1. The new Republican majority is made up of three factions. The first, the old line Republicans, are driven by a desire to maintain the status quo and to resist change. Old line Republicans tend to favor a strong military, although, typically, they are in favor of a minimalist government. The second faction, on the other hand, the fiscal conservatives, look more towards fiscal issues than social or global. This faction also tends to favor a smaller, decentralized government, preferring privatization of programs to federalization. The main issue that concerns fiscal conservatives is taxes. This group supports a balanced government in which federal spending stays in line with tax revenue. They believe that the economy will function at its best if governmental interference, regulations etc., is kept to a minimum. Using supply side economics, they reason that a decreased tax burden on the rich, allows the rich to reinvest their money in businesses and in the market, which allows American businesses to grow, which allows businesses to hire more employees.
This theory is also known as the trickle down theory. Neo-conservatives, the third faction of the new Republican majority, are driven by deep-seated religious beliefs. They tend to see the world as more black and white, rather than gray, devoid of moral ambiguity, either right or wrong. They tend to feel most strongly about social issues, most notably abortion, they are against it, and gay marriage, they are against this as well. The ranks of the party swelled as people grew frustrated with the moral deviance of the 1960's and 70's. Ballooning tax rates and federal spending drew many people to the Republican party, as the Republicans favored a less imposing federal government.