1. Ronald Reagan and George H.W. Bush

2. Election of 1980 1980: public weary of Jimmy Carter
Reagan advocates “supply-side” economics – help economy by cutting taxes
Problem: spending was not cut at the same time
Result: government deficits

3. Reagan Doctrine
Supply aid to anti-communist rebels in Afghanistan (mujahedeen), Angola, and Nicaragua – the Contras

4. Iran Contra Scandal
Congress made illegal giving aid to the Contras, Reagan signed law
Members of Reagan’s staff sell arms to the Iranian government and give the money to the Contras
Contras also received money through drug trafficking

5. George H.W. Bush End of the Cold War (1989-1991)
Eastern European countries throw off communist rule
Soviet Union collapses under Gorbachev

6. George H.W. Bush Persian Gulf War aka the Gulf War
Saddam Hussein invades Kuwait, 1990
Bush persuades UN to send coalition of 28 nations to invade Iraq
Operation Desert Storm 1991 frees Kuwait
Military of Hussein severely restricted
US operates “no-fly zone” over northern Iraq