32.3 The Ford and Carter YearsEssential QuestionsWhat were the challenges to the Ford and Carter Administrations?

Key Terms• Gerald R. Ford• Jimmy Carter• National Energy Act• Human Rights• Camp David Accords

Key Dates• August 9, 1974 Ford is sworn in as President• May 1975- Mayaguez Incident• November 1976- Jimmy Carter Elected• September 17, 1978 – Camp David Accords • July 15, 1979 – “Crisis of Confidence” Speech

“Our long national nightmare is over”-Gerald Ford• What problems did Ford face when he was sworn in as

President?• Watergate

• Distrust of the government• The economy- still nation’s biggest issue

• Ford appeared honest, but also boring• “I’m a Ford, not a Lincoln”• Commonly described as “Square”

Gerald R. Ford

Nixon Pardon• September 8, 1974 Ford Pardons Nixon for role in Watergate • “A body blow to the president's own credibility…”-The New York Times

• Ford believed it would help the nation move past Watergate• Damaged Ford’s public support• Hoped to win back support by instituting new policies to address

the nation’s struggling economy

Ford’s Economic Policies • Inflation and unemployment – stagflation continued to be a problem• Inflation was 11% by end of 1974• Much of it was caused by rising oil and gas prices

• “Whip Inflation Now”• Asked people to cut back on gas and oil • Cut government spending• Increased interest rates

• Initially made things worse- economy moved into full-recession

Battles With Congress• Democratic Congress was opposed to much of Ford’s economic policy • Wanted to increase spending on jobs programs, health, education• Ford vetoed much of their legislation- arguing that increased spending

would only make inflation worse• Ford vetoed over 50 Bills in two years

• By 1976 inflation was below 10% and unemployment had fallen about .5% from 8.5 to 8%

Were Ford’s policies bad for the nation?

Ford’s Foreign Policy • Continued much of Nixon’s policies• Henry Kissinger remained Secretary of State

• Helsinki Accords• Agreements designed to increase cooperation b/t Eastern and Western

Europe• Mayaguez incident• Cambodia seized US ship Mayaguez• Ford launches airstrikes on Cambodia and sends US Marines to rescue

hostages• 41 soldiers are killed saving 39 hostages

S.S. Mayaguez

USS Holt Boards the Mayaguez

The Election of 1976• Ford eventually wins Republican Nomination• Faced strong opposition from Conservative former California Governor

Ronald Reagan • Democrats nominate former Georgia Governor Jimmy Carter• Democrats in strong position after Watergate and conflict in the

Republican Party• “We could run an aardvark this year and win”• Carter ran as a Washington outsider- to an advantage

• Carter was folksy, and his personality and morality helped him more than his experience

Jimmy Carter

Carter Campaign

Carter’s Inauguration

The Carter Administration• Energy Crisis• Caused mostly by over-reliance on imported oil

• 1978- National Energy Act• Tax on gas guzzling cars• Tax credits for alternative energy sources• Removal of price controls on heating oil and gasoline for US resources

• Cars became more efficient • Renewable sources of energy began to be developed

Continuing Economic Crisis

• 1979- violence in the Middle East raises prices and causes oil shortages in the US• Inflation rose to 11.3%

• Price controls• Spending cuts• De-regulation of transportation• Raise in interest rates

• Seen as inconsistent• “Crisis of Confidence Speech”• Inflation at 13.5%

Rust Belt• Economy shifted to service economy from industrial• Foreign Competition • Higher energy costs• Loss of low skill labor

• Many cities especially in North and Midwest lost their industries ex. steel, automotive, textile

• Rust Belt Cities• Ex. Baltimore, Detroit, Buffalo, Cleveland

Domestic PolicyFord Carter

Pros Pros

Cons Cons

Human Rights Foreign Policy• Rejected realpolitik and Détente • Focused on Human Rights

• Carter refused Aid to countries that had human rights violations• examples?

• Many of these nations were US allies • Supported dictators in some countries and cut off others• Angered US allies and was initially popular but public support for the

policy quickly fell• More tension with Soviet Union• Soviet invasion of Afghanistan led to a escalation of tensions in 1979

Camp David Accords• Carter’s biggest foreign policy achievement• Summer 1978 brought Egyptian President Anwar el-Sadat and Israeli

Prime Minister Menachem Begin • Two Agreements• 5 year transition period for Israel and Jordan to work out issue of self-rule

for Palestinians • Ending hostilities between Israel and Egypt

• Detailed treaty signed in March 1979• Israel returned conquered land to Egypt • Egypt recognized Israel as a nation- 1st Arab nation to do so.

Iranian Hostage Crisis • Shah of Iran was US ally since 1950s• Corrupt• Brutal

• Secret police- Savak- tortured and executed thousands

• January 1978- Massive strikes and protests paralyze country• January 1979- Ayatollah Ruhollah Kohmeini returns from exile in

Paris- establishes government based strictly on the Qur’an • October 1979- Shah flees Iran• Goes to the United States for cancer treatment

• November 4. 1979- Iranian students storm US embassy in Tehran- capturing 52 Americans for 444 days

• Carter severed diplomatic relations and severed trade with Iran• Not released to January 20th 1981

Shah of Iran

Ayatollah Kohmeini

Iranian Revolution

Foreign Policy Ford Carter

Pros Pros

Cons Cons

Quiz• T/F The Public was supportive of Ford’s pardon of Nixon.

• What two economic problems did Ford and Carter battle during their presidencies?

• Who challenged Ford for the Republican presidential nomination in 1976? (Not who he ran against in the general election)

• What was the focus of Jimmy Carter’s Foreign Policy?

• What two nations negotiated a peace deal at Camp David?