Wait a second!
More handpicked essays just for you.
More handpicked essays just for you.
The Cold War period 1945-1991
Cold war the relationship between usa and ussr
Reagan's economic policies
Don’t take our word for it - see why 10 million students trust us with their essay needs.
Recommended: The Cold War period 1945-1991
Referring to it as the “Evil Empire,” Ronald Reagan was determined to stop the Soviet Union from spreading Communism and end the Cold War. Since the end of WWII in 1945, the United States and the Soviet Union had been engaged in a power struggle known as the Cold War. Having long opposed the Soviet Union and its Communist government, Reagan was prepared to talk about reducing the number of nuclear arms each country possessed. In response, Gorbachev suggested they each cut their supplies of certain large weapons in half, but he later called for the complete elimination of nuclear weapons within 10 years. However, there was a catch: Gorbachev wanted the United States to stop researching a missile defense system Reagan had proposed in 1983, known …show more content…
as the Strategic Defense Initiative (SDI). Remaining headstrong, Reagan refused because he had promised America he would develop SDI and he would not be the one to leave his country open to a Soviet air attack.
Soon after, Reagan wanted to meet again because he knew they had made progress and could possibly make a world changing agreement. Eventually, the two leaders had a general agreement to reduce their nuclear weapons by 50 percent (Bugan 7-8; 96). Ronald Reagan explained, ”It is the Soviet Union that runs against the tide of history.... [It is] the march of freedom and democracy which will leave Marxism-Leninism on the ash heap of history as it has left other tyrannies which stifle the freedom and muzzle the self-expression of the people,” (“Reagan’s Westminster Speech”). After Reagan left office, the arms cuts did come and the Cold War came to an end and finally, Marxism-Leninism laid on the ash heap of …show more content…
history. During his run for presidency against Jimmy Carter, Reagan, who considered out-of-control inflation the nation’s most prominent economic problem, proposed a revolutionary plan for dealing with the economy, known more commonly as Reaganomics.
Regan, along with budget director David Stockman, had the idea that a lighter tax burden would free up more money for investment, which would then increase productivity and stimulate economic growth (“The Ronald Reagan Administrations”). Reaganomics was an economic policy that emphasized the downsizing of government and of costly government-supported social programs whose actions permitted reductions in taxation. Upon the start of Reagan’s presidency, economic problems had been growing for almost two decades and resulted in inflation, where the interest rates were approaching 20% and unemployment was rising. His main action was to instigate a thirty percent tax cut across the board; 10 percent per year over a three year span. Many of his advisors pointed out the contradictions in his proposal, but he held his opinion and argued that his policies would make people more productive, would substantially reduce the unemployment rate, and would result in bringing increased revenue to the federal government, despite the tax reductions. The immediate impact of Reaganomics was devastating to the poorer members of American society and Reagan’s critics accused him of being indifferent to the problems of the poor. Although the United States had
slumped into a recession, inflation was cooled due to the recession and by 1983, the economy began to significantly improve (Shuman). Through his perseverance and confidence in his policies, Reagan boosted the economy through his supply-side economic system, Reaganomics. Taking a bold risk, Ronald Reagan fired nearly 13 thousand members of the Professional Air Traffic Controllers Union when they went on strike. The PATCO strike was considered one of the toughest and most influential battles in the history of United States organized labor (Van Horn). Over time, the position of American trade unions had steadily weakened, partly due to the unemployment rate rising to 11 percent because of a severe economic recession. (“The Ronald Reagan Administrations”). From 1968 up until the strike, the group was involved in six serious disruptions of air transportation services (Van Horn). On August 3, 1981, PATCO began the first massive labor force strike of its kind against the Federal Aviation Administration, but Reagan stood up and order the controllers to go back to work or risk being fired. Without hesitation, Reagan fired the striking controllers and replaced more than 10,000 of them and also banned them from ever working as controller again. PATCO filed for bankruptcy protection in 1981 and was decertified in 1982, marking the first time that the federal government had destroyed a union (Van Horn). Reagan’s courageous leadership prevented a strike threatening to bring civil aviation to a standstill throughout the nation.
Ronald Read ran a campaign based on lowering taxes, and strong national defense. In his first inaugural address, he emphasized the important to conserving the power of an us control our own destinies. He also says that government is not a solution to the problem that they are the problem. During his term, he decreases the size of federal government and supported policies and reforms that he believed empowered individuals. Reagan also worked to reduce federal spending on home programs, due to his concerns about the constitutionality of those programs. He called for finances cuts, mostly from great Society programs. while not touching Medicare and Social security, Reagan authorized cuts in federal schooling programs, food stamp programs, workplace programs, and other non-military domestic programs. Believing the U.S. had left out the military after the Vietnam war, and because the cold battle continued, Reagan asked for increased funds to reinforce the military. The decrease in taxes and growth in army spending ended in the biggest budget deficits in the united states’ records to that time. The deficits persisted each year, however Reagan vowed to veto any tax increases Congress
The Cold War was a period of dark and melancholic times when the entire world lived in fear that the boiling pot may spill. The protectionist measures taken by Eisenhower kept the communists in check to suspend the progression of USSR’s radical ambitions and programs. From the suspenseful delirium from the Cold War, the United States often engaged in a dangerous policy of brinksmanship through the mid-1950s. Fortunately, these actions did not lead to a global nuclear disaster as both the US and USSR fully understood what the weapons of mass destruction were capable of.
Immediately after being sworn into office, Reagan implemented the first of many tax cuts. The Economic Recovery Tax Act passed in 1981 took 20% off taxes from top income levels and 25% off taxes from all lower income levels. Additional tax cuts, enforced in 1986, lowered taxes for those with high incomes by another 28% and those with lower incomes by 15%. These cuts were enacted based on the principle that tax breaks for the upper echelon of society would encourage investment and spending, creating new jobs for lower income individuals. Though these acts helped America during an economic low, they had consequences which are still being felt today. During Reagan’s presidency the distribution of wealth shifted unfairly towards individuals...
During the Cold War, the United States engaged in many aggressive policies both at home and abroad, in which to fight communism and the spread of communist ideas. Faced with a new challenge and new global responsibilities, the U.S. needed to retain what it had fought so strongly for in World War II. It needed to contain the communist ideas pouring from the Soviet Union while preventing communist influence at home, without triggering World War III. With the policies of containment, McCarthyism, and brinkmanship, the United States hoped to effectively stop the spread of communism and their newest threat, the Soviet Union. After the war, the United States and the Soviet Union had very different ideas on how to rebuild.
Reagan became president when the country was experiencing economic troubles; mainly inflation was at 13 percent and the unemployment rate climbing. Reagan developed a relief act and policies that became known as Reaganomics. Marc Cornman states “that there was no positive to the policies unless you were rich.” Interesting perspective, meaning that the policies covered lowering income and capital gains taxes, encouraging businesses to do business in the United States hoping to boost spending and in turn the economy. Mr. Cornman remembers more negatives, “Unemployment and the first recession, he raised taxes and eliminated deductions but continued to lower taxes for the wealthy.” He also recollects that President Reagan fired thousands of air traffic controllers for going on strike and that Reagan implied that unions were no longer needed this harming the economy even more. He feels ...
When President Reagan took office, the U.S. was on the back end of the economic prosperity World War 2 had created. The U.S. was experiencing the highest inflation rates since 1947 (13.6% in 1980), unemployment rates reaching 10% in 1982, and nonexistent increases GDP. To combat the recession the country was experiencing, President Reagan implemented the beginning stages of trickle down economics – which was a short-term solution aimed to stimulate the economy. Taxes in the top bracket dropped from 70% to 28% while GDP recovered. However, this short-term growth only masked the real problem at hand.
In 1980, it seemed like the United States was not as dominant in the world as it had been before. The Cold War between the United States and the Soviet Union began after World War II. The two nations had joined forces as members of the Allies, but tensions arose after the war. The Americans were very worried about the spread of Soviet communism, and tried to prevent it with a policy of containment, where the United States would protect countries from outside oppression. The Cold War also expanded to include the race between the Soviets and Americans to create atomic weapons. Furthermore, there was a race between the two countries to put the first man in space, which was accomplished by the United States in 1961 (“Cold War History”). The Cold War was a standoff between the United States and the Soviet Union to try to prove their dominance in the world. Each country wanted to have more power and diminish the power of the other. At home, Americans were paranoid with the thought of Soviet spies and communists hiding amongst them, dubbed the “Red Scare.” President Richard Nixon and the Soviet premier Leonid Brezhnev signed the Strategic A...
Because of Reagan the tax code was overhauled which helped those on low income. Reagan left the office of President with the longest recorded period of peacetime and prosperity without causing a recession or depression. Works Cited
were inseparable from economic strength. However, Reagan's defense policy. resulted in the doubling of the debt of the United States. He used the money for... ... middle of paper ... ...
Reagan's economic policies towards middle to lower class workers recognized the economic imbalance of American society as a problem, which could not be solved by so called subordination of the American taxpayer. The implication of this was that the government would not subsidize, using taxpayer money, administrations and programs that were similar to those of the New Deal. One can derive this conclusion by looking at Reagan's policy towards cutting unemployment insurance and his hesitation towards raising the minimum wage.
With this book, a major element of American history was analyzed. The Cold War is rampant with American foreign policy and influential in shaping the modern world. Strategies of Containment outlines American policy from the end of World War II until present day. Gaddis outlines the policies of presidents Truman, Eisenhower, Kennedy, Johnson, and Nixon, including policies influenced by others such as George Kennan, John Dulles, and Henry Kissinger. The author, John Lewis Gaddis has written many books on the Cold War and is an avid researcher in the field.
Glynn, Patrick. Closing Pandora's Box "Arms Races, Arms Control, and the History of the Cold War". New York: HarperCollinsPublishers, Inc. 1992.
Upon taking office in 1981, Ronald Reagan began to implement a simple strategy to win the war against the Soviets: he would outspend them in an arms race and force them to the negotiating table. Over the course of this erratic arms build-up the president spent a total of $2 trillion on the military alone. The most notorious of these programs was the Strategic Defense Initiative; also know as Star Wars, in which the president authorized billions to be spent to research a program that could defend America against a possible nuclear attack by blowing in an incoming nuke out of the sky. A vast majority of the scientific community thought such a program to be absurd and implausible, but Reagan pushed on. His belligerence in this arms race only provoked the Kremlin, and increased tensions. This massive military funding only led Russia to assume that the United States was planning to attack, and undercut efforts of peace. Also, in order to maintain such large military growth hundreds of ...
There was general prosperity in America following the Second World War, however in the 1970s inflation rose, productivity decreased, and corporate debt increased. Individual incomes slipped as oil prices raised. Popular dissent surrounding the economic crisis helped Reagan win the 1980 election under promises to lower taxes, deregulate, and bring America out of stagnation. Many New Right supporters put their faith in him to change the system. To start his tenure, Reagan passed significant tax cuts for the rich to encourage investment. Next he passed the Economy Recovery Tax Act that cut tax rates by 25% with special provisions that favored business. Reagan’s economic measures were based on his belief in supply-side economics, which argued that tax cuts for the wealthy and for business stimulates investment, with the benefits eventually tricking down to the popular masses. His supply-side economic policies were generally consistent with the establishment’s support of free market, ...
On the negative side of the spectrum, Reaganomics initially led to a deep recession in 1981 and 1982 due to high interest rates. These high interest rates also messed with foreign affairs as they caused the value of the U.S. dollar to rise on the international exchange market, thus making American products more expensive, which in turn caused imports to increase while exports decreased. This unfavorable balance of trade is still seen today as a report from 2015 shows that the U.S. exports amounted to approximately $1.6 trillion while imports amounted to approximately $2.4 trillion. Reaganomics also resulted in an increased income gap between the rich and the poor in America, a problem that is still present today. Only the rich actually benefitted from Reagan’s economic plan as the top 1 percent of