Domestic History From Nixon to Clinton
Lesson # 35
I. Nixon’s New Federalism
A. Moderate Approach (page 185)
1. Balance federal support with greater responsibility to states
2. Dismantles the Great Society where he can
3. Tries to reduce interference in local affairs
4. Has to deal with combination of recession-inflation “stagflation”
B. Legislation
1. Abolished the OEO created by Johnson
2. Tries to restrict the power of Department of Heath, Education and Welfare
3. Tries to stop forced busing – fails
4. Federal Assistance Plan – replaces welfare with guaranteed income of
$1,600 (passes House but fails in the Senate)
C. Moderate Court – Berger Court (replaced 4 judges)
 Bakke v. University of California (1978) made quotas illegal in
affirmative action cases
 Stone v. Powell (1976) – agreed to certain restrictions of rights of
defendant to appeal
 Swann v. Charlotte- Mecklenburg (1971) allowed for forced busing
D. Watergate (pg. 186)
1. Spying and break-ins of the “plumbers”
2. White House cover up
3. Release of the Pentagon Papers
4. Impeachment Proceedings
5. Nixon’s Resignation
II. Ford’s Custodianship (page 187)
A. “Making us Proud Again”
B. Domestic Initiatives
1. WIN (Whip Inflation Now)
2. Tax Reduction Act 1975 – 10% rebate
3. Education for All Handicapped Children Act 1975
4. Supporter of the Equal Rights Act
C. Key Events
1. Pardoned Nixon in 1974
2. Evacuation of Vietnam(1975)
3. Death of Mao Tse Tung (1976)
4. Two assassination attempts – “Squeaky Frome”
III. Jimmy Carter – Crisis of Confidence (page 187)
A . Energy
1. Creates a new agency – Department of Energy
2. Begins promoting nuclear power (3 mile island incident)
3. Oil shortage due to OPEC activity
B. Economy
1. interest rates rise over 20 % for first time in history
2. OPEC rise of prices led to gas shortage lines
3. Make a speech to Americans known as “malaise speech”
IV. Ronald Reagan – The Reagan Revolution (page 188)
A . Reagonomics
1. “Trickle down” theory
2. Supply-Side Economics
3. Give tax cut to Wealthy to create more investment
4. High interest rates for borrowing money
5. Net Result – Unable to balance federal budget while implementing tax
cuts and increasing military spending
B. Conservative Agenda
1. Opposes Equal Rights Amendment
2. Publicly against abortion and gay marriage
3. Deregulation of business
V. George Bush – No New Taxes (page 190)
A. Sought a “kindler, gentler America”
B. 1,000 points of light speech
C. rise of the “moral majority”
1. Liberalism becomes the “L” word
2. Feminism became the new “F” word
VI. Bill Clinton – Return to Moderation (page 191-2)
A. A Liberal Social Agenda
1. Don’t Ask Don’t Tell
2. Reaches out to Diverse America
3. Relaxed Persona
4. Appoints Ruth Bader Ginsburg and Stephen Breyer to the Supreme Court
5. Proposed national health care reform but it fails
B. A Conservative Economic Agenda
1. New Business practices promotes economic growth
2. Encourages globalization
-NAFTA – reduces tariffs with Canada and Mexico
-GATT – lowers tariffs internationally
3. Balanced Budget (first since Eisenhower!) and budgetary surplus
4. Rising Income inequality
C. Scandals
1. Whitewater
2. Jennifer Flowers
3. MonicaGate (Monica Lewinsky)
4. Impeachment
D. Conservative Resurgence (page 194)
1. The Rise of Conservative Fundamentalists (Jerry Falwell)
2. Rise of the “new right” (Newt Gingrich)