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Richard Nixon is elected President.
PResident Nixon was in office in the years 1969-1974. He was president during the times of ression. -
Trough
For many, the 1970s was a decade of pessimism. It opened with a recession in 1970 and the painful ending of the Vietnam War. Memories of the Great Depression made policy makers unwilling to use restrictive monetary and fiscal policy to contain inflation, because it was felt that the associated increase in unemployment would be unacceptable. Instead, wage and price controls were introduced in August 1971.
Between 1970-74, the average annual unemployment rate was 5.4 percent. While the annual ave -
Period: to
Business cycles of the 70's
The Business Cycle is The recurring and fluctuating levels of economic activity that an economy experiences over a long period of time. The five stages of the business cycle are growth (expansion), peak, recession (contraction), trough and recovery. At one time, business cycles were thought to be extremely regular, with predictable durations, but today they are widely believed to be irregular, varying in frequency, magnitude and duration. -
Ression in 1973
At the time the recession of 1973-75 was considered a severe recession. It was the most severe since World War II. One major factor was the decline in investment purchases. The 1973-1975 recession was a deep
recession with a simultaneous rise in
the inflation rate and the
unemployment rate. Oil prices rose
from $2.60/barrel in 1973 to $11/barrel
in 19 to 1975 the level of investment purchases declined by 89 billion 1972 value dollars. -
Gerald Ford is elected president!
President Ford was in office from 1974-1977. These years were the main years of the trough that America went through. -
Trough
Our findings reconfirm the earlier classification
of recession for late 1973 and 1974 and further suggest that the trough
of the 1973 -1975 cycle occurred in May 1975. The recovery beginning in
June 1975 has continued through the end of our time series, September. Unemployment rate was 8.5. The spreads tend to be
negative in the 24 months after the trough dates of November 1970, March 1975, and March
1991, indicating that during those recoveries the fed funds rate was lower.
1976. -
Jimmy Carter is elected president.
