In 1986, being the leader of the main party of the new parliamentary majority and accepting the principle of the "cohabitation" with President Mitterrand (contrary to Barre), Chirac became again Prime Minister. He led a liberal economic policy inspired by Anglo-Saxon examples, selling many public companies, and abolishing the wealth tax. His Interior Minister Charles Pasqua led a policy of restriction of immigration. If Chirac acceded in the second round of the 1988 presidential election despite Raymond Barre's candidacy, he was defeated by Mitterrand.