Reagans Economics

ETH 135
Regan’s Economics

President Reagan’s conservative politics stimulated the United States economy in several ways, throughout his presidency as well as after. There were three main points to President Reagan’s policies. With President Reagan’s policies he wanted to increase defense spending, decrease spending for social programs, and to cut taxes. The ensuing policies, which gave the economy a much needed boost, were commonly referred to as Reaganomics. President Reagan utilized strong campaign promises to reduce taxes which got him a great deal of votes, not just from Republicans but from Democrats as well. The Democratic Party was a vital part of President Reagan’s conservative policies which were approved. President Reagan devised an idea that if the rich were given tax breaks by the federal government that this would in turn create more jobs. This same idea by President Reagan figured that if the rich had to pay more taxes that it would result in the rich cutting back on hiring or keeping a surplus of employees. Not only did the rich reap the benefits of the new tax reduction, everyone did. President Reagan’s new policies really worked for the people which played a big part in stimulating the economy. Under the president’s new policies people started purchasing more things as their income increased. At the same time businesses were able to expand so that there would be more job opportunities for people that were unemployed. President Reagan’s policies were very successful. They were so successful that years later, America was still receiving the benefits of them. In the 1980’s President Reagan increased military spending which further contributed to the country’s economic success by creating numerous jobs. There also was a decrease in social program funding by the government which led to a possible governmental deficit. President Reagan’s conservative politics really helped America’s economy. President Reagan increased military spending,...