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Photograph (a) shows a man standing beside a gas station reading a newspaper article with the headline “Gas Rationing Set Monday.” A sign that reads “Sorry No Gasoline” is visible in the background. Photograph (b) shows a sign with three stripes of color. The uppermost stripe, which is green, bears the message “Green Flag/Everyone Welcome.” The middle stripe, which is yellow, bears the message “Yellow Flag/Commercial/Trucks, Cars/Burden of Proof on Customer.” The bottom stripe, which is red, bears the message “Red Flag/Closed/No Gas.”
The oil shortage triggered a rush to purchase gasoline, and gas stations around the country were choked with cars waiting to fill up. Eventually, fuel shortages caused gas stations to develop various ways to ration gasoline to their customers (a), such as the “flag policy” used by gas dealers in Oregon (b).

Although Nixon’s economic and civil rights policies differed from those of his predecessors, in other areas, he followed their lead. President Kennedy had committed the nation to putting a man on the moon before the end of the decade. Nixon, like Johnson before him, supported significant budget allocations to the National Aeronautics and Space Administration (NASA) to achieve this goal. On July 20, 1969, hundreds of millions of people around the world watched as astronauts Neil Armstrong and Edwin “Buzz” Aldrin walked on the surface of the moon and planted the U.S. flag. Watching from the White House, President Nixon spoke to the astronauts via satellite phone. The entire project cost the American taxpayer some $25 billion, approximately 4 percent of the nation’s gross national product, and was such a source of pride for the nation that the Soviet Union and China refused to televise it. Coming amid all the struggles and crises that the country was enduring, the moon landing gave citizens a sense of accomplishment that stood in stark contrast to the foreign policy failures, growing economic challenges, and escalating divisions at home.

Nixon the diplomat

Despite the many domestic issues on Nixon’s agenda, he prioritized foreign policy and clearly preferred bold and dramatic actions in that arena. Realizing that five major economic powers—the United States, Western Europe, the Soviet Union, China, and Japan—dominated world affairs, he sought opportunities for the United States to pit the others against each other. In 1969, he announced a new Cold War principle known as the Nixon Doctrine, a policy whereby the United States would continue to assist its allies but would not assume the responsibility of defending the entire non-Communist world. Other nations, like Japan, needed to assume more of the burden of defending themselves.

Playing what was later referred to as “the China card,” Nixon abruptly reversed two decades of U.S. diplomatic sanctions and hostility to the Communist regime in the People’s Republic of China, when he announced, in August 1971, that he would personally travel to Beijing and meet with China’s leader, Chairman Mao Zedong, in February 1972 ( [link] ). Nixon hoped that opening up to the Chinese government would prompt its bitter rival, the Soviet Union, to compete for global influence and seek a more productive relationship with the United States. He also hoped that establishing a friendly relationship with China would isolate North Vietnam and ease a peace settlement, allowing the United States to extract its troops from the war honorably. Concurring that the Soviet Union should be restrained from making advances in Asia, Nixon and Chinese premier Zhou Enlai agreed to disagree on several issues and ended up signing a friendship treaty. They promised to work towards establishing trade between the two nations and to eventually establishing full diplomatic relations with each other.

A photograph shows Richard Nixon, Patricia Nixon, and a host of officials standing in front of the Great Wall of China.
President Nixon and First Lady Patricia Nixon visited the Great Wall on their 1972 trip to China. The Chinese showed them the sights and hosted a banquet for them in the Great Hall of the People. Nixon was the first U.S. president to visit China following the Communist victory in the civil war in 1949.

Continuing his strategy of pitting one Communist nation against another, in May 1972, Nixon made another newsworthy trip, traveling to Moscow to meet with the Soviet leader Leonid Brezhnev. The two discussed a policy of détente    , a relaxation of tensions between their nations, and signed the Strategic Arms Limitation Treaty (SALT), which limited each side to deploying only two antiballistic missile systems. It also limited the number of nuclear missiles maintained by each country. In 1974, a protocol was signed that reduced antiballistic missile sites to one per country, since neither country had yet begun to build its second system. Moreover, the two sides signed agreements to allow scientific and technological exchanges, and promised to work towards a joint space mission.

Section summary

When a new Republican constituency of moderate southerners and northern, blue-collar workers voted Richard Nixon into the White House in 1968, many were hopeful. In the wake of antiwar and civil rights protests, and the chaos of the 1968 Democratic National Convention, many Americans welcomed Nixon’s promise to uphold law and order. During his first term, Nixon strode a moderate, middle path in domestic affairs, attempting with little success to solve the problems of inflation and unemployment through a combination of austerity and deficit spending. He made substantial progress in foreign policy, however, establishing diplomatic relations with China for the first time since the Communist Revolution and entering into a policy of détente with the Soviet Union.

Questions & Answers

differentiate between demand and supply giving examples
Lambiv Reply
differentiated between demand and supply using examples
Lambiv
what is labour ?
Lambiv
how will I do?
Venny Reply
how is the graph works?I don't fully understand
Rezat Reply
information
Eliyee
devaluation
Eliyee
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WARKISA
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Lambiv
multiple choice question
Aster Reply
appreciation
Eliyee
explain perfect market
Lindiwe Reply
In economics, a perfect market refers to a theoretical construct where all participants have perfect information, goods are homogenous, there are no barriers to entry or exit, and prices are determined solely by supply and demand. It's an idealized model used for analysis,
Ezea
What is ceteris paribus?
Shukri Reply
other things being equal
AI-Robot
When MP₁ becomes negative, TP start to decline. Extuples Suppose that the short-run production function of certain cut-flower firm is given by: Q=4KL-0.6K2 - 0.112 • Where is quantity of cut flower produced, I is labour input and K is fixed capital input (K-5). Determine the average product of lab
Kelo
Extuples Suppose that the short-run production function of certain cut-flower firm is given by: Q=4KL-0.6K2 - 0.112 • Where is quantity of cut flower produced, I is labour input and K is fixed capital input (K-5). Determine the average product of labour (APL) and marginal product of labour (MPL)
Kelo
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Shukri
Can I ask you other question?
Shukri
what is monopoly mean?
Habtamu Reply
What is different between quantity demand and demand?
Shukri Reply
Quantity demanded refers to the specific amount of a good or service that consumers are willing and able to purchase at a give price and within a specific time period. Demand, on the other hand, is a broader concept that encompasses the entire relationship between price and quantity demanded
Ezea
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Shukri
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Lilia Reply
what is the difference between economic growth and development
Fiker Reply
Economic growth as an increase in the production and consumption of goods and services within an economy.but Economic development as a broader concept that encompasses not only economic growth but also social & human well being.
Shukri
production function means
Jabir
What do you think is more important to focus on when considering inequality ?
Abdisa Reply
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Awais Reply
sir...I just want to ask one question... Define the term contract curve? if you are free please help me to find this answer 🙏
Asui
it is a curve that we get after connecting the pareto optimal combinations of two consumers after their mutually beneficial trade offs
Awais
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Asui
In economics, the contract curve refers to the set of points in an Edgeworth box diagram where both parties involved in a trade cannot be made better off without making one of them worse off. It represents the Pareto efficient allocations of goods between two individuals or entities, where neither p
Cornelius
In economics, the contract curve refers to the set of points in an Edgeworth box diagram where both parties involved in a trade cannot be made better off without making one of them worse off. It represents the Pareto efficient allocations of goods between two individuals or entities,
Cornelius
Suppose a consumer consuming two commodities X and Y has The following utility function u=X0.4 Y0.6. If the price of the X and Y are 2 and 3 respectively and income Constraint is birr 50. A,Calculate quantities of x and y which maximize utility. B,Calculate value of Lagrange multiplier. C,Calculate quantities of X and Y consumed with a given price. D,alculate optimum level of output .
Feyisa Reply
Answer
Feyisa
c
Jabir
the market for lemon has 10 potential consumers, each having an individual demand curve p=101-10Qi, where p is price in dollar's per cup and Qi is the number of cups demanded per week by the i th consumer.Find the market demand curve using algebra. Draw an individual demand curve and the market dema
Gsbwnw Reply
suppose the production function is given by ( L, K)=L¼K¾.assuming capital is fixed find APL and MPL. consider the following short run production function:Q=6L²-0.4L³ a) find the value of L that maximizes output b)find the value of L that maximizes marginal product
Abdureman
types of unemployment
Yomi Reply
What is the difference between perfect competition and monopolistic competition?
Mohammed
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Source:  OpenStax, U.s. history. OpenStax CNX. Jan 12, 2015 Download for free at http://legacy.cnx.org/content/col11740/1.3
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