Majority of Americans welcomed the idea that was presented to them by their President Ronald Regan in the 80s whereby he made a policy of cutting down taxes for corporations, businesses and the investors who are the rich in order to stimulate economic growth and to create jobs for the youths and the poor in the society (Chafe 110). American citizens were told that Reaganomics will better the economy but that did not happen instead those who were mainly affected in a negative way were the middle class people and the rich. Reaganomics led to:
Uneven distribution of wealth: Reaganomics was an idea that cutting down on taxes would trickle down the U.S. economy. After the policy was implemented, there was a reduction of tax rate for wealthy Americans from 70% to 28% in a period of seven years. However, this increased the gap
Cited: Barone, Michael. Our Country: The Shaping of America from Roosevelt to Reagan. New York: Free Press, 1990. Print. Chafe, William. The Unfinished Journey: America sSince World War II. New York: Oxford University Press, 2002. Print. Edel, Wilbur. The Reagan Presidency: An Actor 's Finest Performance. New York: Hippocrene Books, 1992. Print. Gerston, Larry, Fraleigh, Cynthia Fraleigh, Cynthia & Schwab, Robert. The Deregulated Society. Pacific Grove Cal.: Brooks/Cole Publishing, 2000. Print. Wills, Garry. Reagan 's America: Innocents at Home. New York: Doubleday, 2008. Print.