I would argue that they never recovered from the 1986 election, when they married themselves "till death do us part" to the worst man ever to win the Presidency. Or even more certainly, to his impeachment saga, when they sold the last vestiges of their soul to keep his pasty white butt in that office.
The '88 election, I think you might mean. I think it is overlooked; I see that election as the first nail in the coffin. 2000 was the last nail. They've been scratching at the lid ever since.
I agree with your assessment re the '86 election, but the two elections of the Felon and his evil spouse were far more destructive to the nation.