APUSH: Period 9

Rise of Conservatism

• Government focuses on lowering taxes de-regulating business (laisse-faire)

Ronald Reagan Administration (1981 – 1989)

• Reaganomics (Supply-Side Economics): tax cuts and reduced government spending would

increase investment by private sector, which would lead to increased production and jobs.

• Economic Recovery Act of 1981: 25% decrease in personal income taxes over 3 years, cut

corporate income taxes, increased the amount of money that one can investment in retirement,

cut gift and inheritance taxes which allowed upper-income tax payers to have a better tax break

• Foreign Policy in Reagan Administration

o Military Buildup: Strategic Defense Initiative focused tax payers money on building up

arms and missiles to outnumber the Soviets

o Iran-Contra Affair (1986): US sold military equipment to Iran for helping free Americans

held hostage. Money was then turned around to pay the Contras in Nicaragua, a rebel

group who was fighting a socialist/communist government – US wanted to contain

communism AGAIN – when will we learn???

George H.W. Bush Administration (1989 – 1993)

• Took a lot of the same ideas as Reagan, since George HW Bush was Vice President under Reagan

o Promised to not raise taxes: “Read my lips – no new taxes”

• Tiananmen Square (1989): students were protesting and wanting a pro-democracy country

however, the Chinese government did not agree and killed hundreds of people on live TV

• Breakup of the Soviet Union (1991): Communist party disbanded in Russia and there was an

attempt to establish a democracy with a free-market economy...Yeltsin is the new “president”

• Persian Gulf War (1990 – 1991): Iraq’s leader, Saddam Hussein, invaded Kuwait, supplied the US

and Europe with tons of oil – US gets involved along with the United Nations and have Operation

Desert Storm and Operation Desert Shield

William “Bill” Clinton Administration (1993 – 1999)

• North American Free Trade Agreement (NAFTA): singed into law by Clinton, creates a free trade

zone between United States, Canada, and Mexico

• Technology Boom: Companies such as Microsoft, Apple, Google, Amazon, etc. start to take off

during this time period – boom is fostered by public access to faster computers

• Impeachment: (1998): House of Representatives voted to impeach Clinton on 2 accounts,

perjury and obstruction of justice – hiding the Monica Lewinsky affair and lying about it under

oath. Senate did not get the majority to remove him from office so he finished his term.

George W. Bush Administration (2000 – 2008)

• Election of 2000: Al Gore (D) vs. George W Bush (R), Gore won the popular vote, but Bush won

the electoral college vote – Gore asked for a recall in Florida specifically b/c had issues with ballets

o Bush v. Gore (Supreme Court Case): Supreme Court ruled in favor of Bush, by saying that

there was not enough evidence to support a recall so end result stayed the same

• No Child Left Behind Act: intended to improve student performance and to close the gap between

lower class students and upper class students – School of Choice comes from this act

• War on Terrorism: Middle East had been a hub for terroristic groups such as Al-Qaeda and Osama

bin Laden – this came to a head on September 11, 2001

o 9/11: Hijacked planes ran into high populated areas throughout the US – Twin Towers in

NYC, Pentagon, and a field in Pennsylvania (intended for White House)

o War in Afghanistan: US troops invade Afghanistan where it is believed that Osama bin

Laden is hiding out with the support of the Taliban (Islamic fundamentalist running the

government in Afghanistan)

o Operation Iraqi Freedom: US troops invade Iraq for fear that Saddam Hussain has WMD’s