Chapter 27 Politics and Economics

Section 1 - The Nixon Administration 1968 election - Richard Nixon (Rep.) v. Hubert Humphrey (Dem.) and George Wallace (Ind) - wanted segregation in the deep south Spiro Agnew - Gov. of Maryland, becomes Nixon’s VP Warren Burger - conservative judge, appointed by Nixon Upheld the death penalty, limited the rights of criminals ELECTION

Section 1 New Federalism - gave more power to states and local Gov. Revenue sharing - provided states with federal funds President - Republican House and Senate - Democrat Nixon tried to get more Executive (Presidential ) power Impounded - refused to release funds passed by Congress

More on Sect. 1 AFDC - Aid to Families with Dependent Children - critics said it gave aid instead of encouraging jobs States had too much control Domestic affairs - within the U.S. - Nixon was poor Foreign affairs - outside the U.S. - Nixon’s passion Henry Kissinger - National Security Advisor, Vietnamization Better relations with Communist countries (USSR and China) Détente - relaxation of tensions between China, USSR and U.S.

End of Sect. 1 After WWII China was communist under Mao Tse Tung Nationalists fled to Taiwan - under Chaing Ke Shek U.S. only recognizes the nationalists in Taiwan, until Nixon Nixon was the 1st President to visit China since communist control (1972) Moscow, U.S.S.R. (Nixon and Brezhnev, 1972) Signed SALT - Strategic Arms Limitation Treaty - limited nuclear weapons and increased trade

Section 2 - Watergate Watergate - Nixon administration attempt to cover up a break-in at Watergate, a hotel that was headquarters for the Democratic Committee Nixon - created an enemies list while President 1972 election - George Wallace didn’t mount a campaign because an assassins bullet had paralyzed him Nixon v George McGovern

Sect. 2 cont Nixon - popular in the way he dealt with China and the USSR Unpopular - Vietnam and domestic affairs Nixon was paranoid and started spying on the democrats June 17, men were busted breaking into Watergate (Democratic headquarters) James McCord - one of the burglars - ex CIA and member of CRP (committee to re-elect the President) Washington Post - kept the story alive Reporters - Woodward and Bernstein

Watergate hearings Judge John Sirica Senates Select Committee on Presidential Campaign Activities - set up by Senator Sam Ervin John Dean - council to President Nixon, testified on Nixon involvement, said John Mitchell (Nixon’s Attorney General) ordered the break - in Alexander Butterfield - Nixon’s aid - told them there were tapes of conversations in the Oval Office Sirica Ervin Dean Mitchell Butterfield

Watergate - cont. Nixon doesn’t want to give up the tapes so he claims Executive Privilege Archibald Cox - special prosecutor for Watergate, asks for the tapes Saturday night massacre - orders 3 different people to fire Cox Finally Robert Bork does it, Leon Jaworski becomes new prosecutor V.P. - Spiro Agnew resigns for other illegal activities, so Gerald Ford becomes the V.P. and eventually the new President after Nixon’s resignation Cox Bork Jaworski Agnew Ford

End of Watergate House Judiciary votes to impeach President Nixon Reasons: 1. Obstruction of Justice - wouldn’t give up the tapes 2. Cover - Up - ordering people to be fired for wanting the tapes and the truth 3. Misuse of Federal Agencies - ordering the CIA to help in the cover up Aug. 9, Nixon resigns before the Senate removes him from office Tapes prove the cover up

Section 3 - Gerald Ford and Jimmy Carter 1950’s and 60’s - good times economically because: 1. Good access to raw materials around the world 2. Strong manufacturing at home 1970’s the above conditions began to disappear LBJ got us in trouble with deficit spending for Vietnam, without raising taxes This caused too much money in the economy or INFLATION - rise in the cost of goods

Sect. 3 cont. U.S. is the largest consumer of OIL in the world OPEC - Oil producing and exporting countries Many conflicts in the Middle East - about oil and religion Yom - Kipper War (Israel v Arab countries OPEC decides to embargo (stop shipping) oil to countries that helped Israel, this includes the U.S. Only lasted a few months but hurt the economy Crude oil went from $3 a barrel (1973) to $30 a barrel (1980)

Sect. 3 cont Loss of manufacturing jobs due to foreign competition (out sourcing) Stagflation - rising prices and economic stagnation (flat) Gerald Ford - pardons Nixon Helsinki Accords 1. Recognized Eastern borders in Europe 2. Soviets would follow Human rights

Jimmy Carter 1976 election Ford (Rep.) v Jimmy Carter (Dem.) - Carter is elected Andrew Young - 1st African American Ambassador to the U.S. Gave the Panama Canal back to Panama (1999) Camp David Accords - peace talks between Israel and Egypt Proposed W.I.N. - whip inflation now - each person was supposed to cut back on energy use on their own Started Department of Energy

Conflict in Iran The Shah(leader) of Iran was ousted from power by the revolutionaries of Iran Shah had to flee to the U.S. Ayatollah Khomeini was the new leader Iran revolutionaries stormed the Embassy in Iran and took 52 Americans hostages Held for 444 days Helicopter went down trying to rescue them Carter didn’t win re-election, maybe because of his inability to free the hostages