Jimmy Carter (1977-1981)

39th President [Democrat]

Rising Inflation

  • Ate away at peoples savings
  • Raised prices of necessities
  • US automobile industry lost economic power to Japanese companies due to more reasonable prices
  • Carter responded by implementing several domestic policies
  • Nominated Paul Volcker to head the Federal Reserve Board
  • Raised interest rates eventually bringing an end to inflation

Oil Crisis & Soviet Invasion of Afghanistan

Oil Crisis

  • In November 1979 Carter halts oil imports and freezes Iranian assets in the United States because militant students take 66 Americans hostage.

  • The US automobile fell to Japanese car companies due to fuel-efficiency

  • A gallon of gas tripled by the end of the decade.

  • Fuel shortages caused factory closings and business losses.

Soviet Invasion of Afganistan

  • invaded Afghanistan to prop up a tottering communist government

  • Carter reacted by withdrawing the SALT II treaty from Senate consideration and by imposing sanctions on the Soviets which the sanctions included a U.S boycott of the 1980 Summer Olympic Games

Oil Crisis 1973 - first part.mov

Significant Events!!

Iranian Hostage Crisis Video

Iran Hostage Crisis 1979 (ABC News Report From 11/11/1979)

Why he only served one term.

  • Persistent inflation, Iran Hostage crisis,and Soviet Union invasion of Afghanistan made it easy for Reagan beat Carter

  • race remained relatively close until about one week before the election

  • Reagan appeared friendly and even-tempered

  • He calmed fears that he did not have enough experience to serve as President

  • Reagan won 50.6 % of popular vote

  • won an overwhelming majority of electoral college votes

  • Democrats maintained control of the House of Representatives, republicans captured the US Senate for the first time since 1955

Camp David Accords

  • Egypt had opposed Israel's existence since being found in 1948
  • Egypt and Syria had attached Israel
  • Eager to improve relations, Anwar el-Sadat (Egypt's President) and Menachem Begin (Israeli prime minister) met in Jerusalem to negotiate a peace agreement.
  • Carter invites them to Camp David (presidents retreat)
  • Three weeks the leaders carried on the difficult negotiation
  • Becomes known as the Camp David Accords
  • Provided the framework for a peace treaty
  • Egypt would formally recognize the nation of Israel
  • Israel withdrew its troops from Sinai Penisula

Iranian Hostage Crisis

  • January 1979: The Iranian Revolution forces the Shah {emperor} on to exile.

  • February 1979: Ayatollah Khomeini returns to Iran after 15 years in exile.

  • April 1979: Khomeini takes power.

  • November 1979: Militant students take 66 Americans hostage. Carter halts oil imports and freezes Iranian assets in the United states.

  • April 1980: Carter severs diplomatic relations with Iran and imposes an economic embargo. A military mission to free the hostages ends in disaster.

  • January 1981: On the day of Reagan's inauguration, the hostages are released in exchange for $8 billion in frozen assets and a promise to lift trade sanctions against Iran.

Work Cited

Textbook Pages:




1066 & 1067