REAGAN PRESIDENCY all flashcards
Which pr -Rea gan events led
to people looking back at the 70s as a bad time?
backlash against liberalism of 60s and 70s helped reagan to power
public believed there was too much federal expenditure and involvement
Loss in Vietnam, Watergate scandal and inability to fix economy and the ongoing fuel shortages.
how were reagans presidency and the republican gov of the 1920’s similar
-reduction of big government theory was a return to ‘laissez faire’ (stripping of gov interventions)
-they were both hardline anti-union (union membership fell under both governments)
-both allowed for creaton of big businesses that could monopolise areas of industry
-both believed in significant tax reductions
-new industry flourished
-wealth concentrated at the top in both economies
-believed in ‘rugged individualism’, an economy where the poor who ‘werent lazy’ could flourish
who did reagan appeal to
-voters who resented high taxes, affirmative action programmes, rising crime and challenges to traditional values
who was Reagan
-controversial polarising figure in politics
-presented himself as a committed christian
-liberals very critical of Reagan whilst conservatives revere him as a hero
-his presidentcy was significant and influential
-had careers in 3 forms of media-radio, movies and television
Reagan major dates
1980- elected as president
1981- inaugurated as president
March 1981- survived assassination attempt
Aug 1981- major economic reform bills passed and signed into law
Jan 1982- Social security reform act signed
dec 1985- congress mandated cuts to balance the budget by 1991
Nov 1986- iran contra contraversy uncovered
feb 1987-tower commission criticises reagans management
oct 1987- Bork rejected for Supreme Court
what did reagan do to reduce big government 3 days after his inauguration
-sacked many white house staff members and put a federal government hiring freeze in place
-cut federal gov travel expenses by 15%
-used a series of executive orders to set up ‘advisory groups’ reporting directly to him on how to cut down big government
what happened under Reaganomics
what was the theory of supply side economics
-argues that if taxes are cut then people would have more money to invest in the economy
-called supply side economics because the gov cared less about the demand of the public and instead focused on caring about businesses
-believes that if tax for corporations was reduced they would have more money left from their profits to invest in their businesses meaning that companies would expand and employ more people (higher wages)
-with more employmentt and higher wages people can use money to spend in the economy by buying property and products
-this would then help companies have more money
what theory did Reagan use to control government spending, reduce gov involvement and cut taxes
‘supply-side’ economics
what was the criticism of supply-side economics
-corporations and shareholders tend to keep more profits than its worth, they can reinvest into their business and wider economy
-creates wealth divide between the rich and poor
-less taxes= less gov spending on welfare programs for the poorest
what wasthe reaganomics plan for economic growth and its 4 parts
-reagan’s program for economic recovery (his economic strategy)
-the plan had 4 parts and stressed the importance of fast legislation:
cutting federal spending
tax cuts
deregulation
control the money supply (keep inflation down)
why was deregulation in the reaganomics four point plan
the deregulation of federal and state requirenents would allow for businesses to flourish, and their increased profit would mean more tax revenue for the government (which would pay off the deficit)
why did reagan introduced reaganomics
-reagan blamed Keynesian economics for the state of the US and wanted a more conservative approach
-wanted incentives for people to work harder
what actually happened under regonomics
-tax cuts
-deregualation
-limited government spending
-increased spending
-federal reserve controlled inflation by contollong the money supply
-mid decade boom helped re elected reagan in 1984
-huge trade deficeit with cheap imports and expensive export
when was reagan reelected
1984
what was the laffer curve
-at the sweet point in this laffer curve the cutting of taxes and getting rid of regulations/bureaucracy led to companies using extra income to invest, innovate and expand
-this would lead to more money and less taxes =increased sales and profits
-neo liberals believe cutting regulations on businesses and slashing corporate taxes would make companies more competitive and therefore able to make more profits
what did reagan want to achieve economically speaking
-tax cuts to revive the economy
-wanted to cut 40 billion from the proposed budget
-deregulation=increased profits=government would get more tax
-wanted his whole economic plan to be passed through as a singular peice of legislation alongside a new tax reform bill
what was the omnibus budget reconciliation act (ORA) and when was it
-1981
-reagans first proposed budget
-white house initially wanted 45 billion worth of cuts on federal spending
-following negotiations managed to cut 35 billion (across 212 federal programmes)
What was the tax bill which Reagan passed in 1981 and what did it do?
-ECONOMIC RECOVERY TAX ACT 1981
the ERTA bill in august 1981 ushered huge tax cuts for the american people, totalling cuts of around 23% over the next 3 years
Linked tax bands to inflation
highest income tax rate fell from 70 to 50 percent and the lowest fell from 14 to 11 percent
business tax rates cut and various business tax breaks were offered
reagan’s tax cuts successes
SUCCESSES
-the ERA bill in august 1981 ushered huge tax cuts for the american people, totalling cuts of around 23% over the next 3 years
-second major peice of legislation, the 1986 tax reform act: closed loopholes and made the federal tax system a lot easier for americans
-reduced the number of different tax brackets from fourteen to just three
-also further decreased the top rate of tax from 50 to 28 percent
-exempted 6 million of poorest americas from paying any federal tax at all
what did the 1986 tax reform act do
-closed loopholes and made the federal tax system a lot easier for americans
-reduced the number of different tax brackets from fourteen to just three
-also further decreased the top rate of tax from 50 to 28 percent
-exempted 6 million of poorest
americas from paying any federal tax at all
what did regan reduce the number of tax brackets to and how did he decrease the top rate of tax in 1986
-reduced the number of different tax brackets from fourteen to just three
also further decreased the top rate of tax from 50 to 28 percent
how many poor americans did reagan exempt from paying any tax in 1986
-exempted 6 million of poorest americas from paying any federal tax at all
what were reagan’s tax cuts failures
-after a brief recession in 1981/82 reagan had to make some money for the gov…. ended in him reversing some of the tax cuts for businesses and increased taxes on ciggarettes and airline tickets
-reagans administration put a 25% tarrif on imported goods and a 3% tarriff on imported cars
less federal government expenditure successes
-1981 ERTA bill saw 35 billion worth of cuts across 212 government departments
-under Reagan government spending on human resources dropped from 28 percent of the federal busdget in 1980 to 22 percent by 1987
less federal government expenditure failures
-federal expidenture increased from $699.1 bn in 1980 to $859.6bn in 1987
-defence spending almost doubled from $157.5bn in 1981 to $303.6bn in 1986
-national debt tripled under Reagan to 2.6 trillion
-paying interest on this debt was the govs third highest expidenture
-congress protected popular domestic programs such as Social Security and medicare/medicaid, and funding these programmes increased in 1980
what were the spending cuts of the 1981 erta bill
35 billion worth of cuts across 212 government departments
how much did federal expenditure increasease during reagan’s presidency
-federal expidenture increased from $699.1 bn in 1980 to $859.6bn in 1987
what happened to defence spending under Reagan
-defence spending almost doubled from $157.5bn in 1981 to $303.6bn in 1986
what happened to national debt under Reagan
-national debt tripled under Reagan to 2.6 trillion
-paying interest on this debt was the govs third highest expidenture
which programmes did government spending actually increase on
-congress protected popular domestic programs such as Social Security and medicare/medicaid, and funding these programmes increased in 1980
what were the successes of deregulation
-average of 29% cuts in government regulatory agencies, with a huge 38% from the consumer product safety commission
-reagan used his powers of appointment to ensure that cabinet members of key agencies (e.g occupational health and safety administration) would make decisions in favour of businesses rather than workers
failures of deregulation
-deregulation in the finance sector caused companies to make more risky decisions and investments
-this led to a fairly substantial crash in 1987, although this was soon dealt with and recovery was very quick (as the gov knew how much caution damaged the economy during 1929 wall street crash)
-due to deregulation there was a collapse of savings and loans companies in the 1980s
-reagan gov had to bail them out with 132 billion
how many cuts were there of government regulatory agencies
average of 29% cuts in government regulatory agencies, with a huge 38% from the consumer product safety commission
what led to the crash in 1987
deregulation in the finance sector caused companies to make more risky decisions and investments
-this led to a fairly substantial crash in 1987, although this was soon dealt with and recovery was very quick (as the gov knew how much caution damaged the economy during 1929 wall street crash)
why was there a collapse in savings and loans companies
due to deregulation there was a collapse of savings and loans companies in the 1980s (more competitive and had to start making more risky decisions)
-reagan gov had to bail them out with 132 billion
improving the economy successes
inflation fell from 13.5% in 1980 to 4,7% in 1988
-unemployment fell from 7% in 1980 to 5.2% in 1988
-18 million new jobs created in america by 1988
-after the brief recession of 1981-1982 the USA went through its longest period of economic growth during its peacetime
-GNP rose from 3.925 trillion in 1981 to 5.866 by 1989
improving the economy failures
-trade deficit rose under reagan from 38 billion per year in 1982 to around 150 billion per year by the end of the decade
-average family income fell during reagans administration down to 1973 levels
-only half of american families maintained their standard of living during the 1980s
-number of part time and temporary work increased (wages. not as high or secure as other jobs)- reason.
what happened to inflation under Reagan
inflation fell from 13.5% in 1980 to 4,7% in 1988
what happened to unemployment under Reagan and how many new jobs were created
unemployment fell from 7% in 1980 to 5.2% in 1988
-18 million new jobs created in america by 1988
what happened after the 1981-82 recession
-after the brief recession of 1981-1982 the USA went through its longest period of economic growth during its peacetime
What happend during the brief recession from 1981-82
-unemployment rates went from 7.1% in 1980 to a high of 9.6% in 1913
-however inflation did begin to fall (in 1980 it was 13.5% and in 1982 it went down to 6.2%)
How did productivity change in
the first term of Reagan?
It went into the negatives (both labour output and GNP) in 1982, before booming in 1983/84 and remaining more steady but strong after.
inflation by 1996
had never reached double figures since 1980
what happened to GNP under Reagan
what happened to GNP under Reagan
A
-GNP rose from 3.925 trillion in 1981 to 5.866 by 1989
What happened to family income under regan
average family income fell during reagans administration down to 1973 levels
-only half of american families maintained their standard of living during the 1980s
what happened to trade deficeit under regan
-trade deficit rose under reagan from 38 billion per year in 1982 to around 150 billion per year by the end of the decade BAD
timeline of reagan’s economic policies
1981- passed executive order setting up advisory boards on economic policy advising directly to him (from outside the government)
-1981- executive order setting up the president’s commission on housing
(set up to investigate all aspects of housing, including how it should be financed, but mainly how to find ways of saving money on low cost housing schemes)
-1981 ERTA (cuts marginal income tax by 23%)
-1981 Omnibus budget Reconciliation act (35 billion from gov spending)
-1982 Tax equity and financial responsibility act (TEFRA) makes changes to budget in response to the economic situation, temporarily raised taxes on ciggarrettes and telephone service and tightens up tax rules
-1986 COBRA (consolidated omnibus budget reconciliation act) revises budget in minor ways to save fed gove money e.g shifted responsibility for many healthcare payments from federal gov onto the employer
-1986 tax reform act- reduces number of tax brackets , closes tax evasion loopholes
what executive order set up the presidents commission on housing and what did it do
-1981- executive order setting up the president’s commission on housing
(set up to investigate all aspects of housing, including how it should be financed, but mainly how to find ways of saving money on low cost housing schemes)
when and what was TEFRA
-1982 Tax equity and financial responsibility act (TEFRA) makes changes to budget in response to the economic situation, temporarily raised taxes on ciggarrettes and telephone service and tightens up tax rules
when and what was COBRA
-1986 COBRA (consolidated omnibus budget reconciliation act) revises budget in minor ways to save fed gove money e.g shifted responsibility for many healthcare payments from federal gov onto the employer
how many individuals were millionaires in assets in 1988
approximately 1.3 individuals
(in 1980 it was 574,000)
how many billionaires were there in 1988
went from a handful in 1981 to 52 in 1989
what happened to reagan’s economic policies after Reagan
GEORGE BUSH
george H.W bush promised to continue reagan’s policies
-however long term effects and limitations became clear making these policies less popular
-democrats were back in control of both houses in congress which made life harder for his administration
-bush had to raise taxes despite promising in his campaign that would be sonethung he would never do
BILL CLINTON
- elected in 1992
-clinton didnt swing back to old democratic policies (as most voters supported low tax)
-his campaign was economy focused `(low inflation, high employment, reduced defeciet etc)
-however he did increase welfare and medical care, devietatingaway from Reagan
What were reagan’s aims in reducing big government
-wanted to shrink the size and scope of the government
-thought the american dream was that people should get on and improve their own lives and that the government wasn’t responsible for that (coined this ‘new federalism)
-wanted america to focus on individual liberty and entreprenureship
-thought cutting back gov would help Us finances alongside his tax cuts
what did reagan say in his inaugural adress in 1981
‘Government is not the solution to the problem, government is the problem’
background context of increasing gov before Reagan was inaugurated
-there was increasing government intervention and involvement from 1900
most important increases of intervention up to 1980 (more in note:
-during ww1 wilson managed to pass measures to coordinate war effort (however laissez faire gov after wilson reduced government intervention in response)
-FDR’s new deal increased size and scope of gov through alphabet agencies
-after ww2 increasing gov intervention (even when eisenhower, a republican was elected, he saw it as politically suiciudal to cut back the sie of the government- he raised the minimum wage and expanded social security)
-under LBJ’s great society a whole raft of federal gov depertments were made due to his declaration of war on poverty
how did reagan use a series of executive orders when he was inaugarated
used a series of executive orders to set up new advisory groups, reporting directly to him on how to cut down ‘big government
what was deregulation
removing federal control in industry, state and local government
what did deregulation in the finance sector do
increased competiion led to problems as financial organisations took increasingly dangerous risks to win more customers
what did reagan see as the key tool in reducing big government
deregulation
why was reagan successful in reducing big government
wasnt the first republican who wanted to cut down big government but…
-he was a much better communicator than republican who had come before him (charisma and charm made people trust him)
-the economic stagnantion that had occured before 1980, and the gov’s inability to deal with it effectively had led to people losing faith in the government
-the cost of gov departments and programmes were becoming increasingly higher (american’s thought their taxes were being misused)
what did reagan say he had done to reduce big government by 1982
-cut federal regulations by almost half (by removing 23,000 pages from the federal register, which origionally had 82,000 pages)
-helped helped bring down the cost of petrol and fuel by deregulation
-created a federal strike force to combat gov fraud and waste (that had saved 2 billion)
-replaced federal agencies with private ones and federal employees with volunteers
who began deregulation before Reagan
Carter- had deregulated airlines, drafted bills on deregulating trucking, railways and some areas of finance like banks
BUT ALSO INTRODUCED MORE REGULATIONS on environment and working conditions
what did reagan successfully do to reduce big government from 1980-89)
New Federalism: Reagan’s policy aimed to transfer power and responsibilities from the federal government to state and local governments, reducing federal oversight in areas like education and healthcare
Reduction in Welfare Programs: Reagan sought to reduce the scope of welfare programs, promoting a shift towards state-level responsibility and reducing federal spending on social services.
Deregulation: He reduced government regulations in industries like energy, transportation, and banking, arguing that fewer regulations would promote business and economic freedom.
Tax Cuts: Reagan implemented significant tax cuts (Economic Recovery Tax Act, 1981) to reduce government intervention in the economy, aiming to stimulate growth.
Budget Cuts: He implemented spending cuts in federal programs (except defense) to reduce the overall size of government, although some cuts were blocked by Congress.
3 examples that suggest reagan was successful in cutting big governmen
reduced federal programmes (reduced the department of education staff by 25 percent)
-decreased the department of education grants by 63%
-cut benefits under the ADFC (aid for families with dependent children)
what happened to civilian employment as a result of deregulation
-rose overall by 3%
why did Reagan appoint James G. Watt, and what did james G.watt do
-appointed to make cuts on federal gov
-James saw regulations to protect the environment as extra ciosts to businesses
-he opened federal land to exploitation by coal and timber companies and blocked any creation of new wilderness areas
(cuts on big gov had bad impact on environment)
why did environmentalists hate Reagan
-tried to veto the clean water act
-said trees cause pollution
-didn’t see protecting the enivironment as a big issue
-blocked creation of new wilderness areas
-made 1 m acres of offshore land for oil companies
-opened federal land up to exploitation by coal and timber companies
why did reagan ignore the environment
-was much more focused on the economy, reduced government spending and schemes on environment in order to improve the economy
reagans deregulattion of savings and loans businesses context
-reagan administration applied carters deregulation on banking to savings and loans companies
-meant that becuase banking restrictions were lifted, banks could offer high interest rates on savings
good for savers, bad for businesses and people with long-term loans (who couldnt switch to the emerging lower interest loans)
What Act deregulated Savings and Loans institutions?
Garn St Germain Depository Institution Act, 1982
problems with reducing big government via deregulation on Savings and loans companies
-S & L’s had to make increasingly risky investments as they were now competing with banks (lend at low rates and offer high rates of savings to savers)
-authorised a wide range of risky investments
- and gambled and stole (including the industry leaders)
-by 1988 s&l’s had lost 10 million
-needed £132 billion bailout from public funds
what did the federal government have to do in response to the collapse of s&l’s
forced to pass the competetive equality in banking act in 1987
bailout of 132 billion of public funds
what did senator Earnest Holling’s say about the economic impacts of reducion of big government
said reagan had ‘dealt Uncle Sam a crippling blow’
-said that national debt was now so big that no one would be able to start another major programme without rising taxes
impacts of reagan’s reductions on the us (overall)
overall, reagan was successful in reducing the size and scale of the US federal government, but perhaps not as much as he hoped
the cutting of gov programmes and regulations did not have a lasting impact on the Usa
what were the problems/ failures of removing controls (deregulating) to reduce big government
BIG COMPANIES VS SMALL
-big companies were very successful, but normally at the expense of smaller ones (when small companies began to fail, bigger companies would buy them up)
-this saw a rise in conglomerates (huge companies that controlled businesses in multiple fields)
UTILITY/ SERVICE COMPANIES
-many utility/service companies (water, electricity, phone, transportation etc) began to reduce services to unprofitable areas (especially rural regions-which suffered) to save money
ENVIRONMENT
-environmental issues suffered as gov and businesses took little interest in ‘green’ issues and focused on the economy
BORROWING NATION
-usa went from being the worlds ‘biggest banker’ to a borrowing nation as trade shifted against the usa and imports began to rise (created more competition and led to cheaper goods for consumers BUT also hurt american businesses who couldn’t compete with cheaper foreign products)
How did deregulation affect busi- nesses of differ- ent sizes?
-big companies were very successful, but normally at the expense of smaller ones (when small companies began to fail, bigger companies would buy them up)
-this saw a rise in conglomerates (huge companies that controlled businesses in multiple fields)
examples of successes of reagan’s reductions
FEDERAL REGISTER
-had cut the federal register by 23,000 pages (was 87,000 when reagan started in 1980)
BIG COMPANIES
-many big companies were successful (at expense of smaller ones ) rise in conglomerates
What is New Federalism?
This would produce less federal interference in state and local affairs, business (including world trade), finance and other aspects of people’s lives.
What is the negative impact of deregulation?
Less funding for state and local government projects and less regulation of business expansionism
In the first year of his presidency, Reagan created a strike force to do what?
Combat government fraud and waste, this had saved $2billion in six months.
How much money had S&Ls lost by 1988
10 billion
What is one example of a Conglomerate?
General Electric
What did Bush sign in order to save many banks following Reagan’s deregulation?
Financial Institutions Reform, Recovery and Enforcement Act (1989)
cost 150 billion
Which American industry was hit particularly hard by the new foreign competition following deregulation (that could have been saved by gov intervention)?
American textile industry
250 textile plants were forced to close and over 300,000 workers lost their jobs
What was the re sult of a weak-
ening dollar and no government investment on trade?
USA went from the world’s banker to borrower, with imports rising as they were cheaper than the many closing domestic industries (i.e. textiles) and US companies being bought by foreign investors.
Which nation made advances into the American car and technology industries as a result of deregulation?
Japan
How did Reagan respond to bills passed in Congress to introduce regulations to help the failing textiles industry?
Used the Presidential veto
What is an example of deregulation not benefitting American consumers?
De-regulation of the aviation industry, as prices rose, destinations fell and flights were less frequent
Why did Reagan not reduce medicare?
They benefitted key voting groups such as the elderly and veterans
longevity od reduction of big gov and deregulation (after Reagan)
BUSH
-by the time bush came into power people were less keen on deregulation
-people saw the negative effects of lifting regulation
most significant deregulaton dates
1981- deregulation of controls on feul price
1982- deregulates bus services 1982
1982- Garn st germain depository institution act
1984- shipping act loosens regulations on us and foreign shipping
what was the Food Security Act of 1985
Food Security Act of 1985, forced on him by Congress to federally aid farmers
how did reagan catagorise the poor
-scrougers (lazy benefit cheats)
-the deserving poor (those who are tryingband need help)
what did his OBRA finance cuts target the most
mainy federal spending on projects for the poorest
why did reagan rise to the top on the basis of the new religious right
-reagans surge to the top was on the back of the NEW RIGHT, he was incredibly popular with conservative christians (religious rights)
-he stated he was a ‘born again christain’ (somneone who has a new surge of religious devout faith)
-reagan sold himself as a champion on the nuclear family who had strict and traditional family values (despite the fact he was americas first preident to be divorced, was a hollywood playboy, and had bad relationship with 2 of his children)
what were the conservative social policies reagan promoted as role model for the Religious Right
-banning abortion
-restoring prayer in schools
-allowing the teaching of ‘creationism’
what were the issues reagan wanted to tackle that were hurting ‘family values’
-rising divorce rates
-teenage pregnancies
-homosexuality
-working women
(conservatives believed that these issues were ruining the american idea of the traditional nuclear family)
what did reagan do to ‘tackle’ abortion
-persuaded congress to ban Medicaid-funded abortions
-created ‘chastity centres’ that discouraged sex all together
-BOWEN VS KENDRICK (1988) supreme court denied federal funding to pro choice clinics. this supported a government move to blovk federally funded pregnancy clinics from even discussing abortion with patients
-failed to overturn Roe Vs Wade or pass a constitutional agreement to ban abortion
what did reagan do/ didnt do during aids outbreak
Some people accused him of ignoring the AIDS epidemic until the death of his friend, Rock Hudson who died of AIDS. However, others point out that he addressed meetings on the epidemic, and that the administration provided funding for AIDS research from 1982. What is clear though is that Reagan’s supporters and the Republican party opposed gay rights.
what did reagan do to ‘tackle’ homosexuality
-did very little during the AIDS outbreak as conservatives believed it was linked to immoral behaviour
-by 1990 100,000 people had died from aids (it managed to spread and infect blood banks)
-BOWERS VS HARDWICK (1986) the supreme court supported a george state law that criminalised ‘sodomy’
-another 24 states, plus washington dc had laws against deviant behaviour
-BUT some liberal states like Massachusetts passed laws that banned homophobic discrimination
HOW MANY PEOPLE DIED DURING AIDS OUTBREAK
-did very little during the AIDS outbreak until his friend, actor rock Hudson, died( as conservatives believed it was linked to immoral behaviour)
-by 1990 100,000 people had died from aids (it managed to spread and infect blood banks)
what was reagans impact of womens rights
-oppossed the equal rights ammendment- which was never passed through congress
-socially conservative womens groups grew drastically (beverly La Haye’s Concerned Women For America had 500,000 members, more than NOW)
-HOWEVER: appointed the first female supreme court justices (Sandra Day o’Connor who was pro choice)
-under regan more women entered the workforce than ever before and there was a slight shift in the gender pay gap
How did Reagan help and not help women?
Reagan did appoint a women, Sandra Day, to the SCOTUS. He also would not be persuaded to introduce anti-abortion legislation. However, Reagan did not support the Equal Rights Act and still was publicly anti-abortion. Showing the presidents lukewarm stance on women’s rights.
WHO WAS A WOMAN HE APPOINTED TO SUPREME COURT
appointed the first female supreme court justices (Sandra Day o’Connor who was pro choice)
how many states ran work programmes by 1987
42
what did they want to change welfare to
‘welfare’ to ‘workfare’ by reqiring at least one working parent before it paid out family benefits
why did workfare fail to help poor families
much of the work provided paid below minimum wage and sometimes less than benefit making families struggle
-despite to gov promise of childcare, single parents found childcare hard ro find making working impossible
how many families were looking for a low income home in 1985? what did reagans administeation do that meant families could not find one?
-by 1970 there were almost 2.4 million low income homes available to families that applied for them
-by 1885 there were 3.7 million families who qualified for a low income home but there were no houses available bc reagan slashed fedweal funding for low cost homes (led to huge increase in homelessness)
how did funding for homelessness change
-the federal government spent 32 billion on low cost housing products previously
-by 1988 it was spending just 9.2 billion
how did federal funding for the homeless change
in 1984 federal funding for the homeless was 300 million, by 1988 it was 1.6 billion
what was the McKinney act and what did it do to try tackles homelessness
-1987
-set up the federal emergency management agency
-FEMA matched state grants to local homelessness projects hall and half the state had to choose the project
-set up a federal housing project for transitional hosuing with an emphasis on the elderly, disabled, native americans, veterans, families with children
-gave emergency medical care to homeless and provided homeless children with education, and job training that favoured homeless veterans
How did Congress tackle
homelessness?
In 1987, Congress pushed through a bill giving some federal help to projects for the homeless. In 1984, federal funding available to the homeless was $300 million; in 1988, it was $16 billion. FEMA was also set up in the 1987 McKinney Act, helpful for less fortunate.
How did Reagan affect the hous- ing market?
Rising interest rates pushed up housing, mortgage and rent costs. Between 1980 and 1987, the average mortgage debt increased by 30% and the rate of foreclosure quadrupled.
How did Reagan change leisure
time?
Workers found themselves stretched in other ways, by the removal of many federal regulations on working conditions. Many had to work longer hours and had LESS leisure time. In 1973, workers had on average, 26 hours of leisure time; by 1987, it was 16 hours. Worse still, people fought in overtime in competitive markets.
How did wages change for new employees under Reagan?
It had become harder to juggle leisure and work time. Thus many were persuaded to move sideways and down into part-time or temporary contract work. Only paid for the hours they worked.
reagans homeless welfare measures
1982 JOB TRAINING PARTNERSHIP ACT
1987 MCKINNEY VENTO HOMELESS ASSISTANCE ACT
-sets up federal emergency management food and shelter program to be run by FEMA
1988 FAMILY SUPPORT ACT
-family only eligible for benefits if at least one parent is working 16 hours a week
How did Reagan change part-time jobs?
A two-tier wage structure emerged in many businesses. Established workers kept the wage rates and benefits negotiated when they took the job. While workers just joining a business could be offered a lower salary, on a take-it-or-leave-it basis. This affected the youth and even experienced workers too.
How did Reagan fail to support
blacks?
The desire to cut back on federal involvement meant that the administration was unwilling to extend civil rights legislation or push for affirmative action. For example, in his first six months of the presidency, the Civil Rights division of the Justice Department filed five racial discrimination lawsuits VS Nixon where they had filed 24
What was the mentality of
blacks under Rea- gan?
Hard-working, well-educated, middle class, conformist black Americans could get ahead as they helped fill minority quotas for cynical businesses. However, unedu- cated, young, poor black men often went under. Even successful black people felt under pressure of being in the minority - of being held back, and being merely a ‘quota’ hire. Black people felt increasingly less part of the political environment. The civil rights movements was scattered and the conservative backlash was heavy. This environment had led young black Americans increasingly to angry, violent and defeatist rap music as their anthem.
How did Reagan fail to support
Hispanics and in- ner city minori- ties?
in 1982, The Crisis, magazine of the NAACP, pointed out that Reagan’s inaction had harmed all minority groups. Pointing to his abandonment of busing students into various schools as something particularly harmful to blacks and Hispanics. Because it virtually guaranteed that children in the poorest areas would have to attend schools in these areas, creating segregated schooling. Also withdrawal of 40% of funding for bilingual education.
how many of reagans judical appointments were from ethnic minority groups
only 7 out of the 368 federal judges he appointed were black (15 were hispanic and 2 were asian)
Why did the farming industry struggle under Reagan?
CONTEXT
-In the 1970s the USA had supplied wheat to the USSR and encouraged farmers to expand (often with bigger and bigger loans) and grow wheat
-when USSR invaded afghanistan in 1979 USA stopped exporting wheat in protest
UNDER REAGAN
-many small ler farms failed and where bought out by agri-busineses or even companies who didnt farm at all
-in 1980 17n percent of farers were getting 60 percent of the subsidy fund
-the national save the family farm coalition was set up in 1986 by farmers themselves
-they used tactics such as traffic slowing tractorcades in cities
where was hit particularly hard for farmers
-Iowa
-in 1983 there were about 500 farms sold a month
-farmers committing suicide at 4x the rate of any other workers
-farmers also shot lenders who called in loans
How did the public’s attitude change to farm- ing under Rea- gan?
Farmers were under immense pressure, committing suicide at four times the rate of any other worker. In 1984, two Hollywood movies about the farm crisis was made, Country, and The River. It sparked widespread support for farmers. Stars of the films testified to Congress about what they had seen while researching. While advice hotlines were set up to help farmers understand financial issues. In September 1985, a Farm Aid concert was held to raise money. It raised millions.
Why was a lack of tariffs an issue for industry?
Older industries such as the car and textile industry would face much competition from foreign imports and the value of exports dropped with the change in the value of the dollar. Towns and cities such as Detroit, which had a rich car industry, were badly hit by this decline.
Which business- es grew under
Reagan?
The defence industry was aided by increased federal defence spending. New technologies such as the computer would boost its industry too. The industries that had done well created more employment. People were now eager to move to areas of the country where these industries were located, resulting in a population shift from the North and East to the South and West, especially coastal areas.
What was the rate of unemploy- ment in Califor- nia and the states on the East coast, compared to the rest of the coun- try in 1987?
5.6% in California and the states on the East coast, compared to 7.8% in the rest of the country.
what was the bi-coastal boom under Reagan
industry located in coastal states
caused a migration from north and east areas to south and west
life improved- made people vote for Reagan
unemployment 5.6% in California and the states on the East coast, compared to 7.8% in the rest of the country.
coastal areas had 75 percent of all new businesses and 60 percent of new jobs
Where were the success areas un- der Reagan?
Reagan was charismatic, and had media and popular support. Many had thought he bought in a new era, willing to trust both the president and the government again. There was little doubt that Reagan had revitalised the presidency. Reagan was also massively successful in terms of foreign affairs.
Where were the failure areas un- der Reagan?
In the long term, the extent to which the presidency and politics were actually revitalised would have to be looked at again. Successors like Bush and Clinton were not able to replicate his success despite following similar policies. Reagan was also unsuccessful with Congress and passing his own legislation.
How did Reagan change people’s overall view of the President as a place of hope?
Before Reagan many Americans lost trust with their government, feeling helpless. However after Reagan trust was restored and the image of the Presidency restored
What was the fail- ure of Reagan for himself?
initial success with Congress was not repeated. Some of the legislation he wanted to introduce, was blocked. i.e. Laws to cut back on busing children from poorer areas to integrated schools. Also the introduction of daily prayers in schools was advised against so was not even brought in as a bill.
How did Rea- gan’s legisla-
tive involvement change?
He would not be as involved in legislation with little Congressional support. Much of his bills were either blocked or simply advised against as they would never
be passed. Reagan would adopt a pragmatic and flexible approach over policy creation.
How did pres- idential action
in the legislative change after Rea- gan?
Bush would be less pragmatic and flexible. He was also a poor communicator and less able to charm the public or Congress, or present a clear vision of policies. Bush would also have less support in his first and only term (45 Republicans in Senate and 175 Representatives). He would also be made to raise taxes, despite his promises not to.
Clinton also struggled to pass legislation after his first big healthcare legislation package failed.
When did the Iran-Contra affair break?
The autumn of 1986.
Why was the Iran-Contra affair damaging?
Officials had used money from sales to Iran to then support Contra rebels. All done without Congressional approval, and also against policies of neutrality in the Iraq-Iraq war. Reagan just like Watergate had lied to Congress and his officials had destroyed any evidence.
Why was the Iran-Contra affair not too damag- ing?
Many also believed Reagan was doing this to save the hostages, not his neck.
Who supported New Right think- ing at the start of the Reagan presi- dency?
Both Republicans and Democrats under a conservative coalition banner.
What was the paradox among voters about the poor?
Polls showed that people thought the welfare system was being exploited, but also thought the poor needed more help.
What shows the failure of New
Right?
Congress and the states managed to block a lot of legislation suggested by Reagan on ‘social’ issues and on ‘big government’ handovers of control, for example, moving funding for road building from federal to state control.
What was the failure of Re-
publican thinking about the elec- torate?
Republicans saw their victories as a sensible swing to their way of thinking, rather than (as it often was) a temporary reaction to Democrat mistakes, so they didn’t feel the need to change their thinking or politics. In fact over the 80s and 90s more people cared about liberal ideals.
What was set up due to Democ-
ratic failures and what did it do?
Some Democrats had formed the Democratic Leadership Council (DLC) to revi- talise the party. The ‘old’ liberal order of JFK and Johnson was tarnished. A ‘New Democrat’ ideology was born, promoted by the chairman of the Council in 1990: Bill Clinton. Shifting the Democrats close to conservative thinking.
How did business grow in govern- ment during Rea- gan?
Business were bigger and money was no something to be shy about having. From sponsorships in sport to influence in politics through huge campaign contribu- tions, business made a greater impact.
How did Chris- tianity change
The Christian right became more outspoken and involved in political issues under Reagan. Over issues such as abortion, teenage pregnancy and what should be taught in schools. However, despite his outspoken views, Reagan was advised against any legislation which favoured the religious right.
How do the pres- idential debates show increases in political interest?
The first presidential debates in the 1960 had drawn 70 million viewers. In the 1970s viewers dropped to around 60 million. However the Reagan-Carter debates drew 80.6 million views, in 1984 they drew 67.5 million, and in 1988 drew 65.1 million. After the Reagan period views dropped significantly. Reagan was a popular president and changed the view of the public, media and political parties on the role of government.
