How Successful Were P.Reagan And Bush Senior In Dealing With The USA’s Economic Problems? Flashcards
What period marked the Republican dominance of the federal government in the USA?
1981 to 1992
This period included three successive presidential elections won by Republicans.
Who were the two Republican Presidents during the period of dominance from 1981 to 1992?
Ronald Reagan and George H.W. Bush
Reagan’s policies and leadership significantly influenced this era.
What social movement gained influence in the USA during the 1980s?
The Religious Right
They opposed the liberalization of society that occurred in the 1960s and 1970s.
What was the economic condition in the USA before Reagan took office?
High unemployment and double-digit inflation
Unemployment averaged 6.2% in the 1970s compared to 4.1% in the 1960s.
What was Reagan’s economic plan called?
Program for Economic Recovery
This plan aimed to address the economic issues inherited from the previous decade.
Fill in the blank: The Equal Rights Amendment failed to become part of the US Constitution in _______.
1982
This was a significant event in the fight for women’s rights.
What was the federal budget deficit in 1986?
$221 billion
This figure reflects the financial challenges during Reagan’s presidency.
What was one of the major cultural shifts in the 1980s regarding youth?
A period of cultural challenge
The decade saw clashes between conservative and liberal values.
How did the status of ethnic minorities and women change in the 1980s?
It improved
Although progress was made, challenges remained.
What event in 1992 marked the end of Republican dominance in the USA?
The election of Bill Clinton
Clinton’s victory represented a significant political shift.
True or False: The 1980s were solely characterized by conservatism.
False
Popular culture continued to reflect liberal views, which conflicted with conservative ideologies.
What was the average unemployment rate in the 1970s?
6.2 percent
This was a significant increase compared to the previous decade.
Fill in the blank: Reagan’s economic policies focused on reducing _______.
federal spending
This approach aimed to stimulate economic growth.
What healthcare program was associated with the 1980s?
Medicare
Medicare was a key component of healthcare policy during this period.
What significant budgetary challenge did the federal government face in the 1980s?
Rising federal budget deficits
These deficits were a result of Reagan’s economic policies.
What campaign did Nancy Reagan launch during the 1980s?
Just Say No campaign
This campaign aimed to combat drug use among youth.
What economic policy did Reagan abandon upon taking office?
Reagan abandoned demand-side economics in favor of supply-side economics.
What was the main goal of Reagan’s supply-side economics?
The main goal was to encourage economic growth by cutting federal spending and lowering taxes.
What significant legislation did Congress pass in Reagan’s first year?
Congress passed the Omnibus Reconciliation Act and the Economic Recovery Tax Act.
What was the impact of the Omnibus Reconciliation Act?
It cut government spending on over 300 programs, resulting in a reduction of $963 billion from 1981 to 1987.
How much did the Economic Recovery Tax Act reduce personal income tax?
It reduced personal income tax by 25 percent.
What was the growth rate of Real GNP between 1981 and 1984?
Real GNP grew by 11 percent, one of the fastest growth rates since World War II.
What were some consequences of Reagan’s economic policies for poorer Americans?
Cuts to programs like Medicare and Medicaid affected the poorer sections of US society.
What was the AFDC Program?
The AFDC Program (Aid to Families with Dependent Children) provided support to families in need.
What economic conditions did the 1970s witness?
The 1970s witnessed both rising prices (inflation) and rising unemployment.
What did Reagan aim to remove to stimulate economic growth?
Reagan aimed to remove obstacles to growth, such as trade unions and extensive government regulations.
What was the economic situation from 1981 to 1983 under Reagan?
There was an economic recession from 1981 to 1983.
What happened to the US economy for the rest of the 1980s after the recession?
The US economy experienced economic growth for the rest of the 1980s.
What was the number of families receiving help under AFDC in the USA from 1955-92?
3.7 million families were receiving help under AFDC.
How many people received food stamps during the same period?
About 20 million people received food stamps.
What was the percentage cut in AFDC and food stamp support between 1982 and 1985?
The Omnibus Reconciliation Act cut support by approximately 13 percent.
By what percentage were child nutrition programs cut?
Child nutrition programs were cut by 28 percent.
What was the increase in the percentage of people defined as ‘poor’ from 1979 to 1982?
The percentage of people defined as ‘poor’ increased from 11.7 percent in 1979 to 15 percent by 1982.
What was the budget cut for the Department of Housing and Urban Development (HUD) between 1981 and 1987?
The HUD budget was cut by 57 percent.
What was the average annual rate of decline in social spending under Reagan?
Social spending fell by an average annual rate of 1.5 percent.
What was introduced as part of the Omnibus Reconciliation Act regarding welfare?
The introduction of workfare, requiring families to do community service to receive AFDC.
By January 1987, how many states had introduced welfare programs linking payments to work?
42 out of the 50 states had introduced such welfare programs.
What did the Family Support Act of 1988 ensure?
It ensured that the approach linking welfare support to work became a permanent feature of American society.
What was a significant aspect of Reagan’s economic policies?
Large-scale economic deregulation aimed at promoting economic growth.
What happened to the workforce of the Office of Surface Mining between 1981 and 1982?
It lost around 40 percent of its workforce.
What was Reagan’s confrontation with trade unions primarily about?
The deregulation of air traffic control.
What happened to the Professional Air Traffic Controllers (PATCO) strike?
Reagan demanded they return to work or face termination, and when they did not, he sacked them all.
What was the impact of Reagan’s victory over the PATCO strike?
It emboldened large corporations to resist union demands.
What was the economic outcome of Reagan’s policies between 1981 and 1984?
The growth in the US economy increased the spending power of middle-class families.
What was the federal debt when Reagan criticized Jimmy Carter in 1980?
$73.8 billion.
By how much did the federal debt increase during Reagan’s presidency?
It rose by $321 billion to more than a trillion dollars.
What was a major cause of the budget deficit during Reagan’s presidency?
The expansion of military spending.
What was the annual defense spending at the end of Carter’s administration?
$171 billion.
What did annual defense spending rise to under Reagan?
$242 billion.
What was the federal budget deficit during Reagan’s presidency?
In every one of his budgets, Reagan had a deficit of in excess of $100 billion.
What was the national debt by 1989?
$2.7 trillion.
What was the trade deficit amount by 1986?
$170 billion.
What act did Congress pass to deal with the federal budget deficit?
The Balanced Budget and Emergency Deficit Control Act of 1985, also known as the Gramm-Rudman Act.
What was the outcome of the Gramm-Rudman Act by the time Reagan left office?
It was far from reaching its goal of eliminating the federal budget deficit.
Who benefited from Reagan’s economic policies despite their impact on the poor?
The military and corporations involved in military technology.
What was Reagan’s campaign slogan in the 1984 presidential election?
‘Morning Again in America’.
What was the margin of victory for Reagan in the 1984 presidential election?
Reagan won 54.4 million votes against 37.7 million for Mondale.
How many Electoral College votes did Reagan win in the 1984 election?
Reagan won 525 Electoral College votes compared to only 13 for Mondale.
What was a major cause of increased federal social spending during Reagan’s presidency?
Military build-up and increased spending.
Spending rose from $2 billion to $23.5 percent of the federal budget.
What significant economic change occurred by 1986 under Reagan’s policies?
The US economy transformed from a creditor to the world’s greatest debtor.
Reagan’s economic policies led to a deficit of $7 trillion by 1989.
What legislation did Reagan support to address the budget deficit?
The Balanced Budget Act of 1985.
This act aimed to reduce the budget deficit until he left office in early 1989.
Who was Reagan’s opponent in the 1984 presidential election?
Walter Mondale.
Reagan won with a significant majority, receiving 25 million votes compared to only 13 million for Mondale.
What was George Herbert Walker Bush’s relation to Reagan?
He was Reagan’s Vice President and succeeded him as president in 1988.
What notable achievement did Bush Senior accomplish regarding nuclear weapons?
He signed the Intermediate Nuclear Forces treaty with the Soviet Union in 1989.
What was Bush Senior’s most famous foreign policy success?
The formation of an international coalition that defeated Saddam Hussein’s invasion of Kuwait in 1991.
What economic challenges did Bush Senior face upon taking office?
He inherited a national debt of $827 billion and significant budget and trade deficits.
What was Bush Senior’s campaign slogan regarding taxes?
Read my lips, no new taxes.
What was the federal budget deficit by 1992?
The federal budget deficit had reached $400 billion.
Who was George W. Bush?
He was the son of George Herbert Walker Bush and served as US president from 2001 to 2009.
What was Jeb Bush’s political role?
He became governor of Florida.
What was the major crisis in the savings and loan industry during 1989?
There was a crisis in the savings and loan associations related to the housing market.
This crisis led to a federal rescue plan by Bush Senior in 1989.
What was the predicted expenditure of the federal bailout plan in 1989?
The predicted expenditure was $50 billion.
By April 1990, the federal bailout bill had increased to $325 billion.
What actions did Bush Senior take to address economic difficulties?
He implemented a combination of spending cuts and tax rises, which contradicted his election promise.
What was the federal income tax rate raised to in 1990?
The federal income tax rate was raised from 28 percent to 31 percent.
How much was military and domestic expenditure cut by?
$492 billion.
What action did the Federal Reserve Board take to stimulate economic growth?
The Federal Reserve Board lowered interest rates to 3.5 percent.
Did the interest rate change have a significant impact on the recession?
No, the rate change was not enough to counter the effects of the recession.
Who were Bush Senior’s main rivals in the 1992 presidential election?
Democrat Bill Clinton and independent candidate Ross Perot.
How many votes did Bush Senior receive in the 1992 election?
Bush Senior received 38 million votes.
How many votes did Bill Clinton receive in the 1992 election?
Bill Clinton received 44.9 million votes.
What was the outcome of the Electoral College in the 1992 election?
Clinton won 370 votes, while Bush Senior received 168 votes.
What was the result of Bush Senior’s presidency after one term?
He lost the presidency, ending 12 years of Republican dominance of federal government.
What does ‘Reaganomics’ refer to?
It refers to the changes in social and economic policy during Reagan’s first term as president.
What was emphasized in the article about Reagan’s role?
The importance of President Reagan’s personal role in engineering great change.
What significant change did the Reagan Administration make regarding defense spending?
There was a reallocation of state value and a reduction in defense spending.
