“
When I first started looking into this depressing state of affairs, I figured America’s efforts to reduce poverty had stalled because we had stopped trying to solve the problem. I bought into the idea, popular among progressives, that the election of President Ronald Reagan (as well as Prime Minister Margaret Thatcher in the United Kingdom) marked the ascendancy of market fundamentalism, or “neoliberalism,” a time when governments cut aid to the poor, lowered taxes, and slashed regulations. If American poverty persisted, I thought, it was because we had reduced our spending on the poor. But I came to realize that the reality was far messier. President Reagan expanded corporate power, massively cut taxes on the rich, and rolled back spending on some antipoverty initiatives, especially in housing. But he was unable to make large-scale, long-term cuts to many of the programs that make up the American welfare state. When the president proposed reducing Social Security benefits in 1981, Congress rebuffed him.[7] Throughout Reagan’s eight years in office, antipoverty spending did not shrink. It grew and continued to grow after he left office. In fact, it grew significantly. Spending on the nation’s thirteen largest means-tested programs—aid reserved for Americans who fall below a certain income level—went from $1,015 a person the year Ronald Reagan was elected president to $3,419 a person one year into Donald Trump’s administration.[8] That’s a 237 percent increase.
”
”