, all of us will have some condi-tions in our old age. I have a better guess than almost anyone else for
what ills may be mine—and I have decades to prepare for it.”
—Sergey Brin, 43, Google co-founder, who has donated more than $100 million to Parkinson’s
research since discovering he has a potential biomarker for the disease
5:05 a.m. A LITTLE
HEAD CLEARINGA five-minute meditation
in the shower sets his intentions for the day and
helps manage stress.
5:45 a.m. A HEALTHY BREAKFAST
He eats heart-healthy oatmeal with walnuts while
checking email.
LunchVEGGIE MADNESS
In the employee cafeteria, Roizen assembles a low-
calorie, nutrient-rich salad with an assortment of
veggies such as lettuce, tomatoes, cucumbers
and peas, dressed with balsamic vinegar. Or he’ll have a hot plate
with steamed broccoli, sautéed green beans and
another veggie. During farmers’ market season
on the Cleveland Clinic campus, Roizen stocks up
on healthy snacks for his staff.
2:00 p.m. WALK & TALK
Roizen breaks up sitting time by walking up a flight of stairs
or two with patients, while monitoring their pulse, or having one-on-one “walking meetings”
with colleagues.
6:30 p.m. WHOLESOME
MEALSDinner, which Nancy (left), a
pediatrician, typically cooks duringthe week, might be salmon, quinoa and
cabbage. If she’s working, he’ll whip up a quickspicy soup with drained canned tomatoes and corn—
and lots of onions! “If you can use a chef’s knife anda spice cupboard, you can eat healthy and eat foodthat you love to taste.” His favorite longevity-boosting
spices: turmeric, garlic, rosemary and oregano.
8:00 p.m. PLENTY OF FUN
You can find the sports-loving Roizens cheering on the
Cleveland Cavaliers and the Indians. “If we don’t have tickets
or they’re away, I’m usually watching the game on TV just
before bed,” he says. “That’s my calm-down ritual.”
10:30 p.m. SLEEP SMART
“If I have a weakness, it’s that I don’t honor sleep as much as I should,” he
admits. “I used to feel great on six hours—now seven is much better for
me.” Most people need more as they age, he says, and everyone should
get at least 6.5 hours for the best longevity benefits.
10,000 The number of steps Roizen tries to log
daily on his fitness tracker. If he hasn’t hit his goal, he walks on the treadmill while
he watches TV. “That’s about the only time I catch The Daily Show live,” he says.
25The calories in a smallpiece of dark choco-
late, a favorite Roizenpick-me-up (along witha handful of walnuts) if
dinner will be late
32 oz.water
HIS CUP RUNNETH OVERRoizen drinks a lot of
coffee. (It counts toward his daily fluid intake, he says.)
He doesn’t use cream or sugar and also drinks
plenty of H2O.
8-9 cupscoffee
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14 | JANUARY 22, 2017
Flashback
Parade magazine has been covering American presidents ever since our first issue rolled off the presses just over 75 years ago. In fact, every president since Harry Truman has graced the
cover. Several of them have written stories on topics ranging from their hopes and dreams and their legacies to their family life in the White House and how they stay fit on the job.
As we embark on a new presidency, visit Parade.com/presidents for a gallery of all Parade presi-dential covers and to read “What Makes a Good President? The 8 Best, the 8 Worst—and Why” by Harry S. Truman, from our April 3, 1988, issue (excerpted from the book More Plain Speaking, edited by Margaret Truman and Scott Meredith).
PARADE OFPRESIDENTS
April 3, 1988“All a good president tries to do is accomplish things for the good of the people.”
—Harry S. Truman
July 15, 2012“We’re called the greatest gen-eration, but I think that’s not [giving] fairness to the present generation, people who are abroad, an all-vol-unteer army, all there because they wanted to serve their country.”
—George H.W. Bush
Dec. 4, 1983“In my view, every exercise program should have an outdoor element to it—whether jogging, bicycling, skiing, hiking or walking. I prefer horseback riding and, whenever possible, hard manual labor at the ranch.”
—Ronald Reagan
May 16, 2010“At times like these, when the future seems unsettled and uncertain, it can be easy to lose heart. When you turn on the television or read news-papers or blogs, the voices of cyni-cism and pessimism always seem to be the loudest. Don’t believe them.”
—Barack Obama
July 2, 1961“When we think of liberty in 1961, let us not be content with the stately periods of the Fourth of July orations. Let us not just talk of liberty: let us act for it. Let us translate our devotion into deeds.”
—John F. Kennedy
Feb. 23, 1947“The personal appearance of our Commander in Chief is that of the perfect gentleman and ac-complished warrior. He is remark-ably tall, full six feet, erect and well-proportioned. The serenity of his countenance and majestic gracefulness of his deportment, impart a strong impression of that dignity and grandeur which are his peculiar characteristics. No one can stand in his presence without feel-ing the ascendency of his mind.”
—Dr. James Thatcher of the Conti-nental Army on George Washington
TRUMAN’S RANKINGS OF HIS PREDECESSORS THE BEST
George WashingtonThomas JeffersonAndrew Jackson
James K. PolkAbraham LincolnGrover ClevelandWoodrow Wilson
Franklin D. Roosevelt
THE WORST Zachary TaylorFranklin Pierce
James BuchananUlysses S. Grant
Benjamin HarrisonWarren G. Harding
Calvin CoolidgeDwight D. Eisenhower
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PAGE: 16 CODE: 91A1 BOOK: 20 ISSUE: 01-22-17
TableCommunity
16 | JANUARY 22, 2017
It’s not just an old wives’ tale that chicken soup can soothe cold and flu symptoms. Research confirms it really does help ease congestion, thanks to an anti-
inflammatory compound called carnosine. Our chicken soup recipe adds a super dose of flavor to your healing bowl of comfort.
—Alison Ashton
Y O U R N E W
FAVORITE SOUP
Spicy Thai Coconut Chicken Soup
Heat 1 Tbsp canola or coconut oil in a large sauce-pan over medium-high heat. Add 1 Tbsp minced ginger, 1 finely chopped onion, 2 minced garlic cloves and 4 oz mushrooms, thinly sliced; sauté 5 minutes or until mushrooms are tender. Stir in 1 quart low-sodium chicken broth, 1 (13.5-oz) can light coconut milk, 2 Tbsp fish sauce or soy sauce, 1 Tbsp chile-garlic sauce (such as Lee Kum Kee) and 1 tsp sugar. Bring to a simmer; cook 20 min-utes. Stir in 1 cup shredded cooked chicken; cook 5 minutes or until heated through. Stir in zest and juice of 1 lime. Serve garnished with fresh cilantro and 1 lime cut into wedges. Serves 4–6.
REC
IPE
PH
OTO
BY
ALI
SON
ASH
TON
Go to Parade.com/soup for 14 more chicken soup recipes.
4 More Feel-Better
Foods
USE PRECHOPPED
VEGETABLES AND ROTISSERIE CHICKEN TO SPEED UP PREP.
Cranberry juice hasantioxidants that mayhelp lessen symptoms of colds and flu.
Probiotics in yogurtmay reduce theseverity of upper-respiratory infections.
Fresh ginger hasflu-fighting antiviralproperties.
Quercetin, an antioxidant found inonions, fights colds and the flu virus.
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© PARADE Publications 2017. All rights reserved.
PAGE: 18 CODE: 75A1 BOOK: 20 ISSUE: 01-22-17
18 | JANUARY 22, 2017
Send questions to marilyn @ parade.com
Ask MarilynBy Marilyn vos Savant
You once wrote that shares of stock are not actually worth their stated price on the market. Can you elaborate?
—John Marinelli, Downey, Calif.First, when you buy stock, your money usually doesn’t go to the company. Instead, you buy stock from other investors. When more and more people buy stock, the price goes up because buyers outnumber sellers. And as bro-kerage statements indicate the latest selling price, portfolios inflate. But investors can’t buy the same stock back and forth numerous times, inflating its price, and think they’re creating real dollars.
Say that 10 million investors each own 100 shares of stock in a company. Then I pay $1 more than the last person for a share. As a result, the stock price goes up by $1 and all 10 million share-holders see their portfolios rise by $100. But did I just create $1 billion of wealth, the total of that increase? Of course not.
The apparent $1 billion is generated by what I call the “Cheshire multiple” (after the disappearing cat in Alice’s Adven-tures in Wonderland). Only a small percentage of investors can sell their shares at the price on their brokerage statements. As soon as sellers outnumber buyers, the price will fall, and portfolios will shrink due to that same multiple. So it works both ways. Most of this so-called wealth simply van-ishes. It never really existed.
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