What Is The Impact Of Reagan's Economic Policy

Throughout President Ronald Reagan’s’ campaign of 1980, a recipe aimed at fixing the nations economy then was born. President Reagan asserted that excessive government regulation, massive social spending programs and undue tax burden hindered growth. President Reagan suggested a 30% tax cut that would be rolled out in 3 years while in office. Most of the tax cut would go to the upper income level individuals to enable the rich invest and create more jobs. These major policy modifications were aimed at increasing economic growth, restoring healthy financial markets, balancing the budget, increasing savings and investments and reducing inflation and interest rates.
The outcome of these policy changes was however mixed. The Federal Reserve Board had an initial believe that the reduction in tax would heat up inflation and in turn increase interest rates. Instead, it ignited a deep recession in 1981and 1982. The high interest rates level made the dollar value to rise on the foreign exchange market resulting in prices going up for American goods. This resulted in an increase in imports and a decrease in exports. The economy however stabilized in 1983showing tremendous growth in the remaining years of President Reagan’s tenure.
Economists say that President Reagan delivered on the economic policies that were set in spite of the fact most people were not In agreement with it.
The annual increase in spending by the federal department declined from 4.0% (during carters reign) to 2% during Reagan’s reign. The defense department saw major spending awarding major government contracts to upgrade the nation’s defense systems even proposing a space-based missile defense system. President Reagan however did not make any substantial changes to social security and Medicare but significant reductions in domestic programs were proposed. These changes in economic policies were found to be favorable to the economy although disappointing in comparison to what was
predicted. The economy grew by an annual rate of 2.8% during President Reagan’s successor which was found misleading due to the growth rate of the working-age population which was slower during Reagan’s tenure. The Real GDP per working-age-adult increased by 1.8% annual rate during President Reagan’s time compared to a 0.8% annual rate during President Carters tenure. Most other economic conditions improved including the unemployment rate which declined from 7% to 5.4% in the year 1980 to 1988. President Reagan economic program resulted in major economic improvement generating better incomes for the government however citizens still continue to resist paying higher taxes for these programs.
Critical Race Theory This theory was developed intellectually during the late 1970s and early 1980s. The theory offers an in-depth analysis of racism from a legal or constitutional point of view. It blends criticisms of conventional legal scholarly norms which are illegitimate hierarchies that ought to be change and progressive political scramble for racial justice. Scholars who mostly are persons of color question the manner in which race and racial power are made by culture and law. One of the fundamental focus of critical race theorists is the government of white supremacy and privilege maintained in spite of the rule of law and the equal rights guarantee by the constitution. Critical race theorists and most feminists are in unison that law is not a neutral tool but rather part of the problem. They therefore, try to identify deficiencies of conventional human rights litigation. Critical race theorists however blame critical legal scholars for neglecting to develop and discussing transformative rights in social movements irrespective of the internal incoherence. These theorists therefore try to blend a practical and idealistic social reform visions that expose how law makes race to disadvantages persons of color. They are engaged in constructing a movement aimed at doing away with racial oppression and other kinds of group-based oppression. There can be many dimensions of oppression; critical race theorists recognize that race alone does not report disempowerment. Other forms of oppression can be due to sex, national origin, class and how the combination of these characteristics plays in various settings. (DAVID J TROWBRIDGE pg 256)
A critical race movement can be viewed as a group of activist and interdisciplinary scholars concerned with changing for the better the relationship among race, racism and power. Understanding the role of critical race theories is importance to fully recognize civil rights and ethnic studies discussions in a society.
Conclusion
The two topics discussed above have given a broad perspective of the American history with regards to the Reaganomics and the critical race theory which had laid key pillars to current day policies and laws.