After being faced with the necessity to address aggravating economic issues and political concerns, primarily, the looming threat of the Cold War, the U.S. government took a range of spastic steps that resulted in quite negative outcomes. A crucial observation about the specified situation was made by Ronald Reagan, who pointed out the necessity to reduce the government spending and reconfigure the approach toward managing the state budget. As a result, politics and economic initiatives launched by Reagan affected the U.S. economy positively, causing a rise in the levels of well-being on a statewide level.
Reducing the size of the government was one of the main steps on the way to implementing change. The process of decreasing the number of government members was launched by abolishing two of its cabinets, namely, the one of energy and the one of education (MacEwan and Miller 81). Although the described step was quite risky, it led to a rise in the effectiveness of budgeting and a better management of the government budget (MacEwan and Miller 83).
Un addition to shrinking its size, Reagan also increased the role that the government played in the U.S. political life by limiting the role of the government and creating opportunities for entrepreneurship (MacEwan and Miller 85). Thus, premises for positive change emerged in the U.S. economy.
Overall, the change that Reagan made to the U.S. and its policies was quite impressive. The failing economy was transformed into a semblance of working one, allowing the problems associated with employment and the management of the state budget to be resolved. In addition, Reagan changed people’s mindset by introducing them to the idea of endless opportunities and the possibility of positive change. As a result, the U.S. managed to address the economic recession that it was witnessing at the time.
Work Cited
MacEwan, Arthur, and John Miller. Economic Collapse, Economic Change: Getting to the Roots of the Crisis: Getting to the Roots of the Crisis. Routledge, 2015.