Answer: The Economic disorder: the annual rate of inflation had reached 13 percent and unemployment hovered at 7.5 percent.
Explanation:
By reducing taxes and easing government regulation of business, free-market capitalism would spur economic growth that would produce more government revenues, which in turn would help reduce the budget deficit. Reagan signed an act called the Economic Recovery Tax Act to reduce personal income taxes by 25%, reduced rates to 50% in 1982 and added a collection of different tax permissions.
