Final answer:
Mikhail Gorbachev faced severe financial and political problems when he became the leader of the Soviet Union in 1985 and introduced reforms known as perestroika and glasnost. These reforms inadvertently led to the dissolution of the Soviet Union and the end of the Cold War by 1991, as well as the rise of democratic governments in former Soviet states.
Step-by-step explanation:
Challenges and Reforms under Mikhail Gorbachev
When Mikhail Gorbachev came to power in 1985, the Soviet Union was grappling with immense financial and political difficulties, including a faltering economy and a costly war in Afghanistan. In response, Gorbachev implemented significant reforms called perestroika and glasnost, aiming to revitalize the economy and promote political openness. These policies led to a reduction in military expenditures, the introduction of private enterprises, and freedom of speech that fueled criticism of the government.
Consequences of Gorbachev's Policies
The reforms, however, had unintended consequences, sparking a desire for independence among Soviet republics and leading to demands for more dramatic changes. In August 1991, a failed coup attempt by Communist Party hardliners tried to oust Gorbachev. By December 1991, the Soviet Union was officially dissolved, ending the Cold War and leading to democratic governments forming in many former Soviet states.