In the late 1980s, the United States faced a series of international crises. The Cold War came to an end in Europe, but events in the Middle East soon led the United States into its first major war since Vietnam.
The Soviet Union Collapses
How did Gorbachev’s attempts to revive the Soviet Union’s economy lead to a revolution?
"My opponent won’t rule out raising taxes. But I will. And the Congress will push me to raise taxes and I’ll say ‘no.’ And they’ll push, and I’ll say ‘no,’ and they’ll push again, and I’ll say to them: ‘Read my lips: no new taxes.’"
—from his acceptance address at the Republican National Convention, August 18, 1988
The Democrats hoped to regain the White House in 1988 by promising to help minorities as well as working-class and poor Americans. Civil rights leader Jesse Jackson tried to create a “rainbow coalition” of those groups, and although unsuccessful, he became the first African American to make a serious run for the presidential nomination. The Democrats nominated Michael Dukakis, who was the governor of Massachusetts, but with Reagan’s endorsement and a strong economy, Bush easily won the general election. Though voters had focused on domestic issues during the election campaign, President Bush had to focus on foreign policy soon after taking office.
Revolution in Eastern Europe
As president, Bush continued Reagan’s policy of cooperation with Soviet leader Mikhail Gorbachev. By the late 1980s, the Soviet economy was suffering from years of inefficient central planning and huge expenditures on the arms race. To save the economy, Gorbachev instituted
, or “restructuring,” which allowed some private enterprise and profit making.Gorbachev also established
, or “openness,” to allow more freedom of religion and speech. Glasnost spread to Eastern Europe, and in 1989 revolutions replaced Communist rulers with democratic governments in Bulgaria, Czechoslovakia, Hungary, Poland, and Romania. At midnight on November 9, 1989, guards at the Berlin Wall opened the gates. Soon, bulldozers began leveling the symbol of Communist repression. East Germany and West Germany soon reunited.The End of the Soviet Union
A New World Order
How did the end of the Cold War lead to more global U.S. military conflicts?
After the Cold War, President Bush noted that a “new world order” was emerging. As he told Congress in a speech, “We stand today at a unique and extraordinary moment. . . . Out of these troubled times . . . a new world order . . . can emerge: a new era—freer from the threat of terror, stronger in the pursuit of justice, and more secure in the quest for peace.” The new world order introduced new military challenges around the globe. For example, U.S. troops led Operation Restore Hope, providing humanitarian assistance and famine relief to refugees in Somalia. Western aid had supported that country during the 1980s due to its strategic location near Middle Eastern oil fields, but with the end of the Cold War, its importance—and U.S. aid—had waned.
Tiananmen Square
Panama
In 1978 the United States had agreed to give Panama control over the Panama Canal by the year 2000. Because of the canal’s importance, American officials wanted to make sure Panama’s government was both stable and pro–United States. But by 1989, Panama’s dictator, General Manuel Noriega, was aiding drug traffickers and harassing American military personnel defending the canal. In December 1989, Bush ordered U.S. troops to invade Panama. The troops seized Noriega, who was sent to the United States to stand trial on drug charges. The troops then helped the Panamanians hold elections and organize a new government.
The Persian Gulf War
On January 16, 1991, coalition forces launched Operation Desert Storm. Cruise missiles and laser-guided bombs fell on Iraq, destroying its air defenses, bridges, artillery, and other military targets. After about six weeks, the coalition launched a massive ground attack. Thousands of Iraqi soldiers died. Fewer than 300 coalition troops were killed. Just 100 hours after the ground war began, Bush declared Kuwait to be liberated. Iraq accepted the cease-fire terms, and American troops returned home to cheering crowds.
Domestic Challenges
Why did President George H. W. Bush lose his bid for reelection in 1992?
President Bush spent much of his time dealing with foreign policy, but he could not ignore domestic issues. He inherited a growing deficit and a slowing economy. With the Persian Gulf crisis, the economy plunged into a recession and unemployment rose.
The Economy Slows
The huge deficit forced the government to borrow money to pay for its programs, keeping money from being available to businesses. The government also had to pay interest on its debt, using money that might otherwise have helped fund programs or boost the economy.
Many savings and loan institutions had collapsed, making the deficit worse. After President Reagan allowed them to be deregulated, many had made risky or even dishonest investments. When these investments failed, depositors collected from federal programs that insured deposits. The cost to the public may have reached $500 billion.
Gridlock in the Government
President Bush tried to improve the economy. He called for a cut in the
—the tax paid by businesses and investors when they sell stocks or real estate for a profit. Bush believed that the tax cut would encourage businesses to expand. Calling the idea a tax break for the rich, Democrats in Congress defeated it.Aware that the growing federal deficit was hurting the economy, Bush broke his “no new taxes” campaign pledge. After meeting with congressional leaders, he agreed to a tax increase in exchange for cuts in spending. This decision turned many voters against Bush.
The 1992 Election
The Democrats nominated Arkansas governor William Jefferson Clinton, despite stories that questioned his character and his evasion of military service. Calling himself a “New Democrat,” Clinton promised to cut middle-class taxes, reduce government spending, and reform the nation’s health care and welfare programs. His campaign repeatedly blamed Bush for the recession.
An independent candidate, billionaire Texas businessman H. Ross Perot, also made a strong challenge. He stressed the need to end deficit spending. His no-nonsense style appealed to many Americans, and a
—groups of people organizing at the local level—put Perot on the ballot in all 50 states.Clinton won the election with 43 percent of the popular vote and 370 electoral votes. Bush won 37 percent of the popular vote, and Perot 19 percent. The Democrats also
control of Congress.TEKS: 2D, 11A
TEKS: 2D, 11A
TEKS: 11D
Using Your Notes
TEKS: 2D, 11A
Answering the Guiding Questions
TEKS: 2D
TEKS: 2D, 11A
TEKS: 11D
Writing Activity
TEKS: 11D