Malaise era

Malaise Era is a term describing American cars from roughly 1973 to 1983[1] during which American cars suffered from very poor performance.[2]

1975–1976 Chrysler Newport hardtop coupe

Until this time the automotive industry in the United States had relied on powerful but inefficient engines to drive the typically large and heavy vehicles. For example, in 1971 the popular Chevrolet Caprice’s standard engine was a 400-cubic-inch (6.6 L) V8, with which it attained a fuel efficiency rating of 15 miles per US gallon (16 l/100 km), and it was even worse with any of the other optional, more powerful engines.[3]

The period began with the 1973 oil crisis, by the end of which, in March 1974, the price of oil had nearly quadrupled, from US$3 per barrel to nearly $12 globally; US prices were significantly higher.[4] The result was a sudden switch in consumer taste from traditional US gas-guzzlers to more efficient compact cars. Since the US manufacturers did not have these products, European and Japanese models increased their market share.[5] The United States Environmental Protection Agency then legislated for fuel efficiency through the vehicle emissions control, and in 1978 the Energy Tax Act legislated to discourage inefficient vehicles.

In 1979, oil and gas prices again increased significantly, doubling over a 12-month period, and there was a shift in customer preference to smaller, more efficient vehicles. American automakers began introducing a series of smaller, less powerful models to more directly compete against particularly the Japanese offerings.[6]

The phrase, coined by journalist Murilee Martin,[1] makes reference to US President Jimmy Carter's so-called malaise speech in which he discussed America's failure to deal with the 1979 oil crisis.