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What were the major causes for the decline of the U.S. economy during the 1970s?

User Mrfour
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Reagan shaped the nation's agenda a lot during his presidency, but it eventually led a decline in the economy. First, Reagan persuaded Congress to reduce the top tax rate and index tax brackets to take inflation into account. Reagan's economic growth program, "supply side economics" relied on heavy interest rates to curb inflation and lower taxes. This would stimulate private investment and encourage people to work harder. Through what was dubbed "Reagonomics," employers shifted production overseas and took advantage of new techonologies to become more profitable. Reagan's policies resulted in considerable rise in economic inequality. The riches 1% of Americans benefited from economic expansion, while the poorer families suffered.
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