The Ford and Carter Years 1974-1980

Gerald Ford Vice President to Nixon Sworn in – 1974 - Appoints Nelson Rockefeller as VP Scandal – Nixon’s Pardon “Our national nightmare is over” Free-market: 66 vetoes 1975 “Halloween Massacre” Rumsfeld Sec. of Defense, Cheney Chief of Staff George HW Bush head of CIA

Ford and the Economy Recession & Inflation grew Ford urged energy conservation WIN – Whip Inflation Now! Cut spending, urged higher interest rates This made recession worse Ford SNL

Ford’s Foreign Policy Kissinger remained Sec. of State Fall of Saigon April 1975 Helsinki Accords - continued detente Mayaguez incident vs. Khmer Rouge in Cambodia (1975)

Jimmy Carter - Democrat 1976 election narrowly defeats Ford “Dark horse” “Man of the people” Promised to bring honesty back to Washington Strong Democrat majority in Congress but he still had difficulty

Carter on Energy… Energy Crisis continues Urged conservation Developed the National Energy Act Taxed “gas guzzlers” Gave tax credits for alternative energy research Gas prices temporarily eased by 1979

Economy Worsens OPEC raises prices again in ’79 By 1980 – inflation climbed to 13%

Shift in Focus of Foreign Policy Carter focused on Humans Rights Rejected “Realpolitik” of Kissinger Cut off aid to oppressive governments of Argentina and Chile Agreed to return the Panama Canal to Panama on 12/31/99

Do you agree with President Carter that human rights concerns should steer U.S. foreign policy? Why or why not? Think about: The responsibility of promoting human rights. The loss of good relations with certain countries. The collapse of détente with the Soviet Union.

Middle East Camp David Accords (1978) mediated peace agreements between Egypt (Sadat) and Israel (Begin) Israel returned the Sinai Peninsula to Egypt Egypt recognized Israel’s right to exist Sadat & Begin

Iran Hostage Crisis 1979 – Iranians rebelled against the Shah (installed w/ help of CIA) Ayatollah Khomeini led revolution returned from exile Iran would impose strict Sharia Law Carter allowed Shah to be treated in NY for cancer

Iranian Hostage Crisis… November 4, 1979 – students raided the US embassy in Tehran Demanded the return of the Shah for 52 US hostages Carter refused Lasted 444 days

Cold War Heats Up Again December 1979 – USSR invades Afghanistan Carter: Cancels SALT II Cancels Wheat deal Increases defense spending Boycott of 1980 Moscow Olympics

Problems faced by Carter: Distrust of politicians Energy Crisis Discrimination Human right issues Panama Canal Cold War tensions Middle East tensions Choose four of the problems from the list and describe the policies/solutions offered by the Carter Administration.