1. Reagan’s Policies
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2. Reaganomics 1. Deregulation:
Cut back on the Federal Government = let businesses have more freedom.
Good – prices fall = more money to spend, increased competition
Bad – no regulation on the environment, Funding cut to programs that helped the poor, ex: food stamps, welfare, etc.

3. 2. Supreme Court Chief Justice Burger retires Appoints:
conservatives Rehnquist & Scalia
first female Sandra Dey O'Conner
moderate Kennedy during last year

4. B.) Election 1984 Regan / Bush vs. Walter Mondale/ Geraldine Ferraro
(1st woman major party Presidential Ticket)
Reagan won every state, but Minnesota.

6. Reaganomics 3. Increase Defense Spending:
= doubled defense budget
Fear of the USSR
Strategic Defense Initiative (SDI) “STAR WARS” = keep us safe from other countries missiles.

8. 4. Reagan Doctrine
Support Guerilla groups, who werer fightin to overthrow communism
Afghanistan – 370 million to help fight the soviets
Nicaragua – money to Contra from arms sold to Iran to help the Sandanista
Grenada – overthrow Marxists

9. George H.W Bush USSR Collapses:
Glasnost (openness = freedom of speech) spreads, overthrow communist throughout Europe
Berlin Wall torn down
Communist stay coup, arrest Gorbachev
Yelstin defies coup with troops, Coop collapse
Communist outlawed, USSR collapse
Bush Reaction:
Supported by USA

10. Tiananmen Square
Demonstration for Democracy in Beijing, Communist China capital
Army sent against own people, hundreds killed or arrested
Bush Reaction
Stop arm sales and contact with china
Bush resist harder measures believing that trade and diplomacy will change China’s behavior

11. Panama Canal
US will give control back in 2000, want to make sure country stable
Noriega stops cooperating, aiding drug runners and harassing US military
Bush Reaction
Sends troops in, arrested Noriega
Troops then help establish new government

12. Persian Gulf Saddam Hussein invade Kuwait (oil)
Fearing Iraq trying to control all the oil
Bush Reaction:
Economic sanctions
US & UN troops force removal
Operation Desert Storm
100 hrs after ground war Kuwait liberated

13. Economy Recession caused by less defense spending
Unemployment increase as companies downsize
Government had to take out high interest loans
As government slowed banks that had been deregulated by Reagan failed
Bush reaction:
Tries to cut capital gains (tax on sales), defeated by congress
Broke pledge to raise taxes to try and fix economy

14. 1992 election Economy major concern Bush’s reaction:
Bush gets blame for situation
Clinton wins