A Crisis in Confidence (1968-1980)

I. President Nixon - Personality Impact of defeats in 1960 & 62 – He insulated himself from the nation. Viewed his opponents as enemies who must be crushed.

II. Foreign Policy Nixon sought a policy of détente (relaxation of tension) with the Soviet Union. SALT Significance of China trip- Reduced the number of American troops in Vietnam. Also began a highly controversial bombing campaign in Cambodia.

III. Energy Crisis In 1973, Egypt and Syria launched a surprise attack on Israel. After the war, OPEC announced a 5% cut in oil production. They announced that 5% would be cut every month until Israel gave up lands taken in 1967.

IV. Impact on the U.S. Economy The growth of the American economy after WWII was dependent on cheap energy. U.S. – 6% of world pop. 40% of earth’s energy consumption. Price of oil per barrel rose dramatically. 1973- $3 1979 - $30 The oil crisis led to massive inflation during the 1970s.