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How did the federal deficit grow to almost $3 trillion under Reagan?

User Bobsilon
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2 Answers

4 votes

Answer:

a combination of increased defense spending and decreased tax revenue

Step-by-step explanation:

Reagan cut taxes, so the federal government was making less money, but sharply increased defense spending to fight communism around the world. The savings from cutting other federal spending were not enough to pay for the higher defense spending, and the federal deficit skyrocketed.

User Vibin TV
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During Reagan's presidency, federal spending grew, because the government spent too much money, especially on increased military spending. They also continued to cut taxes

Hope that helps!
-Chris
User Lloyd Armstrong
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