Answer:
The statement is TRUE. The oil embargo of 1973 led the US economy into recession.
Explanation:
With this crisis there was an increase in the price of oil. Taking into account the great dependence that the industrialized world has on this product, the embargo caused a strong inflationary effect and the economic activity in the United States was reduced.
In the United States, the price of gasoline sold to the public rose from 38.5 cents in May 1973 to 55.1 cents in June 1974. For this reason, the New York Stock Exchange lost 97 billion in six weeks. US oil imports from Arab countries decreased significantly: a reduction of 1.2 million barrels per day to 19,000 barrels per day was seen. During the summer of 1974, the first period of fuel shortage since World War II was lived in the United States.
This situation also affected wage controls. The situation forced companies to keep salaries high, which meant that many companies laid off workers to reduce costs. At the same time, they could not lower oil prices to stimulate demand.
At that time, interest rates rose so that companies could not plan for the future. As a result, companies kept prices high, which made inflation worse. They were afraid of hiring new workers, making the recession worse.
Do you have any options or is this a fill in the blank?
When the economy is weak, for example, the Federal Reserve tries to boost consumer and business demand by cutting interest rates or purchasing financial securities. Congress, for its part, can boost demand by increasing spending and cutting taxes. Tax cuts increase household demand by increasing workers' take-home pay.
Answer:
Andrew Johnson’s Presidential vetoes-
a) Grant of amnesty to all white southerners to take loyalty oath
b) Reconstruction plan for North Carolina
Explanation:
The Andrew Johnson’s Presidential vetoes (for the restoration of Confederate states to the Union) which later became Congressional legislation are as follows –
a) Grant of amnesty to all white southerners to take loyalty oath – This shall ensure that regain of white southerners’ properties. However, the white southerners with property worth more than $20,000 were excluded
b) Reconstruction plan for North Carolina – This reconstruction plan for North Carolina was then replicated for other Southern states. The proposal was to appoint provisional governors to the defeated states under which new constitutions should be drafted inclusive of abolishing slavery and renouncing secession.