chapter 24 questions write down and 2-3 questions you had or have about anything in chapter 24 be...
TRANSCRIPT
Chapter 24 Questions
Write down and 2-3 questions you had or have about anything in Chapter 24
Be prepared to ask them in class when the late bell rings
Gallery Walk Activity: 15 Minutes to Gallery Walk Activity: 15 Minutes to planplan In 4 equal groups of students select 1 of the In 4 equal groups of students select 1 of the
following sets of topics and create a poster following sets of topics and create a poster [with brief but clear points] with the following [with brief but clear points] with the following info:info:
[1] [1] Transcontinental RailroadsTranscontinental Railroads p. 530-533 [Explain what p. 530-533 [Explain what they were, how they acquired land, and operated]they were, how they acquired land, and operated]
[2] [2] Commodore Cornelius VanderbiltCommodore Cornelius Vanderbilt p. 534-5, 537 p. 534-5, 537 [Explain his personality and business tactics][Explain his personality and business tactics]
[3] [3] Steel RailSteel Rail p. 534-535 [Explain how this innovation p. 534-535 [Explain how this innovation improved railroads]improved railroads]
[4] [4] The Pullman Palace Car The Pullman Palace Car p. 535 [Explain what was p. 535 [Explain what was special about this train car and what were its problems]special about this train car and what were its problems]
What to look forWhat to look for Transcontinental RailroadsTranscontinental Railroads [what were they? Why were [what were they? Why were
they important? Who built them?they important? Who built them?
Land grantsLand grants [what were they? why were they given?] [what were they? why were they given?]
SubsidiesSubsidies [what were they? why were they given?] [what were they? why were they given?]
Obstacles to buildings railroadsObstacles to buildings railroads [what were they? How [what were they? How were they overcome?]were they overcome?]
InnovationInnovationss [ [what were they? Why were they important?]what were they? Why were they important?]
Commodore Cornelius VanderbiltCommodore Cornelius Vanderbilt [who was he? What did [who was he? What did he do? What type of businessman was he?he do? What type of businessman was he?
Pullman Palace CarsPullman Palace Cars [what were they? What was their [what were they? What was their purpose? What were their challenges?purpose? What were their challenges?
Transcontinental Railroad Train companies and train tracks laid from East to West and North to
South throughout the United States. Construction of lines exploded in the 1870s.
The rail lines connected the nation and helped grow country-wide commerce. Farmers’ crops found larger markets.
People such as Vanderbilt, Gould and the Big Four were early railroad pioneers.
Costs and problems of building railroads
Building railroads was expensive. Stocks were sold to raise cash. The U.S. government gave subsidies [free money] to fill budget gaps.
To make the expansion faster the U.S. government gave land grants [free land].
More railroads meant a better national economy.
The labor was very difficult and completed by Irish and Chinese workers for low wages under poor conditions.
Innovations to the railroads Steel rails replaced early iron rails for strength, durability
and permanence.
Another innovation or improvement was the addition of passenger cars to transport people [Pullman cars]
Cornelius Vanderbilt
Wealthy railroad tycoons who made his fortune on boat ferries and steamboats in New York.
Highly uneducated with regard to schooling but a ruthless, shrewd business strategist.
Created a monopoly and used strategic pricing. Team with partners with similar interests.
Pullman Palace Cars
Prior to George Pullman created his sleeper cars freight [raw materials and finished goods] was the main cargo.
By 1867 passenger service was made more comfortable for wealthier people to travel.
Immigration and population spread as a result.
More money was made by railroads because of more customers.
Chapter 24 Questions
Write down and 2-3 questions you had or have about anything in Chapter 24
Especially p. 536-545
Be prepared to ask them in class when the late bell rings
Relay “Righters”
Graft is best described as ________________________.
_______________ are types of
farmers who do not own the land
but pay rent as a percentage of
their crops.
Two types of voter disenfranchisement would be
_________ and _________.
How did the Pendleton Act
undermine patronage?_________
__________________________.
The Spoils System is _________
_________________________.
Pullman Palace were ___________
___________________________.
Railroad entrepreneurs could
acquire land even without their own
money by receiving ____________
From the U.S. government.
A subsidy is best described as ___
__________________________.
Three obstacles to building the
Transcontinental Road were _________________________
___________________________
__________________________.
What to look for, what you must know… What was Vanderbilt’s attitude
toward competitors and customers?
What is a monopoly and is it a good thing?
Why was the Interstate Commerce Act passed?
Why was the Grange formed? What was the purpose of the
ICC? Describe the pros and cons of a
Captain of Industry
What is a robber baron? How did vertical and horizontal
integration work to benefit a captain of industry?
What was the benefit of the Bessemer Process?
Why was Standard Oil’s business tactics dangerous?
How did a trust work? Was the Gospel of Wealth
justifiable? Was Social Darwinism justifiable? Why was the Sherman Anti-Trust
Act of 1890 needed?
W.H. Vanderbilt and Cyrus FieldW.H. Vanderbilt and Cyrus Field W.H. VanderbiltW.H. Vanderbilt inherited a vast fortune from his father inherited a vast fortune from his father
Commodore Vanderbilt andCommodore Vanderbilt and seemed to be even more focused seemed to be even more focused at amassing a fortune than him.at amassing a fortune than him.
"The railroads are not run for the benefit of the 'dear public' — that "The railroads are not run for the benefit of the 'dear public' — that cry is all nonsense — they are built by men who invest their money cry is all nonsense — they are built by men who invest their money and expect to get a fair percentage on the same.”and expect to get a fair percentage on the same.”
During his lifetime he double the family fortune to 200 million.During his lifetime he double the family fortune to 200 million. Vanderbilt drew wealthy investors such as Vanderbilt drew wealthy investors such as Cyrus FieldCyrus Field, the first , the first
person lay telephone cable across the Atlantic Ocean, and Jay Gould.person lay telephone cable across the Atlantic Ocean, and Jay Gould. The aggressive and monopolistic tactics of the railroad tycoons The aggressive and monopolistic tactics of the railroad tycoons
attracted the attention of the U.S. government.attracted the attention of the U.S. government.
MonopolyMonopoly A A monopolymonopoly is a business or organization that seeks to dominate a is a business or organization that seeks to dominate a
specific type of business by eliminating competitors.specific type of business by eliminating competitors. Monopolists seek to Monopolists seek to corner the marketcorner the market [take complete control of the [take complete control of the
goods, services and prices]goods, services and prices] Railroad tycoons were unfairly forcing farmers who paid freight fees to Railroad tycoons were unfairly forcing farmers who paid freight fees to
railroads to pay railroads to pay exorbitantexorbitant fees for crop transportation. fees for crop transportation. In 1887 the U.S. Government In 1887 the U.S. Government intervenedintervened and passed the and passed the Interstate Interstate
Commerce ActCommerce Act to stop the financial abuses of the railroads. to stop the financial abuses of the railroads. The U.S. Government had been pressured into passing the law by a The U.S. Government had been pressured into passing the law by a
group called group called the Grangethe Grange.. The Grange was a The Grange was a consortiumconsortium of U.S. farmers who gathered to of U.S. farmers who gathered to
combat the tactics of the railroads.combat the tactics of the railroads.
Regulation and the ICC
American wanted the railroads to be controlled by government regulation [rules/laws].
The ICC Interstate Commerce Commission was charged with carrying and enforcing the Interstate Commerce Act.
The agency had agents who investigated reports of violations of the law and forced the railroads to comply.
The Captains of IndustryThe Captains of Industry
Captain of IndustryCaptain of Industry is a term used to describe a person who takes is a term used to describe a person who takes absolute control over a business and uses aggressive tactics to get his absolute control over a business and uses aggressive tactics to get his way.way.
TacticTactics-[a] undersells competitors, [b] joins into trusts, [c] financially s-[a] undersells competitors, [b] joins into trusts, [c] financially bribes the government into compliance. bribes the government into compliance.
Andrew CarnegieAndrew Carnegie-Steel magnate during the 1800s and early 1900s.-Steel magnate during the 1800s and early 1900s. J.P.J.P. MorganMorgan-Financier and banker [invested in businesses/lent money -Financier and banker [invested in businesses/lent money
for interest/share of ownership.for interest/share of ownership. J.D. RockefellerJ.D. Rockefeller-Oil baron who controlled oil & gasoline production.-Oil baron who controlled oil & gasoline production.
Carnegie Morgan Rockefeller
Robber Baron #1 Andrew Carnegie was a steel magnate who
owned the largest steel company in the United States.
Created a business strategy called vertical integration.
Vertical integration-strategy to combine separate elements of a business under one organization. The efficiency could not be matched and competitors were eliminated
•Sale•Production•Labor•Raw materials
Ironically Carnegie gave most of his money away before he died [created public libraries, funded the arts] about $350 million
The Bessemer process of eliminating impurities in steel created a superior quality of steel which eliminated the need to import foreign steel
Robber Baron #2
John D. Rockefeller was an oil baron who monopolized the oil industry
His pricing model and trust strategy drove competitors out of business
Combined his operations with willing competitors and reduced his prices below cost [losing money temporarily]
When all competition was eliminated he raised prices of gasoline to whatever he wanted. Customers had no other options and had to pay
Horizontal integration was used by Rockefeller to dominate an entire industry by allying with selected competitors into trusts.
Robber Baron #3 Railroad and banking tycoon
who financed numerous businesses and formed trusts
He cleverly acquired ownership in companies that were often considered unfair
He purchased U.S. Steel Corporation from Carnegie for $400 million
He forced companies to dissolve when profits were siphoned off [workers lost jobs]
J.P. Morgan
Questions for Chapter 24
Write down any questions you have on anything in the readings
I will take 5-10 minutes to answer any questions
Problematic Words Content Terms
Entrpreneur-______________________________________________Consolidate-______________________________________________Insatiable-________________________________________________Oligarchy-________________________________________________Supplanted-______________________________________________Rapacity-_________________________________________________Denounce-_______________________________________________Obsolescence-____________________________________________
Vertical integration is best described as _____________________________________A trust seeks to ___________________________________2-3 characteristics of a Monopoly include _________________________________.The Interstate Commerce Actsought to ____________________________________.
Role of Tariffs
To protect American business the U.S. Congress [with the strong encouragement from Big Business imposed tariffs on foreign goods.
Cheaper imports [goods brought in from overseas] were taxed with tariffs to make domestic goods more price competitive.
Gospel of Wealth
The belief that wealthy individuals had a moral and ethical responsibility was known as the Gospel of Wealth.
Captains of Industry has a duty to amass fortunes and control the nation’s financial fortunes.
Plutocrats influenced governments and the passage of legislation.
Social Darwinism
The Robber Barons were criticized for the uneven distribution of wealth.
Newspaper and magazine articles were scathing in their attacks on the Captains of Industry
Rockefeller countered that “the good Lord gave me my money.” The fittest of the fit made fortunes because they worked hardest and
were smartest. The poor or “have nots” were simply too lazy.
Sherman Anti-Trust Act The U.S. Government in 1890 tried to rein in the power of business trusts. The shrewdest of businessmen hired lawyers who were able to find
loopholes in the law and avoid compliance. Trusts were sometimes forced to break up into separate companies. Best example of a break-up was the 1911 break up of Rockefeller’s
Standard Oil Corporation. U.S. Government was bent on Trust busting after passage
Lewis Hine’s child labor exposes
Graphic photos of very young children [2-5] doing highly dangerous work under poor conditions got the attention of the U.S. Government.
The Fair Labor Standards Act of 1938 banned child labor.
Women in the workforce The stigma of public work was eradicated by Charles Dana
Gibson’s image of the Gibson Girl whose sleek, athletic and attractive look inspired women’s confidence.
Women during the 1880s were entering the workforce improved by technological advances such as phones.
Hello girls worked switch boards for telephone companies, governments and corporations
Labor Unrest and Unionization
Unions were organizations created to fight for better wages, working conditions and working hours.
The National Labor Union was formed after the Civil War in 1866 and collected over 600,000 workers in different trades [Chinese, blacks and most women were excluded]. Economic depression in the 1870s ended up folding the group. Biggest accomplishment was the 8-hour workday for government employees.
The Knights of Labor was a labor union that included blacks and women.
The Chinese Exclusion Act was passed by Congress to help protect American workers from unskilled, cheap, foreign labor [Chinese immigration was heavily curtailed]
Labor Strife and Unrest
Business/Labor conflicts were not always peaceful. On May 4, 1886 rioting in Chicago’s Haymarket Square led to
multiple deaths and a bad reputation for unions. The greatest mistake by the Knights of Labor was including skilled
and unskilled workers under one group. Unskilled workers could be replaced by strike breaking scabs while
craftsmen [skilled workers] were not. Skilled workers believed their jobs were unprotected.
Samuel Gompers Gompers learned from the failures of
other unions.
Led the American Federation of Labor [A.F.L.] for over 40 years.
Federation=Group of separate entities [in his case unions]
His most important strategy was to pool the resources of different types of unions.
The funds were used to support workers during prolonged strikes.
He also championed closed shops which did not allow non-union workers to work in union dominated jobs.
Mother Jones Jones was originally a labor
organizer for coal mines in Iowa.
She was popular for promoting inclusion and tolerance of black workers [this was in the 1870s-1880s!]
However she was ambivalent about foreign workers from Ireland and China.
By exerting pressure on the U.S. Congress the Contract Labor Law of 1885 [banning aliens and foreign contract laborers] and the Chinese Exclusion Act of 1882.
Most notable of all was that a woman was a key labor official
Horatio Alger
Horatio Alger wrote a series of inspirational novels telling various rags to riches tales.
The stories focused on how kids from impoverished beginnings were able to pull themselves by their bootstraps
Very few of these stories were real but they offered hope.
Homework
What was the role of Samuel Gompers in the labor movement?
How did “Mother Jones” inspire the labor movement?
How did tariffs benefit American big business?
Image sources
http://www.ushistory.org/us/images/00034498.jpg http://www.asianweek.com/wp-content/uploads/2008/04/chinese-railroad-workers.jpg http://www.asianweek.com/wp-content/uploads/2008/04/chinese-railroad-workers.jpg http://explorepahistory.com/images/ExplorePAHistory-a0b3f4-a_349.jpg http://pakway.files.wordpress.com/2009/12/cornelius-commodore-vanderbilt.jpg http://en.wikipedia.org/wiki/File:CyrusField.jpg http://en.wikipedia.org/wiki/File:Vanderbilt-WilliamHenry.jpg http://www.norfolkmagrange.org/images/grange_poster_uwgb.jpg http://en.wikipedia.org/wiki/File:US-InterstateCommerceCommission-Seal.jpg http://www.columbia.edu/cu/lweb/img/assets/4815/Copy%20of%20ANDREW.jpg http://www.dirtandseeds.com/wp-content/uploads/2011/01/jp_morgan1.jpg http://themischiefmunkey.files.wordpress.com/2010/08/john-d-rockefeller.jpg http://www.ohiohistorycentral.org/images/1147.jpg http://en.wikipedia.org/wiki/File:John_D._Rockefeller_1885.jpg http://4.bp.blogspot.com/_7SKBX2cPQjo/TTgC1Lh1EmI/AAAAAAAAAi0/H6BpiAERpWQ/s1600/hine_girl_worker.jpg http://lauralovephotography.files.wordpress.com/2010/03/cotton-mill.jpg http://www.yesterprints.com/demo/images/product/0032-lewis-hine-photographs-web.jpg http://www.lockley.net/images/gibson_girl_secretary-200x230.jpg http://www.womensmemorial.org/H&C/History/images/HelloGirls.gif http://en.wikipedia.org/wiki/File:Horatio_Alger_Jr-young.jpg http://www.jewishjournal.com/images/thegodblog_images/Money_Church-780892.gif http://www.redfundsgroup.com/history/uslp2/section2/haymarket.jpg https://files.pbworks.com/download/eYthBhLQTW/cioccahistory/14787604/08_d.jpg http://www.awesomestories.com/images/user/178bf686e4.jpg
http://en.wikipedia.org/wiki/File:Gompers-Samuel-LOC.jpg http://en.wikipedia.org/wiki/File:Mother_Jones_1902-11-04.jpg http://www.fasttrackhistory.org/images/tariff.gif