eight years later, in 1988, bush ran for president again, defeating democrat michael dukakis. during his presidency, bush led the united states through the end of the cold war. he presided over the invasion of panama and the gulf war. he also signed the americans with disabilities act of 1990, which did not allow discrimination to disabled people. bush signed the north american free trade agreement (also called nafta), which went into effect in 1994. he appointed david souter and clarence thomas to the supreme court. although he promised not to raise taxes, he did so in order to help make the budget deficit smaller (when the government spends more money than it makes.) he ran for reelection in 1992, but lost to democrat bill clinton.