Ford established his policies during his first year in office, despite opposition from a heavily Democratic Congress. His first goal was to curb inflation. Then, when recession became the Nation's most serious domestic problem, he shifted to measures aimed at stimulating the economy. But, still fearing inflation, Ford vetoed a number of non-military appropriations bills that would have further increased the already heavy budgetary deficit. During his first 14 months as President he vetoed 39 measures. His vetoes were usually sustained.
Ford continued as he had in his Congressional days to view himself as "a moderate in domestic affairs, a conservative in fiscal affairs, and a dyed-in-the-wool internationalist in foreign affairs." A major goal was to help business operate more freely by reducing taxes upon it and easing the controls exercised by regulatory agencies. "We...declared our independence 200 years ago, and we are not about to lose it now to paper shufflers and computers," he said.
In foreign affairs Ford acted vigorously to maintain U. S. power and prestige after the collapse of Cambodia and South Viet Nam. Preventing a new war in the Middle East remained a major objective; by providing aid to both Israel and Egypt, the Ford Administration helped persuade the two countries to accept an interim truce agreement. Detente with the Soviet Union continued. President Ford and Soviet leader Leonid I. Brezhnev set new limitations upon nuclear weapons.
President Ford won the Republican nomination for the Presidency in 1976, but lost the election to his Democratic opponent, former Governor Jimmy Carter of Georgia.
