Final answer:
The Reagan administration sought to reduce government spending, particularly by cutting social programs, though Social Security and Medicare were mostly exempt from these cuts. Direct information on increases to the specified social programs isn't provided in the references, making it difficult to confirm which specific program experienced funding increases.
Step-by-step explanation:
Reagan's vow to reduce government spending was especially noted for its impact on social programs. Despite this commitment, the Reagan administration did make some increases in social program spending, particularly when it came to concessions involving Social Security due to a bipartisan compromise that resulted in a significant injection of funds. However, a straightforward answer to which program saw an increase in spending isn't provided directly in the reference material, so it can't be definitively stated which one of the presented options (Medicaid, Department of Veterans Affairs, rent subsidies, or Aid to Families with Dependent Children) benefited from increased spending.
In the realm of social programs, the administration focused on safeguarding Social Security and Medicare entitlements, largely leaving them untouched except for a payroll tax increase intended to provide funding. Interestingly, the number of federal employees rose during Reagan's time in office, and a new cabinet-level agency, the Department of Veterans Affairs, was created, seemingly contradicting the president's goal of reducing the size of the federal government.