Ford Travels a Rough Road
President Gerald Ford urged Americans to put Watergate behind them
“Our long national nightmare is over”
The bad economy still persisted
Ford’s policies offered little relief
“A Ford, Not a Lincoln”
Ford seemed likable and honest
Openly admitted his limitations remarking he is a “Ford not a Lincoln”
“A Ford, Not a Lincoln”
September 8, 1974- Ford pardoned Nixon
An attempt to move the country beyond Watergate
This cost Ford public support
Ford hoped to win support back by fixing the troubled economy
Ford Tries to “Whip” Inflation
Economy had worsened by the time Ford got to office
Inflation and unemployment continued to rise
OPEC had caused gas and heating oil prices to soar
Inflation went from 6% to 11%
Ford Tries to “Whip” Inflation
To fix the problem Ford promoted a program of massive citizen action
Called Whip Inflation Now (WIN) Called Americans to
cut use of oil and gas Plan fell flat because
no incentives were offered
Ford Tries to “Whip” Inflation
Ford then tried to curb inflation through a “tight money” policy Cut government
spending Encouraged the
Federal reserve Board to restrict credit through high interest rates
Triggered the worst recession in 40 years
Ford Battles the Congress
As Ford implemented his programs, he had to fight with a Congress intent on pushing its own economic agenda Called for a federal jobs
program to cut unemployment (8.5%)
Ford rejected plan Said pumping more
money into the economy would just increase inflation
Ford Tries to “Whip” Inflation
While in office only 2 years, Ford vetoed more the 50 pieces of legislation
His economic policies received mixed reviews Inflation dropped below
10% by 1975 Unemployment declined Held stagflation steady
Offered no lasting solutions
Ford’s Foreign Policy
Had little experience with foreign diplomacy
Relied heavily on Kissinger (secretary of state)
Pushed ahead with Nixon’s policy of negotiating with China and the Soviet Union
Ford’s Foreign Policy
1974- met with Brezhnev to discuss next round of arms talks
Traveled to Helsinki, Finland to discuss the future of east-west relations U.S. along with 35 other
nations signed Helsinki Accords
Promised greater cooperation between the nations of East and West Europe
Ford’s Foreign Policy
Had problems in Southeast Asia
Cambodia seized a U.S. merchant ship
Ford responded with massive military force
Massive air strikes against Cambodia and Marines to save the 39 crew members Cost the lived of 41
U.S. troops
Ford’s Foreign Policy
Most liked the show of strength
Critics argued that it cost more lives than it saved And he acted
without consulting Congress
Jimmy Carter Enters the White House
Ford won the Republican nomination for President in 1976
Had to fend of a powerful conservative challenge from former California governor Ronald Reagan
Jimmy Carter Enters the White House
Republicans seemed divided over Ford’s leadership due to his economic policies
Democrats confidently eyes the White House
Democrats nominated a nationally unknown peanut farmer and former Georgia governor- Jimmy Carter
1976 Election
People suspicious of Washington insiders due to Watergate
Jimmy Carter- a political outsider- seemed like a logical candidate Soft spoken Promised to restore
integrity to the Presidency
1976 Election
Carter and Ford squared off over inflation, energy, and unemployment
People tended to like Carter more for his personality and morality than his knowledge
1976 Election
Ford began campaign well behind in the vote
Was able to narrow the gap, but not close it
Carter wins a close election 40.8 million to 39.1
million
Georgia Comes to Washington
Carter brought a down to earth style to Washington Symbolized by
walking down Pennsylvania Avenue to the White House rather than ride in his limousine
Georgia Comes to Washington
Stayed in touch with the people with FDR style “fireside chats”
Held “phone-ins” so people could talk directly to the President
Failed to reach out to Congress in a similar way
Georgia Comes to Washington
Carter refused to play the “insider” game of compromise and deal making
Alienated himself from congressional members of his own party
Georgia Comes to Washington
Democrats often joined Republicans to sink Carter’s budget proposals and legislative agenda Including major
reform of the tax and welfare system
Carter’s Domestic Agenda
Carter focused on the country’s energy and economic crises
Had some success Could not bring the
U.S. out of its economic downswing
Confronting the Energy Crisis
Carter considered the energy crisis to be the nation’s biggest problem Largely caused by
reliance on foreign oil
Urged Americans to cut their consumption of oil and gas
Confronting the Energy Crisis
Presented Congress with more than 100 proposals on energy conservation and development
Representatives from oil and gas producing states resisted some of the proposals
Auto companies lobbies against gas rationing provisions
Confronting the Energy Crisis
Eventually developed the National Energy Act Placed a tax on gas
guzzling cars Removed price controls
on oil and gas produced in the U.S.
Extended tax credits for the development of alternative energy
Confronting the Energy Crisis
By 1979- U.S. dependence on foreign oil eased slightly Industries produced
more gas efficient cars & home heating systems
Citizens lowered thermostats & reinsulated homes
Economic Crisis Worsens
Summer 1979- Violence in the Middle East produces a major fuel shortage
OPEC announces another major price hike
Inflation soars from 7.6% to 11.3%
Economic Crisis Worsens
Carter implements voluntary wage and price freezes to slow inflation
Introduced spending cuts to reduce national debt
Lifted government controls from trucking, railroads and shipping industries to stimulate business
Raised interest rates to reduce the money supply
Economic Crisis Worsens
Nothing worked Carter’s scattershot
approach convinced many that he had no economic policy at all
Made a speech complaining that Americans had lost confidence Many Americans had
felt like he had given up
Economic Crisis Worsens
1980- inflation rose to 14%
American standard of living dropped from 1st to 5th
Carter’s approval rating plummeted 26% approval rating
Lower than Nixon’s worst approval rating
A Changing Economy
Economy changed from manufacturing jobs (cars companies) to service sector jobs (communications, transportation, and retail) Shift came due to the
development of the micro chip that allowed for cheap mass production
A Changing Economy
The shift left many out of work because high paying jobs required more education
Growing overseas competition cut into American markets Iron, steel, rubber, cars
Many workers had to be laid off
Many corporations went overseas to cut costs
Carter and Civil Rights
Carter took pride in his civil rights record
His administration included more women and African Americans than any before
However, due to other problems, civil rights issues did not have priority
Carter and Civil Rights
Courts turned against affirmative action
Supreme Court decision Regents of the University of California v. Bakke Said university’s
affirmative action policies were unconstitutional
Made to difficult to establish effective affirmative action programs
A Human Rights Foreign Policy
Carter thought a lot about human rights
Based his foreign policy on it
Rejected Realpolitik Didn’t want to
negotiate with foreign nations with bad behavior
Advancing Human Rights
Like President Wilson, carter wanted to use moral principles as a guide for foreign policy
Believed U.S. should commit itself to human rights throughout the world
Advancing Human Rights
He put this principle to practice Cut off military aid
to Argentina and Brazil
They had good relations to the U.S., but had imprisoned or tortured thousands of their own people
Advancing Human Rights
Many liked Carter’s idealism But began to worry His policies
undercut Nicaragua- a dictatorship-but an important anti-communist ally
Advancing Human Rights
Carter was inconsistent Supported
dictatorships in South Korea and the Philippines
Further criticized when he gave up ownership of the Panama Canal
Yielding the Panama Canal
U.S. had owned Panama canal since 1914
1977- U.S. promised to turn over control of the Panama canal to Panama on December 1, 1999
Congress approved the treaty
Yielding the Panama Canal
Public opinion divided 45% approved 42% opposed The treaty did bring about a warmer relationship
with Latin America
The Collapse of Detente
Détente at a high point when carter took office
Nixon and ford had eased tensions with the Chinese and Soviets
Carter’s insistence on human rights led to a breakdown in relations with the Soviets
The Collapse of Detente
Carter was alarmed at how the Soviets treated opposition in their own country This delayed a second
round of SALT talks Carter and Brezhnev
finally met in June 1979
Signed agreement known as SALT II
The Collapse of Detente
SALT II- put limits on the number of strategic weapons and nuclear missile launchers each side could produce
Senate didn’t like it Though it put the
U.SD. At a military disadvantage
The Collapse of Detente
December 1979- Soviets invade Afghanistan
Carter refused to fight for the passage of SALT II in the Senate as a consequence
The treaty died
Triumph and Crisis in the Middle East
U.S. became very conscious of troubles in the Middle East Ethnic, religious,
and economic conflict
Source of Carter’s greatest achievement and worst defeat
Camp David Accords
Egyptian President- Anwar el-Sadat and Menachem Begin meet at Camp David
Carter helped forge a peace between the 2 nations
First break in Mid-East hostilities since 1948
Camp David Accords
Summer 1978- After 13 days of negotiations- the 3 leaders reach the Camp David Accords Would work out the
issue of self rule for the Palestinians
End hostilities between Israel and Egypt
Camp David Accords
Based on these accords Israel would later
withdraw from the Sinai Peninsula-which it took from Egypt during a war
Egypt would be the first Arab nation to recognize Israel’s existence
Iran Hostage Crisis
Since 1950s- U.S. had been aiding Shah (king) of Iran We would have an
anti-communist ally Access to Iranian oil
Iran Hostage Crisis
Shah in Trouble by 1979 Corrupt Dictatorial Revolution breaks out
in 1979 Led by Muslim
religious leader Ayatollah Ruhollah Khomeini
Led rebels in overthrowing the Shah
Established a religious state
Based on strict obedience to the Qur’an
Iran Hostage Crisis
Carter allowed the Shah to enter the U.S. for cancer treatment
Angered revolutionaries
Took 52 hostages Demanded Shah be
sent back to Iran Carter refuses