This enacted tax cuts that benefited upper-income taxpayers and large corporations. He also made cuts in spending for job training, college loans, food and medical programs, payments for those with disabilities, child daycare centers, and centers for the elderly. Reagan relaxed environmental and safety standards and helped struggling savings and loan institution. He also believed that labor unions interfered with economic efficiency. When 11,800 members of the Professional Air Traffic Controllers went on strike in August 1981 wanting higher pay and a shorter workweek. Reagan just dismissed all 11,800 strikers. All of Reagan's actions fueled a 5-year stock market increase. During his run, he had very high military bills and was forced to borrow money from different countries, especially Japan. The huge deficit kept interest rates very high which made the value of the U.S. dollar soar. But a large devaluation of the dollar in 1986 failed to overcome the huge trade deficit. This caused a panic on Wall St. as the stock market fell as it had in 1929. After this Congress stopped approving increases in the military budget.
Reagan had a powerful impact on civil liberties and rights. The Justice Department cut back its efforts in enforcing job discrimination and fair housing laws. After a public alarm about drug use he suggested that all employers test their workers for drug use and they fire them if caught more than once. He also pushed for a law to be passed