Jimmy Carter – In 1976, the Republicans nominated Gerald Ford, and the Democrats nominated James Earl Carter, a dark-horse candidate. Running on the Watergate scandal and the corruption of the last administration, Carter squeezed a narrow victory with 51% of the popular vote and an electoral count of 297:240. Carter also enjoyed Democratic majorities in both houses of Congress, and at first was successful with an $18 billion tax-cut. Carter set out to “humanize” the nation’s foreign policy, and his greatest achievement was the Camp David Accord signed between President Anwar Sadat and PM Menachem Begin of Israel on September 17, 1978. Carter also resumed full diplomatic relations with China and proposed 2 treaties turning over complete ownership and control of the Panama Canal to the Panamanians by the year 2000. However, the economy was in a bad state as stagnation brought on by high-energy prices caused recession. Deficits ($60 billion in 1980) further aggravated the US economy’s inflationary ailments.