Ronald Reagan was loved by many. He is considered as one of the best United States Presidents in history because of all of his achievements. One of his achievements, I believe, is a legacy. That legacy involves a committed attitude towards the people of the U.S. and involves his structure for the US economy, also known as Reaganomics. Our current president, Donald J. Trump, seems to be a bit of a Reaganomist himself with his structure for the US economy – Trumponomics. Could we be seeing a rise of Reagan’s legacy through Trump?
When I think of Reagan, 3 points pop into my head: reducing inflation, tax cuts, and increasing military spending.
Reducing inflation and increasing employment were a couple of challenges that Reagan wanted to implement during his presidency. The Federal Reserve tried to increase short-term interest rates in order to fight against the high levels of inflation. Reagan was passionate about creating job opportunities and making interest rates lower for the American people.
Reagan was quite the conservative economist. He strived for corporate tax cuts and income tax cuts because he wanted to give businesses an incentive to expand and give individuals an incentive to participate in the labor market. Have no fear, the revenue gained from the expansion of businesses accounted for any loss of government revenue.
His presidential term began soon after the Vietnam War ended and during the Cold War. A major priority was to keep the US military large and strong. He decreased domestic spending in order to raise military spending. His own military background may have been another reason why he was passionate about keeping it strong. Reagan said, “Experience has taught us that preparedness deters aggression and that weakness invites it.” The US may have not been in active war at the time, but he was prepared for the unexpected future.
Twenty-eight years after Reagan’s second term and 13 years after his passing, Donald Trump won the presidency. President Trump developed his own strategy for the US economy, otherwise known as Trumponomics. His plan includes cutting personal taxes and corporate taxes, healthcare reform, and increasing military spending.
Trump, being a scholar in economics, was probably overexcited to create the tax reform he promised during his campaign. Only after a short time in office, he created a reform for economic growth and US jobs. The reform is to lessen the tax burned on businesses, expand businesses, create more jobs, and incentivize people to fill those positions. Trump’s reform sounds similar to what Reagan pushed for in the 1980’s.
Conservatives do not want to work for other’s healthcare simply because it is not their responsibility. Trump and his administration have made efforts to get rid of Obamacare with the American Health Care Act and its second draft the Graham-Cassidy proposal. Neither were passed by the Senate, but that does not stop President Trump from finding a way to put Obamacare in the past. We want hard-working individuals to benefit from the market system to which they contribute while also providing an incentive for the non-participatory group to begin contributing. Trump’s devotion to repeal and replace Obamacare reminds me of Reagan’s dedication to lower the inflation rate during his two terms.
“We will be substantially upgrading all of our military… Offensive, defensive, everything. Bigger and better and stronger than ever before… nobody is going to mess with us,” Trump said while speaking at the Conservative Political Action Conference last spring.
Trump and his administration want to ensure that the military has all the necessary resources to keep the U.S. a safe and free nation. Even his military spending plan was at least $50 billion above what the 2011 Budget Control Act set as their ceiling. Similarly to Reagan, Trump will not allow our military to grow weak.
The hot topics between Reaganomics and Trumponomics seem to comply with one another. From a conservative perspective, I am happy with seeing the legacy of such a beloved president rise again in the strategies of our newest president.