How Reagan Sold The United States Piece By Piece

One thing that the libertarians are extremely good at is channeling the anger at Democrats for the Republican misdeeds. The methodology is rather simple and this is how it works.

  1. Take any action where the government made a big boo-boo!
  2. Keep talking about the mistake and how that mistake would not have happened if there was no government.
  3. The job is almost done when (2) is established since it is well known that every Libertine and a large section of Republicans are against government interference.
  4. Convert people’s mistrust of government into support for Republicans.

Take the recent racist super bowl ad; this advertisement is an excellent example of Republicans selling their country and blaming it on Democrats. No one denies that there is some truth behind the accusations; Americans jobs are getting outsourced, it is not a fair competition, and some countries are getting richer at America’s expense. The question is why blame it on Democrats?  After all, was it not Ronald Reagan who started the process of selling this country?

It was Reagan who echoed Ayn Rand‘s philosophy that one who is poor is also lazy and one who is lazy is poor as well. Unemployment rates reached double digits during his presidency. The gap between rich and poor increased under his watch and it was his policies that essentially led to the stock market crash of 1987. While rightly complaining that excessive government interference leads to misallocation of resources, Reaganomics conveniently forgets that excessive reliance on private markets leads to misallocation in the form of large-scale speculation. Speculations and get rich quick schemes become the way of life — exactly how the excesses of Wall Street we see today began under Reagan.

It is not a coincidence that China’s progress started during Reagan presidency. It was Reagan who started the process of deregulation that ultimately resulted in American jobs being outsourced all over the world and, a by the end of his era, there was a large increase in crappy jobs for Americans.

It’s not only China; when I look back on my child hood in India, I remember wealth flowing into the country at a rapid pace after 1980. From more than a dozen people living in three rooms, my extended family went to an apartment per family member within 20 years. Imagine this, and we are not even rich, we are still middle class. This growth was certainly not reciprocated in United States?

Here is the most annoying fact: it was Reagan who legitimized deficit spending. It is under Reagan’s watch that the US deficit ballooned from $997 billion to $2.85 trillion dollars — more than all prior presidents combined. It is preposterous to ignore the origins of the issue and blame the sorry state of affairs on Democrats.

The next time Republicans talk about deficits and outsourced jobs, ask them to look at the Reagan era and, hopefully, the sensible ones will realize the folly of their actions.



20 comments on “How Reagan Sold The United States Piece By Piece

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  8. You’ve got at least one key piece of information backwards. It wasn’t deregulation that drove the trend in offshoring. That “ultimate result” took place under Clinton, after he had variously enacted or expanded various pieces of regulation and their associated agencies: NAFTA, OSHA, FMLA. It was after this that the tech offshoring phenomenon began. (And the unskilled outsourcing phenomenon is of course decades older than Reagan’s term. You’re simply blaming the wrong person. Deliberately, I suspect.)

    The fact of the matter is that regulation, much like high taxes, provides an incentive for corporations to hire overseas. This is quite simply because regulation increases the difficulty and expense of employing people. The converse is also true: deregulation eases these burdens, removing the incentive to hire offshore.

    So no, deregulation does not cause offshoring. Regulation does.

    But I’ll entertain any reasonable, detailed argument you can lay out to the contrary.


    • Yes, and here is where republicans idiocracy starts to baffle me… Clinton indeed signed much of it into law, but reagan and bush sr where the developers of all that crap you mentioned. its similar to balming obamas high unemployment numbers and defecit on bushs economy and trend of increased spending.

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  18. Chris Watts on said:

    Reagan started the process of deregulation ? Are you kidding us ?

    Carter deregulated the airline industry and the trucking industry, the greatest blow to the union movement ever in the United States,.

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