Reaganomics refers to the economic policies and ideas of President Ronald Reagan. This plan revolved around the "trickle down theory." This theory states that providing tax cuts to wealthy individuals and corporations would result in these citizens investing more in their businesses/economy. If corporations had more money to invest, it would increase the amount of workers they could hire and would allow them to pay their employees more. Ultimately, the goal of this plan was to shrink the size of the government and lower taxes.
Congress agreed with Reagan on some of these elements, and ultimately approved multiple federal budgets that reduced taxes rates for wealthy Americans and businesses within the US.
