Ch 30 & 31–The Ch 30 & 31–The Overextended Society 1974-Overextended Society 1974-

8080The Conservative The Conservative

Ascendancy& The New Ascendancy& The New Millennium 1980-2014Millennium 1980-2014

Essential QuestionsEssential Questions:: How did How did Ford confront economic Ford confront economic

problems and handle foreign problems and handle foreign policypolicy of the 1970’s? of the 1970’s?

What was significant about What was significant about Carter’s election in 1976?Carter’s election in 1976?

What was What was Carter’s approach to Carter’s approach to solving economic problemssolving economic problems??

What was What was Carter’s foreign policyCarter’s foreign policy?? What were What were Carter’s achievements Carter’s achievements

and failures in foreign policyand failures in foreign policy matters?matters?

**Causes of Stagflation**Causes of Stagflation Between 1967-1973 the US faced Between 1967-1973 the US faced

high unemployment and high high unemployment and high inflationinflation ((StagflationStagflation))

High InflationHigh Inflation was caused by LBJ was caused by LBJ funding the war and the Great funding the war and the Great Society through deficit spendingSociety through deficit spending

Increased International CompetitionIncreased International Competition in trade Ex. Japan & West Germanyin trade Ex. Japan & West Germany

Floods of Floods of new workersnew workers (Domestic (Domestic Baby Boomers and Foreign)Baby Boomers and Foreign)

Falling productivity/US ComplacencyFalling productivity/US Complacency Heavy dependence of foreign oil Heavy dependence of foreign oil

(OPEC)(OPEC)

**OPEC and War**OPEC and War During the 1960’s the During the 1960’s the Organization of Organization of

Petroleum Exporting Countries (OPEC)Petroleum Exporting Countries (OPEC) raised the price of oilraised the price of oil

The Six Days War in 1967 impacted The Six Days War in 1967 impacted pricesprices

The 1973 Yom Kippur War between The 1973 Yom Kippur War between Israel and Egypt and Syria rose pricesIsrael and Egypt and Syria rose prices

The US sent massive military aid to The US sent massive military aid to Israel, Arab OPEC nations cut oil sales to Israel, Arab OPEC nations cut oil sales to the US (the US (Oil EmbargoOil Embargo) By 1974 price ) By 1974 price increased 4xincreased 4x

Major gas lines and shortages in the US Major gas lines and shortages in the US early, mid 1970’searly, mid 1970’s

’’74,’75 worst econ. Downturn since the 74,’75 worst econ. Downturn since the GDGD

**Rough Road for Ford**Rough Road for Ford Ford gave Nixon a full pardon for Ford gave Nixon a full pardon for

Watergate ( Most Controversial)Watergate ( Most Controversial) Inflation rose form 6% in ’73 to Inflation rose form 6% in ’73 to

10% in ’74. (Related to the Oil 10% in ’74. (Related to the Oil Embargo)Embargo)

Ford started the “WIN” campaign, Ford started the “WIN” campaign, ((Whip Inflation NowWhip Inflation Now) It failed.) It failed.

Ford urged Americans to cut back Ford urged Americans to cut back on use of oil and gason use of oil and gas

Ford cut gov. spending, Ford cut gov. spending, interests interests rates went up triggering the worst rates went up triggering the worst recession in 40 yearsrecession in 40 years (Stagflation) (Stagflation)

**Carter in the White **Carter in the White HouseHouse Former peanut farmer, born again Former peanut farmer, born again

Christian and Gov. of GeorgiaChristian and Gov. of Georgia Promised he would never lie to the Promised he would never lie to the

American people (DC OutsiderAmerican people (DC Outsider)) In the Election of 1976 In the Election of 1976 Carter and Carter and

Ford squared off over energy, Ford squared off over energy, inflation, and unemploymentinflation, and unemployment

Carter won by a close margin Carter won by a close margin He talked to the American people He talked to the American people

through FDR like “fire-side” chats by through FDR like “fire-side” chats by radio and TVradio and TV

He granted draft amnesty for those He granted draft amnesty for those who fled to Canada during the who fled to Canada during the Vietnam WarVietnam War

Carter’s Domestic Carter’s Domestic AgendaAgenda Carter urged Americans to cut back Carter urged Americans to cut back

their consumption of oil and gastheir consumption of oil and gas The National Energy ActThe National Energy Act – – taxed gas taxed gas

guzzling cars, removed price controls guzzling cars, removed price controls on oil and gas produced in the US, and on oil and gas produced in the US, and gave tax credits for development of gave tax credits for development of alternative energy.alternative energy.

In 1979 inflation hit 11.3%, 14% by ’80.In 1979 inflation hit 11.3%, 14% by ’80. Carter gave his now famous Carter gave his now famous “malaise “malaise

speechspeech” in which he complained of a ” in which he complained of a “crisis of spirit” in Americans. It “crisis of spirit” in Americans. It looked like he gave up. ( Reagan in looked like he gave up. ( Reagan in 1980)1980)

Blue Collar Blue Collar BluesBlues

In the 1970’s the US In the 1970’s the US economy changedeconomy changed

Less manufacturing Less manufacturing jobs,jobs, more jobs in more jobs in communication, communication, transportation, and transportation, and retail. retail.

Overseas Overseas competitioncompetition hurt the hurt the USUS. (EX . West . (EX . West Germany, Japan, Germany, Japan, Korea.Korea.

Iron, Steel, clothing Iron, Steel, clothing were hit with cut-were hit with cut-backs, lay-offs and backs, lay-offs and plant closingsplant closings

 

                                                                                                 

                                             

        

    

*Human Rights Foreign *Human Rights Foreign PolicyPolicy Carter felt the Carter felt the US should promote US should promote

human rights around the globe,human rights around the globe, such such as freedoms and liberties listed in the as freedoms and liberties listed in the Dec. of Independence and Bill of Dec. of Independence and Bill of Rights.Rights.

The US gave The US gave control of the Panama control of the Panama Canal back to Panama as of 12/31/99Canal back to Panama as of 12/31/99..

The feeling of The feeling of DétenteDétente with the USSR with the USSR ended due Carter’s protest on ended due Carter’s protest on civil civil rights issues.rights issues.

SALT IISALT II talks were delayed, not ratified talks were delayed, not ratified by the Senate, and the USSR invaded by the Senate, and the USSR invaded AfghanistanAfghanistan

**Triumph in the Middle **Triumph in the Middle EastEastThe Camp David AccordsThe Camp David Accords – –

Carter invited the leaders of Carter invited the leaders of EgyptEgypt and and Israel to Camp Israel to Camp DavidDavid (Summer of ’78) (Summer of ’78)

Israel agreed to withdraw from Israel agreed to withdraw from the Sinai Peninsula,the Sinai Peninsula,Egypt Egypt recognized Israel’s right to recognized Israel’s right to existexist

Carter was the peacemaker Carter was the peacemaker ((Carter Doctrine Carter Doctrine – Persian Gulf)– Persian Gulf)

**The Iran Hostage Crisis**The Iran Hostage Crisis Jan. 1979 Jan. 1979 Ayatollah KhomeiniAyatollah Khomeini led led

islamic militants in overthrowing the islamic militants in overthrowing the Shah or King of Iran. ( They wanted a Shah or King of Iran. ( They wanted a strict religious state)strict religious state)

Nov. 4Nov. 4thth 1979 armed students stormed 1979 armed students stormed the US Embassy and captured the US Embassy and captured 52 52 hostages because we (US) let the Shahhostages because we (US) let the Shah into the US for medical treatmentinto the US for medical treatment

Diplomatic, economic, and military Diplomatic, economic, and military action failedaction failed

444 days later the hostages were 444 days later the hostages were releasedreleased just two hours after Reagan just two hours after Reagan was sworn into officewas sworn into office

Miracle at Lake Placid Miracle at Lake Placid ‘80‘80

https://www.youtube.com/watch?v=qYscemhnf88

The Conservative TideThe Conservative Tide

Goals of the Conservative Goals of the Conservative MovementMovement •Shrink the size of the Federal Shrink the size of the Federal

Government and reduce Government and reduce spendingspending

•Promote Promote family values and family values and patriotic ideaspatriotic ideas

•Stimulate business by Stimulate business by reducing reducing government regulations and government regulations and lowering taxeslowering taxes

•Strengthen the Strengthen the national defensenational defense

Ronald ReaganRonald Reagan•Pres. Screen Actors Guild/ Pres. Screen Actors Guild/ Friendly Witness (HUAC)Friendly Witness (HUAC)

• Elected CA Governor 1966Elected CA Governor 1966•Election of 1980 elected Election of 1980 elected PresPres

•Attempted Assassination Attempted Assassination 19811981

•Re-Elected in 1984 Re-Elected in 1984

Essential QuestionsEssential Questions•What was What was ReaganomicsReaganomics??

•How did President Reagan How did President Reagan feel about big government?feel about big government?

•What was President What was President Reagan’s role in helping to Reagan’s role in helping to end the Cold War with the end the Cold War with the USSR?USSR?

Conservative Policies under Conservative Policies under Reagan and BushReagan and Bush

**Reaganomics Takes Over**Reaganomics Takes Over• Reagan wanted to reduce the size and Reagan wanted to reduce the size and

influence of the Federal Governmentinfluence of the Federal Government• Deep Cuts in Social ProgramsDeep Cuts in Social Programs – Urban – Urban

Mass Transit, Food Stamps, welfare Mass Transit, Food Stamps, welfare benefits, job-training, Medicaid, benefits, job-training, Medicaid, school lunches and student loans.school lunches and student loans.

• Supply-side economicsSupply-side economics – Tax cuts by – Tax cuts by 25 %, money saved would be 25 %, money saved would be reinvested to improve business and reinvested to improve business and productivity, lowering price.productivity, lowering price.

• Increased Defense SpendingIncreased Defense Spending – MX – MX Missile, B-1 Bomber, and SDI Missile, B-1 Bomber, and SDI (Strategic Defense Initiative)(Strategic Defense Initiative)

*Recession, Recovery, & The *Recession, Recovery, & The DEBTDEBT•Severe Recession – July 1981- Nov. Severe Recession – July 1981- Nov.

19821982•Tax Cuts Tax Cuts and the 1983 and the 1983 ConsumerConsumer

Spending Spree Spending Spree sparked the sparked the economyeconomy

•Stocks surged, unemployment Stocks surged, unemployment declined, and GNP went up 10%. declined, and GNP went up 10%.

• Stocks crash 1987 then reboundedStocks crash 1987 then rebounded•Federal Spending still exceeded Federal Spending still exceeded

Federal revenue due to the tax Federal revenue due to the tax cuts. cuts. By 1984 the National Debt By 1984 the National Debt almost doubled. ($ for National almost doubled. ($ for National Defense)Defense)

Election of 1984Election of 1984•Reagan (R) vs. Walter Reagan (R) vs. Walter

Mondale (D) VP under CarterMondale (D) VP under Carter

•Landslide for ReaganLandslide for Reagan

•Geraldine Ferraro of NY Geraldine Ferraro of NY Mondale’s VP candidate was Mondale’s VP candidate was the first women on a major the first women on a major party’s Presidential ticket.party’s Presidential ticket.

Foreign Policy and ending Foreign Policy and ending the Cold Warthe Cold War

**In 1981 Reagan had referred to **In 1981 Reagan had referred to the USSR as “an the USSR as “an Evil EmpireEvil Empire””

New Leadership under Mikhail New Leadership under Mikhail Gorbachev offered opportunity Gorbachev offered opportunity ‘84‘84

•INF Treaty –Intermediate-Range INF Treaty –Intermediate-Range Nuclear Forces TreatyNuclear Forces Treaty) –’87) –’87

•Eliminated two classes of Eliminated two classes of weapon and allowed on site weapon and allowed on site inspectionsinspections

**Iran-Contra Scandal**Iran-Contra Scandal•In 1985 seven Americans were taken In 1985 seven Americans were taken

hostage in Lebanon by Pro- Iranian hostage in Lebanon by Pro- Iranian groupgroup

•President Reagan approved the sale President Reagan approved the sale of of arms to Iran in exchange for the arms to Iran in exchange for the hostages releasehostages release

•National Security Council Aid National Security Council Aid Colonel Colonel Oliver North Oliver North had diverted millions in had diverted millions in profits from the arms sale to the profits from the arms sale to the Anti- communist Contras fighting in Anti- communist Contras fighting in Nicaragua Nicaragua

•Oliver North – Oliver North – Cartoon to explain Cartoon to explain the Iran Contra the Iran Contra ScandalScandal

• https://www.youtube.com/watch?https://www.youtube.com/watch?v=wbLD2JyFAlEv=wbLD2JyFAlE

Election of 1988Election of 1988•George HW Bush (R) vs. Michael George HW Bush (R) vs. Michael

Dukakis ( D)Dukakis ( D)

•Moral Majority, comfortable Moral Majority, comfortable economy, no reason to change.economy, no reason to change.

•Bush “Read my Lips: no new Bush “Read my Lips: no new Taxes!”Taxes!”

**The Persian Gulf War 90-**The Persian Gulf War 90-9191• On Aug. 2On Aug. 2nd, 1990nd, 1990 Iraq led by Iraq led by Saddam Saddam HusseinHussein invaded the oil rich nation of invaded the oil rich nation of KuwaitKuwait

• Saddam then looked to Saudi ArabiaSaddam then looked to Saudi Arabia

• Pres. BushPres. Bush organized an international organized an international coalition and with the support of the UN coalition and with the support of the UN and Congress launched and Congress launched Operation Desert Operation Desert StormStorm

• On Jan 16On Jan 16thth, 1991 the air war began, in , 1991 the air war began, in February the ground war beganFebruary the ground war began

• Kuwait was liberated, Iraq was weakenedKuwait was liberated, Iraq was weakened

• Less than 400 American casualties, but Less than 400 American casualties, but Gulf War Syndrome?Gulf War Syndrome?

President Clinton -1992-President Clinton -1992-20002000• Bill Clinton(D) defeated George Bill Clinton(D) defeated George

H.W. Bush(R) and Ross Perot in H.W. Bush(R) and Ross Perot in the election of 1992the election of 1992

Health Care ReformHealth Care Reform•Clinton appointed Clinton appointed Hillary Hillary

ClintonClinton to head a health-care to head a health-care reform planreform plan

•Clinton had promised Clinton had promised affordable health careaffordable health care

•The bill never made itThe bill never made it

through Congressthrough Congress

**Economic Boom -**Economic Boom -1990’s1990’s•Spending was cut, taxes Spending was cut, taxes increased for the rich,increased for the rich, more spending for more spending for programs to help programs to help children and health carechildren and health care

•Budget surplus-1Budget surplus-1stst time time in 30 years***in 30 years***

•Unemployment fell, stock Unemployment fell, stock market took offmarket took off

Reforming Welfare-1990’sReforming Welfare-1990’s•1996 – Limits were put on 1996 – Limits were put on how long people could how long people could collect benefitscollect benefits

•““Block GrantsBlock Grants” given out to ” given out to statesstates

•People moved from Welfare People moved from Welfare to Workfareto Workfare

•****Strong Economy –InternetStrong Economy –Internet

Trade and The Global Trade and The Global EconomyEconomy• 1994 -1994 -NAFTANAFTA- North American Free - North American Free

Trade Agreement – Canada, US, Trade Agreement – Canada, US, MexicoMexico

• ***What about ***What about US jobs being shipped US jobs being shipped to Mexico?to Mexico?

Election of 1996Election of 1996• Clinton (D) vs Dole ( R)Clinton (D) vs Dole ( R)

• Strong Economy and Strong Economy and

Welfare Reform helpedWelfare Reform helped

ClintonClinton

The President InvestigatedThe President Investigated•The Clinton’s were The Clinton’s were

investigated for investigated for the the White WaterWhite Water land deal in land deal in Arkansas in 1979. Arkansas in 1979. ( R) Lead( R) Lead

•Did Illegal $ go Did Illegal $ go towards Clinton’s towards Clinton’s run for Governor?run for Governor?

•Independent Independent Investigator Investigator Kenneth StarrKenneth Starr led led the investigationthe investigation

*Clinton’s Impeachment – Partisan *Clinton’s Impeachment – Partisan PoliticsPolitics•Starr discovered Starr discovered Clinton had an Clinton had an improper improper relationship with relationship with a White House a White House Intern Intern

•Clinton was Clinton was charged with charged with lying under oath lying under oath and obstruction and obstruction of justiceof justice

•Senate could not Senate could not convict himconvict him

2001- WTC, Pentagon and 2001- WTC, Pentagon and PA crashed planes, 3000 PA crashed planes, 3000 killedkilled

***Motives of Al-Qaeda ***Motives of Al-Qaeda to attack the USto attack the US

•The presence of U.S. The presence of U.S. troops in Saudi Arabiatroops in Saudi Arabia

•U.S. support of IsraelU.S. support of Israel

•The sanctions against The sanctions against Iraq.Iraq.

The War on TerrorThe War on Terror•The World Wide The World Wide

Hunt for Al-Hunt for Al-Qaeda and Bin Qaeda and Bin Laden post 9/11Laden post 9/11

•The War in The War in Afghanistan – Afghanistan – Removal of the Removal of the Taliban – Oct. Taliban – Oct. 2001-20142001-2014

•The War in Iraq – The War in Iraq – March 2003 -March 2003 -20112011

**Anti-terrorism Measures**Anti-terrorism Measures• Office of Homeland SecurityOffice of Homeland Security

• *The Patriot Act-(Anti-Terrorism Law)*The Patriot Act-(Anti-Terrorism Law)– Suspects can be held for 7 days without Suspects can be held for 7 days without

being chargedbeing charged– All phones , Internet, and e-mail tappedAll phones , Internet, and e-mail tapped– Search warrants valid across state linesSearch warrants valid across state lines– U.S. Banks can investigate foreign U.S. Banks can investigate foreign

accountsaccounts– No time restrictions prosecuting No time restrictions prosecuting

terroriststerrorists– Aviation SecurityAviation Security – The responsibility of – The responsibility of

the Fed. Gov-TSAthe Fed. Gov-TSA

President Bush’s 1&2President Bush’s 1&2ndnd TermTerm•1.35 trillion in tax cuts1.35 trillion in tax cuts

•NCLB (No Child Left Behind)NCLB (No Child Left Behind)

•Privatize Social SecurityPrivatize Social Security

•Dealing with 9/11- The War on Dealing with 9/11- The War on TerrorTerror

•The War in Iraq/AfghanistanThe War in Iraq/Afghanistan

•Dealing with Iran and North KoreaDealing with Iran and North Korea

•Energy Issues/Dependence on Energy Issues/Dependence on Foreign OilForeign Oil

•Prescription Drug benefit- MedicarePrescription Drug benefit- Medicare

Issues for the 21Issues for the 21stst Century Century• US role in the Global EconomyUS role in the Global Economy

• ******The War on Terror-Bin LadenThe War on Terror-Bin Laden

• The Immigration DebateThe Immigration Debate

• Issues in Education (NCLB)Issues in Education (NCLB)

• The Communication Revolution The Communication Revolution

( Internet)( Internet)

• Curing the Health Care SystemCuring the Health Care System– ******Affordable Health Care Act ( Obama Care)Affordable Health Care Act ( Obama Care)

• Breaking the Cycle of PovertyBreaking the Cycle of Poverty

• Tough Choices - Social Security/Gun Tough Choices - Social Security/Gun ControlControl

• Women in the WorkforceWomen in the Workforce

• Environment or Global Warming/Oil/EnergyEnvironment or Global Warming/Oil/Energy