America Theme 5 - Reagan Flashcards
context of reagans election
Ronald Reagan won the presidency in 1980 at a time when many Americans felt a deep discontent over the state of America’s economy, society, and politics.
Economy, which had enjoyed its greatest and longest period of sustained prosperity, began to decline from 1972. -Real wages stopped climbing, corporate profits and stock values tanked, and unemployment and inflation soared.
Vietnam War finally ended in 1975 with the defeat of the USA and South Vietnam. 15 years of conflict and more than 57,000 American lives lost for nothing.
Ronald Reagan preached a hopeful doctrine of conservative populism and introduced a period of conservative domination of American politics and society that would last for a generation.
reagan personality
Reagan was known as ‘the Great Communicator’ and always had the ability to sound sincere, making good use of his previous career as an actor. His public image of an affable fool was only an image because in reality he was an excellent speech writer, a thinker, a writer and an intelligent politician with a superb memory.
He had an instinct for mass leadership and a gift for politics. He had the personal charisma to gain widespread popular support.
Unlike Jimmy Carter, the Reagans wanted to bring glamour to the Whitehouse with Nancy Reagan wearing a $10,000 dress to the inaugural ball in 1981.
assassination attempt 10 weeks in
On March 30th 1981 (only 10 weeks into his Presidency), a mentally ill man John Hinckley Jr shot President Reagan outside the Hilton Hotel in Washington DC and seriously wounded three others to impress the actress Jodie Foster. The bullet missed Reagan’s heart by less than an inch. Following this, he gained widespread popular support for his bravery winning an approval rating of 73%.
reagans childhood and education (not verey important)
Ronald Wilson Reagan was born on February 6, 1911
resided in an apartment that lacked indoor plumbing and running water and was located along the small town’s main street
During Reagan’s early childhood, his family lived in a series of Illinois towns as his father switched sales jobs, then settled in Dixon, Illinois, in 1920.
where he played football, ran track, captained the swim team, served as student council president and acted in school productions. After graduating in 1932, he found work as a radio sports announcer in Iowa.
reagans moveis and marraiges
warner brothers - The studio signed him to a contract, and that same year he made his film debut in “Love is on the Air,” playing a radio news reporter. Over the next three decades, he appeared in more than 50 movies.
In 1940, Reagan married actress Jane Wyman, with whom he had daughter Maureen and an adopted son, Michael. The couple divorced in 1948. In 1952, he married actress Nancy Davis. The pair had two children, Patricia and Ronald.
From 1947 to 1952, and from 1959 to 1960, he served as president of the Screen Actors Guild (SAG), during which time he testified in front of the House Un-American Activities Committee (HUAC).
From 1954 to 1962, he hosted the weekly television drama series “The General Electric Theater.”
governor of california
In his younger years, Ronald Reagan was a member of the Democratic Party and campaigned for Democratic candidates; however, his views grew more conservative over time, and in the early 1960s he officially became a Republican.
In 1964, Reagan stepped into the national political spotlight when he gave a well-received televised speech for Republican presidential candidate Barry Goldwater (1909-1998), a prominent conservative.
in 1968 reagan first ran for governor, he won by almost 1 million votes. re-elected for second term in 1970
reagan was successful in his bid for republican presidential leadership in 1980.
reagans domestic agenda
, President Ronald Reagan implemented policies to reduce the federal government’s reach into the daily lives and pocketbooks of Americans, including tax cuts intended to spur growth (known as Reaganomics).
advocated for increases in military spending, reductions in certain social programs and measures to deregulate business.
By 1983, the nation’s economy had started to recover and enter a period of prosperity that would extend through the rest of Reagan’s presidency.
critics maintained that his policies led to budget deficits and a more significant national debt; some also held that his economic programs favored the rich
reagan and foreign affairs
Ronald Reagan’s first term in office was marked by a massive buildup of U.S. weapons and troops, as well as an escalation of the Cold War (1946-1991) with the Soviet Union, which the president dubbed “the evil empire.”
In 1983, Reagan announced the Strategic Defense Initiative (SDI), a plan to develop space-based weapons to protect America from attacks by Soviet nuclear missiles
Reagan ordered U.S. forces to lead an invasion of Grenada, an island in the Caribbean, after Marxist rebels overthrew the government
Reagan administration had to deal with an ongoing contentious relationship between the United States and Libyan leader Muammar al-Gaddafi (1942-).
During his second term, Reagan forged a diplomatic relationship with the reform-minded Mikhail Gorbachev (1931-), who became leader of the Soviet Union in 1985
1984 re-electio0n
In November 1984, Ronald Reagan was reelected in a landslide, defeating Walter Mondale
Reagan, who announced it was “morning again in America,” carried 49 out of 50 states in the election and received 525 out of 538 electoral votes, the largest number ever won by an American presidential candidate.
reagan and aids
when aids was discovered and the cause and spread highlighted, The Reagan administration responded with massive budget cuts to public-health agencies, including the Centers for Disease Control.
The president of the United States did not so much as publicly utter the name of the disease until September 1985. Even then, it was only because a reporter brought it up at a news conference. Not until the spring of 1987 did Reagan give a major speech about AIDS.
By that time, the disease had already struck 36,058 Americans, of whom 20,849 had died.
The Reagan administration’s unwillingness to recognize and confront the AIDS epidemic has gone down in history as one of the deepest and most enduring scars on its legacy.
reagan was very homophobic, nancy was a lot more tolerant with gay people in her close circle.
reagan and the republican tradition
the reduction of big government was a stripping away of the interventions made by successive liberal governments since roosevelt. it was a return to laissez faire
they were both hard line and anti union. in august 1981, 13k air traffic controllers went on strike. reagan said their strike was illegal and threatened to fire the strikers if they did not return to work within 48 hours. they didnt, he sacked them all and banned them from working for government again.
both allowed for the creation of big business corporations which could monopolise areas of the industry.
both created economies where wealth was concentrated at the top
both encouraged financial speculation which led to stock market crashes.
4 parts of Reaganomics
Cut federal deficit - Cut public spending. The budget deficit aimed to reduce the federal deficit from 22% of the GNP in 1981 to 19% in 1986
Tax cuts - encourage companies to hire workers and encourage workers to spend money and boost the economy. Economic recovery tax act 1981
Deregulation and reduction in big government - removing federal government control in industry, state and local government, encourage businesses to grow = more employment = more competition
Control of money supply - keep inflation no down while expanding the economy.
Laffer curve and republican attitudes
Bush and his boys called it voodoo economics and disregarded it
On the other hand, Reagan and his supporters argued that economic problems were caused by government intrusion and excessive taxes
Getting economic legislation passed 1981
Republican majority in senate and alimony a republican majority in House of Representatives.
White house only had to win support of 26 democrats to pass legislation.
Omnibus reconciliation act of 1981 was passed in August. Budget cuts of $35B were introduced.
Economic recovery tax act 1981 was also passed in August.
The act cut personal income tax by 23% over three years.
Executive order 12296
Executive order setting up the presidents economic policy advisory board.
It set up the EAB with economic experts from outside government advising directly to the president
Executive order 12310
Set up presidents commission on housing
Set up to investigate all aspects of housing including how it should be financed but mainly to find ways of saving money on federal low cost housing schemes.
Omnibus budget reconciliation act
August 1981
Proposed a variety of tax cuts that will take $35Bn out of federal spending, the initial bill presented by the White House had proposed $45Bn worth of cuts.
Tax equity and financial responsibility act
September 1982
Tightened tax rules, expecially for businesses.
Reversed some of the 81 tax concessions to businesses
Increased tax on cigarettes, airlines and telephone service.
Reduced number of tax brackets.
Results of economic reform 1981-82
In 1982 the government deficit nearly doubled to over $110.6 billion and total national debt was above $1T.
USA suffered severe Recession
Unemployment rates went from 7.1% in 1980 to 9.6% in 1983.
Inflation which had been 11.3% in 1979 rose to 13.5% in 1980 but fell in 1982 to 6.2%.
Tax reform act 1986
Lowered top tax rate from 50% to 28% and raised the bottom tax rate from 11% to 15%. An additional 6 million of the poorest Americans now did not have to pay any tax.
Job increase from 83-89
18m new jobs. But many part time, low paid, low skilled jobs such as Walmart.
Consolidated omnibus budget reconciliation act COBRA
1986
Large cuts of $35B in domestic, welfare programmes and increased defence spending significantly. Reagan hoped to cut federal spending in over 300 programmes.
More results of reforms (more niche)
Child poverty increased to levels exceeding those in the 60’s
Tax burden shifted, the poorest 1/5 of Americans say their tax burden increase by more than 16%.
Failed to cut public spending as much as he hoped because the largest chunk of the federal budget was for social security and Medicare.
National debt tripled reaching a staggering 2.7T
Budget deficit 59B in 1980 to 208B in 1983.
Stock market crash 1987
How was big government reduced in the short term
Reagan saw deregulation as a key tool in reducing big government.
In 1982 he claimed he was already winning. He said this because:
Cut federal regulations almost in half removing 23k pages from federal register
Helped bring down cost of petrol and heating fuel by deregulation.
Created a federal strike force to combat government fraud and waste that had saved 2Billion in 6 months.
Replaced federal agencies with private sector ones and federal employees with volunteers.
Deregulation of energy
In Jan 1981, Reagan removed federal regulations almost on price of domestic oil and gas using executive order 12287 leading to a rise in prices.
Environmental deregulation
Undid regulations that protected land, opened federal land to coal and timber companies, stopped creation of any new wilderness areas and made 1 million acres of offshore clans available to oil companies for drilling.
Reagan thought trees caused pollution
Relaxed the enforcement of the clean air act and cut funding of the environmental protection agency by 27%.
Defence spending In the reduction of big government
Defence is not a budget item declared Reagan
Convinced congress to increase military expenditure by 13% in 1982.
Innovation of things such as the stealth bomber
1983 SDI Star Wars.
The savings and loan collapse
The Garn-St German depository institutions act of 1982 deregulated S&L’s and allowed adjustable rate mortgages.
This was to allow S&P to grow out of their problems and allow them to engage in risky investments.
Meant could raise interest rates. Good for consumers. Bad for small businesses.
32% collapsed as a result. Further 296 had to be closed.
Federal government was forced to pass the competitive equality in banking act in 1987 costing 132Bn to cover money lost by closed S&L.
The effect of policies on trade
Reagan believed in free trade largely negative impact on America.
Textile industry badly affected. 80-85 abkut 250 textile plants closed and over 300k workers lost jobs.
Opened USA up to more imports.
Japanese cars flooded markets following oil crisis 70’s as they needed less fuel.
Conclusion on Reagan reduction of big government
Not reduced as much as he hoped.
Confess agreed to deregulate oil prices, but blocked plans to remove regulations on environmental issues such as pollution and working conditions at nuclear power stations.
State and local governments were unwilling to take over areas of government and projects under federal control
Didn’t introduce many new regulations. Congress persuaded Reagan to pass food security act December 85. Gave federal help to farmers who were struggling with falling prices and falling value of farmland
Key deregulations
Jan 81 - deregulation of oil and fuel prices.
Jan 81 - executive order to stop wage and price regulation
July 81 - deregulation on control of fuel prices.
August 88 - foreign trade and competitiveness act allowed president more rights in making trade treaties to benefit the USA.
Welfare cuts
81-96 situation of poorest American families worsened.
Made it clear he saw a difference between deserving poor and welfare scroungers.
Told story of Chicago welfare queen - welfare Fraudstar who made P.
Omnibus budget and reconciliation act cut 35 billion in welfare programmes for the poorest.
Also cut 1b to families with dependent children programme leaving 400k no longer able to claim.
Food stamps cut 13%
Child nutrition programmes 28%
Medicaid 5%.
What did the family support act 1988 do
required at least one parent to be working to receive family benefit
Social housing cuts
In 1970, 2.4 million low income homes were available.
Reagan halved the budget for building low cost homes so by 85 there was 3.7 million families needing low income homes, but none were available in 78.
By 88, spending was just 9.2 Biolion. Led to homelessnesss
Homelessness
Late 80’s, 600k people sleeping rough, 1.2m year.
Many Vietnam veterans.
Said on good morning America in 1984 that people are homeless by choice.
1987 forced by congress fo increase federal funding for homeless from 300m in 84 to 1.6B in 88 because of public discontent.
1987 McKinney act
Set up federal emergency mangement agency.
Matched state grants to loc homeless project half and half, the state had to choose the project and put the funding in place before the federal money was given.
The impact on living for families (social change)
Working families not on welfare, or only entitled to some allowances because of their earnings did benefit from lower taxes.
However, they were hit even harder by the changes to the family credit regulations
Also hit by rising interest rates that pushed up housing costs, mortgage costs and rent.
Between 80-87, the average mortgage debt increased by 30% and rate of foreclosure quadrupled.
Impact on workers (social change)
DeRegulations negatively effected people
Had to work longer hours and so had less leisure time
1973, 26 leisure time. 87, 16.
Became harder for working mothers who may need time off
Mothers generally only held low level jobs
A decline in workers rights was seen with the decline in unions caused by deregulation.
A two tier wage structure emerged.
New workers joining businesses could be offered a lower salary.
Boeing paid new workers 40% less than those already working for the company.
Workplace benefits
Some increase In The SOL for skilled workers, particularly because of the development of info technology with number of personal computers in workplace riding from 1.2m in 81 to 20.3 in 88.
6m jobs created in professional managerial and technical sectors between 80-88.
Number of shopping malls increased from 22k to 36k.
20% more holidays took place by 88
Impact on farming
Badly affected by high interest rates and federal non intervention.
70’s USA had to supply wheat to the USSR and encouraged farmers to expand and grow more wheat.
Those farmers hurt when USA stoped export following soviet invasion of Afghanistan.
Things worsened in 80’s, bad drought in 83 didn’t help.
Changing production in the US
During 80’s, shift in what USA produced.
Industries such as cars and textiles were doing badly against foreign imports and exports dropped.
New industries were doing wel. Increased defence spending created jobs.
Computer industry did well
The impact of social change on minorities
Administration unwilling to extend civil rights legislation.
Did little to support minority rights.
Initially opposed the plan to make Martin Luther kings birthday a public holiday. He only agreed in 83 because there was widespread support in congress for the plan.
Throughout his time, predominately black communities of many inner cities endured serious economic disinvestment resulting in crumbling housing and facilities, high unemployment, and epidemics of crime and drugs.
Examples of improvements for black Americans
Black civil rights campaigner Jesse Jackson stood as democrat candidate for 84 presidential election. Came third for democrat nomination.
1990 census 9m/31m black Americans lived in households classed middle class by income
Increase in black appointments in professions such as medicine and the law. Number of college and uni professors more than doubled 70-90.
Number of black Americans in armed forces reached 20% of the overall force.
Impact on women social change
47% voted Reagan 80 fears rights taken away.
Appointed Sandra day to SC, women’s rights floundered under him.
Did not support equal rights act and spoke out against abortion.
By end of first term 84, social programmes had seen their budgets cut on average by 25%.
Reagan only appointed 3 women to his cabinet over 8 years.
