The Lean Years The Presidencies of Ford Carter
- Slides: 23
The “Lean Years” The Presidencies of Ford & Carter
Essential Question: Why did the economic & foreign policies of Ford & Carter fail to meet the needs of America in the late 1970 s?
Confidence The “Overextended Society” of the 1970 s 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 In the 1920 s, the economy was so good that the decade was referred to as the “Roaring 20 s” In the 1950 s, the economy was so good that the decade was referred to as the “Affluent Society” The economy & mood in America were so bad in the 1970 s that the decade was called the “Overextended Society”
The U. S. Economy in the 1970 s
Energy theallies Economy To punishand Israel’s when Egypt & Syria attacked The fuel shortage led toagainst a 200%Israel increase pricerecession of gas &since home. Depression heating Ledintothe worst In the 1970 s, 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 gasshortage & soaring interest rates
Price Increases of Crude Oil & In 2008; Remember when Gasoline gas prices hit $4. 00? The Iranian OPECRevolution oil embargo
The Search for an Energy Policy Mandated gas mileage requirements, speed limits, & price controls on domestic oil Nuclear plants & These oil shocks forced the U. S. to realize its dependency on other Alaskan nations foroil &pipeline 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
A Troubled Workers’American wages did. Economy not keep up with rising prices The 1970 s economy grew stagnant: Unemployment grew to 9% Milk & hamburger prices rose 200% High A stagnant STAGFLATION Heavy industry jobs fellinflation due to economy Car prices rose 72% Bread prices rose 400% outsourcing & foreign competition 1970 s experienced huge inflation: Due to Vietnam deficit spending, global food shortage, oil shocks Massive price ledstop to a Neither Ford norincreases Carter could 5. 5% decrease in “real income” for “stagflation; ” Carter’s policies actually drove interest rates up as high as 20% average Americans
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
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
during the TV debates in 1976: “There is no Soviet domination of Eastern Europe”
In 1979, Carter gave the “national malaise” speech in which he discussed the importance of conserving energy but seemed to blame Carter entered with no clear political in philosophy or vision: Americans foroffice creating a “crisis confidence” 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 Disenchantment with Carter
Carter’s Human Rights Foreign Policy
A Declining Superpower America’s international dominance declined sharply in 1970 s 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
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
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 accords in 1979 led to a peace treaty between Egypt & Israel, but alienated other Arab nations
Celebrating the Camp David Accords: Menachem Begin, Jimmy Carter, & Anwar Sadat
The Cold War Resumes During the Carter years, the Cold War rivalry between the U. S. & USSR grew 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
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
Soviet Invasion of Afghanistan, 1979
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
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
Conclusions: A Failed Presidency
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