Domestic and Foreign Policy Developments Under the Bush and Obama Administrations

The Turn of the Millennium and Presidential Transitions

• On December $31$, $1999$, global celebrations occurred in public parks, restaurants, and homes to mark the arrival of a new year and the start of the new millennium.
• A significant concern during this countdown was the "Y2K bug," a potential massive glitch where computer programs coded for years $1900$ through $1999$ might fail to recognize the year $2000$.
• Despite anxieties that the bug would scramble global computer systems as clocks struck January $1$, $2000$, computers continued to function without the anticipated disaster.
• The new millennium coincided with the administrations of two presidents:
  • George W. Bush: Served from January $2001$ to January $2009$.
  • Barack H. Obama: Served from January $2009$ to January $2017$.
• George W. Bush was inaugurated on January $20$, $2001$. His early presidency was defined by the terrorist attacks of September $11$, $2001$, the declaration of the War on Terror, and leading the United States into two foreign conflicts.
• Beyond foreign policy, the Bush administration faced significant domestic issues across political, economic, social, and technological domains.

Economic Policy and Supply-Side Principles Under George W. Bush

• President Bush implemented economic policies based on supply-side economics, a principle previously championed by Republican President Ronald Reagan in the $1980$s.
• Theory of Supply-Side Economics: This principle suggests that the most effective way to stimulate economic growth is through tax cuts. The logic is that businesses will have more capital to invest and pay workers, and consumers will have more disposable income to spend on goods.
• The administration's goals included growing businesses and reducing government spending.
• Priorities for Public Services:
  • The administration supported funding for military defense.
  • The administration sought to reduce support for social welfare and environmental protection.
• Tax Relief Legislation:
  • On June $7$, $2001$, Bush signed the Economic Growth and Tax Relief Reconciliation Act to lower income tax rates.
  • With the Republican Party controlling both the White House and Congress, they passed a tax cut totaling $1.35 \text{ trillion}$.
  • In $2003$, Bush signed another tax cut that extended and increased previous cuts, specifically targeting income from investments.
• Controversy of Tax Policy:
  • Critics on the left argued that while most people saw reductions, the highest-income individuals received the largest cuts, widening the wealth gap.
  • Example: In $2005$, the CEO of Walmart earned approximately $15 \text{ million}$, which was about $950$ times the earnings of the company’s average sales worker.
  • Opponents claimed average workers had fewer resources for goods, services, and higher education needed for better-paying jobs.
• The Budget and National Debt:
  • Critics on the right were concerned that tax cuts would prevent a "balanced budget" (avoiding spending more than is earned).
  • The national debt increased due to reduced tax revenue combined with higher spending on homeland security, social programs, and the wars in Afghanistan and Iraq.

Social Reform and Education Policy Under Bush

• Faith-Based Initiatives and School Choice:
  • In $2003$, Bush approved federal funding for "faith-based" or religious charities providing direct aid and setting up charter schools (private groups running federally funded schools).
  • The administration promoted school vouchers, allowing parents to use public funds to move children from underperforming public schools to private schools.
  • The US Supreme Court case Zelman v. Simmons-Harris ($2002$) ruled that voucher funding does not violate constitutional law.
• Education Reform:
  • The administration aimed to close the "education gap" based on claims that US students were lagging behind international peers.
  • The No Child Left Behind (NCLB) Act was passed by Congress and signed in January $2002$.
  • NCLB established a system of testing to measure performance in reading and math.
  • Federal funding became dependent on participation in testing; schools with consistently poor performance faced federal intervention, including changes to curricula and teaching staff.

Immigration Policy and the Department of Homeland Security

• Immigration Statistics: The number of immigrants living in the US rose from more than $31 \text{ million}$ in $2001$ to $38 \text{ million}$ in $2008$.
• Policy Stance: While Bush praised the contributions of immigrants, he and other leaders spoke against illegal immigration and sought to reduce the number of undocumented individuals.
• Legislative Action:
  • In $2002$, Bush signed laws increasing funding for immigration enforcement.
  • Immigration agencies were moved under the jurisdiction of the Department of Homeland Security.
  • The House of Representatives sparked debate by approving a bill to make undocumented status a felony and making it illegal to hire or knowingly aid undocumented immigrants.

Major Domestic Crises: Natural Disasters and Economic Collapse

• Hurricane Katrina (August $2005$):
  • At its peak, it was a Category $5$ storm; it weakened to Category $3$ upon reaching New Orleans.
  • Meteorological Data: The storm diameter was reportedly $400 \text{ miles}$ with winds up to $175 \text{ miles per hour}$.
  • Destruction: New Orleans levees (flood walls) failed on August $29$, flooding the city. Approximately $1,500$ people died.
  • Aftermath: A refugee crisis ensued with lacks in clean water, food, housing, and medical care. Thousands sheltered in the New Orleans Superdome, and $250,000$ sought refuge in Houston, Texas. Total displacement reached about $1 \text{ million}$ people.
  • Criticism: The Federal Emergency Management Agency (FEMA) was heavily criticized for a slow and inadequate response.
• The Great Recession:
  • The $2001$ recession was caused by the collapse of the internet technology bubble, leading to market drops and job losses in manufacturing.
  • A more severe crisis began in late $2007$; by $2008$ and $2009$, $4 \text{ million}$ Americans were unemployed.
  • Response: The Bush administration provided emergency loans (often called "bailouts") to the banking and automotive industries to stabilize the economy.

The $2008$ and $2012$ Presidential Elections

• The $2008$ Election:
  • Barack H. Obama, an African American US Senator who gained fame from a $2004$ convention speech, was elected the $44$th president.
  • Results: Obama (Democratic) won $365$ electoral votes and $69,498,516$ popular votes. John McCain (Republican) won $173$ electoral votes and $59,948,323$ popular votes.
  • States won by Obama: Washington, Oregon, California, Nevada, Colorado, New Mexico, Minnesota, Iowa, Wisconsin, Illinois, Indiana, Michigan, Ohio, Pennsylvania, New York, New Jersey, Connecticut, Rhode Island, Massachusetts, Vermont, New Hampshire, Maine, Delaware, Maryland, Virginia, North Carolina, Florida, and Hawaii (plus the District of Columbia).
  • States won by McCain: Alaska, Idaho, Utah, Arizona, Montana, Wyoming, North Dakota, South Dakota, Nebraska, Kansas, Oklahoma, Texas, Missouri, Arkansas, Louisiana, Mississippi, Alabama, Georgia, South Carolina, Tennessee, Kentucky, and West Virginia.
• Factors for Obama's Victory: Public frustration with the wars in Iraq and Afghanistan, the handling of Hurricane Katrina, and the Great Recession.
• The $2012$ Election:
  • Obama defeated Republican challenger Mitt Romney, former governor of Massachusetts.
  • The race focused on the economy, healthcare (the Affordable Care Act), and job creation.

The Obama Administration's Response to the Great Recession

• Bailouts and Stabilization:
  • Obama oversaw the distribution of $7.77 \text{ trillion}$ to banks, investment firms, and automakers.
  • Specifically, he negotiated $80 \text{ billion}$ to help Chrysler and General Motors restructure to prevent layoffs and wage cuts.
  • By $2011$, the automakers had recovered and earned a profit; by $2013$, they repaid more than $50 \text{ billion}$ of the funds.
• American Recovery and Reinvestment Act of $2009$ (ARRA):
  • A package of almost $800 \text{ billion}$ in tax cuts and investments designed to stimulate the economy.
  • Recovery Speed: Unemployment rose above $5\%$ in $2007$ and did not drop back below that level until $2015$. Household incomes did not fully recover until $2016$.

The Patient Protection and Affordable Care Act (ACA)

• Context: When Obama took office, over $50 \text{ million}$ Americans lacked health insurance.
• Enactment: Passed in $2010$, the ACA (Obamacare) represented the first major overhaul since Medicaid in $1965$.
• Key Components:
  • Access to affordable insurance for all Americans.
  • Barring insurance companies from denying coverage for pre-existing conditions.
  • The individual mandate: a requirement for everyone in the US to have health insurance.
  • Creation of government-funded private insurance exchanges.
• Opposition: Critics disliked the insurance requirement, the high cost for some, and the fact that it forced some to change their existing plans.

Social Policy Advancements and Immigration under Obama

• Education Reform:
  • In $2015$, the Every Child Succeeds Act (ECSA) replaced NCLB, reducing standardized testing and expanding preschool access.
  • The administration increased Pell Grant limits for college and worked with Congress in $2013$ to lower student loan interest rates.
• Immigration and Dreamers:
  • The Dream Act (originally proposed in $2001$) aimed to provide a path to citizenship for children of undocumented immigrants but failed to pass repeatedly.
  • Deferred Action for Childhood Arrivals (DACA): Established by executive action in $2012$. It is not a law and does not provide citizenship. It prevents the deportation of approved applicants and grants work authorization.
  • Statistics: As of $2018$, $800,000$ "Dreamers" had DACA protection, though researchers estimate up to $3.6 \text{ million}$ children of undocumented immigrants live in the US.

Gun Control, The Second Amendment, and School Safety

• The transcript notes the text of the Second Amendment regarding the right to keep and bear arms.
• Columbine High School Shooting ($1999$): Two teens killed $13$ people, starting a trend of school shootings committed by young people with mental health issues.
• Stats: Over the course of $15$ years following Columbine, the US saw $53$ shootings or attempted shootings at schools.

Questions & Discussion

• Video Analysis: What factors won over American voters for Barack Obama?
• Research Prompt: Conduct a safe internet search to learn how Obama's reelection campaign in $2012$ differed from his first campaign in $2008$.
• Self-Reflection: Consider your own background and how immigration (if not Native American) has affected your family tree and ancestors.