Agreement Among Allies

The President and G.O.P. lawmakers trim the untrimmable

The task was not easy. But with a slash here and a snip there, negotiators from Capitol Hill worked out with the White House a compromise budget plan that would eventually cut projected deficits by more than half. President Reagan agreed to scale back on two sacred programs: defense and Social Security. Yet there was one catch amid the hype about what Donald Regan, the White House chief of staff, hailed as "the most ambitious budget-reduction plan in postwar history." The celebrated agreement was not with the Democratic House, which will have to approve it. It was with leaders of Reagan's...

Want the full story?

Subscribe Now

Subscribe
Subscribe

Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on TIME.com

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!