<< Chapter < Page Chapter >> Page >
By the end of this section, you will be able to:
  • Explain Ronald Reagan’s attitude towards government
  • Discuss the Reagan administration’s economic policies and their effects on the nation
A timeline shows important events of the era. In 1980, Ronald Reagan is elected president; a portrait of Reagan is shown. In 1981, President Reagan is wounded in an assassination attempt; a photograph of Reagan lying on the ground surrounded by people is shown. In 1982, the Equal Rights Amendment dies after not achieving the required ratification. In 1987, Reagan addresses the Iran-Contra scandal. In 1989, the Berlin Wall falls; a photograph of a part of the Berlin Wall is shown. In 1991, Operation Desert Storm begins in the Persian Gulf, and the Internet opens to commercial use; a photograph of George H. W. Bush greeting troops in the Persian Gulf is shown. In 1992, William J. Clinton is elected. In 1993, Congress approves the North American Free Trade Agreement. In 1994, Republicans draft the Contract with America. In 1995, Timothy McVeigh bombs a federal building in Oklahoma City; a photograph of the bombed building is shown. In 1998, the U.S. House of Representatives impeaches President Clinton; a photograph of the impeachment proceedings is shown.

Ronald Reagan entered the White House in 1981 with strongly conservative values but experience in moderate politics. He appealed to moderates and conservatives anxious about social change and the seeming loss of American power and influence on the world stage. Leading the so-called Reagan Revolution, he appealed to voters with the promise that the principles of conservatism could halt and revert the social and economic changes of the last generation. Reagan won the White House by citing big government and attempts at social reform as the problem, not the solution. He was able to capture the political capital of an unsettled national mood and, in the process, helped set an agenda and policies that would affect his successors and the political landscape of the nation.

Reagan’s early career

Although many of his movie roles and the persona he created for himself seemed to represent traditional values, Reagan’s rise to the presidency was an unusual transition from pop cultural significance to political success. Born and raised in the Midwest, he moved to California in 1937 to become a Hollywood actor. He also became a reserve officer in the U.S. Army that same year, but when the country entered World War II, he was excluded from active duty overseas because of poor eyesight and spent the war in the army’s First Motion Picture Unit. After the war, he resumed his film career; rose to leadership in the Screen Actors Guild, a Hollywood union; and became a spokesman for General Electric and the host of a television series that the company sponsored. As a young man, he identified politically as a liberal Democrat, but his distaste for communism, along with the influence of the social conservative values of his second wife, actress Nancy Davis, edged him closer to conservative Republicanism ( [link] ). By 1962, he had formally switched political parties, and in 1964, he actively campaigned for the Republican presidential nominee Barry Goldwater.

An album jacket shows a photograph of a smiling Ronald Reagan in a relaxed pose. Beside him are the words “RONALD REAGAN speaks out against SOCIALIZED MEDICINE.”
In 1961, when Congress began to explore nationwide health insurance for the elderly under Social Security, Reagan made a recording for the American Medical Association in which he denounced the idea—which was later adopted as Medicare—as “socialized medicine.” Such a program, Reagan warned his listeners, was the first step to the nation’s demise as a free society.

Reagan launched his own political career in 1966 when he successfully ran for governor of California. His opponent was the incumbent Pat Brown, a liberal Democrat who had already served two terms. Reagan, quite undeservedly, blamed Brown for race riots in California and student protests at the University of California at Berkeley. He criticized the Democratic incumbent’s increases in taxes and state government, and denounced “big government” and the inequities of taxation in favor of free enterprise. As governor, however, he quickly learned that federal and state laws prohibited the elimination of certain programs and that many programs benefited his constituents. He ended up approving the largest budget in the state’s history and approved tax increases on a number of occasions. The contrast between Reagan’s rhetoric and practice made up his political skill: capturing the public mood and catering to it, but compromising when necessary.

Questions & Answers

it is the relatively stable flow of income
Chidubem Reply
what is circular flow of income
Divine Reply
branches of macroeconomics
SHEDRACK Reply
what is Flexible exchang rate?
poudel Reply
is gdp a reliable measurement of wealth
Atega Reply
introduction to econometrics
Husseini Reply
Hi
mostafa
hi
LEMLEM
hello
Sammol
hi
Mahesh
bi
Ruqayat
hi
Ruqayat
Hi fellas
Nyawa
hey
Sammol
hi
God
hello
Jahara
Good morning
Jorge
hi
abubakar
hi
Nmesoma
hi
Mahesh
Hi
Tom
Why is unemployment rate never zero at full employment?
Priyanka Reply
bcoz of existence of frictional unemployment in our economy.
Umashankar
what is flexible exchang rate?
poudel
due to existence of the pple with disabilities
Abdulraufu
the demand of a good rises, causing the demand for another good to fall
Rushawn Reply
is it possible to leave every good at the same level
Joseph
I don't think so. because check it, if the demand for chicken increases, people will no longer consume fish like they used to causing a fall in the demand for fish
Anuolu
is not really possible to let the value of a goods to be same at the same time.....
Salome
Suppose the inflation rate is 6%, does it mean that all the goods you purchase will cost 6% more than previous year? Provide with reasoning.
Geetha Reply
Not necessarily. To measure the inflation rate economists normally use an averaged price index of a basket of certain goods. So if you purchase goods included in the basket, you will notice that you pay 6% more, otherwise not necessarily.
Waeth
discus major problems of macroeconomics
Alii Reply
what is the problem of macroeconomics
Yoal
Economic growth Stable prices and low unemployment
Ephraim
explain inflationcause and itis degre
Miresa Reply
what is inflation
Getu
increase in general price levels
WEETO
Good day How do I calculate this question: C= 100+5yd G= 2000 T= 2000 I(planned)=200. Suppose the actual output is 3000. What is the level of planned expenditures at this level of output?
Chisomo Reply
how to calculate actual output?
Chisomo
how to calculate the equilibrium income
Beshir
Criteria for determining money supply
Thapase Reply
who we can define macroeconomics in one line
Muhammad
Aggregate demand
Mohammed
C=k100 +9y and i=k50.calculate the equilibrium level of output
Mercy Reply
Hi
Isiaka
Hi
Geli
hy
Man
👋
Bahunda
hy how are you?
Man
ys
Amisha
how are you guys
Sekou
f9 guys
Amisha
how are you guys
Sekou
ys am also fine
Amisha
fine and you guys
Geli
from Nepal
Amisha
nawalparasi district from belatari
Amisha
nd u
Amisha
I am Camara from Guinea west Africa... happy to meet you guys here
Sekou
ma management ho
Amisha
ahile becheclor ho
Amisha
hjr ktm bta ho ani k kaam grnu hunxa tw
Amisha
belatari
Amisha
1st year ho
Amisha
nd u
Amisha
ahh
Amisha
kaha biratnagar
Amisha
ys
Amisha
kina k vo
Amisha
money as unit of account means what?
Kalombe
A unit of account is something that can be used to value goods and services and make calculations
Jim
all of you please speak in English I can't understand you're language
Muhammad
I want to know how can we define macroeconomics in one line
Muhammad
it must be .9 or 0.9 no Mpc is greater than 1 Y=100+.9Y+50 Y-.9Y=150 0.1Y/0.1=150/0.1 Y=1500
Kalombe
Mercy is it clear?😋
Kalombe
hi can someone help me on this question If a negative shocks shifts the IS curve to the left, what type of policy do you suggest so as to stabilize the level of output? discuss your answer using appropriate graph.
Galge Reply
if interest rate is increased this will will reduce the level of income shifting the curve to the left ◀️
Kalombe
Got questions? Join the online conversation and get instant answers!
Jobilize.com Reply

Get Jobilize Job Search Mobile App in your pocket Now!

Get it on Google Play Download on the App Store Now




Source:  OpenStax, U.s. history. OpenStax CNX. Jan 12, 2015 Download for free at http://legacy.cnx.org/content/col11740/1.3
Google Play and the Google Play logo are trademarks of Google Inc.

Notification Switch

Would you like to follow the 'U.s. history' conversation and receive update notifications?

Ask