Modern America: Conservatism and the future
BellringerWhat was the Bay of Pigs invasion?What does
Containment refer to?USAs attempts under Kennedy to get rid of the
communist government in Cuba under Fidel CastroAttempts by the US
to stop the spread of Communism during the Cold War
(1945-1991)BellringerWhat was the theory behind Reaganomics? During
the Gilded Age what was the economic policy followed by the
government? What was the problem with it? If businesses get tax
cuts, they will use those savings to hire new employees, thereby
jump starting the American economyLaissez Faire. Businesses took
advantage of American workers, leading to long hours, low wages and
dangerous working conditionsModern America:Conservatism and the
future
ReviewRonald Reagan, a former actor, ran a campaign based on New
Beginnings. The idea was that America would get a new beginning out
of the chaos of Nixon, Ford and Carter. took office after Jimmy
Carter and during the Iran Hostage Crisis. On his inauguration day
Iran let the hostages go free.
Ronald ReaganReagan argued for conservation in government and
the economy, and wanted to reduce big government. Reagan argued
that inflation was caused by the big government. Reagan declared:
In the present crisis, government is not the solution to our
problem; government is the problem.ConservationTo save, in this
case, to reduce government spending and influences
New FederalismReagan followed the lead of his Eisenhower and
Nixon and pushed for New Federalism, a policy where funding for
some social welfare programs would be turned over to the states. In
this way, the governments costs and influence would be reduced.
Balanced BudgetReagan tried to balance the Federal budget by
cutting social welfare programs and even making cuts to the EPA
(Environmental Protection Agency). However, despite these efforts,
the Federal Deficit continued to grow.
Supply Side Reaganomics To improve the economy, Reagan believed
that giving tax cuts to businesses and the rich would be best. The
businesses would then re-invest that money into the company and
hire more workers, which would increase the amount of goods and
services. He argued these tax cuts would not raise the national
debt.
Critics say that the tax cuts are invested by the business to
make more money, but not for hiring more workers.
Star WarsReagan supported cuts in all parts of the budget except
the military. Instead, Reagan pushed for more spending to develop
and build missiles, ships and bombers. Billions also went into
building the Strategic Defense Initiative (SDI). This massive
satellite shield was meant to intercept and destroy incoming Soviet
missiles.
Farming bailoutIn the 1980s, farmers experienced an economic
crisis similar to the Great Depression. Worldwide recession made it
impossible to sell surplus foods, and many farmers were then unable
to pay back loans. To fix the crisis the government paid farmers to
NOT plant millions of acres. The hope was that by reducing supply
the prices would rise, but that didnt happen. Instead, the Federal
Deficit rose. Immigration 1986To reduce the number of undocumented
workers living in the US, Congress passed the Immigration Reform
and Control Act in 1986. This law did not solve the problem of the
thousands of illegal immigrants who enter the US every year and
work in sweatshops factories, live in substandard housing and are
paid low wages.
Reagans Foreign PolicyReagan adopted a tough stance against the
Evil Empire (Soviet Union) and its crack down of Polish Solidarity,
an independent labor party. The Soviet Union imposed martial law to
end the Solidarity movement, and the US responded with economic
sanctions (punishments).
Central AmericaThe unstable economies throughout Latin America
were susceptible to communist influences according to Reagan. To
prevent the spread of Communism in Latin America, Reagan asked
Congress for money to help prevent communism. He also approved
limited military interventions:
El Salvador: military advisers sent to back anti-communist
forces during their civil war. Nicaragua: 1979 Marxist (father of
communism) guerrillas known as Sandinistas overthrew the
anticommunist dictator Somoza. The Sandinistas had accepted aid
from both Cuba and the Soviet Union, so the CIA gave aid to the
rebel Contras. When Congress found out they cancelled all aid
NicaraguaGrenada: to prevent a communist takeover in 1983, Reagan
authorized a short lived US invasion which prevented the communist
takeover.
Does this author think Americas role in Central America was wise
and just? How do you know (JUSTIFY)?Reagan and BushDuring
reelection, Reagan chose a new VP, George Bush. Together they
defeated the democratic nominee Walter Mondale. Reagan became the
first president since Eisenhower to serve 2 full terms in
office.
The Great CommunicatorAs his second term began, Reagan earned
the nickname Great Communicator because of his charm and persuasive
talents. Reagan convinced the American people that it was best if
the government further cut spending in all areas except social
security and military defense. He also cut taxes for 60% of
Americans, but many accused Reagan of favoring the rich. By the
time Reagan left office, the wealth of America was more unevenly
distributed than at any time since the end of WWII.
$150 Billion Trade Deficit Furthering the economic problem was
the fact that the American Trade deficit at the beginning of
Reagans second term had reached $150 Billion. Trade deficit means
the US was buying (importing) $150 billion worth of goods more than
it was selling (exporting). Trade was especially unequal with the
Japanese, who supplied America with most of its technology
goods.
Iran Contra AffairIn 1986 Americans learned that the American
government had sold weapons to the Iranians to help free American
hostages in the Middle East. However, the CIA then took the profits
from the sales to help fund the Contras of Nicaragua. This action
was in direct violation of Congress and the American mandate to
never negotiate with terrorists. Investigations cleared the
president of wrong doing.
Dtente ResumesDuring Reagans second term the Soviet Union
changed leadership. Mikhail Gorbachev became the Soviet leader in
1985 and began instituting reforms. Gorbachev pushed for a renewal
of Dtente and also created the new policies of Glasnost and
Perestroika:
Glasnost: greater openness including political freedom in the
Soviet Union and Eastern Europe.
Perestroika: some free enterprise in the USSR to improve
economy.
Arms reductionGorbachevs reforms brought about talks with the US
and an agreement to eliminate short-range and medium-range land
based missiles. The reduction began in 1987.
The end of the Cold WarThe Cold War lasted from 1945 (end of
WWII) until 1991, when the Soviet Union officially collapsed.
Causes-anticommunist movements gained force in satellite nations
throughout Eastern Europe-Gorbachev encouraged more open
policies
Results-free elections in Poland and Czechoslovakia-Berlin wall
fell and East and West Germany are reunited-Soviet Union satellite
buffer states broke free
Continuing issuesThough Reagan tried to deal with all sorts of
foreign affairs, there were some that he failed to solve and that
are still affecting America today. Terrorism: Terrorists continue
to attack Americans and make threats against America. In 1985 an
American was killed by Palestinians aboard a cruise ship and in
1988 a Pan Am Jet was bombed over Scotland. Today ISIS and other
groups threaten American securityDrug Trade First lady Nancy Reagan
launched the antidrug campaign Just Say No!, but drugs continue to
grow. Recently heroin and Meth use have been surging in
AmericaEnding Apartheid many Americans pushed America to use
sanctions to stop South Africas racial apartheid system. In 1986
Congress over rode President Reagans veto to pass harsh economic
sanctions on South Africa until Apartheid ended.
Reagan YearsReagan was an incredibly popular two term president
who cut taxes, increased defense spending, negotiated a nuclear
arms reduction agreement with the Soviets and helped end the Cold
war. Reagan developed and pushed a trickle-down budget plan.
Despite many attempts to reduce the budget it failed and both the
federal an trade deficits increased under Reagan.
10:14ReviewThe trickle Down economic theory of President Herbert
Hoover, and the supple side economic policies under President
Ronald Reagan were based on the idea thatBalanced budgets are
essential to economic successThe federal government needs to assume
more responsibility for solving economic problemsEconomic growth
depends on making increased amounts of capital available to
businessesEconomic stability is the responsibility of federal
monetary agenciesReviewAccording to the supply-side economics
principles promoted by President Ronald Reagan, economic growth
would occur when1. corporate business taxes were reduced2. Business
was regulated by antitrust legislation3. Unemployment benefits were
increased. 4. Investment in capital goods was decreasedReviewA
primary reason for the increase in federal debt between 1980 and
1996 was The cost of sending US troops to BosniaInstability of the
stock marketLower sales tax revenues collected by state
governmentsHigh levels of spending by the federal governmentReviewA
major goal of the Republic party since the 1980s and President
Reagan has been toIncrease welfare benefitsIncrease the size of the
federal workforceReduce defense spendingCut federal
taxesReviewPresident Ronald Reagans supply side economic policy was
successful in1. Increasing government spending on social
programsLowering tax rates on personal and business incomeReducing
defense spendingEnforcing stricter environmental regulations
