Attempts at national energy policy - 1979 oil crisis
1. 1979 oil crisis comes during Middle East turmoil as the US-backed Shah of Iran is overthrown, in 1980, Iran and Irag go to war further disrupting Middle East oil production
2. President Carter's response: like Nixon and Ford, the national economy is suffering from stagflation, like Nixon and Ford, he seeks energy independence but Carter focuses on oil conservation by consumers, makes energy conservation a moral crusade, creates the Department of Energy, promotes renewable energy and nuclear power, begins to phase out price controls
3. President Reagan's response: seeks energy independence, shifts policy focus from decreasing demand (Carter) to increasing supply, ends price controls, 1981 recession causes a drop in demand for oil and Iran ends oil embargo which leads to a decrease in oil prices