1. Bell Ringer #8 – 1/13/10 1. What does OPEC stand for? 2. Which two religious groups feud over Israel / Palestine? 3. Why did Arab OPEC countries raise oil prices for the USA in 1973?

2. Troubled Economy  1967-1973: the U.S. faced stagflation  Stagflation occurs when there is high unemployment and high inflation (prices up).

3. Causes of Stagflation 1. Pres. Johnson’s funding of both Vietnam and social programs through deficit spending. 2. Increased International competition. 3. America’s heavy dependency on foreign oil (still a problem today!).

4. Watergate  Scandal arising from the Nixon administration’s attempt to cover up the 1972 break-in at the Democratic National Committee (DNC) headquarters in the Watergate complex.  Led to the imprisonment of 25 government officials.

5. The Watergate Complex Washington D.C. http://www.history.com/video.do?name=americanhistory&bcpid=1676043206&bclid=1716449817&bctid=1592089131 http://www.history.com/video.do?name=americanhistory&bcpid=1676043206&bclid=1716449817&bctid=1539409699 http://www.history.com/video.do?name=americanhistory&bcpid=1676043206&bclid=1716449817&bctid=1592089131

6. “The President’s Men”  Small, loyal group of advisors  Shared Nixon’s desire for secrecy and power. Believed they were “above the law”

7. The Burglary  At 2:30 a.m. on June 17, 1972, a Watergate guard caught 5 men breaking into Democratic National Committee (DNC) headquarters  Were trying to place wiretaps, or “bugs” on the office telephones  Workers began shredding documents and passed out $450,000 to buy the burglars’ silence

8. Chapstick tubes with hidden microphones.

9.  Nixon’s advisors helped plan the Watergate burglary  They also helped to cover it up

10. Nixon Visits China  Nixon visited China in 1972 to try to normalize relations  Reversed American policy of ignoring China and helped Nixon’s image.

11. Saturday Night Massacre  Oct 1973 – Nixon still denied his Watergate involvement  He ordered Attorney General Richardson to fire the prosecutor investigating Watergate  Richardson refused and resigned – an event known as “Saturday Night Massacre”

12. Presidency Shifts  VP Spiro Agnew resigns. Faced with impeachment, Nixon resigns in 1974.  Nixon’s appointed VP, Gerald Ford, becomes President. Ford gave Nixon a “Presidential Pardon” one month later!

13. HOMEWORK  Read Ch 24, Sn 2 (pgs 802-809)  Answer 1 & 4 on page 807  Due Friday