18.1 The Clinton Years

How was President Clinton's welfare reform successful?

• The new system moved several million from welfare to jobs.

• The new system cut federal funding for government work projects.

How did President Clinton balance the budget?

• He cut federal spending, lowered taxes, and focused government problems on helping children and improving health care.

• He withdrew US troops from all foreign conflicts, stopped foreign aid, and redistributed federal block grants to state governments.

What other factors helped President Clinton slash the federal debt?

• Unemployment fell, the stock market soared, and tax revenues rose.

• Federal government work programs helped lower the unemployment rate.

How did the Contract with America shape US history?

• During the Clinton Administration, Republican congressional candidates pushed for major economic reforms.

• During the Clinton Administration, Republican congressional candidates worked to downsize corporations.

How did the newly elected Republican Congress clash with President Clinton over the budget?

• The Republicans wanted to slow spending on Social Security and Medicare.

• The Republicans wanted to deploy the military to the Middle East to lower the cost of oil.

Why did the Republican controlled House of Representatives impeach President Clinton?

• The House charged Clinton with perjury and obstruction of justice.

• The House charged Clinton with misappropriation of funds and money laundering.

How did job market trends during the Clinton Administration change?

• There was an explosive growth of job opportunities in the service sector.

• Factory jobs in the Rust Belt returned as America began to manufacture appliances.

How were manufacturing jobs affected during the Clinton Administration?

• Manufacturing jobs increased due to increased use of automation.

• Manufacturing jobs sharply declined due to outsourcing and downsizing.

How did the advent of high tech businesses during the Clinton Administration affect the economy?

• The NASDAQ rose significantly.

• Government bailouts stagnated the economy.

What was the purpose of NAFTA?

• to eliminate US trade barriers and promote free trade with Mexico and Canada

• to prevent the outsourcing of American jobs to China and Southeast Asian nations