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Shift To Neoliberalism

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A Shift to Neoliberalism
In the final four decades of the twentieth century, America in national politics and economics underwent a stupendous shift in national politics and economics. Culturally, the countercultural lifestyle and radical politics frequently embraced the offspring of the WWII generation who initiated a new cultural and ethnic pluralism that fought against social injustices. Economically, it shifted from an expansive welfare state to a neoliberal state when government encouraged private investments. The state-centric system dominantly supervised the regulation of the U.S. economy, but the rise of neoliberalism in the seventies and eighties enhanced the role of private sector that widened the income gap between different social …show more content…

When America was an expansive welfare state, the increasing of income level allowed many families entered the middle class. Then the widespread of economic security empowered people to concern about social problems. Social activists advocated movements such as the black movement, the student movement, the anti-Vietnam War movement, the women’s movement, and the gay rights movement which served important purposes of defining American freedom, but the processes were long and difficult. For example, black women suffered racism and sexism, “We struggle together with Black men against racism, while we also struggle with Black men about sexism” (Combahee River Collective Statement, 2). They significantly represented many activists because they had both race and gender struggles. Since they were in an awkward position between two groups, it further oppressed them from obtaining social equality. Hence, they formed their own organization – the black feminism, which lately contributed the establishment of Equal Rights Amendment. The establishment of such laws dramatically consolidated the prospective of American’s lives when they reclaimed social equality for minor Americans. These movements helped the growth in conservative popularity and allowed …show more content…

When stagflation hit hard on American economy, neoliberalism dominated the policymaking in America which eliminated many welfare programs that benefited the vast Americans. As Carter took office in 1977, he inherited an economy that was emerging from recession, yet his promotion on raising interest rate and balancing national budget didn’t stop the stagflation. In fact, both inflation and unemployment were considerably worse than at the time of his inauguration, thence Reagan condemned “In this present crisis, government is not the solution to our problem; government is the problem” (Voices of Freedom, 322). This statement emphasized Carter was incompetent president because he stimulated the further cutback of welfare programs that led to social panic. Although Reagan believed the elimination of welfare program was mandatory to defeat inflations, the inflation was already causing companies’ financial deficits to the layoff of workers. As a result, neoliberal policies, which indirectly disabled the welfare state, made citizens to disappoint about government because stagflation frightened many

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