reagans’ impact
1981-96
Reagans’ economy:
- Defence expenditure of $300 billion by 1989
- Decreased federal budget of 1982 from $740 billion to $700 billion
- Aimed to decrease the deficit from 22% to 19% however ended up increasing it to $860
billion
- His deficit was 5 times that of his predecessors
- Economic Recovery Tax Cut 1981 proposed a 23% tax cut
- Removed tax codes which meant that the rich couldn’t be taxed more than 50% leading
to disparity
- Reduced top-level tax rates from 70% to 25%
- Cut regulatory staff
- Cut travel expenses by 15%
Reagans’ deregulation of big government:
- Cut staff from the Department of Education by 25% and the block grants by 63%
- Appointed James Watt as Secretary of Interior who gave more power to coal and oil
companies, led to great criticism with the quote “I know Watts wrong”
- Increased income and freedom to S&L in 1982 and their risky investments led to a $132
billion bailout
- Removed 23000 pages of the federal register and cut 212 federal programmes which led
to 13 million children living below poverty line
- Couldn’t remove social security and medicare completely
- Civilian employment in federal work rose by 3% and employment in general by 11.5%
- Textile industry closed 250 plants and 300 000 jobs lost
Reagans’ society:
- He made 50% of the judiciary to be strict Republicans which led the ruling in Missouri
that gave doctors the power to deny women abortions despite Roe V Wade
1981-96
Reagans’ economy:
- Defence expenditure of $300 billion by 1989
- Decreased federal budget of 1982 from $740 billion to $700 billion
- Aimed to decrease the deficit from 22% to 19% however ended up increasing it to $860
billion
- His deficit was 5 times that of his predecessors
- Economic Recovery Tax Cut 1981 proposed a 23% tax cut
- Removed tax codes which meant that the rich couldn’t be taxed more than 50% leading
to disparity
- Reduced top-level tax rates from 70% to 25%
- Cut regulatory staff
- Cut travel expenses by 15%
Reagans’ deregulation of big government:
- Cut staff from the Department of Education by 25% and the block grants by 63%
- Appointed James Watt as Secretary of Interior who gave more power to coal and oil
companies, led to great criticism with the quote “I know Watts wrong”
- Increased income and freedom to S&L in 1982 and their risky investments led to a $132
billion bailout
- Removed 23000 pages of the federal register and cut 212 federal programmes which led
to 13 million children living below poverty line
- Couldn’t remove social security and medicare completely
- Civilian employment in federal work rose by 3% and employment in general by 11.5%
- Textile industry closed 250 plants and 300 000 jobs lost
Reagans’ society:
- He made 50% of the judiciary to be strict Republicans which led the ruling in Missouri
that gave doctors the power to deny women abortions despite Roe V Wade
