Reagan Revolution
Reagan promulgated a program to restore U.S. prominence and honor globally, and fight economic problems. He advocated a more laissez faire policy through a lessening of government activism, taxes, spending, and restrictions on business.
Election of 1980: The election of 1980 included candidates such as Republican Ronald Reagan, Democratic nominee Jimmy Carter, and John B. Anderson as the Independent candidate. The biggest issue at the time was American foreign policy, and Ronald Reagan had a greater hand in that issue. Ronald Reagan became the President of the United States in 1980 with the promise of ameliorating the American economy against the forces of "stagflation."
Anderson, John: He was a Republican congressman from Illinois, and his running mate was Patrick J. Lucey from Wisconsin. When he announced his candidacy, he was serving his 10th term in the U.S. House of Representatives. He was known for his strong liberal statements and spoke well on complex issues.
Economy Recovery Tax Act, 1981: Following his promise of bettering the U.S. economy, Reagan proposed a 30% tax cut allowing the money supply to circulate. He liberalized business taxes and decreased capital gains, gifts, inheritance taxes to encourage investments in a plunging economy.
Reaganomics: Also known as voodoo economics, George Bush named this new economic strategy Reaganomics in the 1980 primary campaign. President Reagan believed that the government should leave the economy alone. He hoped that it would run by itself. It was a return to the laissez faire theory of Adam Smith, yet Reagan expanded his theory by advocating supply-side economics as a method to solve the economic hardships.
Supply side economics: In contrast to Adam Smith’s belief in supply-and-demand, Reagan assumed that if the economy provided the products and services, the public would purchase them. Consequently, Reagan lowered income taxes to stimulate the economy by expanding the money supply.
O’Connor, Sandra Day: She was a feminist who generally deplored Reagan’s programs. However, she was delighted when he nominated her as the first woman justice on the U.S. Supreme Court. Many people supported Reagan’s decisions in favor of women’s rights.
Three Mile Island: In 1979, a near catastrophe occurred at Three Mile Island when there was an accident involving a nuclear power plant. Safety measures were taken so that a future incident would not occur. The plants were placed far away to reduce the hazards of near fatal accidents.
Watt, James Secretary of Interior: James Watt received more than $400,000 for making several calls to the Department of Housing and Urban Development officials. The people who had interceded with the Department of Housing and Urban Development were paid hundreds of thousands of dollars for federal subsides.
Love Canal, Niagara Falls, NY: In the 1970s and early 1980s, chemical wastes that had leaked from a former disposal site threatened the health of residents in that area. Both the New York state government and the federal government provided financial aid to help move families from the Love Canal to other areas.
EPA, Environmental Protection Agency, OHSA: It was created in 1969 by President Nixon to enforce government standards for water and the air quality for work safety. The Occupational Safety and Health Administration (OSHA) was also created to enforce the hygiene.
"New Federalism" proposals, 1982: New Federalism proposed to reverse the flow of power and resources from the states and communities to the state capital. The president proposed a revenue sharing bill that transferred some federal revenues to the states and prominent cities.
Deregulation-AT&T, airlines, trucking: To reverse the flow of federal power, Reagan began to deregulate governmental controls over such companies as AT&T, airlines, and trucking companies. He reasoned government must take its "hands off" from the economy to encourage investments and free enterprise.
NEH, National Endowment for Humanities: The National Endowment for Humanities was created to further promote artistic and cultural development in the United States. This was targeted to foreigners. The project revealed the full cultural spectrum of America.
Friedan, Betty The Second Stage, 1981: In her novel The Second Stage, Friedan stresses the need to add family matters to the cause of women’s rights. She reasons no person should ignore such a significant issue while focusing on female independence and advancement in society.
Defeat of the ERA: As the argument over the ERA and abortion went on more women got jobs in the working industry. In the 1960s, 35% of women held jobs, but in 1988, 60% of women worked. Even though women had children, 51% of them were working from day to day.
Election of 1984: Former Vice President Walter Mondale got the Democratic nomination over Jesse Jackson, backed by minority groups, and Gary Hart, who appealed to the young. Reagan’s campaign revolved around the optimistic slogan "It’s Morning in America" and he rode the tide of prosperity to a decisive victory.
Ferraro, Geraldine: The first woman ever to be on the ticket of a major party, Ferraro was chosen by Walter Mondale to be his Vice-Presidential candidate in 1984. However, her presence failed to win Mondale the election, as a higher percentage of women voted republican in 1984 than in 1980.
AIDS (acquired immune deficiency syndrome): First diagnosed in 1981, 97,000 cases were reported in 1989. Originally concentrated among homosexual men, needle-sharing drug users, and sex partners of high risk groups, the disease soon spread. AIDS prompted a change from the "free love" attitude of the 1970s, to a "safe sex" attitude of the 1990s.
"Moral Majority": The Moral Majority was Jerry Falwell’s pro-Reagan followers who embraced the new evangelical revival of the late seventies. The Moral Majority was politically active in targeting such issues as abortion, homosexuality, pornography, and school prayer. They was strongly conservative, anticommunist, and influential. The Moral Majority was started in 1979 as a secular political group, and were finished as a political force by the late 1980s.
Vietnam Veterans’s Memorial, 1982: Constructed in 1982, the memorial is a black marble wall sunken below ground level in Washington D.C.’s National Mall. On it are inscribed the names of all Americans who died or were missing in action. It also includes a statue of three soldiers, located nearby.
Agent Orange: Agent Orange was a chemical sprayed by U.S. planes on the jungles of Vietnam during the war which caused the defoliation of trees and shrubs and made enemy positions more visible. In the 1970s it was found that Agent Orange was harmful to humans. In 1984, manufacturers agreed to pay veterans injured by the chemical.
The Challenger Disaster, 1986: The space shuttle Challenger exploded 73 seconds into flight, killing all aboard. The explosion was caused by a faulty seal in the fuel tank. The shuttle program was halted while investigators and officials drew up new safety regulations, but was resumed in 1988 with the flight of the Discovery.
Tax Reform Act, 1986: In 1986, with the federal deficit exceeding $200 billion, Reagan proposed a new, simplified tax system that lowered the taxes of individuals and corporate incomes. The tax reform helped reduce the deficit by 1987, but the stock market crash in October 1987 made higher taxes a necessity.
The "Teflon Presidency": Ronald Reagan’s popularity never seemed to change much despite the scandals and failures of his presidency. He was called the Teflon president by some because nothing would stick to him. Even with all the criticism, Reagan remained very popular and charismatic.
HUD scandals: In 1989, revelations surfaced that during Reagan’s administration, prominent Republicans had been paid hundreds of thousands of dollars for interceding with the Department of Housing and Development on behalf of developers seeking federal subsidies. Once again, Reagan’s popularity was unaffected.
