1. REAGAN Reaganomics, Star Wars, and Jellybeans

2. REAGAN 1980: Reagan is elected President In his inaugural speech he says “In this present crisis, government is not the solution to our problems; government is the problem” In today’s government, do you agree or disagree?

4. REAGANOMICS “Reaganomics” was a term given by the media for Reagan’s ideas on how to fix the economy. Under Carter, stagflation occurred many people were put out of work. Stagflation- persistent high inflation combined with high unemployment and stagnant demand in a country's economy To fix this, Reagan employs trickle-down economics, or supply-side economics.

5. REAGANOMICS Tax cuts for incomes and businesses Ideally, more money in Americans’ pockets, especially big businesses, would create more jobs High interest rates Designed to cut down on inflation by making money more valuable Deregulation of businesses Increased military spending

8. IMPACT Caused inflation to increase in the early years Did not benefit the middle and lower classes because not enough jobs were created Wealthy were benefited even more Success is debatable Controlling the supply side of economics rarely creates new jobs and hiring and firing are part of the business cycle. Yet, the economy was on an upside in 1983

9. FOREIGN POLICY Escalates the Cold War Initiates the Reagan Doctrine which states that America would provide aid to anti-communist movements Leads to a massive build-up of nuclear arms 1983: Reagan announced the Strategic Defense Initiative (SDI), a plan to develop space-based weapons to protect America from attacks by Soviet nuclear missiles. “Star Wars” Ideally, we would have laser beams to shoot at the Soviets https://www.youtube.com/watch?v=4hGLBA65tZg

10. COLD WAR During his second term, Reagan forged a diplomatic relationship with the reform- minded Mikhail Gorbachev (1931-), who became leader of the Soviet Union after Khrushchev 1987: the Americans and Soviets signed a historic agreement to eliminate intermediate-range nuclear missiles. Reagan also spoke at Germany’s Berlin Wall, a symbol of communism. “Mr. Gorbachev, tear down this wall!” 2 years later, (1989) Gorbachev allowed the people of Berlin to dismantle the wall.

12. IRAN-CONTRA AFFAIR 1985: Iran makes a secret request to buy weapons from the U.S. Iran had been our sworn enemy Reagan agrees in order to get 7 American hostages back from Iran Arms-for-Hostages Money from the secret sale was funneled into Nicaragua to support the Contras Contras v. Sandinistas (backed by Cuba)

14. IMPACT Lebanese newspaper print an exposé on the scandal Many government officials are tried, some convicted Reagan denies knowing about the money being funneled to Nicaragua Court cannot prove that he was aware of what his advisers were doing Hurts Reagan’s image, but he rebounds.

16. LEAVING OFFICE When Reagan left office, he had the highest approval rating since FDR 1994: Reagan revealed in a handwritten letter to the American people that he had been recently diagnosed with Alzheimer’s disease. Died nearly a decade later