Ronald Wilson Reagan


Ronald Wilson Reagan : biography

06 February 1911 – 05 June 2004

Investigation ascertained that John Hinkly had taken a treatment of psychic disorder and earlier had been following president Jimmy Carter. Hinkly’s criminal motive was his pathological possession of the actress Jody Foster (he was sure that if he became famous all over the country, he would be able to conquer the actress’s heart). The criminal was considered not guilty because of his mental derangement and was sent to the Saint Elizabeth hospital in Washington, where he is staying now.

On the 3d of August in 1981 a professional union of air traffic controllers declared a strike, breaking the law about prohibition of strikes of governmental professional unions. At that day Reagan summoned a press conference in the White House. He described the situation as extraordinary and announced, that if air traffic controllers didn’t return to work during 48 hours, they would be fired. In spite of warnings of several members of his cabinet about unfavourable political consequences of such step, on the 5th of August Regan fired 11 345 air controllers, who had ignored his order to return to work.

According to opinion of professor Charles Craver, a specialist of labor law from the Gearge Washington University of Law, Reagan showed Americans a new point of view and sent signals to private employers, that come out against professional unions was good.

During eight years of Reagan’s being the president, the level of inflation decreased from 12,5% (1980) to 4?5% (1988). Unemployment rate also decreased from 7,5% to 5,3%.

In his economic politics Reagan was guided by the idea of “economics of deliveries” and appealed to classical liberal philosophy and the principle leissez-faire. He tried to stimulate economics with the method of considerable and extensive lowering of taxes, and he referred to the conclusion of economic theory of Arthur Laffer. Reagan asserted, that potential increase of economics after lowering taxes compensated losses of income. Reagan’s economics became a subject of political discussions, its followers showed improvement of key economic results as a proof of success, critics appealed to increased deficit of budget and national debt. Presidential politics “Peace through fortifying” (also described as “firm, but fair”) caused the record for peaceful time increase (40%) provision of defense’ needs since 1981 till 1985.

During presidential term of Reagan rates of federal income tax considerably decreased after signing an economic act about taxes’ restoration. The Congress, on the contrary, increased several taxes in order to continue financing such programmes, as TEFRA, social security and the act about reduction of budget deficit. In spite of the fact, that TEFRA was “the biggest increase of taxes in peaceful times of American history”, Reagan was more known for the ideology of lowering and reducing taxes. Actual increase of gross domestic product considerably grew after the recession of 1982 and continued to grow during Reagan’s being the president for eight years, annual level of increase was 3,85%. Unemployment in 1982 reached 10,8% – more than in any time after the Great Depression, and then became to decrease during the rest years of his being the president. Along with inflation lowering, 18 million new work placed were made. Net lowering of governmental income during Reagan’s time of tax laws was 1% according to estimations of the Ministry of Finances. But nevertheless, the total sum, which was given from collection of federal income taxes, doubled during the period since 1981 to 1989.

While Reagan was a president, federal income increased to 8,2%, federal expense was 7,1%. Reagan’s politics presupposed that economic growth would start, when taxes decreased enough to stimulate investments, what would lead to acceleration of economic growth, bigger employment and increase of wages. There were questions, whether Regan’s politics supported the rich more than the poor, many poor people and minorities’ representatives considered Reagan as indifferent to their efforts.

In accordance to his views on the possibly little interference oа government Reagan cut ofа budgets of nonmilitary programs, while the president protected such law programs as social insurance, his administration tried to exclude many disabled people from lists of social insurance of disabled people.