1980’s and beyond effects of reaganonmics. plan in action 25% tax cut across the board proposed...

1980’s and beyondEffects of Reaganonmics

Plan in Action25% tax cut across the board proposed

Replacing revenue an issueCuts in reduced lunches programs, student loans, job training, and mass urban transit

Congress not in complete support

Economist sound warnings

DeregulationsBanking industry

Savings and Loans

TransportationCut air quality regulations

Decreased efficiency and safety standards in vehicles

No Striking Allowed

Air traffic controllers learn a hard lesson

1981 strike against poor working conditions proves disastrous

Reagan invokes Taft-Hartley law of 1948Illegal for federal employees to strike

Fired workers, barred from federal employment for life

Unions see significant decline

Trading Deficit

U.S. exports becoming too expensive

Less international interest

Increase buying of products from Japan and elsewhere

High trade deficit by 1984

Less manufacturing taking place domestically

Businesses taking advantage of workforce abroad

Foreign Affairs

Soviet Union deemed officially the “evil empire”

Middle East continues to plague presidency

1981 tension mounting between Israel and PLO

PLO builds forces in Lebanon, Israel makes plans to respond

1982 Israeli’s gain upper hand, force PLO leaders out

Cont….

Lebanese Christian militia attacks Palestinian refugee camp killing hundreds

Events pose concern to U.S.

Reagan sends in 2000 Marines to stabilize region

Muslims feel threatened by American presence

1983, Shiite Muslim on a suicide mission kills 240 Marines w/ car bomb

Question arise as to why Marines are there, few answers available

Foreign Affairs cont…..Meanwhile…….

New interest closer to home

Latin America viewed as communist interest

“The national security of all the America’s is at stake” Reagan 1983

Sandinistas target enemy, Contra’s gain U.S. support

Congress and the public fearful of involvement

Congress impose two year ban on aid to the Contra’s in 1984

Money continues to be funneled down south

Iran-Contra Debacle

Uncovered by Lebanese reporter

American hostages in the Middle East, links to Iran assumed

Reagan in a difficult situationConcern for hostages

Opposed to yielding to terrorist demands

Behind the scenes plan coming togetherIsraeli’s open up talks

Iranian arms dealer with clout willing to do business

Cont….

Goal: negotiate release of hostages for anti-tank missiles

Ongoing war with Iraq

Free hostages and gain some influence with “moderate” Iranian government officials

Who agreed to what a big question

The Players

Robert MacFarlaneNational Security Advisor

George SchultzSecretary of State

Casper WeinbergerDefense Secretary

Oliver NorthDeputy under MacFarlane

Ronald ReaganPresident out of touch

Cont…..

Sales made, but only one hostage freed

Primary interest, CIA head in Beirut, William Buckley already executed

Not a complete loss

Money made from the deal available for providing support to Contras and fight against Sandinistas

One problem: against the law

Cont…

End around the decision of Congress

Reagan warned that this could be considered an impeachable offense

Oliver North put in charge of activities

When news broke North is the fall guyReferred to as a national hero, then fired

Details shaky, but condemning

Convicted but overturned on a technicality

Highlight for Reagan

Mikhail Gorbachev and change in Russia

Begins thawing of Cold War relations

Bush benefactor of good relations between the two

1988 election a success

Foreign activity looking positive, communism collapsing in Eastern Europe

No overt activity with foreign policy until 1991 and Desert Storm

Bush I Presidency

Desert Storm activity fast and seemingly effective

Job not fully complete in eyes of many

Bush gained great amount of public support

Short livedEconomy feeling the effects of Reagan policies

Savings and Loan scandal hits, cost of bailout $400b

No new taxes comes back to haunt

A Man Called Bubba

Rhodes scholar from Arkansas

First term plagued by personal issues, domestic and foreign disasters

Don’t Ask, Don’t Tell

Waco, Texas

Somalia

Bosnia and others

1994 midterm elections see House and Senate go to Republicans

Healthcare reform blow up

Clinton Era

Despite Whitewater and Monica Lewinsky, able to garner support

Managed a budget surplus

Low unemployment

Clinton leaves office with high approval

Democrats feeling good