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176-542: The Mustang II was 490 lb (222 kg) lighter and almost 19 in (483 mm) shorter than the 1973 Mustang, and derived from the subcompact Pinto platform . While sharing a limited number of driveline components with the Pinto, the Mustang II employed an exclusive subframe, isolating its front suspension and engine mount subframe. The steering used a rack-and-pinion design. Named Motor Trend's 1974 Car of

352-531: A "reinvented" Mustang, mimicking the first version, by the traditional new model year introduction during the fall of 1973. The new Mustang II returned to a size closer to the 1965 model, ultimately winning the Motor Trend Car of the Year . The economical Mustang II became popular for consumers almost concurrently with their experience with gasoline rationing that was part of the 1973 oil crisis . "Just as

528-402: A 4-cylinder Ghia with a 4-speed manual transmission, an increasingly popular configuration. Staff found that performance was quite poor for a supposed sporty car and ranked it at the bottom of their Low-Priced Sports Car category. Capitalizing on the sales success of the previous year's racy-looking Cobra II, Mustang II sales literature for 1977 emphasized the more sporty aspects of the car, with

704-487: A First World nation by the 1990s; President Carlos Andrés Pérez of Venezuela likewise launched his Le Gran Venezuela project intended to make Venezuela into a First World nation; and President Yakubu Gowon of Nigeria told his people that henceforward Nigeria's main problem would be "managing abundance". After the oil shock, Nigeria presented itself as the first African nation that would reach First World status and in Lagos

880-406: A Mustang as has ever been built" but mysteriously, production climbed to 192,410 units." The automotive editor of Mustang Monthly magazine describes "The Mustang II was the right car at the right time to keep the legend going into the future." The automaker noted that Mustang II has been "maligned by hardcore pony-car fans as the black sheep of the family almost since it went on sale," but "without

1056-788: A Saudi leader since 1953 as he met King Faisal to ask him to end the embargo. Within two week of the embargo being launched, all of the foreign ministers of the nations of the European Economic Community (now the European Union) met in a conference to issue a statement calling for Israel "to end the territorial occupation which has maintained since the conflict of 1967". On December 11, 1973, the Japanese Foreign Minister Masayoshi Ōhira flew in to Riyadh to meet King Faisal for "talks on improving bilateral relations". Shortly afterwards,

1232-470: A car "forever infamous for exploding when struck in the rear," caused owners anxiety that was "heightened by the fact that some Mustang IIs had Firestone 500 tires, notorious in the 70's for widespread failures." It continued: "Ford, not content to drag the revered Mustang name through the mud...added badges from Ghia , the venerable Italian studio that it had bought, to versions of the Mustang II with partial vinyl roofs and tacky opera windows." A 1995 book on

1408-511: A committee to review the Eisenhower-era quota program. Shultz's committee recommended that the quotas be abolished and replaced with tariffs but Nixon decided to keep the quotas due to vigorous political opposition. Nixon imposed a price ceiling on oil in 1971 as demand for oil was increasing and production was declining, which increased dependence on foreign oil imports as consumption was bolstered by low prices. In 1973, Nixon announced

1584-651: A conference in Vienna when it was announced the price for a barrel of oil was to from $ 5 US dollars per barrel to $ 11.65 US dollars per barrel. Faisal was opposed to the price increase, which was largely the work of the Iranian delegation. Over the long term, the oil embargo changed the nature of policy in the West towards increased exploration, alternative energy research, energy conservation and more restrictive monetary policy to better fight inflation. For further details see

1760-519: A few months. Most scholars agree that the 1967 embargo was ineffective. Although some members of the Organization of Arab Petroleum Exporting Countries (OAPEC) supported the use of oil as a weapon to influence the political outcome of the Arab–Israeli conflict , Saudi Arabia had traditionally been the strongest supporter of separating oil from politics. The Saudis were wary of the tactic due to

1936-727: A fixed amount of gold. After 1971, OPEC was slow to readjust prices to reflect this depreciation. From 1947 to 1967, the dollar price of oil had risen by less than two percent per year. Until the oil shock, the price had also remained fairly stable versus other currencies and commodities. OPEC ministers had not developed institutional mechanisms to update prices in sync with changing market conditions, so their real incomes lagged. The substantial price increases of 1973–1974 largely returned their prices and corresponding incomes to former levels in terms of commodities such as gold. Arab oil producing countries had attempted to use oil as leverage to influence political events on two prior occasions—the first

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2112-690: A global leader, courted by elites in both the First World and the Third World. The oil embargo led a sudden interest in the Palestinian issue. Between 1973 and 1981, Saudi Arabia donated a sum worth $ 1 billion US dollars to the Palestine Liberation Organization , which thus had a budget that exceeded that of many Third World nations. On November 8, 1973, Kissinger became the first Secretary of State to meet with

2288-612: A global recession and increased tension between the United States and several of its European allies, who faulted the US for provoking an embargo by providing what many viewed as unconditional assistance to Israel. OAPEC demanded a complete Israeli withdrawal from all territories beyond the 1949 Armistice border . The embargo lasted from October 1973 to March 1974. During a summit in Cairo on November 6, Kissinger asked Sadat what Faisal

2464-562: A group of younger buyers who otherwise shop for used cars. While fuel prices at the time were increasing, the small cars were planned before fuel prices soared; for example, Honda had announced that it would release a subcompact model as early as 2004. By 2008, sales of subcompact cars had dramatically increased in the wake of a continuing increase of fuel prices. At the same time, sales of pickup trucks and large sport utility vehicles had dropped sharply. By April 2008, sales of Toyota’s subcompact Yaris had increased 46 percent, and Honda’s Fit had

2640-529: A higher average transaction price. Models that were no longer sold in the United States by the end of the decade include the Mazda 2 (discontinued after 2014), Scion xD (2016), Toyota Prius C (2017), Ford Fiesta (2019), Smart Fortwo (2019), Fiat 500 (2019), Toyota Yaris (2020), Honda Fit (2020), and Chevrolet Sonic (2020). 1973 oil crisis In October 1973, the Organization of Arab Petroleum Exporting Countries (OAPEC) announced that it

2816-418: A hot item, and this helped boost the smaller Mustang's first calendar year sales to 385,993." According to automotive historian Patrick Foster, "Ford executives decided to call the car 'Mustang II', since it was a new type of pony car designed for an era of high gas prices and fuel shortages". "Many people have never warmed up to the Mustang II, some even complaining it reminds them of the Pinto. But in its day,

2992-458: A marked tendency to lean despite its performance suspension. On the momentum of the Mustang II's successful sales, a new Ford Mustang (third generation) would be introduced for the 1979 model year. The Mustang II was named Motor Trend's Car of the Year , in 1974, the last Mustang to achieve that honor until 1994. Nevertheless, there were also mixed contemporary reviews including Consumer Reports reporting that "there are better subcompacts on

3168-467: A new All-Black Sport Group option for the Mach I and an optional Rallye Package, both adding minor performance enhancements along with the sportier trim. New also was the "Cobra II" appearance package, with a black grille, simulated hood scoop, front and rear spoilers, quarter window louvers, and dual over-the-top racing stripes with matching lower rocker stripes and cobra emblems on the front fenders, echoing

3344-566: A plan to invade Abu Dhabi , Kuwait, and Saudi Arabia. Kissinger publicly threatened "countermeasures" in a Nov 21st, 1973 press conference if the embargo was not lifted, and the Saudis responded with threatening further oil cuts and to burn their oil fields if the US military invaded. After the CIA confirmed these threats, Kissinger gave up military intervention and decided that dealing with Israel's troop withdrawals and settled on diplomatic solutions to

3520-497: A record month with an increase of 54 percent. However, low fuel prices and the added room in SUVs impacted subcompact sales negatively in the late 2010s. During this period, industry executives and analysts said that the subcompact car market was returning to historical norms after an unusual period when manufacturers had expanded small car lineups in anticipation of rising demand fueled by rising fuel prices, which has since eased. In

3696-408: A separate engine sub-frame that decreased noise, vibration, and harshness . According to Ford's Chief Engineer Stuart M. Frey (younger brother of Donald N. Frey ), Iacocca expected a high level of fit and finish, wanting the car to be "a little jewel". The Mustang II production was 385,993 units the first year. The big 1973 Mustang total reached 134,867, but the 1974 version was within "10 percent of

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3872-493: A series of stately modernist buildings were erected as appropriate for a nation that saw itself as the leader of all black Africa. Much of the oil wealth in Nigeria was stolen by corrupt politicians. However, at least some of Nigeria's new oil wealth went to rebuild the areas devastated by the civil war of 1967-1970 and to address the complaints that too much of Nigeria's oil wealth went to the federal government in Lagos instead of

4048-457: A sign of the pro-Israeli slant of American foreign policy. Faisal also felt insulted that Nixon had just promised Saqqaf a "honorable" peace the day before he submitted the request to Congress for some $ 2.2 billion worth of arms for Israel, which he saw as an act of duplicity on Nixon's part. Faisal had been opposed to a total embargo and only agreed to the 5% cut on October 17 under pressure from other Arab states. Faisal felt his efforts on behalf

4224-554: A single one of its stated objectives. The ceasefire which the USA and the USSR together imposed two days later upon Israel, Syria and Egypt would have been imposed in any case; Israel ended the October war, thanks to US aid, better equipped militarily than she had ever been before, and Faisal's ambition to shrink Israel back inside her pre-1949 boundaries remains unfulfilled to this day. Nor did

4400-403: A single stripe, and on the sides of the car, the snake and "COBRA II" decals were replaced with large stripes raised to the middle of the body sides with large "COBRA" lettering in the middle. Louvers were added to the hatch and the side panel louvers only came in black. All of the glass moldings were painted black. With these mid-year changes, for the first time, Mustang II sales brochures featured

4576-425: A sporty 2+2 hatchback model, with its fastback lines, on the cover instead of one of the more formal-looking notchback or Ghia models,. This new cover model featured the available T-top roof with a bright wrap wrap-over band. In 1978, the "King Cobra" became available. This was a limited edition version with 4,313 units produced. It featured a deep air-dam, stripes, and a " Pontiac Trans Am style" cobra snake decal on

4752-460: Is a North American classification for cars smaller than a compact car . It is broadly equivalent to the B-segment (Europe), supermini (Great Britain) or A0-class (China) classifications. According to the U.S. Environmental Protection Agency (EPA) car size class definition, the subcompact category sits between the "minicompact" and " compact " categories. The EPA definition of a subcompact

4928-638: Is a passenger car with a combined interior and cargo volume of 85–99 cubic feet (2,410–2,800 L). Current examples of subcompact cars are the Nissan Versa and Mitsubishi Mirage . The smaller cars in the A-segment/city car category (such as the Chevrolet Spark and Smart Fortwo) are sometimes called subcompacts in the U.S., because the EPA's name for this smaller category — "minicompact" —

5104-486: Is not commonly used by the general public. The prevalence of small cars in the United States increased in the 1960s due to increased imports of cars from Europe and Japan. Widespread use of the term subcompact coincided with the early 1970s increase in subcompact cars built in the United States. Early 1970s subcompacts include the AMC Gremlin , Chevrolet Vega , and Ford Pinto . The term subcompact originated during

5280-480: The "drain America first" policy. Some scholars believe the policy contributed to the decline of domestic US oil production in the early 1970s. The cheapness of oil compared with coal led to the decline of the coal industry. In 1951, 51% of America's energy came from coal, and by 1973, only 19% of America's industry was coal-based. When Richard Nixon became president in 1969, he assigned George Shultz to head

5456-650: The Bar Lev Line in the Sinai Peninsula and Syria launched an offensive in the Golan Heights , both of which had been occupied by Israel during the 1967 Six-Day War . The war began during the height of the Watergate scandal and Nixon largely let Kissinger manage foreign policy as he was distracted by the scandal. On 8 October 1973, Faisal told two Egyptian envoys: "You have made us all proud. In

Ford Mustang (second generation) - Misplaced Pages Continue

5632-627: The Ford Mustang II temporarily downsized from the pony car class to become a subcompact car for its second generation. The Monza with its GM variants Pontiac Sunbird , Buick Skyhawk , Oldsmobile Starfire , and the Mustang II continued until the end of the decade. The Chevrolet Chevette was GM's new entry-level subcompact introduced as a 1976 model. It was an 'Americanized' design from Opel , GM's German subsidiary. Additionally, subcompacts that were imported and marketed through domestic manufacturers' dealer networks as captive imports included

5808-660: The Middle East , including several wars . The Suez Crisis , also known as the Second Arab–Israeli war, was sparked by Israel's southern port of Eilat being blocked by Egypt , which also nationalized the Suez Canal belonging to French and British investors. As a result of the war, the Suez Canal was closed for several months between 1956 and 1957 . The Six-Day War of 1967 included an Israeli invasion of

5984-592: The Netherlands , the United Kingdom , and the United States . This list was later expanded to include Portugal , Rhodesia , and South Africa . In March 1974, OAPEC lifted the embargo, but the price of oil had risen by nearly 300%: from US$ 3 per barrel ($ 19/ m ) to nearly US$ 12 per barrel ($ 75/m ) globally. Prices in the United States were significantly higher than the global average. After it

6160-575: The Renault Le Car and the Ford Fiesta . In 1977, the U.S. Environmental Protection Agency (EPA) began to use a new vehicle classification system, based on interior volume instead of exterior size. Sedans with up to 100 cubic feet of passenger luggage volume were classified as subcompact. There was not a separate subcompact station wagon class with all up to 130 cubic feet of volume classified as "small." In 1978, Volkswagen began producing

6336-715: The Suzuki Cultus (a three-cylinder hatchback, badged as the Chevrolet Sprint) and the Isuzu Gemini (a four-cylinder hatchback/sedan badged as the Chevrolet Spectrum). Subcompact cars were highly popular in the 1990s due to their affordability and fuel efficiency. These cars typically had engines under 1.6 liters and were ideal for city driving. During the 1990s GM offered the Geo brand featuring

6512-680: The Toyota Celica , Datsun 240Z , Mazda RX-3 , and the European Ford Capri – which itself was inspired by the original Mustang but built by Ford of Europe , and marketed since April 1970 in the U.S. by Mercury as a captive import . It saw a new competitor from Germany in 1974 with the Volkswagen Scirocco , and the BMW 2002 introduced earlier in the late 1960s. The new design featured rack and pinion steering and

6688-401: The "Energy crisis" series by Facts on File. The effects of the embargo were immediate. OPEC forced oil companies to increase payments drastically. The price of oil quadrupled by 1974 from US$ 3 to nearly US$ 12 per 42 gallon barrel ($ 75 per cubic meter), equivalent in 2018 dollars to a price rise from $ 17 to $ 61 per barrel. Saudi Arabia had 25% of the world's oil, but only 4% of the oil used in

6864-645: The "Rabbit" version of the Golf — a modern, front-wheel drive design— in Pennsylvania. In 1982, American Motors began manufacturing the U.S. Renault Alliance — a version of the Renault 9 — in Wisconsin. Both models benefiting from European designs, development, and experience. To replace the aging Chevette in the second half of the 1980s, Chevrolet introduced marketed imported front-wheel drive subcompact cars:

7040-535: The "oil weapon". It came in the form of an embargo and production cutbacks from the Arab states. The weapon was aimed at the United States, Great Britain, Canada, Japan and the Netherlands. These target governments perceived that the intent was to push them towards a more pro-Arab position. Production was eventually cut by 25%. However, the affected countries did not undertake dramatic policy changes. The risk that

7216-508: The "peace of the brave" (i.e. a victorious leader being magnanimous to his defeated opponents) meant there was a possibility that Sadat at least would make peace with Israel provided that the war ended in such a way that Egypt was not perceived to be defeated. Likewise, Kissinger regarded Meir as being rather arrogant and believed that an armistice that ended the war in a manner that was not an unambiguous Israeli victory would make her more humble. As both Syria and Egypt lost much equipment during

Ford Mustang (second generation) - Misplaced Pages Continue

7392-421: The $ 850 million worth of arms requested sent a request to Congress for some $ 2.2 billion worth of arms to Israel, which was promptly approved. Nixon, whose administration was being badly battered by the Watergate scandal, felt that a bold foreign policy move might resuscitate his administration. Nixon later boasted in his memoirs that the U.S. Air Force flew more sorties to Israel in October 1973 than it had during

7568-551: The 1939 Crosley . From the 1950s onwards, various imported small cars were sold in the U.S., including the Nash Metropolitan , Volkswagen Beetle , and various small British cars. The term subcompact did not yet exist, so the Metropolitan was labeled a "compact or economy car" and marketed as a second vehicle for use around town, not as a primary car. The Volkswagen Beetle was marketed with advertising pointing out

7744-482: The 1960s. However, it came into popular use in the early 1970s, as car manufacturers in the United States began to introduce smaller cars into their line-up. Previously, cars in this size were variously categorized, including "small cars" or "economy cars". Several of these small cars were produced in the U.S. in limited volumes, including the 1930 American Austin (later called the American Bantam) and

7920-702: The 1973 "oil price shock" and the accompanying 1973–74 stock market crash as the first discrete event since the Great Depression to have a persistent effect on the US economy. The embargo had a negative influence on the US economy by causing immediate demands to address the threats to U.S. energy security. On an international level, the price increases changed competitive positions in many industries, such as automobiles. Macroeconomic problems consisted of both inflationary and deflationary impacts. The embargo left oil companies searching for new ways to increase oil supplies, even in rugged terrain such as

8096-412: The 1973 model had become markedly larger than the original model. The pony car market segment saw decreasing sales in the early-1970s "with many buyers turning to lower-priced, fuel-efficient compacts like Ford's own Ford Maverick – a huge first-year success itself." The Mustang was growing to become an intermediate-sized sedan, which "was too big and alienated many in its customer base." The allure of

8272-548: The 1974–1978 models exceeding 1.1 million. "As the smallest, lightest Mustang since the original, it was a fresh start for Ford's pony car and a refreshing return to rationality. And it couldn't have been better timed, introduced just two months before the first "Energy Crisis" upended America. People came in droves to see the Mustang II ;– and to buy." "Not only did gasoline prices spike up, but its very supply looked to be in jeopardy. Economy immediately became

8448-403: The 25-percent rise in sales for 1978, "not even the high-profile Cobra with its flashy decals and snazzy spats and spoilers could save the day for the second-generation Mustang." According to a 2003 retrospective by Edmunds Inside Line , the 1978 King Cobra "wasn't much more than a Cobra II with revised graphics and the hood scoop turned around backward..." This model was "visually about as nutty

8624-724: The Algerian state to end many of its more generous social policies between 1986 and 1988, leading to an unemployment rate of 30% by 1988 along with the knowledge that the FLN regime had stolen millions. In the aftermath of the October riots, President Chadli Bendjedid began a transition to democracy. The first free elections in Algeria in January 1992 were won by the Islamist FIS, which led to a military coup and an outbreak of civil war that

8800-558: The American nuclear industry as a way to achieve "energy independence" from the Middle East. On 7 November 1973, Nixon in an address to Congress called for Project Independence to make the United States self-sufficient in energy by 1980, which called for a massive investment in the nuclear industry. Nixon seems to have assumed that nuclear energy was economical, and was encouraged by the faddish enthusiasm of many officials who more on

8976-427: The American oil imports came from the Middle East. Throughout the 1960s, the price for a barrel of oil remained at $ 1.80, meaning that with the effects of inflation considered the price of oil in real terms got progressively lower and lower throughout the decade with Americans paying less for oil in 1969 than they had in 1959. Even after a price for a barrel of oil rose to $ 2.00 in 1971, adjusted for inflation, people in

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9152-464: The Americans simply imported more oil from nations that were not part of the embargo such as Iran, but the 400% increase in the price of oil caused by the embargo did damage the American economy. A number of nations such as Venezuela, Nigeria, Iran and Iraq increased their oil production during the embargo, but just sold their oil at a higher price. The leader who pushed the most for higher oil prices

9328-497: The Arab oil embargo of 1973–74 that for people in the West life suddenly become "slower, darker and chiller" as gasoline was rationed, the lights were turned off in Times Square, the "gas guzzler" automobiles suddenly stopped selling, speed limits became common and restrictions were placed on weekend driving in a bid to conserve fuel. As the American automobile industry specialized in producing heavy "gas guzzler" vehicles, there

9504-855: The Arctic. Finding oil and developing new fields usually required five to 10 years before significant production. The average US retail price of a gallon of regular gasoline rose 43% from 38.5¢ in May 1973 to 55.1¢ in June 1974. State governments asked citizens not to put up Christmas lights. Oregon banned Christmas and commercial lighting altogether. Politicians called for a national gasoline rationing program. Nixon asked gasoline retailers to voluntarily not sell gasoline on Saturday nights or Sundays; 90% of gas station owners complied, which produced long lines of motorists wanting to fill up their cars while they still could. The "oil shock" provided considerable impetus to

9680-600: The Berlin Airlift of 1948–49, flying in a gargantuan quantity of arms, though he also admitted that by the time the arms lift had begun, the Israelis had already "turned the tide of battle" in their favor, making the arms lift irrelevant to the outcome of the war. In an interview with the British historian Robert Lacey in 1981, Kissinger later admitted about the arms lift to Israel: "I made a mistake. In retrospect it

9856-624: The Egyptian Sinai Peninsula , which resulted in Egypt closing the Suez Canal for eight years . Following the Yom Kippur War , the canal was cleared in 1974 and opened again in 1975. OAPEC countries cut production of oil and placed an embargo on oil exports to the United States after Richard Nixon requested $ 2.2 billion to support Israel's war effort. Nevertheless, the embargo lasted only until January 1974, though

10032-645: The French foreign minister Michel Jobert arrived to sign an agreement that provided oil for France for the next twenty years. On January 24, 1974, as the Shah of Iran, Mohammad Reza Pahlavi , was coming off the ski slopes of St. Moritz , he was met by the British Chancellor of Exchequer, Anthony Barber , and the Trade Secretary, Peter Walker . In a role-reversal, Barber and Walker paid homage to

10208-549: The Grand Mosque and the surviving "renegades" as the rebels were labelled were executed. Likewise, the perception that that most of the wealth being generated by the now higher price of oil was being stolen by a corrupt Shah along with the unfulfilled promises of the "Great Civilization" project played a major role in causing the Iranian Revolution of 197–1979 that toppled the Shah and led to the establishment of

10384-435: The Iranian delegation left Kuwait City as the Shah of Iran was only interested in higher oil prices. The Oil Minister of Iraq, Sa'dun Hammadi demanded the "total nationalization" of all assets of American oil companies in the Middle East, the withdrawal of all Arab funds from the United States and for all Arab states to break diplomatic relations with the United States. The Libyan Oil Minister, Izz al-Din al-Mabruk, called for

10560-786: The Iraqi and Libyan demands for an embargo as Yemani maintained that forcing through an increase in the price of oil was the best way to influence the United States. Hammadi and the rest of the Iraqi delegation left in a huff as Yemani had won over the majority of the delegations to the Saudi viewpoint. The statement issued after midnight at the Sheraton Hotel was handwritten and reflecting the tense talk had several paragraphs crossed out while other paragraphs were written in by different hands. On October 17, Arab oil producers cut production by 5% and instituted an oil embargo against Israel's allies:

10736-551: The Islamic Republic of Iran in February 1979. In Algeria, the "oil shock" led to the establishment of a welfare state where none had existed previously. The lower oil prices of the 1980s along with cutbacks and the belief that the FLN regime was corrupt helped cause the riots of October 1988 against the FLN regime that killed at least 500 people. The riots were largely caused by the fact that the low oil prices had forced

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10912-446: The Middle East could become another superpower confrontation with the USSR was of more concern to Washington than oil. Further, interest groups and government agencies more worried about energy were no match for Kissinger's dominance. In the US production, distribution and price disruptions "have been held responsible for recessions, periods of excessive inflation, reduced productivity, and lower economic growth." Some researchers regard

11088-412: The Middle East. In the early 1960s Libya , Indonesia and Qatar joined OPEC. OPEC was generally regarded as ineffective until political turbulence in Libya and Iraq strengthened their position in 1970. Additionally, increasing Soviet influence provided oil producing countries with alternative means of transporting oil to markets. Under the Tehran Price Agreement of 1971 , signed on February 14,

11264-401: The Mustang II Ford's "small, sporty personal car." In mid-year, a 2.3 L "MPG" model was added, featuring a catalytic converter and a 3.18:1 rear-axle ratio (standard was 3.40:1) to claim EPA -version economy estimates of 23 mpg ‑US (10 L/100 km; 28 mpg ‑imp ) in the city and 34 mpg ‑US (6.9 L/100 km; 41 mpg ‑imp ) on

11440-502: The Mustang II badged as a Capri (as evidenced by a proposal using the Mustang II's 2+2 body with a rounded rear quarter window style and characteristic bodyside sculpting) was briefly considered, but the strong sales of the Ford Capri (Mk1) as a captive import through Lincoln-Mercury dealerships shelved plans for a corporate twin. Lincoln-Mercury continued to import the Capri in the updated MkII version until 1978. The Mercury Capri for 1979 became Mustang's American-built corporate twin, sharing

11616-438: The Mustang evolved from an even smaller platform, the Pinto that was rolled out in 1971. Rather than replicating the unchanged designs of the GM pony cars, Chevrolet Camaro and Pontiac Firebird , the Mustang II now competed against sporty subcompact models that included GM's Buick Skyhawk , Oldsmobile Starfire , Pontiac Sunbird , and Chevrolet Monza . The new model would also better compete with 2+2 import coupes such as

11792-548: The October War more in terms of the Cold War rather than Middle Eastern politics, both seeing the Soviet arms lifts to Egypt and Syria as a Soviet power play that required an American answer. On October 12, 1973, US president Richard Nixon authorized Operation Nickel Grass , a strategic airlift to deliver weapons and supplies to Israel in order to replace its materiel losses, after the Soviet Union began sending arms to Syria and Egypt. The first American weapons to Israel arrived only on 15 October 1973, and despite Nixon's orders

11968-422: The Pinto chassis, it was that it had a rack-and-pinion steering gear rather than the Falcon's recirculating ball, and front disc brakes were standard," Edmunds Inside Line wrote of the Mustang II: "It was too small, underpowered, handled poorly, terribly put together, ill-proportioned, chintzy in its details and altogether subpar. According to Edmunds , the 1974 base engine's 88 hp (66 kW; 89 PS)

12144-435: The Red Sea port of Jeddah , there were so many ships queuing up laden with cement for the construction boom in Saudi Arabia that construction contractors hired helicopters to fly the cement in, twenty bags per flight. A number of families engaged in the Saudi construction industry such as the Juffali, Alireza, al-Khasshoggi and the bin Laden families all become very wealthy as a result of the construction boom. The period after

12320-417: The Shah, who promised them that his nation would sell the United Kingdom 5 million tons of oil in exchange for some £100 million of British goods to aid his plans to industrialize Iran. Saudi Arabia experienced an upsurge of prosperity and affluence after the oil embargo whose consequences horrified King Faisal. Faisal who was devoted to a harsh puritanical strain of Sunni Islam known in the West as Wahhabism

12496-436: The Soviet military personnel in Egypt in a signal that he wanted better relations with the United States. Kissinger was taken completely by surprise by Sadat's move, saying: "Why has he done me this favor? Why didn't he demand all sorts of concessions first?" Sadat expected as a reward that the United States would respond by pressuring Israel to return the Sinai to Egypt, but after his anti-Soviet move prompted no response from

12672-674: The Suez War. If the United States had done the same after 1967, we would not have witnessed the this deterioration... Before the Jewish State was established, there existed nothing to harm good relations between Arabs and Jews. There were many Jews in Arab countries. When the Jews were persecuted in Spain, Arabs protected them. When the Romans drove the Jews out, Arabs protected them. At Yalta, it

12848-628: The Suzuki-built Metro subcompact. Subcompact cars of the 1990s typically featured a small footprint, lightweight design, and engines with displacements generally under 1.6 liters. They were designed to provide maximum interior space while maintaining a compact exterior, making them ideal for city driving and parking. Several models defined the subcompact car market during the 1990s. Some of the most notable include: The 1990s focused on fuel efficiency and emissions, leading to innovations in fuel injection and aerodynamics. These subcompacts set

13024-452: The United States forced prices to raise, which in turn led prices to rise everywhere all over the world as oil producers that had not joined the embargo such as Iran, Venezuela, Libya and Iraq demanded higher prices in Japan and Europe as an initiative to ship oil to those places instead of the United States, thus settling off a worldwide inflationary spiral. The only European nations subject to

13200-419: The United States in 1973 came from the kingdom. However, Saudi Arabia plays an over-sized role within the Arab world, and as a Beirut oil consultant noted in 1974: "If Saudi Arabia moves from A to B, then every other oil producer must move at least as far, if not to C." In 1973, about 25% of the oil used in the United States came from Arab countries. The mere shortage of oil caused by the Arab oil embargo within

13376-576: The United States were not being appreciated in Washington, which increased his fury at Nixon. Saudi Arabia only consented to the embargo after Nixon's promise of $ 2.2 billion in military aid to Israel. On the afternoon of October 19, 1973, Faisal was in his office when he learned about the United States sending $ 2.2 billion worth of weapons to Israel, and discussed the issue with two of his closest advisers, Abdullah ibn Abdul Rahman and Rashad Pharaon. The king called Yamani at about 8 pm, and told him he

13552-657: The United States, by November 1972 Sadat moved again closer to the Soviet Union, buying a massive amount of Soviet arms for a war he planned to launch against Israel in 1973. For Sadat, cost was no object as the money to buy Soviet arms came from Saudi Arabia. At the same time, Faisal promised Sadat that if it should come to war, Saudi Arabia would embargo oil to the West. In April 1973, the Saudi Oil Minister Ahmed Zaki Yamani visited Washington to meet Kissinger and told him that King Faisal

13728-488: The United States, the Netherlands, Rhodesia , South Africa, and Portugal. On October 17–19, 1973, the Saudi Foreign Minister, Omar Al Saqqaf , visited Washington together with the foreign ministers of Algeria, Kuwait and Morocco to warn that there was a real possibility of an oil embargo being imposed. Saqqaf complained to King Faisal that Nixon seemed more interested in a dispute about "a burglary" (i.e.

13904-420: The United States, the segment experienced a 50 percent drop in sales in the first half of 2020 compared to 2019. In Canada, the subcompact share of the car market shrank to 1.6 percent for the year ending 2020, down from 2.4 percent in 2019. As a result, manufacturers stopped offering subcompact models and focused on larger cars instead, including subcompact crossover SUVs which offer higher profit margins and

14080-528: The Watergate scandal) than about the October War. During a press conference, an American reporter mocked the threat, contemptuously saying the Saudis "could drink their oil", leading Saqqaf to reply in anger "All right, we will!". Joined by the foreign ministers of Algeria, Kuwait and Morocco, Saqqaf met with Nixon in the Oval Office who promised him that the United States would mediate a settlement to

14256-518: The Western nations were paying less for oil in 1971 than they had in 1958. The extremely low price of oil served as the basis for the " long summer " of prosperity and mass affluence that began in 1945. The Organization of Petroleum Exporting Countries (OPEC), was founded by five oil producing countries at a Baghdad conference on September 14, 1960. The five founding members of OPEC were Venezuela , Iraq , Saudi Arabia , Iran and Kuwait . OPEC

14432-527: The Year and reaching over 1.1 million sales over four years of production, the Mustang II is noted simultaneously for both its marketing prescience and strong sales – while regarded by certain enthusiasts as having abandoned essential aspects of the Mustang heritage and in a retrospective after 40 years since its introduction described as embodying the Malaise era . The first-generation Mustangs grew in size;

14608-402: The appearance of the original 1965-68 Shelby Mustangs – available with all engine choices. The Cobra II was popular with the public, with Consumer Guide calling it an "instant success" that likely increased Mustang II's sales across the board. Automotive historian Gary Witzenburg observed that properly equipped, the thing actually performed pretty well by 1976 standards ." Full instrumentation

14784-559: The availability of oil from non-Arab oil producing countries, and in the decades leading up to the crisis, the region's conservative monarchies had grown dependent on Western support to ensure their continued survival as Nasserism gained traction. On the other hand, Algeria, Iraq and Libya had strongly supported the use of oil as a weapon in the conflict. Arab newspapers like the Egyptian Al-Ahram , Lebanese An-Nahar and Iraqi Al-Thawra had historically been supportive of

14960-510: The basis of faith than rationality saw nuclear energy as the technology of the future. By the late 1960s, a lively environmentalist movement had emerged in the United States, and the Project Independence nuclear program was the subject of much debate in both the media and Congress. The ensuing debates revealed that many of the claims made for nuclear power vast underestimated the true costs of nuclear reactors. Equally problematic

15136-493: The bottom of the low-price sporty compact class". Competitors also included the Toyota Celica and the Datsun 240Z . Sales of such imports attracted fewer than 100,000 customers in 1965, but by 1972 demand had increased; therefore, the "Mustang II's mission was to capture a big slice of this sizable new pie." Available as a coupe or three-door hatchback , the new car's base engine was a 140 cu in (2.3 L) SOHC I4 ,

15312-447: The car's unconventional features as strengths and to get buyers to "think small." Prompted by the British government for exports, Ford was one of the first companies to try and sell inexpensive small cars in volume. From 1948 to 1970, approximately 250,000 economical English Fords were imported to the US while over 235,000 went to Canada. Models such as the 1960 Ford Anglia were promoted as "The world's most exciting light car." Due to

15488-403: The case for nuclear power in the ensuring debates. By 1989, only 18% of American energy came from nuclear power plants, which was a faction of what Project Independence had envisioned in 1973. The "oil shock" led to anti-Arab feelings becoming common. Cartoons published in American newspapers during the "oil shock" depicted Arabs as disgusting, ugly, obese, corrupt and greedy. In the cartoons,

15664-453: The demand being made that the government find some other community to store the rods. Many of the nuclear reactors ordered in 1973 were cancelled due to the horrendous cost overruns while over 100 nuclear plants were shut down as uneconomical over the next 10 years. Unlike nations that tried to use nuclear power as a way for "energy independence" such as France and Sweden, the United States had substantial reserves of its own oil, which weakened

15840-466: The development of a smaller Mustang for 1974 introduction. Initial plans called for a downsized Mustang based on the compact Ford Maverick , similar in size and power to the Falcon , the basis for the original Mustang. Those plans were later scrapped in favor of an even smaller Mustang based on the subcompact Ford Pinto . The original pony car was based on the compact Falcon and for its second-generation,

16016-550: The dollar inconvertible to gold directly, except on the open market, and was soon dubbed the Nixon Shock , leading eventually to the collapse of the Bretton Woods system in 1976. Because oil was priced in dollars, oil producers' real income decreased when the dollar started to float free of the old link to gold. In September 1971, OPEC issued a joint communiqué stating that from then on, they would price oil in terms of

16192-417: The embargo of 1973–1974 had caused about 500,000 Americans to lose their jobs and caused a GNP loss between $ 10 billion–$ 20 billion. This price increase had a dramatic effect on oil exporting nations, for the countries of the Middle East who had long been dominated by the industrial powers were seen to have taken control of a vital commodity. The oil-exporting nations began to accumulate vast wealth. Some of

16368-618: The embargo was a failure because the countries that were targeted by the embargo did not change their policies on the Arab–Israeli conflict. Licklieder believed that any long term changes were caused by the OPEC increase in the posted price of oil, and not the OAPEC embargo. Daniel Yergin , on the other hand, has said that the embargo "remade the international economy". Lacey wrote: "King Faisal's momentous oil embargo of 20 October 1973 did not achieve

16544-534: The embargo. The crisis eased when the embargo was lifted in March 1974 after negotiations at the Washington Oil Summit, but the effects lingered throughout the 1970s. The dollar price of energy increased again the following year, amid the weakening competitive position of the dollar in world markets. The Arab oil embargo ended the long period of prosperity in the West that had begun in 1945, throwing

16720-407: The end of the quota system. Between 1970 and 1973 US imports of crude oil had nearly doubled, reaching 6.2 million barrels per day in 1973. Until 1973, an abundance of oil supply had kept the market price of oil lower than the posted price. In 1970, American oil production peaked and the United States began to import more and more oil as oil imports rose by 52% between 1969 and 1972. By 1972, 83% of

16896-402: The engines' power outputs dropped again to 89 and 93 hp (69 kW; 94 PS), respectively, and production dropped "about 18 percent to 153,117 cars." Writers of today ignore the rave reviews of 1974–1978 models, and one even describes the Mustang II as "lamentable." The New York Times said in 2006 that defective steering, together with a fuel tank of the same design as in the Pinto,

17072-454: The fact that The Protocols had been exposed as a forgery in 1921. Initially, Secretary of Defense James Schlesinger suggested to Kissinger that the USA invade Saudi Arabia and another Arab countries and seize their oil fields. Kissinger stated in a private state department meeting that it's “ridiculous that the civilized world is held up by 8 million savages... Can’t we overthrow one of the sheikhs just to show that we can do it?” They formed

17248-560: The fighting, the Soviet Union began to fly new equipment in starting on October 12, and the Soviet flights to Syria and Egypt were recorded by the British radar stations in Cyprus. Though the Soviets were flying in an average of 60 flights per day, exaggerated accounts appeared in Western newspapers speaking of "one hundred flights per day". At this point, both Nixon and Kissinger began to see

17424-470: The fighting. So we agreed to cut back production by just 5 percent per month. A full embargo, we agreed, was something we would implement only if we felt that things were absolutely hopeless". At an OPEC summit at the Sheraton Hotel in Kuwait City on October 16, 1973, it was announced the price of oil would go from $ 3.01 U.S. dollars per barrel to $ 5.12 per barrel. After agreeing to the price increase,

17600-495: The first fully metric -dimensioned engine built in the U.S. A 171 cu in (2.8 L) V6 was the sole optional engine. Mustang II packages ranged from the base "Hardtop," 2+2 hatchback, a "Ghia" luxury group with vinyl roof , and a top-of-the-line V6-powered Mach 1. A V8 engine option would not be available in a Mustang for the only time for the 1974 model year (except in Mexico). "The Mustang II's attractive all-new styling

17776-530: The followers of the Mahdi (a messianic figure said to appear at the dawn of every Muslim century to strike down the enemies of Islam). The leader of the uprising, Juhayman al-Otaybi , read out a list of grievances as he accused the House of Saud of being corrupt and degenerate as he listed by name a number of Saudi princes who were engaged in dubious business dealings and/or who drank alcohol. The Saudi Army recaptured

17952-626: The highway. To underscore fuel efficiency , all base 2.3 L Mustang IIs were called MPG after 1975. The Mustang II achieved record sales for 1975, making it the 9th best-selling Mustang of all time, with 199,199 sold. Consumer Guide , however, noted that the car's sales had fallen by nearly fifty percent from 1974 levels. In 1976 only, Ford offered the "Stallion" appearance group, including styled wheels, blacked-out grille, bumpers, and body moldings, as well as black two-toned accent paint offered with silver, red, white, and yellow body colors. The foray into increased performance emphasis also included

18128-468: The history of the Mustang refers to the introduction of "a lukewarm optional 302 V8 in 1975" and says that "the token revival of the Cobra name – appearing as the taped-and-striped Cobra II – the following year did little to stem the tide as customers grew less enchanted with the Mustang II's cramped quarters and weak performance." There was "a steady slide in 1976 and '77." Despite

18304-497: The hood. The King Cobra was available only with the V8 to help bolster the car's performance image. Following a marketing change initiated the previous model year, Mustang II sales literature continued to emphasize sportiness over the luxury that had been emphasized for most of the Mustang II's existence, again placing the 2+2 hatchback model with the optional T-top roof on the cover of the sales brochure. A "chic" Fashion Accessory Package

18480-477: The income was dispensed in the form of aid to other underdeveloped nations whose economies had been caught between higher oil prices and lower prices for their own export commodities, amid shrinking Western demand. Much went for arms purchases that exacerbated political tensions, particularly in the Middle East. Saudi Arabia spent over 100 billion dollars in the ensuing decades for helping spread its fundamentalist interpretation of Islam, known as Wahhabism , throughout

18656-475: The increasing popularity of small cars imported from Europe and Japan during the late 1960s, the American manufacturers began releasing competing locally-built models in the early 1970s. The AMC Gremlin was described at its April 1970 introduction as "the first American-built import" and the first U.S. built subcompact car. Also introduced in 1970 were the Chevrolet Vega and Ford Pinto . Plans for

18832-416: The initial 1965 Mustang's sales rush, "even without any real performance appeal, the 1974 Mustang II brought buyers running into Ford dealerships." Sales for the Mustang II increased in 1974, making it the 6th best selling Mustang of all time with 296,041 units produced. "With oil crisis memories starting to fade," Ford needed a V8 in the Mustang II to return "performance to respectable levels." The engine bay

19008-403: The king end the oil embargo after Sadat, whom he trusted, reported to him that the United States was being more "evenhanded" and after Kissinger had promised to sell Saudi Arabia weapons that it had previously denied under the grounds that they might be used against Israel. More importantly, Saudi Arabia had billions of dollars invested in Western banks, and the massive bout of inflation set off by

19184-410: The long hooked Semitic noses that had traditionally been featured in anti-Jewish cartoons were applied to the Arab sheiks as a way to illustrate their supposed greed. American public opinion did not see the use of the "oil weapon" as due to politics, and tended to explain the embargo as only due to the excessive greed of King Faisal and the other Arab leaders, hence the use of the hooked Semitic nose in

19360-455: The market than the Mustang II" and recommended the AMC Gremlin as a car that was at least as good, and in some respects superior, in terms of seating, noise level, normal and emergency handling, and acceleration; and Road & Track described that the Ford was neither fast nor particularly good handling. Consumer reaction to the Mustang II was enthusiastic with a combined total production of

19536-579: The nationalization of all the assets of all Western oil companies in the Middle East. The news about the war on October 16 was grim from the Arab viewpoint with the Syrians steadily being pushed back while Israelis had opened a counter-offensive against the Egyptians and crossed the Great Bitter Lake. The Saudi delegation led by Yemani, supported by the Algerian delegation, fought hard against

19712-481: The new Fox platform . Based on the Ford Pinto, the initial Mustang II production design was done by young Ford designer Howard "Buck" Mook and was personally selected by Iacocca The new model, however, was "less of a Pinto than the '64½ had been a Falcon." Two body styles were available; a two-door notchback coupe and a sportier three-door "2+2" hatchback (also referred to as a " liftback "). A folding rear seat

19888-401: The new V8 to be sluggish and ill-suited to the car, with its added weight negatively affecting handling, a consideration that, along with poor visibility, uncomfortable seating, and very low fuel economy, contributed to them ranking it last that year in their Low-Priced Sport Car category. The Mustang II's 302 cu in (4.9 L) engine was called the "5.0 L" even though its capacity

20064-482: The new direction forged by Mustang II, Ford almost certainly wouldn't be celebrating 50 years of Mustang today." Ford hosted the first "National Mustang II Reunion" in 2016 at the company's offices where the pony car re-invented "for an all-new era when build quality and fuel efficiency were more important to buyers than no-frill options and high-horsepower." [REDACTED] Media related to Ford Mustang II at Wikimedia Commons Subcompact car Subcompact car

20240-409: The notchback coupe as a "Hardtop". Unsure about whether or not to group the Mustang II with sporty cars, Consumer Guide initially referred to the car as a "luxury subcompact ", while Ford brochures suggested that the luxury-trim Ghia model, with its formal roofline, stylish exterior, and plush interior, be thought of as resembling the popular personal luxury category of the time. Almost replicating

20416-586: The number of American planes flying into Tel Aviv were initially limited. After the first week of the war, the Israelis had halted the Syrian offensive in the Golan Heights and were pushing back the Syrians back towards Damascus, but along the Suez canal, there was heavy fighting with the Egyptians holding their own. Yamani stated in a 1981 interview: "The king still wanted to give America a chance to stay out of

20592-498: The odds of making peace along the lines of United Nations Security Council Resolution 242 calling for a "land for peace" deal if an armistice was signed with Egypt and Syria gaining some territory in the Sinai and the Golan Heights respectively. Nixon had ordered an arms lift to Israel on 12 October 1973, but Kissinger used the excuse of bureaucratic delays to limit the amount of weapons and ammunition sent to Israel. The Arab concept of

20768-494: The oil embargo was a threat to this fortune as inflation eroded the value of the money, giving Faisal a vested interest in helping to contain the damage he himself inflicted on the economies of the West. Since Israeli forces did not withdraw to the 1949 Armistice Line, the majority of scholars believe that the embargo was a failure. Roy Licklieder, in his 1988 book Political Power and the Arab Oil Weapon , concluded that

20944-594: The oil embargo were the Netherlands (because the Dutch Foreign Minister Max van der Stoel was strongly pro-Israeli) and Portugal (in a support of show for the independence movements in Portugal's African colonies), but the shortage of oil in the United States led to sharp price rises in all of the European nations. The embargo itself did not cause much economic difficulty in the United States as

21120-474: The oil embargo, oil exports from the Middle East to the West were down by 60–70% by November 1973. Japan and the nations of western Europe imported some 75% of their oil from the Near East, and the embargo led to immediate and sharp price raises as Lacey noted that "competing desperately for dwindling supplies, consumers showed themselves willing to pay unparalleled money for their oil". Saudi Arabia had 25% of

21296-530: The oil embargo. On November 7, 1973, Kissinger flew to Riyadh to meet King Faisal and ask him to end the oil embargo in exchange for promising to be "evenhanded" with the Arab-Israeli dispute. As the plane carrying him prepared to land in Riyadh, Kissinger was clearly nervous at the prospect of negotiating with the stern Wahhabi Faisal who had a marked dislike of Jews. Kissinger discovered that King Faisal

21472-484: The oil shock of 1973–1974 is still fondly remembered in Saudi Arabia as the "age of abundance" where nearly everyone had a significant increase in their standard of living. The wealth and corruption generated by the oil shock led to a fundamentalist backlash in Saudi Arabia. On 20 November 1979, Islam's most holiest shrine, the Grand Mosque of Mecca, was seized by a group of fanatics who proclaimed themselves to be

21648-505: The original Mustang had been based on mundane Falcon components, Iacocca and company decided to use some of the parts from the new-for-1971 subcompact Ford Pinto as the basis for the Mustang." The new Mustang was viewed as a "fun-to-drive economy" car, but "in reality, it shared its underpinnings with the ... Pinto." The Mustang II carried handling and engineering improvements; its performance was comparable to contemporary Detroit products, yet Consumer Guide ranked it very low in handling, "near

21824-681: The original Mustang was its trim size and concept. The automakers in Detroit had "begun to receive vibrations from the only source it really listens to – new-car buyers… The message: Build smaller cars" as customers stopped buying and the inventory of unsold new cars climbed during the summer of 1973, and there were already positive market expectations for the new downsized Mustang. Automakers were "scrambling" by December 1973 as "the trend toward smaller, less extravagant cars to surge ahead faster than anyone had expected." After becoming president of Ford Motor Company on December 10, 1970, Lee Iacocca ordered

22000-482: The original Mustang's 12-month production record of 418,812." Over five years the Mustang II recorded four of the ten top model year Mustang sales. A 2009 report confirmed Iacocca's vision for the 1974–1978 Mustang II, saying it "was the right car at the right time, selling more than 1 million units in four years." The introduction of the Mustang II on September 21, 1973, coincided with the Arab oil embargo . The marketplace

22176-552: The past we could not lift our heads up. Now we can". Faisal promised to give to Egypt a quality of aid worth $ 200 million US dollars to assist with the war effort, and stated he was willing to use the "oil weapon" if necessary to support Egypt. Kissinger promised the Israeli Prime Minister Golda Meir the United States would replace its losses in equipment after the war, but sought initially to delay arm shipments to Israel as he believed it would improve

22352-433: The people. In Iran, the Shah who was aware by 1974 that he had developed the cancer that was to ultimately kill him in 1980 pushed very strongly for his "Great Civilization" for rapid modernization not the least because he wanted to see the "Great Civilization" before his death, which explained his grandiose announcements. The new wealth generated by the "oil shock" allowed for Chairman Houari Boumédiène of Algeria to become

22528-405: The posted price of oil was increased and, due to a decline in the value of the US dollar relative to gold, certain anti-inflationary measures were enacted. Because of a severe drain on U.S. gold reserves, leading to higher inflation and lack of confidence in the strength of the dollar, President Nixon issued Executive Order 11615 on August 15, 1971, closing the " gold window ". This action made

22704-567: The price of oil by 400% within a matter of days threw the world's economy into a sharp recession with unemployment mounting and inflation raging came as a profound shock. The end of what the French called the Trente Glorieuses ("Glorious Thirty" [years]) led to a mood of widespread pessimism in the West with the Financial Times running a famous headline in late 1973 saying "The Future will be subject to Delay". Kurt Waldheim,

22880-574: The price of oil remained high afterwards. By 1969, American domestic output of oil was peaking and could not keep pace with increasing demand from vehicles. The U.S. was importing 350 million barrels (56 million cubic metres) per year by the late 1950s, mostly from Venezuela and Canada . Because of transportation costs and tariffs, it never purchased much oil from the Middle East. In 1973, US production had declined to 16% of global output. Eisenhower imposed quotas on foreign oil that would stay in place between 1959 and 1973. Critics called it

23056-414: The public and the press sang praises for the little Mustang II. After all, a car with excellent fuel efficiency, sporty looks and a low price tag will always find acceptance. Mustang II was a success, simply because it was the right car at the right time." Automotive journalist, Michael Lamm, described Ford's Mustang II as "the best idea of the year" with the new model arriving on the market just in time "in

23232-562: The real world of shrinking space, limited energy, and precious little clean air, dreamboat cars are out" ... this car "proves that the new breed of small cars can still be exciting!" Writers of the past few years tend to ignore the sales success of the Mustang II, pointing out flaws in the design compared to cars that came before and after, symbolizing the very start of the Malaise era in American auto design. Opinions include noting in 2003 that if there were any steps forward in technology with

23408-522: The second summit of Islamic states in Lahore (which, unlike the first summit that Faisal had chaired in 1969, was not boycotted by Iraq and Syria ) where he was acclaimed as a conquering hero who humiliated and humbled the West by wrecking its economy. The prime minister of Pakistan, Zulfikar Ali Bhutto, opened the conference by stating: "The armies of Pakistan are the armies of Islam. We shall enter Jerusalem as brothers-in-arms!" Only on March 18, 1974 did

23584-643: The secretary-general of the United Nations in an address to the General Assembly complained about "the note of helplessness and fatalism creeping into world affairs". The sudden and abrupt end of the "long summer" of prosperity in 1973-1974 played a major role in the pessimistic mood that characterized the culture of the rest of the 1970s. In 1975, a report to Congress from the Federal Energy Administration estimated that

23760-474: The segment the Mustang had created, then abandoned." Ultimately, the Mustang II would be an early example of downsizing that would take place among Detroit's Big Three later in the decade. Conversely, the Mustang's former corporate twin the Mercury Cougar was upsized to the intermediate Ford Torino platform to better compete in the growing mid-size personal luxury car segment. A Mercury version of

23936-483: The stage for modern small cars, emphasizing efficiency and reliability. Because of consumer demand for fuel-efficient cars during the mid- to late-2000s, sales of subcompact cars made them the fastest growing market category in the U.S. In 2006, three major subcompact models were introduced to the market, the Toyota Yaris , Honda Fit , and Nissan Versa . These models were released by their manufacturers to aim at

24112-454: The subcompact AMC Gremlin pre-dated Vega and Pinto by several years because of AMC's strategy to recognize emerging market opportunities ahead of the competition. Sales of American-built "low weight cars" (including subcompacts) accounted for more than 30% of total car sales in 1972 and 1973, despite inventory shortages for several models. The Gremlin, Pinto and Vega were all rear-wheel drive and available with four-cylinder engines (the Pinto

24288-502: The use of oil as a weapon. In 1970, President Nasser of Egypt died and was succeeded by Anwar Sadat , a man who believed in the diplomacy of surprise, in engaging in sudden moves to upset the diplomatic equilibrium. Sadat liked to say that his favourite game was backgammon , a game where skill and persistence was rewarded, but was best won by sudden gambles, making an analogy between how he played backgammon and conducted his diplomacy. Under Nasser, Egypt and Saudi Arabia had engaged what

24464-574: The war that would be "peaceful, just and honorable" to both sides. Saqqaf reported to King Faisal that Nixon told him that he ended the Vietnam war on an honorable basis and now intended to end the October war in the same manner. Israel took heavy losses in men and material during the fighting against Egypt and Syria, and on October 18, 1973, Meir requested $ 850 million worth of American arms and equipment to replace its material losses. Nixon decided characteristically to act on an epic scale and instead of

24640-417: The warning that Faisal was considerably tougher, more intelligent and more ruthless than his half-brother Saud whom he had deposed in 1964, and his threats were serious. Kissinger declined to meet the four CEOs. In an assessment done by Kissinger and his staff about the Middle East in the summer of 1973, the repeated statements by Sadat about waging  jihad against Israel were dismissed as empty talk while

24816-478: The warnings from King Faisal were likewise regarded as inconsequential. In September 1973, Nixon fired Rogers as Secretary of State and replaced him with Kissinger. Kissinger was later to state he had not been given enough time to know the Middle East as he settled into the State Department's office at Foggy Bottom as Egypt and Syria attacked Israel on October 6, 1973. On October 6, 1973, Egypt attacked

24992-448: The way his subjects had been seduced into a consumerist lifestyle, becoming lost in a sense of "melancholia". Faisal's son, Crown Prince Mohammad told Lacey in 1981: "The profligacy, the greed, he felt he could not stem it. He become so bound up in his work, there was almost nothing private of him left". A sign of the changed values was that despite the total ban on alcohol in Saudi Arabia that drinking along with drug use become common with

25168-533: The withholding of the 638,500 barrels of oil which the Saudi Arabia had been selling to America every day for the first 10 months of 1973 ever come, in itself, to jeopardizing the power or diverting the policies of the United States, since it accounted for less than 4 percent of America's daily 17 million barrel consumption. It was the interaction which Faisal's embargo had with other forces that made it so decisive. Arab politics had an immediate multiplier effect". Because every Arab state except for Iraq and Libya joined

25344-523: The words "Sweet Handling" the featured catchphrase on the cover of that year's Mustang II dealership brochure (though a luxury Ghia model still got pride of place there). Along these lines, the 1977 model year introduced a "Sports Appearance Group" for the Ghia model that was color-matched to either black or tan paint, as well as several minor styling changes and expanded color options for the Cobra II. Also new

25520-468: The world's economy into the steepest economic contraction since the Great Depression. The "long summer" of prosperity in the post-war years had made possible the "swinging sixties" and the related rise of a rebellious youth culture as it was very easy to be hedonist and/or in rebellion against traditional values in a time of unprecedented affluence and prosperity. Lacey wrote about the impact of

25696-452: The world's oil reserves and the embargo imposed on the United States led to shortages of oil in the United States, which set an inflationary spiral as the new high prices for oil in the American market led to sharp increases of the price of oil in nations not subjected to the embargo. When the Iranian state oil company held an auction on December 16, 1973, bids for some $ 17 US dollars per barrel of oil were made. In late December 1973, OPEC held

25872-609: The world, via religious charities such as the al-Haramain Foundation , which often also distributed funds to violent Sunni extremist groups such as Al-Qaeda and the Taliban. The 400% increase in the world oil prices led to extravagant promises being made by the leaders of oil-producing nations. The Shah of Iran told his subjects in a speech in December 1973 that he was launching "Great Civilization" project that would make Iran into

26048-461: The younger members of the House of Saud. James Akins, the American ambassador in Riyadh reported; "the sky over Riyadh is black with vultures with new get-richer-quicker plans under their wings". In 1974, property prices in Riyadh doubled on a weekly basis for the entire year as the prosperity led to a real estate speculation bubble that was often compared to the Klondike gold rush of 1898–1899. At

26224-525: Was "truly pathetic" and the optional V6's 105 hp (78 kW; 106 PS) was "underwhelming" (with the addition of mandatory catalytic converters in 1975 these outputs fell to 83 and 97 hp (72 kW) respectively). In 1976, the "standard four-cylinder swelled to a heady 92 hp (69 kW; 93 PS), the V6 increased to 102 hp (76 kW), and sales were a surprisingly stable 187,567 units – a mere 1,019 less than in '75." In 1977,

26400-412: Was 4,942 cc (4.9 L; 301.6 cu in). Other than the optional V8 engine, the car underwent minor changes in 1975. The Ghia received opera windows and a padded vinyl half-top, as well as a plush Silver Luxury Group option. Ford sales literature continued to emphasize the car's potential similarity to the era's personal luxury models, with the cover of its main dealership brochure calling

26576-480: Was Stalin who said there had to be a Jewish state...Israel is advancing Communist objectives...Among those of the Jewish faith there are those who embrace Zionism...Most of the immigration to Israel is from the Soviet Union...They want to establish a Communist base right in the Middle East...And now, all over the world, the Jews are putting themselves into positions of authority". On February 22, 1974, King Faisal chaired

26752-422: Was a T-top option for the fastback, featuring twin removable tinted glass panels. Midway through the 1977 model year, changes for the 1978 model year were pulled ahead to sell early. It is most notable on the Cobra II models, where the hood scoop was turned around to seem more aerodynamic and the graphics were revised. For the decals, the over-the-top dual stripes running the length of the car were replaced with

26928-552: Was a worthy companion to Lê Đức Thọ in terms of stubbornness as the king accused the United States of being biased in favor of Israel, going on in a long rant about the balefulness of "Jewish Communists" in Russia and Israel, and despite all of Kissinger's efforts to charm him, refused to end the oil embargo. Faisal told Kissinger: "The United States used to stand up to aggression-you did that in World War Two and in 1956 during

27104-662: Was adjusting to the fuel crisis, increasing insurance rates, United States emission standards , safety regulations, and downturns in the economy, as well as the waning consumer demand in the pony car segment. GM had considered discontinuing the Camaro and Firebird after 1972, and in 1974 Chrysler discontinued the Barracuda and Dodge Challenger , American Motors discontinued the Javelin , and lighter, more economical imported cars became increasingly popular – "in effect, filling

27280-756: Was also available with a V6 engine, and the Gremlin was also available with I6 and V8 engines). The Pontiac Astre , the Canadian-originated re-badged Vega variant was released in the U.S. in September 1974. Due to falling sales of the larger pony cars (such as the Chevrolet Camaro and first-generation Ford Mustang) in the mid-1970s, the Vega-based Chevrolet Monza was introduced as an upscale subcompact and

27456-534: Was also offered this year, featuring Southwest-looking, striped "Fresno cloth" seating, enhanced interior lighting, vanity pockets, and special pinstriping. Consumer Guide tested a Mustang II Cobra II that year and found that its power just exceeded that of its closest competitors in the Sporty class, the Chevrolet Monza and its General Motors siblings, but that it ranked very low in handling and ride, with

27632-471: Was an immediate shift on the part of consumers to the lighter and more fuel efficient vehicles produced by the Japanese and West German automobile industries, sending the American automobile industry into decline. The years from 1945 to 1973 had been a period of unprecedented prosperity in the West, a "long summer" that many believed would never end, and its abrupt end in 1973 as the oil embargo which increased

27808-491: Was appalled by the way that his subjects became materialistic, devoted only to conspicuous consumption and greed as they lost interest in Islam. Lacey wrote: "The spiritual dangers of easy affluence distressed him more. His simple gesture of piety and honor seemed to have opened a Pandora's Box that threatened to turn his realm into a parody of all he held dear". In the last two of years of his life, Faisal fell into depression over

27984-558: Was becoming more and more unhappy with the United States, saying he wanted America to pressure Israel to return all the lands captured in the Six Day War of 1967. In a later interview, Yamani accused Kissinger of not taking his warning seriously, saying all he did was to ask him not to speak anymore of this threat. Angry at Kissinger, Yamani in an interview with the Washington Post on April 19, 1973, warned that King Faisal

28160-475: Was considering an oil embargo. At the time, the general feeling in Washington was the Saudis were bluffing and nothing would come of their threat to impose an oil embargo. The fact that Faisal's ineffectual half brother King Saud had imposed a cripplingly oil embargo on Britain and France during the Suez War of 1956 was not considered an important precedent. The CEOs of four of America's oil companies had after speaking to Faisal arrived in Washington in May 1973 with

28336-504: Was implemented, the embargo caused an oil crisis, or "shock", with many short- and long-term effects on the global economy as well as on global politics. The 1973 embargo later came to be referred to as the "first oil shock" vis-à-vis the "second oil shock" that was the 1979 oil crisis , brought upon by the Iranian Revolution . Ever since Israel declared independence in 1948 there was conflict between Arabs and Israelis in

28512-455: Was implementing a total oil embargo against countries that had supported Israel at any point during the 1973 Yom Kippur War , which began after Egypt and Syria launched a large-scale surprise attack in an ultimately unsuccessful attempt to recover the territories that they had lost to Israel during the 1967 Six-Day War . In an effort that was led by Faisal of Saudi Arabia , the initial countries that OAPEC targeted were Canada , Japan ,

28688-447: Was influenced by coachbuilder Ghia of Italy, which had recently been acquired by Ford. It carried through the long-hood, short-deck theme of the original, and - as Iacocca requested it - came as a notchback and hatch-equipped fastback." Mustangs lost their pillarless body style; all models now had fixed rear windows and a chrome-covered "B" pillar that resembled a hardtop, but was a coupe. In Mustang advertisements, however, Ford promoted

28864-600: Was known as the Arab Cold War , but Sadat got along very well with King Faisal of Saudi Arabia , forming an alliance between the most populous Arab state and the wealthiest Arab state. Unlike the secularist Nasser, Sadat was a pious Muslim and he had a strong personal rapport with King Faisal, who was an equally pious Muslim. The man largely in charge of American foreign policy, the National Security Adviser, Henry Kissinger , later admitted that he

29040-561: Was like and was told: "Well, Dr. Henry, he will probably go on with you about Communism and the Jews". King Faisal's two great hatreds were Communism and Zionism as he believed that the Soviet Union and Israel were plotting together against Islam. When King Faisal was shown a translation into Arabic of The Protocols of the Learned Elders of Zion , he instantly believed in the authenticity of The Protocols and therefore talked to anyone who would listen about what he had learned, despite

29216-480: Was needed at the Riyassa Palace immediately. Yamani told the king: "The TV news goes out at nine. If you make a decision now, we can get it announced at once". The king replied "Write this down" and announced he was placing a total embargo on the United States. The embargo was accompanied by gradual monthly production cuts—by December, production had been cut to 25% of September levels. This contributed to

29392-464: Was not the best considered decision we made". The arms lift enraged King Faisal of Saudi Arabia and he retaliated on October 20, 1973, by placing a total embargo on oil shipments to the United States, to be joined by all of the other oil-producing Arab states except Iraq and Libya. Faisal was angry that Israel had only asked for $ 850 million worth of American weapons, and instead received an unsolicited $ 2.2 billion worth of weapons, which he perceived as

29568-431: Was optional on the notchback coupe and was standard on all hatchback models. "2+2" also accurately described the rear seat capacity according to period commentators. Weight distribution was front-heavy, with a 1974 V6-equipped car having 58 percent of its weight over the front wheels. The Mustang II was also the first American car to have power-assisted rack and pinion steering. Designers and engineers worked feverishly on

29744-545: Was organized after the oil companies slashed the posted price of oil, but the posted price of oil remained consistently higher than the market price of oil between 1961 and 1972. In 1963, the Seven Sisters controlled 86% of the oil produced by OPEC countries, but by 1970 the rise of "independent oil companies" had decreased their share to 77%. The entry of three new oil producers— Algeria , Libya and Nigeria —meant that by 1970, 81 oil companies were doing business in

29920-417: Was re-engineered to accept the 302 cu in (4.9 L) V8 option for the 1975 model year, with revised hood and header panel. The engine was limited to a two-barrel carburetor and "net" 140 hp (104 kW; 142 PS). Testing by Road & Track "recorded zero to 60 mph (97 km/h) in 10.5 seconds, and a top speed of 106 mph (171 km/h)." Consumer Guide staff, though, found

30096-589: Was so engrossed with the Paris peace talks to end the Vietnam war that he and others in Washington missed the significance of the Egyptian-Saudi alliance. At the same time that Sadat moved closer to Saudi Arabia, he also wanted a rapprochement with the United States and to move Egypt away from its alliance with the Soviet Union. In 1971, the US had information that the Arab states were willing to implement another embargo. In July 1972, Sadat expelled all 16,000 of

30272-434: Was standard. For the luxurious Ghia, 1975's Silver Luxury Group was replaced by a broader Ghia Luxury Group option, with more colors available in its plush velour interiors, exterior accents, and landau roofs. A manual moon roof was optional. Sales literature continued to refer to the Mustang II as Ford's "small, sporty personal car." Following continuing public concern about fuel efficiency, Consumer Guide that year tested

30448-419: Was the Suez Crisis in 1956 when the United Kingdom, France and Israel invaded Egypt. During the conflict the Syrians sabotaged both the Trans-Arabian Pipeline and the Iraq–Baniyas pipeline , which disrupted the supply of oil to Western Europe. The second instance was when war broke out between Egypt and Israel in 1967, but despite continued Egyptian and Syrian enmity against Israel, the embargo lasted only

30624-426: Was the Shah of Iran, and the Italian historian Giuliano Garavini has argued that the leader most responsible for the West's economic problems during the "oil shock" was not King Faisal, but rather the Shah. Some of the nations that were classified as "friendly" to the Arab viewpoint in regards to the Arab-Israeli dispute such as France and Belgium were the ones who suffered the most from the worldwide inflation caused by

30800-409: Was the troublesome issue of where to safety store the spent nuclear rods that emitted a toxic level of radioactivity for centuries afterward in an cost-effective manner. The issue of the spent nuclear rods was especially difficult because in a classic case of NIMBYism , communities proved very unwilling to accept a storage place for the inevitable by-product of nuclear power, the spent nuclear rods, with

30976-542: Was to kill hundreds of thousands. OPEC-member states raised the prospect of nationalization of oil company holdings. Most notably, Saudi Arabia nationalized Aramco in 1980 under the leadership of Saudi oil minister Ahmed Zaki Yamani . As other OPEC nations followed suit, the cartel's income soared. Saudi Arabia undertook a series of ambitious five-year development plans. The biggest began in 1980, funded at $ 250 billion. Other cartel members also undertook major economic development programs. Control of oil became known as

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