Developing companies
Recession
![Picture](/uploads/5/3/5/4/53540921/8492349.jpg?240)
The beginning of the 80’s did not give us too much hope. The first two years were spent in deep recession, more than 12 million americans were jobless. Bankruptcies 50 percents over that year and business failures reached the highest level since the depression. Farmers were hit especially hard, crop prices decreased greatly because the agriculture exports rate declined. Luckily, in 1983 America picked itself up again. From 1981 to 1989, President Ronald Reagan influenced something called, “Reaganomics,” which was really the supply-side economics. Supply- side economics was advocated reducing tax rates so people could keep more of what they earned. It was mainly invented so that because of the lower taxes, people would work harder and longer. So that this cycle would make people lean more to saving and investments, from this to get higher production rates. With this idea, it would result in economic growth.