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**The Election of 1988:** after Ronald Regan. so there for they found more democrat candidates to run against bush. Michael Dukakis and Reverend Jesse Jackson led the whole group.
 * Many republicans thought that George Bush would be a good president
 * Democrats however that that bush becoming president was not such a good idea;
 * Jesse Jackson had 426 votes over Michael Dukakis.
 * The democrats held the majority of the houses of congress.

 **The New President: ** and working more closely with democratic controlled congress.
 * Bush was a pilot in World War 2 and had won a medal for bravery.
 * He started an oil company in Texas.
 * Bush stated that he would not follow in the era of Ronald Regan.
 * Bush promised to everyone a kinder more gentler nation.
 * The president tried to maintain a balance with the policies of Ronald Regan

**Drugs;Education; and the Environment:**
 * George Bush was speaking out against the stopping of illegal drugs.
 * The antidrug programs would be far to exspensive.
 * Bennett resigned because drug use began to drop.
 * Bob Martinez the former governor of Flordia replaced him.
 * The Ronald Regan administration cut back government programs.
 * The problem of Nuclear waste posed a threat for the environment.
 * 17 nuclear weapons plants were closed.
 * Investigations showed that the plants were not safe because of the waste that were in them.
 * The coast of cleaning everything up cost about 200 billion dollars.


 * The Savings and Loan Crisis: **
 * The saving banks had failures on finances;such as mortgages and buying of homes.
 * The government encouraged everyone to save money.
 * The interest rates soared which caused low-interest and long term mortgages.
 * Many S&L's went out of business.
 * The S&L's were involved in planing and picking where offer high interest rates and invest their money.
 * The profits would grow if the real estate stayed strong.
 * Many S&L's went bankrupt because many loans were not paid.
 * The Recession in New England made more saving bank failures.
 * Bailing out the S&L's would cost 600 billion dollars in 10 years.

Reducing the Deficit :
 * The saving and loan crisis added the growing deficit in the federal budget.
 * George Bush decided not to raise taxes.
 * The president and congress could not find out an easy way to cut spending.
 * When the talks deadlocked the president said he would reconsider to new taxes.
 * The Capitol Gains would stimulate the economy.
 * The democrats were mad because they said the this would only benefit the rich investors.
 * The congress and president came to a conclusion that it would cut the deficit by nearly $500 billion over 5 years.
 * The plan increased taxes on cigarettes and alcohol.


 * The Elections of 1990: **
 * Congress was unwilling to make any choices to raise taxes or cut programs.
 * They saw the president as a man who was unable to come up with a solution to the budget crisis.
 * They need billions of dollars to bail out savings and loans institutions because of mismanagement.

**Flags and the Supreme Court:**
 * President Bush was not happy with the supreme court.
 * In 1989 the supreme court made a Texas law that burning the flag illegal.
 * The flag is a protest of freedom of speech.
 * People argued that burning the flag was not a freedom of speech.


 * CHAPTER 4:

The end of the cold war: **


 * The soviet dominated the governments had controlled the nations of eastern Europe
 * The freedom fighters were put down because they were trying to revoke.

**A Wall comes down:** also to end all of communism, it was the end of the cold war.  Berlin wall coming down.
 * The Berlin wall came down in 1989 to reunite East and West Berlin,
 * The American response:**
 * Congress wanted to make peace dividend between everyone because the Americans were not happy with the

**New Directions in Latin America:** instead the Bush Administration set up a Bipartisan agreement with congress. uncertain.
 * Bush didn't do much with Latin America like Ronald Regan did, but
 * Relations with Nicaragua and the United States stayed the same and remained

**Invasion of Panama: * Panama was a banking center and shipping point for major drug dealers. became defiant. stop the drug uses.
 * The Federal court indicted Noriega on drug smuggling charges and he
 * On December 20th Bush sent the American Military into Panama to try and

<span style="color: rgb(0, 70, 255);"> Unrest in China: ** <span style="color: rgb(0, 0, 0);">* In 1989 Dissident Chinese students started a campaign for democratic reforms.
 * President Bush disapproved for the return of any repression.

<span style="color: rgb(255, 0, 0);">**A Policy Toward South America:** African government the end apartheid.
 * **economic sanction**s- or limits on trade and investment, to pressure the South
 * **Divestiture:** Stock companies that operated in South Africa.

<span style="color: rgb(117, 230, 230);">**War clouds in the Middle East:** then had them invade Kuwait.
 * The Middle East was a threat to world peace.
 * In 1990 Saddam Hussein built his own military and


 * <span style="color: rgb(18, 41, 196);">A Complex Threat: **
 * The industrial nations had become more dependent on oil from Persian Gulf.

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 * <span style="color: rgb(0, 0, 0);">The World responds:

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