Objectives: What are the differences between

conservatives and liberals? Why did the conservative movement

gain so much influence during the 1980s?

What is Reaganomics and was it effective in reducing unemployment, inflation and the size of government?

Reagan and Reaganomics

“Government is not the solution to our problem. Government is the problem.”

“Supply creates its own demand.”

"Only by reducing the growth of government can we increase the growth of the economy.”

(All of these quotes are by Ronald Reagan)

Basic Differences

the government should regulate the economy to protect people from the power of large corporations & wealthy elites

The gov’t should help disadvantaged Americans through social programs and by making the wealthy pay more taxes

Support high taxes on the wealthy = taxes weaken the power of the rich and the gov’t can transfer the wealth to others to keep society equal

Opposed to the gov’t supporting or endorsing religious beliefs

Believe that most social problems are caused by economic inequality

The government should stay out of regulating the economy because it makes it less efficient, causing less wealth and more poverty

Oppose high taxes that transfer the wealth from the rich to those who are less wealthy

That taxes and gov’t programs take away people’s incentive to work harder

Believe that religious faith is important in sustaining society and that most social problems result from issues of morality and character

Liberals believe: Conservatives believe:

The Sunbelt = new industrial region in the West and Deep South-Move there b/c there is less unemployment and pollution there-Americans in the Sunbelt oppose high taxes and federal regulations that interfere with their region’s growth

The Sunbelt

Conservatism Gains Support The New Right = turn to conservatism

because they fear society has lost its traditional values Oppose the passage of Roe v. Wade, oppose

limiting prayer in school, and oppose the feminist movement

Televangelists = evangelical ministers who participated in a religious revival after WWII with the use of the television Pat Robertson, Jerry Falwell Help bring new voters to the conservative side

Between 1937 and 1962, Reagan made over 50 movies

-Learned skills like how to speak publicly and project an image

Ran for governor of California in 1966; won the election and was reelected in 1970

1980 Election

Campaign tactics: 1) Appeal to those who are frustrated with the

economy 2) Promised to cut taxes, increase defense

spending, and support a constitutional amendment to ban abortion Helped him win conservative voters

Won 51% of popular vote and 489 electoral votes Republicans also gained control of the Senate

2 Ideas for Fixing the Country’s Economy

Monetarists = inflation was caused by too much money in circulation = fix it by raising interest rates

Supply-side Economics = economy was weak because taxes were too high, so lowering taxes will boost the economy people will invest and have more $$ to spend

Reaganomics is a combination of both

Reaganomics

1) Budget Cuts: Deregulation = cutting back the Federal

Government = letting businesses have more freedom

Funding cut to programs that helped the poor, ex: food stamps, welfare

2) Tax Cuts: Cut taxes by 25% = increases the budget deficit =

when you spend more than what you have coming in 3) Increase Defense Spending:

1981-1984 doubled defense budget Strategic Defense Initiative (SDI) = nicknamed

“Star Wars”= Keep us safe from other countries’ missiles

Reaganomics

Reaganomics, Good: People had new confidence in Reagan and the

economy = went out and spent $$, economy improved

Reaganomics, Bad: Tax cuts = usually helps the rich while budget cuts

hurt poor people “trickle-down economics” = help out businesses

and the rich = only a little bit of wealth would “trickle down” to average Americans

Election of 1984

1981 = assassination attempt Reagan helped the economy = very

popular

Reagan/Bush vs. Walter Mondale/Geraldine Ferraro (1st woman on Presidential Ticket)