Reagan Faces Second Phase of Presidency After Honeymoon
President Reagan returns to Washington to confront phase two of his term. He must prove his supply side plan and deep tax cuts can expand the economy despite high interest rates, budget pressures, and defense spending fights. Senate and White House battles loom over AWACS to Saudi Arabia, risking Jewish community opposition and political capital.
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GOP lawmakers urge reduction in military spending
A group of House Republicans urged President Reagan to cut defense spending a year earlier than planned, arguing a 1992 defense cut is necessary for the broader economy and taxpayer support. They pressed for about a 10 percent reduction in the proposed 1982 defense budget authority, while White House aides floated possible cuts for fiscal 1983 and 1984 as the administration weighs balance‑of‑budget moves.
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