<P> On July 15, 1979, President Carter outlined his plans to reduce oil imports and improve energy efficiency in his "Crisis of Confidence" speech (sometimes known as the "malaise" speech). It is often said that during the speech, Carter wore a cardigan (he actually wore a blue suit) and encouraged citizens to do what they could to reduce their use of energy . He had already installed solar hot water panels on the roof of the White House and a wood - burning stove in the living quarters . However, the panels were removed in 1986, reportedly for roof maintenance, during the administration of his successor, Ronald Reagan . </P> <P> Carter's speech argued the oil crisis was "the moral equivalent of war". Critics, then and now, argued that his varied proposals would make the situation worse, not better . In November 1979, Iranian revolutionaries seized the American Embassy, and Carter imposed an embargo against Iranian oil . In January 1980, he issued the Carter Doctrine, declaring: "An attempt by any outside force to gain control of the Persian Gulf region will be regarded as an assault on the vital interests of the United States ." Additionally, as part of his administration's efforts at deregulation, Carter proposed removing price controls that had been imposed by the administration of Richard Nixon before the 1973 crisis . Carter agreed to remove price controls in phases; they were finally dismantled in 1981 under Reagan . Carter also said he would impose a windfall profit tax on oil companies . While the regulated price of domestic oil was kept to $6 a barrel, the world market price was $30 . </P> <P> In 1980, the U.S. Government established the Synthetic Fuels Corporation to produce an alternative to imported fossil fuels . </P> <P> When the price of West Texas Intermediate crude oil increased 250 percent between 1978 and 1980, the oil - producing areas of Texas, Oklahoma, Louisiana, Colorado, Wyoming, and Alaska began experiencing an economic boom and population inflows . </P>

What was the price of gas in 1979