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Chapter 30: The Conservative Ascendancy

Chapter 30: The Conservative Ascendancy. 1974-1987. I. The Overextended Society. 1970s. Stagflation: increased prices and unemployment along with decreased economic activity 2. Oil embargo = Gas doubles Rationing Dept. of Energy Speed/daylight Local gov’t solutions prices increase.

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Chapter 30: The Conservative Ascendancy

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  1. Chapter 30: The Conservative Ascendancy 1974-1987

  2. I. The Overextended Society 1970s

  3. Stagflation: increased prices and unemployment along with decreased economic activity 2. Oil embargo = Gas doubles Rationing Dept. of Energy Speed/daylight Local gov’t solutions prices increase 3. Outsourcing A. A Troubled Economy

  4. Oil Crisis of 1973

  5. A. A Troubled Economy (con’t) • Women in the workforce • Married w/children • Pay: from $.64 to $.59

  6. Population shifts – Why? Sunbelt Snowbelt/rustbelt B. Sunbelt/Snowbelt

  7. Pardons Nixon WIN? Whip Inflation Now Effectiveness? Republican C. Gerald Ford (1974-1977)

  8. “Outsider” deregulated airline industry Banks unsupervised Inflation at its worst College tuition at a all time high Democrat C. Jimmy Carter ( 1977-1981)

  9. D. Urban Politics • local level participation • AA politicians increased • Fiscal crisis of ’70s • Politicians ineffective • Job programs ineffective • Affirmative Action = “reverse” discrimination

  10. D. Urban Politics (con’t) • Conservative candidates a. law-abiding b. hard-working c. tax-paying majority

  11. Three Mile Island, Pa. Love Canal, NY. Florida Everglades Silent Spring: DDT/pesticides Results Earth Day: April 22 Recycling Decreased meat consumption Personal gardens; organic Environmental groups E. Endangered Environment

  12. II. The New Conservatism 30.2

  13. A. The New Right “Moral majority” Televangelists Jerry Falwell Jesse Helms: ok w/ KKK, segregation, tobacco companies, Watergate, pollution from cars Anti-MLK Becomes Senator of North Carolina II. The New Conservatism

  14. 1. For Balanced budget Amend. School prayers Death penalty 2. Against Gov’t funded day care Reforms establishing educational equity Social services for battered women and single moms Equal Rights Amendment B. Anti-ERA, Anti-abortion

  15. Phyllis Schlafly C. Equal Rights Amendment

  16. Argument: Crime for state to allow abortions Result: Women have the right to choose Stipulations based on trimester of pregnancy D. Roe v. Wade (1973)

  17. Personal well-being Emotional security Therapy Health and fitness E. “The Me Decade”

  18. 30.3: Adjusting to a New World

  19. A. A Thaw in the Cold War • Both US and SU’s economy suffering • Deficit spending • Nat’l debt • 1950 - $257 B • 1980 - $908 B • Late 1970s • Decreased productivity, personal savings and skilled workforce • inflation

  20. Started with Ford, ended with Carter Not ratified by US due to SU invasion of Afghanistan B. SALT II

  21. No economic support for violations of human rights Brazil Argentina Chile S. Africa CIA reforms: too much corruption Camp David Accords (see next slide) Return of Panama Canal 2000 to Panama C. Foreign Policy & “Moral Principles”

  22. Egypt recognizes Israel's rights to exist Shared Nobel Peace prize amongst Begin and Sadat. Return of the Sinai Peninsula; stop Israeli settlements in the Sinai but continued in other disputed areas Sadat assassinated: killed by an Egyptian extremist Begin, Carter, el-Sadat D. Camp David Accords (1978)

  23. Shah Phalavi American Hostages Ayatollah Khomeini

  24. E. Iran Hostage Crisis • Overthrow of Shah Phalavi by fundamentalists • Led by Ayatollah Khomeini • US allows shah entry into US due to cancer treatment = hostage situation Current: Ali Khamene’i

  25. Landslide win Supported by “moral majority” and Jesse Helms Voter turn out – about 50% F. Ronald Reagan (1981-1989)

  26. 30.4 Reagan

  27. From Illinois Actor turned politician anticommunist Gov. of California Decreased state welfare Decreased state employees Income on tax revenues shared w/local gov’t Spoke out against student protesters during V. war A. “The Great Communicator”

  28. Reaganomics 1. Supply-side economics • Increase production by decreasing taxes and deregulating industries, not by cutting spending. • Consumers will then benefit from a greater supply of goods and services at lower prices. • Industry will then have more money to: • Invest • hire employees, therefore, putting more money into the economy • Resulting in more people to tax on income

  29. C. Economic Recovery Tax Act 1981 • Decrease income and corporate taxes • Decrease max. tax on income from 70% to 50% • Decrease max. capital gains tax from 25% to 20% (when you are investing, the profits that you make will now be taxed at a lower rate) • No distinction between earned and unearned income (inheritance/gifting income usually taxed at a higher rate)

  30. D. Methods of increasing productivity during the Reagan years • Decrease regulations on EPA standards, workplace safety and consumer protection! • Deregulated industries, esp. car pollution standards • Develop reserved wildlife lands and wetlands • Encourage speculation in market trading (reality = corruption)

  31. Reagan’s Recession, Recovery, & Fiscal Crisis • Highest debt ever! Rich are getting richer! • 1982 recession: Unemployment @ > 11% • National debt has tripled • 1980 - $914 Billion • 1989 - $2.7 Trillion • Today - $15.5 trillion! ($50,098.50 paid by every man, woman, and child to pay off! ) • Interest on debt was 14% of federal budget; only allotted for 7% • We are the world’s biggest debtor nation!

  32. F. Reagan Doctrine • Instability in underdeveloped countries due to influence of communism in Grenada and Nicaragua

  33. “Arms-for-hostage” deal US selling arms to Iran so they can fight Iraq US gives money from arms sales to Nicaraguan Contras to help overthrow the Sandinistas Violates the Boland Amendment – no aid to contras of Nicaragua G. Iran-Contra Scandal

  34. 1. Mikhail Gorbachev (1985) Economic and political reforms via glasnost (openness= more freedoms; most speech) and perestroika (restructuring= move towards capitalism) Stopped the arms race Freed dissidents from prison Wall falls on November 9, 1989 Gorbachev resigns Dec. 25, 1991 H. Collapse of Communism

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