Final answer:
President Reagan ended the revenue-sharing program in 1986 due to significant budgetary pressures stemming from his tax cuts and increased defense spending, alongside his belief that block grants would be more efficient for state administration.
Step-by-step explanation:
President Ronald Reagan ended the general revenue-sharing program in 1986 due to a complex mix of policy decisions and economic realities. The president initiated significant tax cuts that reduced federal revenue by hundreds of billions of dollars, leading to budget deficits that necessitated finding ways to offset the loss of income. In line with his federalist philosophy that states could more effectively manage resources, Reagan also believed that block grants would be a better way to support states instead of categorical grants. However, these tax cuts, along with large increases in defense spending and maintenance of entitlement programs, substantially increased the federal deficit. Consequently, to reduce the federal budget deficit and curtail federal expenditures, he terminated the general revenue-sharing program.