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Rebels known as Sandinistas overthrew a pro-american Nicaraguan dictator in 1979. In response, Reagan’s administration began secretly arming a guerilla force known as the contras.
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December of 1979, the Soviet Union invaded Afghanistan to support a Soviet-backed government. Reagan sent $570 million dollars in military aid.
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Reagan believed that government regulations were one of many causes of economic problems. To solve this problem, he signed an executive order eliminating the price controls on oil and gasoline in 1981. This led to the deregulation of other programs including the National Highway Traffic and Safety Administration,the Federal Communications Commission, and the Environmental Protection Agency.
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Reagan stopped price regulations on oil which caused the oil prices to fall.
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Reagan’s first priority was to fix the economy with an approach called Reaganomics which was a combination of monetarism and supply-side economics. This led Congress to pass a 25 percent tax rate cut in July of 1981.
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All of Reagan’s efforts paid off and in 1983, the economy finally began to recover.
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Radical Marxists overthrew the left-wing government of Grenada in 1983. In October, Reagan sent troops were sent who quickly defeated the Cuban and Grenadian soldiers.
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In the federal judiciary, Reagan applied his conservative ideas by nominating judges that would follow the original intent and wording of the Constitution rather than those who interpreted and expanded its meaning in 1986 when Chief Justice Warren Burger retired.
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Reagan proposed to cut some social programs to balance the budget deficit. Many of the cuts were passed by Congress.
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The illegal operations occurring in Nicaragua came into the light in 1986 when the Iran-Contra Scandal was uncovered. Reagan was proved innocent.
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In December of 1987 Reagan helped bring the Cold War to an end with an Intermediate-Range Nuclear Forces Treaty which he signed with the Soviet Union leader, Mikhail Gorbachev. This was the first treaty that called for the destruction of nuclear weapons.