Increasingly, Carter was charged with being soft on the Soviets. His critics pointed to Soviet expansionism in Angola and the Horn of Africa. They warned that U.S. oil supplies were threatened. Then the Shah of Iran was overthrown. Islamic fundamentalists, led by the Ayatollah Khomeini, took over the oil-rich country. A siege of the U.S. Embassy ended with all diplomats taken hostage. A failed rescue attempt sealed America's humiliation.

In America, the loss of Iran led to long lines at the pump. The economy was slowing down. The blame fell on Carter, further damaging his prestige. Then the Soviets struck in Afghanistan -- essentially bringing an end to dŽtente. Carter, who saw the invasion as part of a wider Soviet plan, gave up hope of Congress approving SALT II. He organized punitive sanctions against the U.S.S.R., including a boycott of the 1980 Moscow Olympics -- a gesture that proved futile and unpopular.

World affairs ultimately influenced the 1980 U.S. presidential election. Carter faced difficult odds: The economy was slack, Americans were still hostage in Iran, the Soviets were still in Afghanistan. Carter himself saw a growing spirit of "malaise" in the country. His opponent, Republican Ronald Reagan, won the election by a large margin -- in part by promising much tougher policies against Moscow.
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