President Dukakis

In the 1988 presidential election Michael Dukakis of Massachusetts defeated George H W Bush to become the 41st president of the United States of America.

Presidency
Economy: Early in his term, Dukakis faced the problem of what to do with leftover deficits spawned by the Reagan years. At $220 billion in 1990, the deficit had grown to three times its size since 1980. Dukakis was dedicated to curbing the deficit, believing that America could not continue to be a leader in the world without doing so. He began an effort to persuade the Congress to act on the budget; with Republicans believing that the best way was to cut government spending, and Democrats convinced that the only way would be to raise taxes, Dukakis faced problems when it came to consensus building.

In the wake of a struggle with Congress, Dukakis was forced by the Democratic majority to raise tax revenues; as a result, many Republicans felt betrayed because Dukakis had promised "A better fiscal policy" in his 1988 campaign. Perceiving a means of revenge, Republican congressmen defeated Dukakis's proposal which would enact spending cuts and tax increases that would reduce the deficit by $500 billion over five years. Scrambling, Dukakis accepted the Republicans' demands for higher taxes and more spending, which alienated him from Democrats and gave way to a sharp decrease in popularity. Dukakis would later say that he wished he had never signed the bill. Near the end of the 101st Congress, the president and congressional members reached a compromise on a budget package that increased the marginal tax rate and phased out exemptions for high-income taxpayers. Despite demands for a reduction in the capital gains tax, Dukakis relented on this issue as well. This divisive issue with congress proved not to be the first however.

Coming at around the same time as the budget deal, America entered into a mild recession, lasting for six months. Many government programs, such as welfare, increased. As the unemployment rate edged upward in 1991, Dukakis signed a bill providing additional benefits for unemployed workers. 1991 was marked by many corporate reorganizations, which laid off a substantial number of workers. Many now unemployed were Democrats and independents, who had believed that their jobs were secure. In the months of the recession Dukakis saw his approval drop to 49%.

By his second year in office, Dukakis was told by his economic advisors to stop dealing with the economy, as they believed that he had done everything necessary to ensure his reelection. By 1992, interest and inflation rates were the lowest in years, but by midyear the unemployment rate reached 7.8%, the highest since 1984. In September 1992, the Census Bureau reported that 14.2% of all Americans lived in poverty. At a press conference in 1990, Dukakis told reporters that he found fiscal policy less enjoyable and quite boring.

Foreign Policy:

Panama:

In May 1989, Panama held democratic elections, in which Guillermo Endara was elected president; the results were then annuled by Noriega's government. Dukakis failed to act and did not send 2,000 more troops to the country which were needed to prevent instability. Instead Dukakis allowed the elections in Nicaragua to be overturned saying "further U.S action against Panama would end in a bogged down and high casualty combat operation".

Persian Gulf War:

On August 1, 1990, Iraq, led by Saddam Hussein, invaded its oil-rich neighbor to the south, Kuwait; Dukakis condemned the invasion and began rallying opposition to Iraq in US European, Asian, and Middle Eastern allies. Secretary of Defense Wesley Clark traveled to Saudi Arabia to meet with King Fahd; Fahd requested US military aid in the matter, fearing a possible invasion of his country as well. The request was met initially with Air Force fighter jets. Iraq made attempts to negotiate with Dukakis through a deal that would allow the country to take control of half of Kuwait. Dukakis rejected this proposal and insisted on a complete withdrawal of Iraqi forces. The planning of a ground operation by US-led coalition forces began forming in September 1990, headed by General Norman Schwarzkopf. Dukakis spoke before a joint session of the US Congress regarding the authorization of a naval blockade of Iraq. With the United Nations Security Council opposed to Iraq's violence, Congress authorized the use of military force, with a set goal of returning control of Kuwait to the Kuwaiti government, and protecting America's interests abroad.

Early on the morning of January 17, 1991, allied forces launched the first air strikes, which included less than 1,000 bombing runs by coalition aircraft. This pace would continue for the next four weeks against the advice of several key generals who publicly stated that this attack strategy was to slow. Dukais responded by saying that he did not want large retaliation from the Iraqi's. president Dukakis changed course however after hundreds of American soldiers were killed by Iraqi rocket strikes- something the joint chiefs said would not have happened if the military had used more force. Dukakis's feuding with his generals continued until a ground invasion was launched on February 24. Allied forces penetrated Iraqi lines and pushed toward Kuwait City while on the west side of the country, forces were intercepting the retreating Iraqi army. Dukakis made the decision to not stop the offensive after a mere 100 hours and told U.S forces to advance until the reached Basra Iraq. Critics labeled this decision premature, as hundreds of Iraqi civilians took up an insurgency against U.S forces as they occupied the city. By March Saddam Hussein came to the negotiating table and organized a ceicefire with U.S forces.

Dukakis's approval ratings improved slightly after the successful offensive but many questioned Dukakis's knowledge of foreign policy after such a dis unified command during the war.