American Institute of Certified Planners (AICP) Practice Exam

What was a key characteristic of the "Reagan Revolution" that began in 1980 in the context of federal planning?

1. Increased spending on federal programs

2. Privatization and deregulation

3. National land-use legislation

4. Expansion of categorical grants

The correct answer is: Privatization and deregulation

The key characteristic of the "Reagan Revolution" in the context of federal planning was the emphasis on privatization and deregulation. This revolution marked a significant shift in U.S. policy, prioritizing free-market principles and reducing the role of the federal government in economic and social matters. The approach was rooted in the belief that private entities could more efficiently manage resources and services than public ones. Under this philosophy, there was a push to minimize federal oversight and interference in various sectors, which included deregulating industries like telecommunications, transportation, and energy. This deregulation aimed to encourage competition, innovation, and economic growth while reducing government spending. Additionally, the shift towards privatization involved transferring public services to private firms, instilling a greater role for market mechanisms in service delivery and infrastructure development. In contrast, the other options reflect approaches or policies that were either contrary to the principles of the Reagan Revolution or were less pronounced during that period. Increased spending on federal programs contradicts the reduction of federal intervention that characterized this era. National land-use legislation was not central to the Reagan administration's initiatives, as it often favored states' rights and local control over federal mandates. Lastly, the expansion of categorical grants would imply an increase in federal involvement in state and local governance