Malaise era

In response, the U.S. federal government introduced successively more comprehensive emissions, fuel efficiency and safety standards [5][6] — which for the first time required huge automotive engineering investments in effectively new disciplines — testing the industry's ability to adapt.

[7] As a hallmark of the era, with automotive design budgets dominated by huge pragmatic investments in fuel efficiency, emissions controls and safety programs, the engine power of prominent sports and muscle cars of 1960s was decimated — and manufacturers often relied heavily on egregious badge engineering,[8][9][10] and expedient styling tropes — all in stark contrast to prior decades of unbound automotive power and styling.

When Ford introduced the Granada in 1975, it emphasized the padded vinyl roofing, opera windows, tufted velour interiors with imitation wood accents and stand up hood ornaments of its ostensible luxury — but used a platform dating to the austere 1961 Falcon and offered a power-to weight ratio 48.46 lbs per hp, and a breathtakingly slow 0-60 time of 23.15 seconds.

[11] Recalling President Jimmy Carter's 1979 Malaise Speech, in which he discussed the oil crisis and a wider "crisis of confidence" within the United States, the term was coined by Murilee Martin writing for the website Jalopnik in 2007,[12][13] has been in regular use since at least around 2012,[14][15][16] and has been widely cited by news agencies and automotive sites, including Car and Driver,[17] Consumer Guide,[18] Forbes,[19] Fox News,[20] Hagerty,[21] Hemmings Motor News,[22] Motor Trend,[23] Popular Mechanics,[14] Road & Track,[24] Vanity Fair,[16] and the New York Times.

The simplest way for manufacturers to meet these highly ambitious emissions cuts was to reduce power outputs in their vehicles – so, starting in 1971, horsepower ratings for many American automobiles began to markedly drop.

[citation needed] More significant power reduction effects were caused by the adoption or increased use of emissions control procedures such as secondary air injectors (often called "smog pumps"), exhaust gas recirculation, retarded ignition, and thermal reactors.

[51] The result was a sudden switch in consumer taste from traditional domestic automobiles with high gas-consumption rates to more efficient compact cars.

[53] The success of Japanese brands can be traced to the greater selection of compact cars and the development of technologies to improve fuel efficiency.

[5][55][56] By the approximate close of the malaise era in 1983, average fuel efficiency for passenger cars had not met these targets, but had risen to 17.1 mpg‑US (13.8 L/100 km).

[4] The cumulative effect of these changes on the car lineups of American manufacturers was a series of redesigns and discontinuations of engine types and vehicle models and an overall lowering of performance.

Ford for instance, imported the 1970 Mercury Capri and its first generation 1978 Fiesta, whilst GM leveraged its Opel division to design the sub-compact/compact T-body and J-body platforms.

Chrysler opted to bring entire models drawn from its European subsidiaries Rootes and Simca, respectively the 1972 Plymouth Cricket and the jointly developed Dodge Omni/Plymouth Horizon.

American automakers began introducing smaller, less powerful and more fuel efficient models to comply with new mileage requirements and compete against foreign manufacturers, particularly the Japanese offerings.

[62] As the industry adapted to new emissions, efficiency and safety demands and the fuel crisis receded, vehicle performance began to increase again as technologies matured: onboard computers, electronic fuel injection, three-way catalytic converter and modern oxygen sensors enabled greater raw performance and less hobbling emission controls.

[63] Numerous journalists have reflected on the reduced performance and perceived aesthetic deficiencies of cars offered to Americans in this era.

Price of crude oil in 2014 U.S. dollars from 1900 to 2014
The Ford Mustang II , produced between 1974 and 1978, is sometimes cited as one of many vehicles that embodied the Malaise Era.