After World War II, is the period of unprecedented prosperity in the United States. The economy remained stable until the 1970s, when the United States faced stagnation inflation. Richard Nixon took the United States out of the Bretton Woods system, and the Government of trying to revive the economy has weakened. The next decade, the situation become worse. In November 1980, Robert g. Anderson wrote "wither bells for economic revolution of Keynes eventually." Ronald Reagan was elected President in 1980, he said that the "government is not the solution to our problem, government is the problem." (the Government is not the solution to our problems, etc.) Reagan advocated supply-side economics program ' (lower tax rates to encourage investment and production), and in 1981 the Congress has cut taxes and spending. Not as lucky as expected, the spending cuts facing more difficult for tax cuts, led to the significant increase of the public debt. Although the General domestic product (GDP) decreased by about 2% in 1982, but it has started to recover, back in 1988 had reached 31% total growth since Reagan was elected. But economic policy is also not a clear fit with any particular doctrine. The large deficit budgets occurred in the Reagan era.
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