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Pros And Cons Of Reaganomics

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The term reaganomics is the reduction of taxes and promotion of free market policy this took place when Ronald reagan who was the 40th president of the United States of America from January 20th 1981 to January 20th 1989 was in office. This idea was first brought up by a comedian who made laughs about it while hoover was in office. It all happen because the united states was in the worst recession after the great depression which means a significant decline in economic activity that deals with real income, employment, production and of course retail basically anything that has to do with the flow of money was just not having a very smooth flow for a couple of months in the united states. Reagan was a very strong supporter of laissez faire which …show more content…

Another proposal Ronald Reagan approached was the Strategic Defense Initiative which for short is called SDI this basically is a system that makes the United States of america more protective from nuclear missile attacks by the Soviet Union. This combined with stagflation was expected to create and establish the American socio-economic system, unfortunately the expected outcome did not meet the observed repercussions. As tax cuts were meant to increase the amount of money large corporations were supposed to save and in so doing reinvest, this would increase the value and worth of companies, therefore increasing the amount of jobs, ultimately leading to increases in spending, thus putting more money back into the economic system. After all was said and done however, the large business that saved continued to save, thus making and coining the term “the rich get richer.” This leads reaganomics, stagflation, and tax cuts to a controversial road in American history who is it really for, when is it really necessary and can it truly be put into effect to truly help the people, the working class, or is it just another way for companies to push their political, and financial agendas. The 40th president of the United States of America, did everything he could for the American people with the circumstances of the time, as recent as it was the time and the pressures of the post war and post vietnam economy led Raegan to do what he could as soon as he could, and as efficiently as he could. Today, many of Reagan's policies seem controversial, and would ultimately be devastating to the American economy in the present day. As controversial as his policies were they attempted and did in some way move money

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