Few people recall that night in July 1979. With uncompromising directness, President Jimmy Carter laid out the truth for the American people. It was time to choose between the two ideas of progress.
Crisis Abroad and Panic at Home
The year was 1979. By this time, it was clear that the protests in Iran which had begun a year earlier were not going away. Indeed, the revolution of the long-time US ally, Iran, was becoming an international crisis. Protests throughout Iran had led to the dethroning of the
Shah of Iran and in his place,
Ayatollah Khomeini- a fundamentalist cleric- became the leader of the nation.
The revolution had thrown oil production into decline and, this, in turn, had driven up prices.
To make up for this loss, Saudi Arabia, and other OPEC nations boosted their respective production; however, the cartel had also announced that a series of oil price increases would accompany this increase. Gasoline prices skyrocketed and the perception of a shortage had led to widespread panic.
Beginning in California and spreading eastward, the panic soon turned to anger from the American public and this hostility was primarily directed at the Carter administration. One of the reasons for this was Carter’s decision to cut all imports of Iranian goods, following the seizure of American hostages when students raided the American embassy in Tehran.
A President in Search of Redemption
Carter's approval rating had dropped to 25%, even lower than Richard Nixon's during the
Watergate scandal. Following an exhausting summit in Tokyo, the one thing President Carter desired most was a break. He had planned to travel to Hawaii for a vacation.
However, his chief of staff took a look at the poll numbers and warned him that his chances of re-election would be in serious doubt unless he took some action immediately.