1. Domestic, Economic & Foreign Policy CR-5
AP U.S. Gov. Ch. 15, 16, 17

2. Domestic Policy
Public plans, courses of action, laws, and government planning, that affect individual’s daily life in the U.S.
Internal issues such as poverty, crime, and the environment
Many domestic policies implemented by federal gov’t., some by combined efforts or federal, state and local gov’t.

3. The Policy Making Process
1. Identifying a problem
Policymakers rely on constituents, friends, interest groups and media to bring policy problems to their attention
Can occur through debate
2. Reaction to the problem
3. Solution to the problem

4. 5 Step Process (Ex: p. 487) 1. Agenda Building 2. Policy Formulation
Identifying the problem through crisis or lobbying efforts by people or interest groups
2. Policy Formulation
Debate among gov’t officials and the public in the media, in Congress, and through campaigns
3. Policy Adoption
Selection of a strategy for addressing the problem and possible solutions
4. Policy Implementation
Administration of the policy adopted by bureaucrats, the courts and others
5. Policy Evaluation
To determine if it has had the desired impact or unintended consequences.

5. Domestic Issue: Poverty
Gov’t defines poverty- formula based on changes in the CPI, Consumer Price Index html
Family assist: food stamps and housing vouchers
Social Security: payment to the retired or unable to work
SSI, Supplemental Security Income: provide minimum income for the aged, the blind and the disabled
AFDC, Aid to Families with dependent Children: aid to children in poverty who do not have two parents (eliminated by Welfare Reform Act of >TANF, next page)
TANF, Temporary Assistance to Needy Families: State administered program
EITC, Earned Income Tax Credit: Provides rebate on Social Security taxes paid to fed. gov’t.

6. Welfare Reform Act 1996 Aim of the Act- reduce welfare spending.
How? Most recipients are limited to 2 years assistance at one time, with lifetime limit of 5 years
During the first 5 years after the act passed- welfare payments were cut in half.
bill/3829

7. Domestic Issue: Crime Two conflicting demands Cost for public safety
Public demands protection from criminals and strong action to stop violent crime
Demands fair treatment from law enforcement officials… do not violate the rights of innocent people
Cost for public safety
Cost for violent crimes is enormous… some states the cost to incarcerate an inmate is 5 times the amount spent to educate a child for a single year
Causes of Crime
Illegal drugs, drug gangs, addiction
New remedies->rehabilitation rather than prison
Terrorism- ability to inflict violence on thousands of victims
Counter-terrorism strategies now part of federal gov’t policy

8. Domestic Issue: Environmental Policy
National Environmental Policy Act 1969
National standards for assessing environmental impact->EIS
Clean Air Act 1963 and 1990 amendments
Policy mandating cleaner air
Emission levels monitored
Clean Water Act 1972
Amended Fed. Water Pollution control Act of 1948
Eliminate discharge pollutants
Protect wetlands, “migratory bird rule”

9. Economic Policy
Main governmental objective: Maintenance of economic stability
Booms vs. recession
Consumer Price Index (CPI)- change in price over time of a specific group of goods and services used by average household
Inflation->Unemployment

10. Fiscal Policy
Defined: the federal government’s use of taxation and spending policies to affect overall business activity
Keynesian Economics: supports gov’t spending and taxing to stabilize the economy-> (discretionary fiscal policy)
Budget deficits?

11. Monetary Policy
Defined: the utilization of changes in the amount of money in circulation to alter credit markets, employment, and the rate of inflation
Federal Reserve System (1913)- controlling the rate of growth of the money supply (regulatory agency)

12. Foreign Policy
Defined: a nation’s external goals and the techniques and strategies used to achieve these goals
Major goal: national security, includes foreign/domestic policy dev. by Dept. of Defense and State, federal agencies, and NSC (advisory body)
Techniques:
Diplomacy- total process by which states carry on political relations
Economic aid- assistance to other nations (grants, loans, or credits)
Technical assistance- sharing experts with tech. skills in agriculture, engineering or business

13. Defense Policy
Defined: a subset of national security policy that includes the directing of the scale and size of the Amer. Armed forces
Considers types of armed forces, how to prepare for war and the types of weaponry

14. Moral Idealism vs. Political Realism
Moral Idealism: philosophy that sees nations as normally willing to cooperate and to agree on moral standards of conduct (Ex. Woodrow Wilson)
Political Realism: sees each nation acting principally in its own interest (Ex. WWII)

15. Who Makes Foreign Policy
President as Commander in Chief and power to make exec. agreements
Pres. as legislative leader and influence on budgetary constraints
Pres. can use position to build public support (world arena)
Dept. of Defense and State
NSC
Intelligence community (40+ agencies and bureaus) p
Congress checks Pres., War Powers Act