Carter’s Domestic Issues- 33:iv -

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More Economic Instability

President Carter inherited an

unstable economy.

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Carter’s inability to work effectively with Congress blocked his plans in many areas.

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Carter attempted to prevent a recession by stimulating growth through government deficit-spending.

Cuts in social programs

angered liberal Democrats,

undermining support for

Carter’s presidency.

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A slowdown in the economy resulted in increased unemployment.

Interest rates on mortgages and other loans topped twenty percent, angering consumers.

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Carter’s vacillating approach to solving

economic problems left the impression he did not know

how to fix the economy.

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Energy Crunch

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Carter tried to boost energy production by deregulating prices for oil and natural gas.

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In the late-1970s, the United States importedmore than forty percent of the oil it consumed.

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Carter made energy

conservation a major goal, but

encountered resistance from Congress and

the public.

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Some people felt the United States should be more energy self-sufficient.

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Carter’s comprehensive energy program promoted conservation and created a new

cabinet-level Department of Energy.

Carter called the need for energy conservationthe “moral equivalent of war,” and included . . .

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(1) taxes on inefficient “gas-guzzling” cars, . . .

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(2) conversion of new utilities to fuels other

than oil or natural gas, . .

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(3) deregulation of prices for

domestic oil and natural gas, . . .

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(4) tax credits or loans to homeowners for using solar energy and improving insulation, . . .

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and (5) research funds for alternative energy sources such as solar and synthetic fuels.

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Nuclear power as a solution to our energy needs received a black-eye

when the reactor at Three Mile Island experienced a partial meltdown.

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Carter alsotook steps to deregulate railroads, trucking,

and airlines.

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Deregulation continued during the next two administrations, in spite of opposition from

consumer groups and liberal Democrats.

Other Domestic Issues

Carter issueda controversial

general amnesty for

Vietnam War draft-dodgers shortly after taking office.

Carter’s weak support for social programs disappointed many African Americans.

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The Supreme Court’s 1978 decision supporting affirmative action ultimately led to a backlash against the policy.

By 1980, Carter seemed to have lost confidence, speaking of a

national “crisis of confidence” and a “national

malaise.”[Image source: http://www.time.com/time/covers/1101040705/tjcarter.html]

Many voterswere ready for

the optimism and hopeful rhetoric

of Ronald Reagan, the Republican candidate for

president.[Image source:

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Carter’s Legacy

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