Abstract
President Ronald Reagan introduced a major new domestic initiative during his first term. The intent was to reduce the size and scope of the federal government and to increase the fiscal responsibility of local governments. Mail questionnaires were sent to mayors, city managers, and finance officers in cities over 25, 000 population in Illinois, Indiana, Michigan, and Wisconsin asking the respondents to indicate their perception of the impact the Reagan program had had on their cities in the previous year and their perception of its anticipated impact. Response rates were nearly 50 percent for each survey. The respondents consistently overestimated the impact the Reagan program would have on their cities. The following analysis explores the relationship between perceived effects and city and respondent characteristics, such as size, partisan identification, and state. While the Reagan policies have had a substantial impact on these cities, the impact is not as negative as the respondents originally thought.
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