The 90's: The Good Old Days

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Oh the 90’s. Many people look back and remember with nostalgia what is referred to as “the good old days”. This decade represents the longest economic expansion in the history of the United States. It started off in a recession, and amazingly recuperated to become the safe haven for international and domestic trades. The unemployment decreased by 4% half way through the decade, inflation was kept low, interest rates decreased and real GDP grew by an average of 2.5%. Through the project we can see that these successes did not come easily, and somethings didn’t quite work as planned.
Many of the policies from the 80’s had a lot to do with the successes and failures of the decade. President Reagan signed the Tax Reform Act of 1986 and raised taxes for the lower salaried members of society with the hopes that corporations would hire more employees. It actually worked, unemployment decreased and innovation was roaring. At the start of the 1990’s things were a little, rocky, the Gulf war combined with the Omnibus Reconciliation Act of 1990 signed by President Bush sent the nation into recession. The Act forced the government …show more content…

This can be greatly attributed to the Fed’s monetary policies, which focused on raising interest rates at the first sign of increased inflation. The dollar experienced an increase in value which in terms enabled an increase of import expenditures. Although the American products were more expensive during that timeframe, exports also increased due to the fact that the advancements in technology originating from the U.S. with computers and communication devices had never been seen before. We also researched some policies that were signed during the decade actually affected the economy in the long run like it was the case with the

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