07:700:290 Lecture Notes - Lecture 6: Little Red Corvette, Darling Nikki, Live Aid
Document Summary
His policies plummeted the country into dire economic recession and divided the country into rich and poor. Taking office in 1981, he immediately cut back social programs through conservative economic policies. Using trickle down logic, he believed that the government aid to corporations would lead to increases in profits, and that business would channel these new profits into expansion which would translate into more jobs and higher wages. He also lowered taxes on the rich from 78% to 28% For 8 years he offered corporate incentives/domestic social programs and padded the military budget. Reagan cut spending for job training, college loans, food and medical aid, disability services, child care for working mothers. He was against affirmative action and ended the requirement for contractors on federally funded projects to adhere to affirmative action laws. Unemployment rate rose from 7. 1 in 1981 to 9. 7 by 1984. By 1984 the economy was in shambles.
