Ronald Reagan

Marin Hulme

Election of Reagan


1980:

-Republican
-Did not support activism and "social engineering" (influenced by FDR)
-Federal government should not interfere with local issues (neoconservative)
-489 electoral votes for Reagan, 49 for Carter, 0 for Anderson


1984:

-ran against Democrat Walter Mondale

-Mondale's campaign was shadowed by his involvement with Carter administration
-525 electoral votes for Reagan; 13 for Mondale

Issues Over Nat. Budget

$695 billion proposed in expenditures
$38 billion deficit
Deeply cut into Great Society programs
Tax cuts over 3 years
followed supply-side advisers that believed tax cuts help investment, productivity, growth which led to reducing the deficit
Unemployment spikes to 11%
Democrats argued budget cuts hurt the poor
Growth of yuppies- young, urban professionals centered around consumerism
Military spending helped economy: 2 trillion to Pentagon
Government borrowing...high interest rate...value of dollar elevated

Reagan/ Cold War

-Reagan viewed Soviets as "evil in the modern world"
-Build military to threaten arms race

-Strategic Defense Initiative: orbiting stations in space with lasers that could stop missile launches
-Defensive strategy rather than offensive with nuclear arms
-Economic sanctions against Poland and USSR
-Kremlin leaders old and dying
-Boycott of 1980 Olympics in Moscow and then boycott of LA Olympics
-Gorbachev instituted policies of glasnost and perestroika for openness and restructuring

Iran-Contra Imbroglio

-Increasing number of hostages captured by Muslim extremists
-Left wing Sandinista government in Nicaragua
-Congress refused to give aid to contra rebels fighting against Sandinista
-Secret arms trade for hostages by US diplomats
-President claimed he was unaware of actions carried out by his administration and advisers

Economic Legacy

-Tax reforms two years
-Reduce regulatory rules

-lowered taxes

-balanced budget

-Huge military spending created venue hole
-Added $2 trillion to debt
-more split between lower class and upper class