Consequences of Reagan's Economic and Foreign Policies

Hard Period 9: 1980–present Reagan Era

During the Reagan Era, significant shifts occurred in domestic and foreign policy that shaped the course of the United States in the 1980s. President Ronald Reagan implemented economic policies characterized by tax cuts, deregulation, and increased military spending, which he claimed would lead to greater economic growth. Concurrently, this period was marked by a confrontational approach toward the Soviet Union, famously termed the ‘Reagan Doctrine.’ This doctrine supported anti-communist movements globally and signaled a shift from the policy of détente.

Which of the following statements best reflects a consequence of Reagan's economic and foreign policies?

The economic prosperity of the 1980s primarily benefitted middle-class Americans.

Reagan's policies reduced the federal deficit, leading to a balanced budget by the end of his administration.

Increased military spending contributed to a significant rise in the national debt.

The Reagan Doctrine resulted in the withdrawal of U.S. troops from international conflicts.

Hint

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