10 - Ronald Reagan’s America

Summary

The efforts of academics, conservative think tanks, and political leaders on emphasizing markets and reducing government paid off after the election of President Ronald Reagan, which resulted in a new mix of government and markets, although not to the extent that many proponents of small government favored. There have been additional legal procedures and political oversight, which has made it more difficult to regulate some markets; government services have been outsourced, and government spending on regulation and social welfare has been reduced. Bill Clinton, influenced by the anti-government mood in the county, supported deregulation of telecommunications, welfare, and banking, but Congress reversed the banking deregulation after a Wall Street collapse in 2008 and was forced to spend billions of dollars to save the economy. Despite the anti-government mood, nearly all the laws and programs established in the New Deal and Great Society eras have remained on the books and have not been repealed. Besides the bailout, there were some other significant expansions of government including most notably the Affordable Care Act, popularly known as Obama Care.