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Apple is founded
Apple becomes a very important force in the economic world eventually and it had it's own beginnings. Now it is worth almost $500 billion. -
Iranian Revolution
The revolution caused the price of oil to go up because of the lack of stability. This shows that affairs that happen outside of the US have just as much of an influence over the economy in the US. The price of oil went up to $40/bbl -
Marquette Nat. Bank of Minneapolis v. First of Omaha Service Corp.
This basically said that Credit card companies can charge interest based on where they are located. This is what increased the interest rates on credit cards. This can also be attributed to being part of the reason for an increase in debt. -
The Chrysler Bailout is approved by the federal government
This was a monumental decision if Chrysler went down then their suppliers would also go down. If they weren't bailed out it could have started a bigger recession. This was caused by the higher oil prices because of the tensions in the middle east. (Iranian Hostage Crisis) -
Embargo on Soviets
President Jimmy Carter announces the embargo on sale of grain and high technology to the Soviet Union due to the Soviet invasion of Afghanistan. This affected businesses that sold to the Soviet Union and for farmers because now they have less demand. -
Reagan is sworn into office
Reagan came with many new policies as he was one of the first true conservative presidents. He believed in low taxes and was against big government. -
Reagan Tax Cuts
Congress passes President Reagan's tax cut legislation which was the largest tax cut in the the nation's history. It was expected to save the taxpayers $750 billion over the next five years. -
Recession
There was a recession that began in 1981 because of the new economic policies and also because of the prior negative trend in the economy due to the oil prices going up. Reagan's reforms were fueling the recession. The unemployment rate went up to 10.8% which can cause low productivity. -
Beginning of Goldilocks Economy.
There was a span of time that occurred from 1983 up until the next recession. This was a time period where there was not too much inflation or too high unemployment. -
Louisiana World Exposition of 1984
It was the last world's fair held in the United States. It came with financial trouble, and drew significantly fewer visitors than predicted over the next six months, 7.3 million. It was the only exposition that went bankrupt. -
Apple introduces the Macintosh
The Macintosh was personal computer with a graphical user interface. This was the birth of a major company that is a huge factor of the modern economy -
Los Angeles Olympics
This increased the tourism in the US and this also known as one of the most successful Olympics. We also beat the Soviets at Hockey and that made the American public have more motivation. Adds to confidence in USA. -
Black Monday
Stock markets crashed all around the world. The Dow fell over 20% in one day. This was the largest one day loss in the DJIA. This is a signal that the economy is not doing well if -
USA and Canada Reach Free Trade Agreement
The U.S. and Canada had a free trade agreement.
CUSFTA increased trade between the two countries and it helped precede NAFTA
This was a product of new conservatism -
Another recession
This recession was caused by Iraq invading Kuwait and raising oil prices,the debt we had from the 1980's because of the reduced taxes and the constant borrowing of money, and Black Monday (the stock market crash.). -
Gulf War
We went to war with Iraq to keep them out of Kuwait. In the end, it was to keep the oil reserves with our allies, and this caused there to be spikes in oil prices. -
World Wide Web goes public
The internet is made available to the public. It made communication much easier and reinvented the way people talk. It helped provide jobs. The internet provides 300 billion dollars to the U.S. economy. If not for the internet, a lot of big companies nowadays would not exist. (Amazon, Google) -
Soviets fall
The fall of the Soviet Union meant that there would be no Cold War. This made it that the US did not have to spend as much for defense, plus the consumer could have more financial confidence. -
27th Ammendment
This amendment kept it from Congress raising their own pay. This can be seen as a safe keeping for American citizens. This improved the trust the American population and made it in a way that the government budget is used more appropriately. -
Clinton is sworn in
Clinton was a president who had an economically stable presidency. He had many trade agreements that he passed that affected the economy of this time period. -
NAFTA
NAFTA is passed which allows the businesses to have better relations/negotiations with other businesses in other countries in North America. This increased the trading with Mexico. -
First Major Company Sells Online
Pizza Hut becomes one of the first companies to allow ordering online. This becomes a huge deal now. When we think of buying something we think of ordering online nowadays. It has become so common. -
World Trade Organization is formed
The World Trade Organization sets up the trade rules between countries. They set regulations for countries to follow made up by those countries. This helps keep fair trade deals and trading help run the economy. -
Online Banking
Banks start going online in the mid 90's this is important because this caused there to be a lower transaction costs and now that is common. We can now see that it became a big part of the current day. -
Amazon and Ebay
The first actual Internet markets come out. Amazon now is one of the world leaders in the market. It has over 184 million different users a month.