Iranian Hostage Crisis Quotes

Everybody is comparing the oil spill to Hurricane Katrina, but the real parallel could be the Iranian hostage crisis. In the late 1970s, the hostage crisis became a symbol of America's inability to take decisive action in the face of pervasive problems. In the same way, the uncontrolled oil plume could become the objective correlative of the country's inability to govern itself.

Much of the public was convinced that the CIA was capable and willing to do so. Thus began the famous 444-day American hostage crisis. Americans who knew little of the events of 1953 were mystified; Iranians were not. The specter of coup had come to haunt U.S.-Iranian relations. Similarly, on March 5, 1981, when more than 100,000 gathered at Tehran University to commemorate Mossadeq’s death and call for the establishment of a democratic rather than an Islamic republic, Hojjat al-Islam Ali Khamenie—Khomeini’s future successor—declared ominously: “We are not liberals, like Allende, willing to be snuffed out by the CIA.

During the hostage crisis we sent a number of secret delegations into Iran, which was fairly easy to do because the Iranian leaders wanted to maintain as normal an environment as possible and relished all the favorable publicity that resulted from visits by foreign news media. Even the Ayatollah Khomeini gave personal interviews to American journalists. On one occasion we had a few CIA agents in Tehran who were traveling with false German passports, since many Iranian leaders had been educated in Germany. As our people were leaving, one of them had his credentials checked and was waved past by the customs officials. He was called back, however, and the official said, “Something is wrong with your passport. I’ve been here more than twenty years and this is the first time I’ve seen a German document that used a middle initial instead of a full name. Your name is given as Josef H. Schmidt and I don’t understand it.” The quick-thinking agent said, “Well, when I was born my given middle name was Hitler, and I have received special permission not to use it.” The official smiled, nodded, and approved his departure.

Iranians were never on TV before. Now they’re on all the time. Images of angry Iranian students shouting “Death to America” dominate the nightly news. There’s even a whole, new news show on ABC opposite The Late Show with Johnny Carson: The Iran Crisis—America Held Hostage: Day Fill in the Blank. Every day, the show’s title updates, e.g., America Held Hostage: Day Six, America Held Hostage: Day Seven. The worst advent calendar ever.

The final agreement took shape during the final two days of Carter’s presidency. The president slept on the Oval Office couch as he desperately hoped for the hostages’ release on his watch. While the hostages had boarded an Algerian aircraft on Reagan’s inauguration day, January 20, 1981, communications between the plane’s cockpit and the tower indicated nothing would happen until Reagan finished his oath. Aides told Carter of the hostages’ departure from Tehran when he arrived at Andrews Air Force Base to board a flight home to Georgia. During a post-inauguration luncheon in the Capitol, Reagan hoisted a champagne toast and announced to the world that the hostages had left Iranian airspace. Sadly, Carter made the same statement in front of a few folks in Plains, Georgia.

Just before Thanksgiving, I met with Bunker Hunt, then the richest man in the world, at the Petroleum Club in Dallas. Bud Dillard, a Texan friend and client of mine who was big in the oil and cattle businesses, had introduced us a couple of years before, and we regularly talked about the economy and markets, especially inflation. Just a few weeks before our meeting, Iranian militants had stormed the U.S. embassy in Tehran, taking fifty-two Americans hostage. There were long lines to buy gas and extreme market volatility. There was clearly a sense of crisis: The nation was confused, frustrated, and angry. Bunker saw the debt crisis and inflation risks pretty much as I saw them. He’d been wanting to get his wealth out of paper money for the past few years, so he’d been buying commodities, especially silver, which he had started purchasing for about $ 1.29 per ounce, as a hedge against inflation. He kept buying and buying as inflation and the price of silver went up, until he had essentially cornered the silver market. At that point, silver was trading at around $ 10. I told him I thought it might be a good time to get out because the Fed was becoming tight enough to raise short-term interest rates above long-term rates (which was called “inverting the yield curve”). Every time that happened, inflation-hedged assets and the economy went down. But Bunker was in the oil business, and the Middle East oil producers he talked to were still worried about the depreciation of the dollar. They had told him they were also going to buy silver as a hedge against inflation so he held on to it in the expectation that its price would continue to rise. I got out.

The passage of fourteen years had led to another significant change in the international environment. As I told Bush 43 and Condi Rice on more than one occasion, when I had been in government before, problems or crises more often than not would arise, be dealt with, and go away. The Yom Kippur War in October 1973, a serious crisis that risked confrontation with the Soviet Union, was over in a few days. Even the Iranian hostage crisis, as painful and protracted as it was, ended in 444 days. Now hardly any issue or problem could be resolved and put aside; instead problems accumulated.