Asked by Jamison Eddleman on May 09, 2024
Verified
In the 1980s,tax rates were cut,government revenues fell below expectations,and there was a then-historic peacetime deficit.
Peacetime Deficit
A government budget deficit that occurs during periods without active warfare, indicating expenditures exceed revenues.
- Understand the effects of U.S interest rates and public debt on the economy and the federal budget.
Verified Answer
ME
Mandy EstradaMay 12, 2024
Final Answer :
True
Explanation :
This statement is true. During the 1980s, President Reagan implemented tax cuts, but government revenues did not increase as much as expected and the deficit grew.
Learning Objectives
- Understand the effects of U.S interest rates and public debt on the economy and the federal budget.
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