R
rdean
Guest
Folks make it sound like the only thing of economic consequence that occurred in the 80's was the Reagan tax cuts, and that all economic results can be explained by the tax cuts. That is wrong.
Oil prices fell from $35 a barrel down to 10, giving a big boost to the economy, probably bigger than the tax cuts. The reduction in energy prices was a function of increased exploration caused by the higher price (initially) and reduced demand caused by the mandatory fuel efficiency standards for the auto makers.
In 1981, IBM rolled out the first business personal computer, which unleashed a wave of productivity by putting spreadsheet, database and word processing technology in the hands of everyone. Rooms filled with 40 draftsmen were replaced with 4 drafters with AutoCAD.
Whatever happened in the 80's, it was a function of many big factors in addition to the tax policy.
Reagan did quadruple the US deficit during his 8 years, taking total US debt up from 700 billion to 2.8 trillion by the time he left office.
Don't let facts get in the way of the Republican solution for everything - tax cuts.