■essential questions ■essential questions: –why did the economic & foreign policies of...
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■ Essential QuestionsEssential Questions:
–Why did the economic & foreign policies of Ford & Carter fail to meet the needs of America in the late 1970s?
–Which had the longer legacy on America: the Watergate scandal or Nixon’s foreign policy in China & the USSR?
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The 1970s: A Crisis in Confidence■ The “overextended society” of the
1970s was defined by:–Low economic growth, high
prices, & rising unemployment –Distrust of the government due
to the Watergate scandal–“Passionless presidents” who
failed to project clear leadership–An end of Nixon-era détente &
resumption of Cold War rivalries
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The U.S. Economy in the 1970s
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Energy and the Economy■ In the 1970s, 2 great oil shocks
hurt the U.S. economy:
–In 1973, the Arab members of OPEC initiated a 5% cut on production & an embargo against the U.S.
–The Iranian Revolution in 1979 cut off oil & led to another gas-shortage & soaring interest rates
To punish Israel’s allies when Egypt & Syria attacked against Israel
The fuel shortage led to a 200% increase in the price of gas & home heating
Led to worst recession since Depression
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The OPEC oil embargoIranian Revolution
The Oil Shocks: Price Increases of Crude Oil & Gasoline
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The Search for an Energy Policy■ These oil shocks forced the U.S.
to realize its dependency on other nations for oil & led to action:–Nixon formed the EPA to oversee
industry’s environmental impact–The new Dept of Energy (1977)
emphasized conservation & domestic energy production
–Still…U.S. oil imports rose 50% from 1973 to 1979
Mandated gas mileage requirements, speed
limits, & price controls on domestic oilNuclear plants &
Alaskan oil pipeline
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A Troubled American Economy■ The 1970s economy grew stagnant:
–Unemployment grew to 9% –Heavy industry jobs fell due to
outsourcing & foreign competition■ 1970s experienced huge inflation:
–Due to Vietnam deficit spending, global food shortage, oil shocks
–Massive price increases led to a 5.5% decrease in “real income” for average Americans
Workers’ wages did not keep up with rising prices
Milk & hamburger prices rose 200%
Bread prices rose 400%Car prices rose 72%A stagnant economy
High inflationSTAGFLATION
Neither Ford nor Carter could stop “stagflation;” Carter’s policies actually
drove interest rates up to 20%
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The “Lean Years”The “Lean Years”The Presidencies of
Ford & Carter
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The Ford Administration■ Gerald Ford failed to restore
public confidence after Watergate:–Ford pardoned Nixon for any
crimes he may have committed –He revealed a number of past
CIA assassination attempts & appointed George Bush to reorganize the CIA
–Vetoed 39 Great Society-style bills initiated by Congress
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The 1976 Campaign■ In 1976, dark-horse Jimmy Carter
won the Democratic nomination & campaigned as an outsider, an honest man, with fresh leadership
■ Carter won a narrow victory due to social class & racial factors:–Affluent, well-educated,
suburban voters chose Ford–Socially & economically
disadvantaged voted for Carter
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Ford’s foreign policy blunder during the TV debates in 1976: “There is no Soviet
domination of Eastern Europe”
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Disenchantment with Carter■ Carter entered office with no clear
political philosophy or vision:–Deregulated the airline industry
which lowered prices –But…his attempts to reform
welfare & Social Security failed–He had no remedy for soaring
inflation, interest rates, & bank failures that hurt the economy
In 1979, Carter gave the “national malaise” speech in which he discussed the importance of conserving energy but seemed to blame
Americans for creating a “crisis in confidence”
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Carter’s Human Rights Foreign Policy
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A Declining Superpower■ America’s international dominance
declined sharply in 1970s due to:–Americans’ increasing desires
to avoid “another Vietnam”–The War Powers Act forced the
president to consult with Congress before sending troops
–The escalating military costs & deficit spending made sustaining the Cold War impossible
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Foreign Policy & Human Rights■ Carter focused his foreign policy
on a commitment to human rights:
–Spoke out against repressive regimes in Latin America & apartheid in South Africa
–Reformed the CIA to operate “within the law” (but only briefly)
–Negotiated the return of the Panama Canal to Panamanians
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Foreign Policy & Human Rights■ In Nov 1977, Egyptian leader
Sadat made an appeal with Israel to settle the October War of 1973
■ Carter invited Egyptian leader Sadat & Israeli leader Begin to the U.S. to negotiate terms
■ The Camp David accordsCamp David accords in 1979 led to a peace treaty between Egypt & Israel, but alienated other Arab nations
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Celebrating the Camp David Accords: Menachem Begin, Jimmy Carter, & Anwar Sadat
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The Cold War Resumes■ During the Carter years, the
Cold War rivalry between the U.S. & USSR widened due to:–A new arms race as the U.S.
adopted new MX missiles & Trident submarines
–SALT II failed to make lasting arms reduction
–Increased U.S.-Sino relations put the USSR on the defensive
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Ohio-class submarine with Trident nuclear missile capability
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The Cold War Resumes■ Détente ended when the USSR
invaded Afghanistan in 1979 ■ The U.S. interpreted the attack as
a move to take the Middle East & responded with:
–Economic embargo of the USSR
–Boycott of the Moscow Olympics
–Aid to the Afghani resistance
Carter hoped to limit nuclear arms & advance human rights, but found himself in a heightened Cold War
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Soviet Invasion of Afghanistan, 1979
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The Iranian Hostage Crisis ■ The Camp David victory was offset
by the 1979 Iranian hostage crisis:
–Exiled Islamic fundamentalist Ayatollah Khomeini led a coup against U.S.-backed the shah
–When Carter allowed the shah to enter the U.S. for medical aid, irate mobs in Tehran took 52 hostages from the U.S. embassy
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Quest for Peace in the Middle East■ Carter’s attempts at diplomatic,
military, & economic threats failed to bring a return of the hostages–In 1980, Carter approved a
rescue mission that was aborted after 2 helicopters crashed
–The perceived blunders & inability of Carter to end the hostage crisis hurt Carter in his re-election bid in 1980
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ConclusionsConclusions:A Failed Presidency
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A Failed Presidency■ Carter’s failures with inflation,
Iran, & Afghanistan overshadowed his foreign policy victories with the Panama Canal & the Middle East
■ The failures of Johnson, Nixon, Ford, & Carter led to a desire among Americans for a strong leader who could face both domestic & foreign challenges
Carter’s 1980 approval rating was 23%