Chapter 28
New Directions for a Nation
A Conservative Surge
• Carter’s Presidency– Elected in 1976– No congressional support– Poor economy
• High inflation• High taxes
Shah of Iran overthrown
• Ally of U.S.
• Embassy seized– 66 hostages
• 52 kept for 444 days in Captivity
The Conservative Movement
• Liberal v. Conservative– Liberals favor Government Action– Conservatives split into political and social
• Political conservatives = shrink gov’t and lower taxes
• Social conservatives = traditional values
• Social Conservatives– Rev. Jerry Falwell, leader of the Moral
Majority
Election of 1980
• Conservatives want to:– Get rid of expensive social programs– Cut taxes– Balance the federal budget
• Balanced Budget- government spends only as much money as it collects
• Ronald Reagan v. Jimmy Carter
Ronald Reagan
• Movie Star
• President of Screen Actors’ Guild
• Elected governor of Californial in the 60s
• Known as the “Great Communicator”
Reducing Government
• Reaganomics– Give money to tax payers– Cut $40 billion out of budget– Cut federal jobs– 1981 persuades Congress to cut taxes by 25%– Deregulation- scaling back federal rules for
businesses– Reduce anti pollution regulations– Opened federal lands to industry
Reagan’s Legacy
• One of the most popular presidents
• Served two terms
• Did not balance budget
• Tax cuts + military spending = record deficit
• Deficit: results when the government spends more than it collects
• Slowed growth of federal government
George H.W. Bush
• Elected in 1988
• Former Vice President
• “Read my lips, No new taxes!”
• Reduced spending and raised taxes
• 1991-U.S. slips into a recession
• Recession: a temporary economic slump
• Unemployment soars
The Clinton Years
• 1992 Bill Clinton v. George Bush v. Ross Perot– Clinton wins with 43% of the votes– First democratic in 12 years
Clinton’s Presidency
• Cut deficit by ½ in 1992– Raise taxes on high income– Reduce spending
• Redo of Welfare system– Limit benefits– Reduce direct welfare– Give grants to state
Prosperity and Scandal
• Unemployment drops to 30yr low
• Federal budget surpluses
• Surplus: collection of more money than is spent
• Reelection in 1996
• Impeachment!
The Dispute of 2000
• Gore/Lieberman v. Bush/Cheney
• Gore wins popular vote
• Bush won electoral votes
• Recount
• Bush pushes for tax cuts
• Bush passes No Child Left Behind
Ending the Cold War
• SU invades Afghanistan
• Reagan aides Afghanistan
• Reagan increases defense spending by 50%– B2 Stealth– Strategic Defense Initiative
Decline of the S.U.
• Poor economy
• Conflict had drained funds
• US Buildup causes Soviet Buildup
• New Leader: Mikhail Gobachev
• Glasnost: speaking openly about Soviet problems
• 1987: Reagan and Gobachev agree on arms control
Changes in E. Europe
• S.U. quits support and control
• 1989: Poland sets up democratic gov’t
• Yugoslavia ends communism
• Berlin Wall is torn down in 1989
• Czechoslovakia becomes Czech Republic and Slovakia
1991 Soviet Union Collapses
• Consists of 15 republics
• All become independent
• Boris Yeltsin becomes President of Russia
• Russia suffers from unemployment, inflation, crime, corruption
• Yugoslavia has Problems
Cold War Costs
• 100,000 lives
• $6 trillion
U.S. in the World
• South Africa– Apartheid: racial separation and inequality– Economic sanctions: penalties applied against
a country in order to pressure it to change its policies
• Philippines– 1986: first free elections in 14 years
Continued Aid/Participation
• Northern Ireland– Protestant v. Catholic– 1998: power sharing agreement
• China– Communist government killed demonstrators– Policy of persuasion
• Cuba– Early 90s Cubans enter U.S.
Easing the Arms Race
• 1972: The Strategic Arms Limitation Talks (SALT)
• 1979: SALT II-Carter withdraws
• Strategic Arms Reduction Treaty (START)– Destroy 20% of nuclear arms
• 1993: START II– Cut back long range nuclear by 2/3
Aiding the Threat
• 4 countries: 30K nuclear weapons
• Destroy = $400 million/year
• Worry: Spread of Nuclear Arms
Conflict in the Middle East
• Middle East: Southwest Asia + Egypt + Afganistan
• Founding Place of Judaism, Christianity, and Islam
• Known for vast amounts of Oil
• OPEC: Organization of Petroleum Exporting Countries
Arab-Israeli Conflict
• Palestine: Holy Land of 3 major religions– Jews begin moving to the region in late 1800s– Increased immigration in mid-1900s– Israel builds a democracy
• Nearby Arab countries declare War• 1948: Israel wins• Palestinian Arabs flee
Continued Conflict
• Israel attacks Egypt in 1956
• Arab nations attack Israel in 1967 and 1973– Israel takes control of parts of Egypt, Jordan,
and Syria
Camp David Accords
• 1977: Anwar el Sadat visits Israel
• Camp David Accords in 1978– Pres. Carter, Pres. Sadat, and P.M. Begin– Israel is recognized in return for land taken
Issue of Palestine
• Arabs wage guerrilla warfare
• Palestinian Liberation Organization (PLO)– Led by Yasir Arafat– Set up independent government in Palestine
• Intifada: Palestinian uprising
• 1993: Clinton gets pact signed
• Violence continues
Cease the Violence
• Israel seizes Arafat
• Arafat dies in 2004
• Cease-fire announced in 2005
Increasing Tensions
• Iran and Lebanon– Westernization: the adoption of ideas, culture,
and technology from Western regions such as the US and Europe
– 1979: Shah flees, hostage crisis• Lebanon civil war
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