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UNIT 13

UNIT 13. THE SEVENTIES, EIGHTIES, AND THE END OF THE COLD WAR. NIXON ADMINISTRATION: ECONOMIC POLICY (1969-1974). Nixonomics Devolution shift responsibility for social problems and programs to state and local governments inflation ignited by spending for the Vietnam War

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UNIT 13

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  1. UNIT 13 THE SEVENTIES, EIGHTIES, AND THE END OF THE COLD WAR

  2. NIXON ADMINISTRATION: ECONOMIC POLICY (1969-1974) Nixonomics • Devolution • shift responsibility for social problems and programs to state and local governments • inflation • ignited by spending for the Vietnam War • forced Nixon to impose price and wage controls

  3. NIXON ADMINISTRATION: FOREIGN POLICY (1969-1974) Soviet Union • Détente • Nixon and Kissinger’s attempt to relax tensions between the US and USSR • use American trade (grain and technology) to create incentives for Soviet cooperation • use China as leverage • 1972 Nixon visit (“Opening China”) • Achievements: • SALT I Treaty—significant first step towards arms control • limited antiballistic missiles (ABM’s) • froze offensive ballistic missiles for five years

  4. SALT I

  5. NIXON “OPENS” CHINA

  6. NIXON ADMINISTRATION: FOREIGN POLICY (1969-1974) Vietnam • Nixon’s withdrawal plan • Vietnamization • renewed bombing • hard-line in negotiations with North Vietnam • truce signed on Jan. 27, 1973 • essentially a disguised surrender

  7. NIXON ADMINISTRATION: FOREIGN POLICY (1969-1974) Middle East • The October War (Yom Kippur War), Oct 6, 1973 • Syria and Egypt launched a surprise attack on Israel • first Oil Shock • Arab oil producers responded by cutting the world oil supply

  8. WATERGATE Watergate Scandal exposed widespread abuses of executive power with in the Nixon Administration • creation of a “plumbers” unit to stop leaks coming from the government • preparation of an “enemies” list who would be targeted by the IRS and other executive enforcement agencies • use of “dirty tricks” to harass and embarrass the Democratic opposition • culminated in the Watergate burglary

  9. WATERGATE The Cover Up • Nixon orchestrated a criminal cover-up of the burglary and the other activities of the plumbers • investigations by a Senate Committee and aof a special prosecutor (Archibald Cox) • revealed a taping system in the Oval Office • Supreme Court denies executive privilege • Nixon’s resignation (August 9, 1974)

  10. CARTER ADMINISTRATION: ECONOMIC POLICY (1977-1981) Oil shocks • OPEC (Organization of Oil Exporting Countries) • First oil shock: • retaliation for Yom Kippur War • huge gas lines • spike in gasoline prices (35C to 65C) • Second oil shock (Iranian Revolution) • worst recession since World War II • exposed U.S. dependence on fossil fuels (energy security) • stagflation • high interest rates • shift of American economy from manufacturing to service • decline of American industry • demographic shift from Rustbelt to Sunbelt

  11. CARTER ADMINISTRATION: FOREIGN POLICY (1977-1981) Middle East • Camp David Accords (1978) • Israel and Egypt established a framework for negotiations between the two nations • Anwar Sadat and Menachem Begin • 1979—Israel and Egypt treaty • Israel would gradually return the Sinai Peninsula to Egypt • did not specifically address the Palestinians • excluded the PLO and Soviets from negotiations

  12. CAMP DAVID ACCORDS

  13. CARTER ADMINISTRATION: FOREIGN POLICY (1977-1981) Middle East • Iranian Revolution • US-backed Shah overthrown by fundamentalist Islamists led by the Ayatollah Khomeini • militants seized the US embassy, taking 53 Americans hostage for 444 days • caused Second oil shock • more gas lines and price increases • exposed decline of American power • failed rescue mission (April 1980) • helplessness of the Carter Administration

  14. IRANIAN HOSTAGE CRISIS

  15. IRANIAN HOSTAGE CRISIS

  16. CARTER ADMINISTRATION: FOREIGN POLICY (1977-1981) Latin America • Panama Canal Treaty • transferred sovereign control of the Panama Canal Zone back to Panama • gradual transference of responsibility for operating the canal to Panama • Nicaragua • Anastasio Somoza overthrown by communist Sandanista movement • Sandanistas then moved into the Cuban camp • human rights agenda

  17. CARTER ADMINISTRATION: FOREIGN POLICY (1977-1981) Soviet Union • abandonment of detente • Carter’s emphasis on human rights approach • influence of NSC advisor Zbigniew Brzezinki’s • SALT II Treaty (1979) • placed a ceiling on nuclear delivery systems for each side • signed by Carter, rejected by the Senate • resulted, along with other policies, the speeding up of the nuclear arms race (MX Missile, Trident submarine, etc.) • continued to use China as leverage against the Soviets • reestablished formal diplomatic relations in 1979 • Soviet invasion of Afghanistan • boycott of grain and technology sales, 1980 Olympic games

  18. 1980 OLYMPIC BOYCOTT

  19. REAGAN ADMINISTRATION (1981-1989) Major trends in Reagan’s election: • the New Deal coalition had fallen apart • the national drifted toward conservatism • population shift toward the Sunbelt worked in the Republican’s favor

  20. PRESIDENT RONALD REAGAN

  21. REAGAN ADMINISTRATION: ECONOMIC POLICY (1981-1989) Reaganomics (“supply-side” economics) • reduced taxation and regulation • would ignite economic growth • increase business investment, job creation, increased consumer demand • short-term deficits, but long-term tax surpluses • reduce federal spending • left Social Security and Medicare untouched • tired to reduce the role of government

  22. REAGAN ADMINISTRATION: ECONOMIC POLICY (1981-1989) Results: • fall 1982-1983 (major recession) • followed by an extended recovery (summer 1983-1991) • consumers spending increased • inflation fell to acceptable levels (4%) • business profits increased • business investment increased • stock market boom • huge budget deficits • driven by increased defense spending and decreased government revenues • increased income inequality • decline in blue collar, industrial jobs • rapid increase in white collar service jobs

  23. REAGAN ADMINISTRATION: ECONOMIC POLICY (1981-1989) “Government is not the solution to our problems, government is the problem.” • reduce federal spending • targeted social services like food stamps, student loans, urban transit funds, public sector jobs, etc. • deregulation • limit discretionary power of government agencies • James Watt (Interior Secretary) • opening of federal lands for oil drilling • firing of Air Traffic Controllers (“bust up the union”)

  24. REAGAN ADMINISTRATION: FOREIGN POLICY (1981-1989) • Soviet Union (“The Evil Empire”) • hard-line policy toward the Soviets • huge increases in the military budget • B-1 bomber, MX missile, naval expansion • US nuclear missiles in Germany and Britain (572) • Strategic Defense Initiative (SDI)—“Star Wars”

  25. STRATEGIC DEFENSE INITATIVE (SDI)

  26. REAGAN ADMINISTRATION: FOREIGN POLICY (1981-1989) Mikhail Gorbachev (1995) • elevated to leader of the Soviet Union • wanted to improve relations with the U.S. to shift resources from defense to the Soviet economy • perestroika (restricting the Soviet economy) • glasnost (political openness) • extricate the Soviets from Afghanistan • 1987 INF Treaty • US and Soviets agree to remove and destroy all intermediate-range missiles • agree to on-site verification inspections

  27. MIKHAIL GORBACHEV

  28. REAGAN ADMINISTRATION: FOREIGN POLICY (1981-1989) Latin America • Nicaragua • Sandanistas alliance with Cuba and the Soviets • CIA provided funds, intelligence, and training for the Contras to overthrow the Sandinista regime • outlawed by Congress in 1984 (Boland Amendment) • Grenada (1983)

  29. REAGAN ADMINISTRATION: FOREIGN POLICY (1981-1989) Middle East • Israel and Egypt finished the transfer of the Sinai Peninsula in 1982 • Reagan failed in his pursuit a Palestinian homeland • Israel had continued to establish Jewish settlement there instead • Palestinian Liberation Organization (PLO) attacks against Israel from southern Lebanon • international force (US, Italy, French) sent in to permit the PLO to evacuate to Tunisia • Marine barracks bombing

  30. YASSER ARAFAT

  31. LEBANON MARINE CORPS BARRACKS BOMBING (1983)

  32. IRAN-CONTRA AFFAIR (1985-1986) • an Iranian-backed terrorist group (Hezbollah) took six Americans hostage in Lebanon • Reagan approves selling arms to Iran in return for their help in getting the hostages released • Iran needed weapons in its war against Saddam Hussein’s Iraq • US wanted to relations with “moderate” elements in Iran • profits from the arms sales diverted to support the Contras in Nicaragua • badly damaged the Reagan Administration

  33. REAGAN ADMINISTRATION: DOMESTIC POLICY (1981-1989) AIDS epidemic (HIV) • outbreak caught the American public, all levels of government, and the medical community by surprise • Administration’s response was slow and ineffective • “gay” problem • deficit concerns • leadership came from the Surgeon General, C. Everett Koop

  34. REAGAN ADMINISTRATION: DOMESTIC POLICY (1981-1989) • epidemic grew by the late 1980’s • contraction by famous • Rock Hudson (1985), Magic Johnson (1992) • Nov 1983 (2803 cases, 1416 deaths) • mid-1985 (12,000 cases, more than 6,000 deaths) • 1987 (50,000 cases) • mid-1989 (100,000 cases) • mid-1996 (more than 500, 000) • 345,000 total deaths by 1996

  35. BUSH ADMINISTRATION(1989-1993) ENDING OF THE COLD WAR: • Tiananmen Square (May 1989) • month-long demonstrations by pro-democracy students in China • crushed by the Chinese government in June • hundreds killed, thousands injured • imposed martial law and jailed any dissenters

  36. TIANAMEN SQUARE (1989)

  37. BUSH ADMINISTRATION(1989-1993) • however, liberation impulse had spread to eastern European communist regimes • mid-1989-Solidarity’s Lech Walesa came to power in free elections (Poland) • Sept 1989--Hungary opened its borders • governments of E. Germany, Czechoslovakia, Bulgaria, and Romania fall • Nov. 1989-Berlin Wall • Gorbachev refused to use Soviet military power to keep the communist regimes in power

  38. BERLIN WALL FALLS (1989)

  39. LECH WALESA

  40. BUSH ADMINISTRATION(1989-1993) Fall of the Soviet Union • Aug 9, 1991—8 right-wing plotters in the Politburo attempted to seize control from Gorbachev • Red Army failed to side with the plotters and coup failed • Gorbachev resigned and the Soviet Union dissolved

  41. BORIS YELTSIN

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