The reason behind my decision to write my research paper about Ronald Reagan’s Domestic and Foreign Affairs was due to my personal intrigue in his presidency and the difficult national situations he faced.
Reagan was highly skilled in foreign policy negotiations, enabling him to effectively collaborate with world leaders and countries to accomplish his goals. This negotiation ability was a consistent feature of his presidency, which he utilized to protect the nation from potential dangers. Moreover, Reagan’s domestic affairs were vital during his tenure, specifically his aptitude for revitalizing the struggling economy and enhancing the country’s economic position. The lasting economic progress that followed is still observable in today’s United States. The main objective of this paper is to address a specific inquiry.
Since Ronald Reagan assumed the presidency in November 1980, he has confronted the challenging mission of devising an economic strategy for the nation. He endorsed supply side economics, commonly referred to as Reaganomics, which advocated for lower taxes and decreased government expenditures to offer American citizens greater financial means (Encyclopedia Britannica, Britannica.com, 2000; Encyclopedia American, gi.grolier.com, 2000).
The main aim of the supply side economic theory is to stimulate the US economy, leading to its expansion. This can be achieved through citizens who would spend their extra tax money on products and services in their region or invest it in local businesses. However, the government using this theory would face the challenge of initial revenue loss from the tax cuts. Nevertheless, it is believed that the economic growth resulting from this theory would ultimately increase taxable incomes and subsequently boost government revenues. Keeping Reaganomics in mind, President Reagan convinced Congress to pass the Economic Recovery Tax Act, which was a crucial step in his plan. This Act entailed a 25 percent tax reduction implemented over three years (David Mervin, 1990, 133-7).
The primary concern regarding this tax cut is its disproportionate benefit to higher-income taxpayers and large corporations. These specific groups were targeted due to their inclination to invest in business initiatives that promote economic expansion. However, lower-income taxpayers in the United States expressed dissatisfaction with the consequences of this tax reduction. Despite earning below the national average, they encountered an upsurge in their tax rates. Conversely, individuals in higher income brackets experienced considerable reductions in taxes. The affluent segment especially witnessed a substantial tax decrease of around 6 percent.
The second part of Reagan’s plan involved reducing government spending on various programs, such as job training, college loans, medical programs, child daycare centers, and nursing homes (Encyclopedia Britannica, Britannica.com, 2000). Reagan believed that these programs increased individuals’ reliance on government support, which he believed weakened American families. Through extensive speeches and negotiations, President Reagan convinced Congress to reduce the numerous regulations imposed on industries. The main goal of this deregulation was to assist industries in saving both money and time in complying with government regulations.
President Reagan deregulated industries and eliminated environmental and safety standards during his presidency. He justified this by emphasizing the burden and cost these regulations imposed on businesses, which had a negative impact. This marked a shift from previous efforts to increase government legislation and regulatory bodies for environmental protection. Anne Burford, who strongly opposed regulations on air quality and toxic waste disposal, was appointed by Reagan to lead the Environmental Protection Agency (EPA). The EPA’s aim is to safeguard and improve environmental conditions. Moreover, many members of Reagan’s administration believed in reducing government regulation to promote business growth for economic benefit.
Reagan’s economic policies, including tax cuts, deregulation, and relaxed government regulations on the environment and safety standards, contributed to substantial economic growth. Consequently, there was a surge in the stock market as investors recognized the potential for profit from previously prohibited high-risk businesses. This stock market boom was fueled by billion-dollar mergers and company takeovers (Encyclopedia Britannica, Britannica.com, 2000). As a result of these developments, wealth increased for many Americans during Reagan’s presidency, particularly those in higher income brackets. Critics argued that these advantages primarily benefited the wealthy and exacerbated income inequality (Encyclopedia Britannica, Britannica.com, 2000).
During the final two years of Ronald Reagan’s presidency, his main focus was on addressing the Iran Contra Affair. This scandal occurred in 1985 and 1986 and involved high-ranking officials from President Reagan’s administration secretly arranging the sale of arms to Iran, which violated both US policy and law. The public perceived this scandal as a reflection of Reagan’s leadership style, resulting in significant damage to his reputation. Additionally, the profits generated from this illegal arms sale were used directly to support right-wing guerrillas in Nicaragua who were fighting against the left-leaning Sandinista government, thus defying US policy. (Source: Encyclopedia American, gi.grolier.com, 2000)
In response to the Iranian hostage crisis, a policy emerged in 1979 and 1980. The U.S. Congress labeled Iran as a terrorist state, leading to an embargo on selling weapons and resources to any Iranian government agency. Lieutenant Colonel Oliver North, from the National Security Council, played a crucial part in these sales with support from the Israeli government.
Lt. North had anticipated that the sale of these weapons would enhance relations between the United States and Iran. He believed that establishing a stronger rapport with Iran would increase the chances of rescuing American hostages held by Iranian terrorists in Lebanon. To support the contras, Lt. North employed covert tactics to establish a system that involved utilizing their own ships, airplanes, airfields, and secret bank accounts registered under their names. In late November 1986, both an American newspaper and a Lebanese magazine disclosed that the U.S. government had sold weapons to Iran with hopes of facilitating the release of U.S. hostages in Lebanon through collaboration with Lebanese terrorists who were sympathetic towards Iran.
Following the exposure of this confidential data, the U.S. Attorney General, Edwin Meese, acknowledged that significant funds from these transactions had been directly transferred to the contras in Nicaragua (George C Edwards III and Stephan J. Wayne, 1999, 160). These activities flagrantly disregarded the Boland Amendment.
In 1984, Congress passed an Amendment prohibiting the U.S. government or any U.S. military agency from providing aid to Iran (David Mervin, 1990, 156-7). This had a detrimental effect on Ronald Reagan and his administration as they had openly condemned terrorism-supporting governments and advised against dealing with them. Consequently, the U.S. government initiated multiple congressional and legal investigations in response to the unfolding scandal.
President Reagan consistently denied having any knowledge of the diversion of funds to the Contras during ongoing investigations. He also asserted that the weapons deal with Iran was not intended for negotiating hostage releases in Lebanon, but rather as a way to initiate communication with progressive factions within the Iranian Government. However, in February 1987, a report headed by former U.S. Senator John Tower and carried out by a special investigative group condemned President Reagan and his advisers for their inadequate oversight of the National Security Council’s actions.
The Towner Commission, also known as the Towner Committee, conducted a comprehensive investigation and held hearings on the Iran Contra Affair. During their work, the committee gathered over 300,000 documents, carried out 500 investigations and depositions, and received testimonies from 28 witnesses during 40 days of public hearings (Encyclopedia Britannica, Britannica.com, 2000). In November 1987, President Reagan was ultimately found accountable for his administration’s actions as stated in the Towner Commission’s report. However, no evidence was discovered indicating his knowledge of funds being diverted to support contras. A separate inquiry led by independent prosecutor Lawrence Walsh concluded that there was no proof supporting allegations of President Reagan violating any laws. Nevertheless, Walsh did suggest that Reagan might have been involved in or aware of a cover-up operation (Encyclopedia Britannica, Britannica.com, 2000).
Reagan faced various challenges in the Middle East during his presidency and frequently sent troops to offer aid. In the early 1980s, a clash between a Muslim faction and the Christian government erupted, prompting Reagan to deploy U.S. marines to bolster the Christian government’s authority in 1982. Sadly, towards the end of 1983, an explosion occurred at the Beirut headquarters, resulting in approximately 250 marines and other American servicemen losing their lives (Lou Cannon, 1991, 389-93).
President Reagan’s decision to withdraw American troops from Lebanon following an incident left the government in a challenging position. The bombing at the Beirut headquarters incited anger among American citizens and sparked a strong anti-terrorist sentiment, particularly towards groups based in the Middle East.
In 1986, a bombing at a dance club in West Germany resulted in multiple American soldiers losing their lives. Extensive investigations conducted by the United States revealed Libya’s responsibility for this bombing as well as other acts of terrorism in the region.
Consequently, President Reagan and his administration chose to respond by conducting bombings on several Libyan cities on April 15, 1986.
The Kuwaiti government requested the presence of US naval forces in 1987 to safeguard their shipping activities during a war. They believed it was essential to stop ongoing terrorist attacks. The American government also had a significant interest in protecting the transportation of natural resources, especially oil, as Kuwait annually exports billions of dollars worth of oil to the United States. The main goal of the Reagan administration’s involvement was to prevent Iran from defeating Iraq, as they were concerned that such an outcome would weaken US influence in the region.
Throughout his presidency, Ronald Reagan displayed impressive composure and grace in managing numerous domestic crises. As we have previously discussed in class, each U.S. President possesses unique powers exclusively granted to them, including being the Commander-in-Chief, conducting treaty negotiations, appointing judges, and serving as Chief Administrator. Reagan skillfully utilized these exceptional powers while directly addressing foreign affairs and policy matters.
The Chief Administrator and judicial appointment powers pertain to Domestic Affairs. This paper also relates to class as it delves into Ronald Reagan’s presidency, making him the 40th president in U.S. history. The class, books, and lectures focused on American Presidents and their conduct in office. Ronald Reagan enjoyed a notably high approval rate among the American public, successfully managing his time in office and effectively addressing arising issues.
Undoubtedly, he is one of the most exceptional Presidents in American history. Bibliography:
