The Rise of the Modern Conservative Movement Ronald Reagan The Rise of the Modern Conservative Movement

Ronald Reagan Born in Illinois, 1911 Active in college. Lifeguard, Radio Announcer Went to California to launch an acting career during the Great Depression Successful actor Eventual president of the Screen Actors Guild (Union for Actors) Became increasingly conservative in face of radical socialists and communists in the movie industry Switched from Democratic to Republican Party in the late 50s/early 60s

Modern Conservative Evolution 1930s-1960s New Deal opponents Eisenhower and ‘Modern Republicanism’ 1964 - Barry Goldwater (AZ) conservative Senator. Opposed government activism Opposed social security Opposed Federal Civil Rights laws (not necessarily local or state) Demanded military buildup to defend against Soviet attack Opposed Great Society - extension of New Deal. Overextension of what needs government could or should meet

Conservative Evolution and Organizations Young Americans for Freedom William F. Buckley Barry Goldwater Disenchanted Southern Democrats Some ‘fringe’ organizations John Birch Society (though most - including Reagan, et al - distanced themselves from this group)

Richard Nixon & the Welfare State Trimmed social welfare programs of the Great Society Did not cut them altogether Established OSHA (Office of Safety and Health Administration) Established EPA (Environmental Protection Agency) NEW FEDERALISM - Re-distributed federal monies to states Covertly gutted high $ federal programs of their ‘liberal’ intent by redirecting funding Source: Schulman 1970s, Restless Giant by James T. Patterson

Social Issues and Conservatism Rapid cultural change of the 1960s Opposition to Warren Court decisions ‘criminal rights’ Church-state issues like school prayer Privacy rights/issues Rock music Openly sexual, drug-oriented, rebellious Widespread Use of illegal drugs

Social Issues and Conservatism Radical and increasingly violent student protests Reagan strongly opposed FSM (Free Speech Movement - radical) on UC-Berkeley campus Dismissed UC president Opposed ‘sexual’ revolution Said Birth control pill encouraged promiscuous behavior

Social Issues and Conservatism 1973 Roe v. Wade Supreme Court decision Legalized abortion by striking down state laws prohibiting abortions Launched modern pro-life movement (aka ‘anti-abortion’) Opposed emerging gay rights movement Opposed radical feminism Blamed these for decline of traditional nuclear family Rising divorce rate ‘No-fault’ divorce laws (ironically passed during Reagan’s term in California)

Social Issues and Conservatism Civil Rights: Federal government laws = end of state mandated segregation Opposed forced and unreasonable integration (forced busing) Opposed Affirmative Action quotas - said it was reverse discrimination Democratic Blue Collar Workers - called “Reagan Democrats”

The 1980 Election

The New Conservative Coalition The NEW RIGHT The NEW RIGHT - a political coalition of: Conservative evangelical Christians Moral Majority founded by Rev. Jerry Falwell - Baptist minister (founder - Liberty University - Lynchburg, VA) To restore Christian Values in America Southern Democrats Reduction of Social Programs Called for reduction in size and scope of government “Reagan Democrats” Favored return of US military prominence Patriotic focus

The 1980 “Revolution” Nixon Victories in 1968 and 1972 early indicators of change Carter’s series of ‘Unfortunate’ Events Carter’s perceived mishandling of major challenges Reagan’s ability to communicate - “The Great Communicator” Few simple well-articulated idea

The Country Turns to the Right. 1980’s: Ronald Reagan The Country Turns to the Right.

The Reagan Revolution 1980-1988 Ronald Reagan took office in 1981 defeating Carter and based his political ideals on positions of the conservative movement.

Conservative Coalition Reagan appealed to Evangelicals- Christians who emphasize the authority of the bible Moral Majority- Political lobbying group headed by Jerry Falwell in 1979 who wanted their voices heard “pro-life, pro-family, pro-moral, and pro-America” New Right- Political Movement which focused on conservative causes

Map 30.4 Presidential Election of 1980 (p. 903)

The Reagan Revolution and the First Inaugural Address “In the days ahead I will propose removing the roadblocks that have slowed our economy and reduced productivity. Steps will be taken aimed at restoring the balance between various levels of government. Progress may be slow, measured in inches and feet, not miles, but we will progress. It is time to reawaken this industrial giant, to get government back within its means, and to lighten our punitive tax burden. And these will be our first priorities, and on these principles there will be no compromise.” - Ronald Reagan 1981

Reagan almost dies…. 1981- attempted assassination by a mentally unbalanced man, John Hinckley Jr. Reagan was shot but recovered rather quickly. http://www.youtube.com/watch?v=3Bj6aOgfcJU&feature=PlayList&p=1F598750308BE6AE&index=0&playnext=1

Reagan’s Plan Reducing the size of the Federal government Lowering government spending promoting traditional morality and values stimulating business by reducing government regulations and lowering taxes strengthening the national defense

Supply-Side Economics a.k.a “Reaganomics” Cut taxes to put more money into the hands of businesses Cut taxes on the wealthiest Americans Lower taxes = more investment in the “supply side” of the economy Would: promote and create new jobs encourage capital investment, and lead to stimulated industrial growth

Supply Side Economics “Trickle Down” affect The idea is that: large tax cuts on investments would give more money to the wealthy in turn the wealthy would invest their money in new businesses in order to make more money the new businesses would create new products and services creating more jobs for workers more workers would be making more money creating more taxpayers more taxpayers would increase federal revenues

Cutting Government Regulation - “deregulation” Continued Carter’s programs to deregulate key industries Energy, Transportation and Banking Industries Challenged Air Traffic Controllers in 1981 - Fired those who refused to go back to work after a strike.

The Results of Reaganomics 1982 -initially high interest rates caused a severe recession 1986 – inflation dropped to 4% (1980 = 14%) GNP increased by 10% Unemployment declined Stock Market soared

1987 – market crashed due to automated and computerized selling controls 1988 – economy recovered and continued to be a “Bull Market”

Cost of Reaganomics National Debt soared to $4 trillion (1992) (1980 = $900 billion)

Reagan did not cut “entitlement programs” Social Security Veteran’s pensions Medicare

Programs cut: ($40 billion) urban mass transit food stamps welfare benefits job training Medicaid school lunches student loans

Reagan: Economic Recession, and Recovery Inflation slowed, consumer spending increased Stock market grew Federal deficit grew even as domestic spending decreased National debt = $909 billion in 1980 --- $3.2 trillion in 1990

Social Concerns continued… Education A Nation at Risk- 1983 Americans lagged behind other industrialized nations (23 million could not fill out a job application) Challenger Explosion January 28th 1986 http://www.youtube.com/watch?v=ljPYmSdyVZc URBAN Crisis- Rodney King Riots 1991 http://www.youtube.com/watch?v=ROn_9302UHg

Social Concerns of the 1980’s Health Issues AIDS- acquired immune deficiency syndrome Drug Abuse- possibly legalized to reduce gang activity Reagan started his war on drugs campaign “Just Say No”

Equality Equality National Rainbow Coalition- political organization which advocated social progress and equal rights for women, gays, and people of color led to the Gay Rights Movement Women, African Americans, Latinos, Native Americans, Asian-Americans New Jersey v T.L.O- students belongings may be searched with reasonable cause “school rules” Immigration Reform and Control Act- increased border patrol Abortion- Roe v Wade 1973 legalized

Slowed Federal Growth - New Federalism (Reagan-style) Limiting government Eliminated public service jobs, reduced unemployment compensation, lowered welfare benefits, raised fees for Medicare patients Federal domestic spending still grew for a couple of years

Reagan and Military Buildup Sharp increase in military spending = buildup New weapons and new technology Neoconservatives (Neo-cons = Dick Cheney, Don Rumsfeld, Paul Wolfowitz, Condoleeza Rice, Richard Armistead, Colin Powell, etc.) Strategic Defense Initiative (SDI) = better known as Star Wars

Military Spending Between 1981 and 1984 the defense budget almost doubled “Star Wars” program (aka) Strategic Defense Initiative- created a missile shield to protect the US from a nuclear attack by “knocking down incoming missiles

Battling Communism in Central America and the Caribbean Reagan Doctrine- provide aid to support anticommunist insurgents and movements Sandinistas and Contras fighting in Nicaragua- US backed Contras fighting against communist Sandinistas (illegal covert actions had taken place and would get Reagan involved in a scandal) Grenada- US invaded and took over (looked down upon by many other nations)

Iran Contra Scandal In 1983 Iranian terrorist took many American’s hostage until president Reagan had approved the sale of arms to Iran. Reagan’s staff sent part of the profits from the illegal arms to the Contra’s in Nicaragua which was a violation of the Boland Amendment, many of Reagan’s staff members were found guilty and fined for their actions. http://video.google.com/videoplay?docid=8476042566108039966&hl=en

Election of 1984

Patriotic Renewal “It’s Morning in America, Again” 59% of popular vote Second largest electoral victory in history 1984 Olympics in Los Angeles Communist-bloc countries boycotted 1986 - 100th anniversary of Statue of Liberty 1987 - 200th anniversary of the Constitution

Other issues 1984-1988 AIDS Awareness Women’s Movement stalled (ERA failed in 1982) Supreme Court conservatives Sandra Day O’Connor Anthony Kennedy Antonin Scalia Chief Justice William Rehnquist

More issues: 1984-1988 Farm Crisis - foreclosures Manufacturing shift - from metal and textiles (overseas = outsourcing due to labor costs) Service sectors continued to grow Wealthiest Americans flourished in the 1980s Jan 28, 1986 - Space Shuttle Challenger exploded shortly after take off

Scandal S & L Crisis Savings and Loan institutions deregulated and some corrupt individuals used this to make huge personal fortunes S & L’s collapsed in late 1980s $2.6 billion in savings lost Iran Contra Scandal Selling arms (to Iran) for the release of hostages to support Nicaraguan Contras Covered up Reagan admitted covering up No long term impact “Teflon” president. The savings and loan crisis of the 1980s and 1990s (commonly dubbed the S&L crisis) was the failure of 1,043 out of the 3,234 savings and loan associations in the United States from 1986 to 1995: the Federal Savings and Loan Insurance Corporation (FSLIC) closed or otherwise resolved 296 institutions from 1986 to 1989 and the Resolution Trust Corporation (RTC) closed or otherwise resolved 747 institutions from 1989 to 1995.[1] A savings and loan or "thrift" is a financial institution that accepts savings deposits and makes mortgage, car and other personal loans to individual members (a cooperative venture known in the United Kingdom as a building society). By 1995, the RTC had closed 747 failed institutions nationwide, worth a total possible book value of between $402 and $407 billion. In 1996, the General Accounting Office estimated the total cost to be $160 billion, including $132.1 billion taken from taxpayers.[2][3] The FSLIC and RTC were created to resolve the S&L crisis. In 1979, the Federal Reserve System of the United States doubled interest rates that it charges its member banks in an effort to reduce inflation. The building or savings and loans associations (S&Ls) had issued long-term loans at fixed interest rates that were lower than the interest rate at which they could borrow. In addition, the S&Ls had the liability of the deposits which paid higher interest rates than the rate at which they could borrow. When interest rates at which they could borrow increased, the S&Ls could not attract adequate capital, from deposits to savings accounts of members for instance, they became insolvent. Rather than admit to insolvency, lax regulatory oversight allowed some S&Ls to invest in highly speculative investment strategies. This had the effect of extending the period where S&Ls were likely technically insolvent. These adverse actions also substantially increased the economic losses for the S&Ls than would otherwise have been realized had their insolvency been discovered earlier.[4] One extreme example was that of financier Charles Keating, who paid $51 million financed through Michael Milken's "junk bond" operation, for his Lincoln Savings and Loan Association which at the time had a negative net worth exceeding $100 million.[5] Others, such as author/financial historian Kenneth J. Robinson or the account of the crisis published in 2000 by the Federal Deposit Insurance Corporation (FDIC), give multiple reasons as to why the Savings and Loan Crisis came to pass.[6] In no particular order of significance, they identify the rising monetary inflation beginning in the late 1960s spurred by simultaneous domestic spending programs of President Lyndon B. Johnson's "Great Society" programs coupled with the military expenses of the continuing Vietnam War that continued into the late 1970s. The efforts to end rampant inflation of the late 1970s and early 1980s by raising interest rates brought on recession in the early 1980s and the beginning of the S&L crisis. Deregulation of the S&L industry, combined with regulatory forbearance, and fraud worsened the crisis.[7]

Reagan and the Cold War Called Soviet Union the “evil empire” Reagan - Cold Warrior Lebanon Libya Grenada El Salvador Nicaragua (Contra rebels supported by US)

Foreign Policy and the Cold War Mikhail Gorbachev- 1985 Soviet Union leader Glasnost- (openness) allowed for Soviet Government to have freedom of the Press Perestroika- Government having less control INF (Intermediate-Range Nuclear Forces) treaty-eliminated two classes of weapons systems in Europe

Gorbachev 1991- Gorbachev resigned as president and the Soviet Union dissolved (tearing down of the Berlin Wall) CIS (Commonwealth of Independent States) created 1992- George Bush and Boris Yeltsin (Russian President) issued a formal statement the Cold War was over and signed STARTT Pact- which cut both nations arsenals by 2/3’s

Communism in China Tiananmen Square- 1989 demonstrations in Beijing by students demanding freedom of speech China’s Premier, Le Peng, ordered the military to stop the protestors while the rest of the world was left to watch these events unfold