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A CRISIS IN CONFIDENCE 1969-1980. America: Past and Present Chapter 31. Nixon in Power. Apparent success in first term Triumphs in foreign affairs Nixon cuts himself off from Congress, his own cabinet, and the nation. Reshaping the Great Society. Nixon and the Great Society - PowerPoint PPT Presentation
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A CRISIS IN CONFIDENCE A CRISIS IN CONFIDENCE 1969-19801969-1980
America: Past and Present
Chapter 31
Nixon in PowerNixon in Power
• Apparent success in first term
• Triumphs in foreign affairs
• Nixon cuts himself off from Congress, his own cabinet, and the nation
Reshaping the Great Reshaping the Great SocietySociety
• Nixon and the Great Society• more efficient administration• shift responsibility to the states• shift school desegregation to the courts
• Shift to conservative Supreme Court• appointment of conservatives and
moderates• Burger Court similar to Warren Court
• Pace of change slows but continues
NixonomicsNixonomics
• Nixon and inflation• inflation spurred by Vietnam • federal spending cuts• interest rates forced up
• 1970--Nixon-induced recession
• 1971--wage and price controls
• Economy revives
Building a Republican Building a Republican MajorityMajority
• Nixon obsessed about reelection
• Inactive on desegregation to win South
• Attack cultural revolution to win “middle America”
• Democrats try to retain majority by joining crusade against drugs, crime
In Search of DIn Search of Déétentetente
• Foreign-policy assumptions• Cold War to be managed, not won• America must make a strategic retreat• improve relations with China to neutralize
Russia
• February 1972--Nixon visits China
In Search of DIn Search of Déétente:tente:Outcome of China VisitOutcome of China Visit
• February 1972--U.S. recognition of Communist China set in motion
• May 1972--Russians sign SALT I
• Apparent mutual desire to reduce Cold War tensions
Ending the Vietnam WarEnding the Vietnam War
• Nixon’s plan - VIETNAMIZATION• gradual reduction of American troops• intensify American bombing • hard line at the peace talks
• 1970--invasion of Cambodia
• January, 1973--peace talks conclude with disguised American surrender
The Crisis of DemocracyThe Crisis of Democracy
• June, 1972--Nixon agents arrested for attempted Watergate break-in
• Nixon stonewalled the press about White House involvement• even instructed aides to lie under oath
The Election of 1972The Election of 1972
• Nixon’s opponents• American Independent George Wallace--
shot and disabled, followers vote for Nixon• Democrat George McGovern--nomination
alienates middle class; Staunch Liberal
• Nixon landslide suggests new alignment• middle class shifting to Republican
conservatism• African Americans, Jews, the poor remain
strongly Democratic
The Watergate ScandalThe Watergate Scandal• Summer 1973--Senate investigation
• damaging Senate hearings on cover-up• White House tapes discovered
• Summer 1974• Nixon must relinquish tapes; “smoking gun”
of investigation• House Judiciary committee recommends
impeachment
• August 9, 1974--Nixon resigns
The Watergate Scandal: The Watergate Scandal: ConsequencesConsequences
• Demonstrated growing power of the executive branch
• Illustrates vitality of institutions• the press• the federal judiciary• Congress
• Encourages more cynicism about Washington and politics (politicians)
Energy and the Energy and the EconomyEconomy
• U.S. way of life based on cheap energy
• 1970s energy crisis sparks inflation
The October WarThe October War
• October, 1973--Yom Kippur War pits Egypt, Syria against Israel
• U.S. supplies weapons to Israel
• Arab oil nations retaliate with boycott• prices of gasoline and home heating fuel
rose sharply
The Oil ShocksThe Oil Shocks
• Effects of soaring oil prices • consumer spending plunges• recession by 1974• inflation persists through 1970s
• Tax cut aids consumer spending and encourages recovery
• 1979--Iranian Revolution causes second surge in oil prices
The Oil Shocks: Price Increases The Oil Shocks: Price Increases of Crude Oil and Gasoline, of Crude Oil and Gasoline, 1973-19851973-1985
The Search for an The Search for an Energy PolicyEnergy Policy
• Ford tries to encourage production
• Carter tries to encourage conservation
• Congressional legislation to• encourage production, e.g. Alaska pipeline• encourage conservation, e.g. gas rationing
• Energy problem persists
The Great InflationThe Great Inflation
• Oil prices drive inflation• price of goods soars• real income declines as buying power
diminishes due to inflation
• Attempted government controls result in record high interest rates (pull $ out of circulation to increase value of $ left in market, thereby decreasing inflation.)
The Shifting American The Shifting American EconomyEconomy
• U.S. share of world markets declines
• U.S. heavy industrial production declines…U.S. becomes service industry centered
• High technology prospers
• Businesses tend to diversify
The Ford AdministrationThe Ford Administration 1974-1974-7676
• Pardon of Nixon unpopular
• Democratic Congress alienated• disclosure of illegal CIA activities under
Kennedy and Johnson• opposes Democratic bills protecting the
environment and civil rights
The 1976 CampaignThe 1976 Campaign
• Ford damaged by Watergate
• Democrat Jimmy Carter wins close vote• former governor of Georgia• campaigns as outsider• calls for decency, morality in government
Disenchantment with Disenchantment with CarterCarter
• Carter displays lack of political vision
• Outsider status hampers effectiveness
• 1979--Carter blames American people for "national malaise"
From Détente to From Détente to Renewed Cold WarRenewed Cold War
• U.S. international dominance declined sharply in the 1970s
• Internal and external events weakened foreign policy
Retreat in AsiaRetreat in Asia
• April 1975--North Vietnam captures Saigon
• U.S. response--evacuation, no aid
• Subsequent incidents met with caution, restraint
Accommodation in Latin Accommodation in Latin AmericaAmerica
• 1977--treaty returns Panama Canal to Panama
• 1979--U.S. refuses aid to Nicaraguan government against Sandinistas
• Carter assists El Salvador against Marxist rebels
The Quest for Peace in The Quest for Peace in the Middle Eastthe Middle East
• Carter’s success• 1978--Camp David Accords • 1979--Israeli-Egyptian peace treaty
• Carter’s failure• 1979--Iranian Revolution • November--U.S. embassy in Teheran
invaded, 58 Americans taken hostage• Carter fails to secure hostages’ release
The Cold War ResumesThe Cold War Resumes
• Carter, Brzezinski shift from Détente• condemn Soviet human rights abuses• new missile systems deployed• increased aid to China
• December, 1979--Russians invade Afghanistan
A Failed PresidencyA Failed Presidency
• Carter lost public confidence during the Iranian hostage crisis
• Double-digit inflation also contributed to voter disappointment