Reagan came to power in 1981 and declared war on excessive government. He promptly increased the number of federal workers about 20 fold, and ran up (then) record budget deficits. Under his watch, America witnessed the creation of a "permanent underclass."
(Sociology professors in the mid 1970's urged their students to go out in the streets and study the homeless- it was thought that in a few short years, there wouldn't be any homeless people in America. Hardly anyone imagined we would be so reactionary so soon).