Reagan-Carter Presidential Debate: on Budget & Economy

Ronald Reagan: Inflation doesn't come upon us like plague; it's government

CARTER: It's important to put the situation into perspective. In 1974 we had a so-called oil shock. We had an even worse oil shock in 1979. In 1974 we had the deepest and most penetrating recession since WWII. The recession that resulted this time was the briefest we've had since WWII. In addition, we've brought down inflation. Earlier this year, it averaged about 18%.

REAGAN: This idea that has been spawned, that inflation somehow came upon us like a plague and therefore it's uncontrollable, is entirely spurious, and it's dangerous to say this to the people. Mr. Carter has blamed inflation on OPEC, he's blamed the Federal Reserve System, he has blamed the lack of productivity of the American people, he has then accused the people of living too well. We don't have inflation because the people are living too well. We have inflation because the Government is living too well.