Unit 9 Section 1

OPEC & Oil

In the 1970s, OPEC gained power by cutting oil supplies, causing prices to spike and creating energy crises worldwide. In the 1980s, oil became more available, prices fell, and OPEC lost some control over the market.

New Federalism

New Federalism was a political idea in the United States during the 1970s and 1980s that aimed to give more power and control back to the states instead of the federal government. It was promoted by Presidents Nixon and Reagan to reduce federal spending and increase state responsibility for programs like welfare and education.

Ford & Whip Inflation Now

Whip Inflation Now (WIN) was President Gerald Ford’s 1974 campaign to fight rising inflation in the U.S. economy. It encouraged Americans to save money, spend less, and grow their own food—but it was seen as ineffective because it lacked strong government action

Conservative 

In the 1970s and 1980s, conservatives in the U.S. pushed back against big government, high taxes, and liberal social policies. They gained strength with Ronald Reagan’s election in 1980, promoting traditional values, strong defense, and free-market economics.

Liberal

In the 1970s and 1980s, liberals in the U.S. generally supported government programs to help the poor, civil rights, environmental protection, and social change. They believed the government should play an active role in solving problems and promoting equality.

Reagan domestic policy

Ronald Reagan’s domestic policy focused on cutting taxes, reducing government spending, and limiting federal regulation—an approach often called Reaganomics. He also aimed to shrink the size of government, strengthen the military, and reduce the role of welfare programs.

Short answer:  Describe the U.S. economy during the 1970s, using at least 2 details and/or examples

The U.S. economy in the 1970s faced stagflation, a combination of high inflation and high unemployment. Oil crises in 1973 and 1979 caused price spikes and gas shortages, while industries struggled with foreign competition, leading to sluggish job growth and economic instability.

short answer:Describe 2 advantages and disadvantages of Reagan’s domestic policy.

Reagan’s domestic policy spurred economic growth and reduced inflation through tax cuts, but also led to increased income inequality and a growing national debt due to higher military spending and lower taxes.

Free response: Ø  What were 2 key aspects of Ronald Reagan’s domestic policy?  Did these aspects of his domestic policy follow the conservative philosophy of the 1980s?

Two key aspects of Ronald Reagan’s domestic policy were tax cuts and reducing government regulation. Reagan implemented significant tax cuts, especially for businesses and the wealthy, believing this would stimulate economic growth by encouraging investment and job creation. He also worked to reduce federal government intervention, cutting regulations on industries like energy, banking, and healthcare. These policies were in line with the conservative philosophy of the 1980s, which emphasized limited government, free-market capitalism, and individual responsibility, reflecting Reagan’s belief in promoting a smaller government and a more active private sector.