PowerPoint Presentation
Gerald Ford38th President
StagflationInflation as a result of financing LBJs Great Society
programs.High unemployment as a result of international trade,
flood of new workers, and baby boomersHeavy dependence upon foreign
oilMost oil came from Middle EastOil prices steadily rose in the
1960s
The Yom Kippur WarOctober 6, 1973Syria and Egypt invade Israel
on Yom KippurUnited States supported Israel by supplying military
aidOPEC stopped selling oil to the United StatesWhen sales resumed
in 1974, prices had quadrupled
OPEC CountriesNixons Solution to StagflationCut spending and
raise taxesCongress refusedTried to reduce money in circulation and
raising interest ratesDrove country into a mild recessionPrice and
wage controlsFroze wages and prices for 90 daysTemporarily eased
inflation, recession continuedDistractionNixon ResignsFord sworn
inLoses popularity immediately after pardoning NixonFords
SolutionsStressed his limitations, Im a Ford, not a Lincoln.Tries
to WIN against inflationWhip Inflation NowCut back on use of oil
and gasConserve energyUse energy saving strategies
Tight Money StrategyCut government spendingRaised interest
ratesWORST RECESSION IN 40 YEARS!!!!!VietnamAsked for $722 million
for VietnamCongress refusedUS merchant ship Mayaguez seized by
communist government of Cambodia41 U.S. troops died on a mission to
save 39 crew membersHelsinki AccordsOne Bright Spot
Met with China and Soviet Union to promise increased cooperation
between Eastern and Western Europe
Jimmy Carter39th President
What events led to the election of a dark horse candidate, Jimmy
Carter, in 1976?
Carter Enters the White HouseDemocrats, We could run an aardvark
this year and win.Jimmy Carter was the former Governor of Georgia
and a peanut farmer.
What were president Carters responses to conflict in the Middle
East and a poor economy at home during the late 1970s? Energy
CrisisForeign PolicyIran Hostages
Tackles EnergyNational Energy ActTax on gas-guzzling carsRemoved
price controls on oil and natural gas produced in the United
StatesExtended tax credits for alternative energy
Crisis of ConfidenceEconomy worsensSolutions are
ineffectiveStandard of living declined from 1st in the world to
5th
Foreign PolicyPushed for Human Rights Policy instead of
realpolitik.Gave ownership of Panama Canal to Panama, December 31,
1999.SALT II Treaty broken when Soviet Union invaded
Afghanistan.Failed to negotiate lasting peace in Israel and the
Middle East. (Camp David Accords)
The Iran Hostage CrisisShah of Iran was US Ally
Ayatollah Ruhollah Khomeini overthrew Shah
Shah fled the country, eventually went to US for
hospitalization
The Iran Hostage CrisisInfuriated Iranians seized US embassy on
November 4, 1979 took 52 hostages
Demanded US return Shah
444 days of captivity
What were the effects of his responses?Loses White House to
Ronald Reagan
New decade of conservatism takes overThe
1970shttp://www.history.com/topics/energy-crisis/videos
History.com video clip
