If you’re asking who was president in 1985, the name you’re looking for is Ronald Reagan. He was the 40th President of the United States. He didn't just hold the office; he dominated the decade. By January 1985, he was fresh off a landslide victory against Walter Mondale. He won 49 out of 50 states. That’s a level of political dominance we basically don't see anymore. It’s hard to imagine in our current polarized world, but in '85, Reagan was the face of America.
He was 73 years old when he took his second oath of office on January 20. Because that day was a Sunday and it was brutally cold in D.C.—record-breaking cold, actually—the public ceremony moved inside to the Capitol Rotunda the next day. This year, 1985, was a weirdly pivotal moment for the Cold War and the American economy. Reagan was the "Great Communicator," sure, but he was also dealing with a shifting Soviet Union and a domestic culture that was obsessed with "Morning in America."
The Man Behind the 1985 Presidency
Ronald Wilson Reagan wasn't your typical career politician. He was an actor. A former governor of California. By 1985, he’d already survived an assassination attempt and was leaning hard into his "peace through strength" philosophy. People loved his optimism. Even if you hated his policies, you probably liked the way he talked about the country. He had this way of making everything sound like it was going to be okay, even while the national debt was starting to climb and the "War on Drugs" was ramping up.
George H.W. Bush was his Vice President. They were an interesting pair. Bush brought the "establishment" credentials—former CIA director, Navy pilot—while Reagan brought the charisma and the conservative ideological fire.
The 1985 inauguration was actually the coldest on record. We’re talking -4 degrees Fahrenheit with a wind chill that made it feel like -25. They had to cancel the parade. Imagine that. The most powerful man in the world, ready to celebrate his second term, and he gets shut down by a polar vortex.
What Reagan Actually Did in 1985
Policy-wise, 1985 was a bit of a transition year. The big tax cuts of his first term were already in the books, but the effects were still rippling through the economy. This was the year of the "Plaza Accord." Basically, the U.S. and four other major powers (France, West Germany, Japan, and the UK) met in New York to devalue the U.S. dollar against the Japanese yen and German mark. The dollar was too strong. It was hurting American exports.
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It worked, mostly. But it also showed that Reagan’s "free market" stance had its limits; sometimes the government had to step in and mess with the currency.
Then there was the "Strategic Defense Initiative" or SDI. Critics called it "Star Wars." Reagan was obsessed with the idea of a space-based shield that could shoot down Soviet nukes with lasers. In 1985, this was a massive point of contention. The Soviets were terrified of it. Scientists thought it was a pipe dream. But Reagan used it as a massive bargaining chip.
The Soviet Shift: Enter Gorbachev
Everything changed in March 1985. Konstantin Chernenko died. He was the third Soviet leader to die in three years. Mikhail Gorbachev took over.
Gorbachev was different. He was younger, more energetic, and he realized the USSR was broke. Reagan, who had previously called the Soviet Union an "evil empire," had to decide if he could work with this guy. Margaret Thatcher famously told Reagan that Gorbachev was a man they could "do business with." That relationship, which really started heating up in 1985, eventually led to the end of the Cold War.
The Cultural Context of the 1985 Presidency
You can’t talk about who was president in 1985 without talking about Live Aid. It happened in July. Reagan didn’t perform, obviously, but the ethos of the time—this mix of massive celebrity influence and global intervention—was very "Reagan Era."
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At home, the "crack epidemic" was starting to make headlines. This led to the Comprehensive Crime Control Act of 1984 really taking effect in '85. It’s a controversial legacy. Sentencing became much harsher. The prison population started its massive upward trajectory. Reagan’s presidency was characterized by this "tough on crime" stance that defined the decade's social policy.
He also had a major health scare in 1985. In July, doctors found a cancerous polyp in his colon. He had surgery at Bethesda Naval Hospital. For about eight hours, George H.W. Bush was technically the Acting President under the 25th Amendment. Reagan bounced back fast, though. His "grandfatherly" resilience was part of his brand.
Economic Reality vs. The Legend
The "Reaganomics" debate still rages. In 1985, inflation was way down compared to the 1970s. That was a huge win for him. Unemployment was also dropping. But the trade deficit was ballooning.
Critics will tell you that the prosperity of 1985 was built on debt. Supporters will say it was the result of deregulation and tax cuts that finally "unleashed" the American spirit. Honestly, it was probably a bit of both. You had the rise of the "Yuppie"—the Young Urban Professional. They were the faces of the 1985 economy: BMWs, Filofaxes, and power suits.
Real-World Impacts: Farm Crisis of 1985
While Yuppies were thriving in New York, the Midwest was hurting. 1985 was a brutal year for American farmers. High interest rates and falling land values created a "Farm Crisis." Reagan actually vetoed a farm credit bill early in the year, arguing that the government shouldn't be propping up failing businesses. This led to "Farm Aid," the massive concert organized by Willie Nelson and Neil Young. It was a weirdly divided America. High-tech growth on the coasts, literal bankruptcy in the heartland.
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Reagan’s Foreign Policy: The Seeds of Scandal
In 1985, the administration was secretly laying the groundwork for what would become the Iran-Contra Affair. This is the messy part. The U.S. had an arms embargo against Iran, but members of Reagan's National Security Council—specifically Oliver North—started facilitating the sale of weapons to Iran. Why? To get hostages released in Lebanon and to use the profits to fund the "Contras" in Nicaragua.
Reagan claimed for a long time he didn't know the details. Whether he was "hands-off" or just playing dumb is a debate historians are still having today. But the actual deals were happening right in the middle of 1985.
Why 1985 Matters Now
Looking back, 1985 was the peak of the "American Century" vibes. The country felt powerful. We were winning the Cold War, the Olympics in LA (the year prior) had been a massive success, and the President was a former movie star who told us it was morning again.
But 1985 was also when the wealth gap started to widen significantly. It was when the "War on Drugs" became a permanent fixture of American life. It was the year we started to see the real potential of personal computing, with the release of Windows 1.0 in November.
Reagan was the perfect president for that specific cultural moment. He was a symbol of stability in a world that was actually changing incredibly fast.
Practical Steps for Historical Research
If you are digging into the Reagan era for a project or just out of curiosity, don't just stick to the highlight reels. Here is how to get the full picture of 1985:
- Read the 1985 State of the Union Address. It’s where Reagan laid out his "Second American Revolution" goals. It gives you the raw language of his second-term ambitions.
- Look at the "Plaza Accord" details. If you want to understand why the 80s economy felt the way it did, you have to understand currency manipulation. It explains the shift in global trade power.
- Check the "Farm Aid" archives. This provides the necessary counter-narrative to the "everything is great" vibe of the mid-80s.
- Investigate the 1985 Geneva Summit. This was the first time Reagan and Gorbachev met face-to-face. The transcripts (many now declassified) show a fascinating "poker game" between two world leaders.
- Examine the 1985 Tax Reform Act (Drafting Phase). While the big bill passed in 1986, the heavy lifting and the political horse-trading happened throughout 1985. It redefined the American tax code for a generation.