This chapter describes the impact of free market economic policies on rural development in the 1980s and 1990s. Seeking to end excessive government interference in the economy, President Ronald Reagan cut taxes, weakened civil rights enforcement, and reduced funding for social programs that served low-income Americans. Reagan believed that private enterprise and market forces were the most efficient mechanisms for creating wealth and distributing resources. Such policies failed to address the problems facing unemployed and poor people in the rural South. At the turn of the twentieth century, the region was still plagued by unemployment, poverty, inadequate health care, substandard housing, and out-migration.