Name Economics of History Activity cont. US History LP 9 Day 9 The rapid economic growth of th of the late-1980s spurred by Reagan's economic policies mostly benefited middle- and upper-class Americans, resulting in a rise in income disparity. From 1967 to 1986, the amount of money earned by the top 5 percent of Americans had fluctuated between 15.6 and 17.5 percent of the nation's total income. In the late 198 e 1980s, their share of the nation's income began to rise. By the mid-1990s, the top 5 percent of Americans earned well over 21 percent of the nation's income. The growth of the top 5 percent was unmatched by other groups. Only the top 20 percent of Americans saw an increase In real income between 1980 and 1992. The bottom 80 percent all saw decreases, with the biggest decline experienced by the poorest 20 percent of the nation. Applying Economics to History 1. What does the graph of household income demonstrate what took place between 1980 and 1992? 2. Do you think there is a connection between Reagan's economic policies and the changes shown in the graph? 3. Why do you think stock prices rose steadily at the same time that income disparity increased