Origins of ChangeThe Populist Movement

Why was farming unprofitable? Falling crop prices (Deflation) Farmers felt like they needed to produce more Mortgaged farms and crops High interest rates on loans Scarcity of good land High transportation and storage cost (inflation) Power of railroad companies (lack of competition) R.R. corruption (free passes, fluctuating rates, pools) Who do you think is creating most of the headaches

for farmers?

Why did farmers support “free silver”? Too bring about

inflation and produce “cheap money,” so that crop prices would rise and debts would be repaid in dollars of lesser value.

What economic reforms did the peoples party call for?

An increase in the money supply

A graduated income tax

Federal loan program

What political reforms did the party call for?

Election of US senators by popular vote Single terms for president and vice-

president Secret ballot Eight-hour workday Immigration restrictions

Presidential Election of 1896 City dwellers Businessmen and

bankers Industrialized

Northeast Republicans Gold Bugs

Farmers Farmers and laborers Agrarian South and

West Democrats Silverites

McKinley vs. Bryan

Election of 1896 McKinley, a conservative republican, won with

the votes of the urban, industrial East and middle West, Bryan lost while carrying the South and the Midwesterner farm vote.

Populism collapsed but left a strong legacy: 1. the downtrodden could organize and have a

political impact 2. created an agenda of reforms, many of which

would be enacted in the 20th century

Corruption and Railroads’ abuse of power Credit Mobilier (1864-1867)

construction company created by the Union Pacific paid off Congressman to approve funds for more tracks at twice the cost. Company and politicians profited $23 mil.

Railroad also abused farmers by random rate changes, fixed prices, and misusing land grants that was supposed to go to settlers.

Farmers fight back against the Railroad!

Grange-Physical opposition to the railroad

Farmers Alliance-state political opposition to the railroad

Populism-federal political opposition to

the railroad

Farmers fight back against the Railroad

Farmers began sponsoring state and local political representatives' who would be sympathetic to farmers. Did it Work?

Munn v. Illinois 1871 Granger laws in Illinois set maximum freight

rates prohibited discrimination 1877 railroads sued the state and lost

Interstate Commerce Act Established the right of the Federal Government to

supervise railroad activities. Too Weak to do any good

Railroad causes the Panic of 1893 Many Railroads were pushed to the brink

of bankruptcy which created a nation wide economic collapse.

600 banks and 15,000 businesses failed, and by 1895 4 million people lost there jobs.

RR were consolidated by financial companies like JP Morgan. 7 companies controlled 2/3 of the nations RR

Progressive Era

Problems or Issues Read Chapter 13 Section 3 and think about

the origins of progressive reform. Read Chapter “Reformers Mobilize” on

page 472. What does it mean to be Progressive? While looking through you notes from the

Gilded Age, what are some social, economic, and political problems?

Origins of the Progressive Era Around the turn of the century the Progressive

Movement was a response to the challenges of industrialization, urbanization and immigration.

Progressives turned away from the dominant laissez-faire doctrine.

Government should positively shape the economy, society and reform politics

Progressives tended to see structural rather than individual causes behind problems

Hard work and thrift were not enough to escape poverty

Who are the Progressives? Progressivism was never a unified

movement. Women Urban white native-born middle class Intellectuals, journalist, educators (muckrakers) Upper class reformers: went beyond philanthropy Local and State politicians

Origins of the Progressive Era

Progressive movement- aimed to return control of the government to the people, restore economic opportunities, and correct injustices in American life (local & state) Protecting social welfare Promoting moral improvement creating economic reform Fostering efficiency

Protecting Social Welfare Progressives wished

to soften the harsh conditions of industrialization.

YMCA opened libraries, sponsored classes, and built swimming pools.

Salvation Army fed poor people in soup kitchens.

Florence Kelly improved lives of women and children by

fighting for labor laws.

Promoting Moral Improvement Reformers felt that

morality held the key to improving the lives of poor people. Prohibition-banning of

alcoholic beverages Woman’s Christian

Temperance Union fought for prohibition

Problem with prohibition was that saloons were important part of life

Creating Economic Reform Big Business received

favorable treatment from Government and limited competition. Muckrakers wrote about

the corrupt side of business and public life in magazines during the early 20th century.

Fostering Efficiency Scientific

Management- breaking down of task into simpler parts. Created by Fredrick

Winslow Taylor Introduction to the

“Assembly Line”

Progressivism at the Local Level Progressive reforms began in the cities, with the

various campaigns to eliminate the corruption of machine politics.

In the 1890s, bosses were replaced with city managers who created “public” control of utilities. Galveston Plan- commission model, by 1917 500 cities

adopted the Galveston Plan Council-Manager Model- People appoints a council to

make the laws, and the council appoints a manager to run city.

Progressivism at the State Level Robert M La Follette- Wisconsin governor

who wanted drive corporations out of politics

He taxed railroads, regulated rates, and forbid free passes.

Direct primary, campaign-finance limits Some states began to regulate child labor

(Illinois) Some states began to regulate hours worked

and required employers to pay benefits in death cases (Oregon)

Origins of the Progressive Era States began reforming elections

Initiative- bill originated by people Referendum- vote on initiative Recall- forcing elected officials to run again Secret Ballot- private vote Seventeenth Amendment- direct election

of senators

Roosevelt Presidency 1901 Roosevelt became the first progressive

President after McKinley's assassination TR revolutionized the presidency for many

reforms and activist government. “Bully Pullpit” He wished to provide a square deal for

businessmen, laborers, farmers and consumers. TR was a true Renaissance Man and by far one

of the most fascinating people in history.

Roosevelt Presidency: Labor

Problem Conflict between Labor and

Business resulted in violence and the threatened the public good of Americans.

In 1902 Coal Miners conducted a strike, challenging low wages, long hours, company housing, failure to recognize the union.

Solution Roosevelt calls both sides

to the White House in an attempt to arbitrate the grievances.

Roosevelt threatens to use troops to take over the mines if both sides do not mediate soon.

Strike ended and miners received a pay increase and a 9 hour workday

Roosevelt Presidency: Economy

Problem Trust eliminated

competition, inflated prices, and destroyed economic opportunity

Railroad Consolidation exploited farmers and corrupted free trade.

Solution “Trustbusting:” TR

strengthened the Sherman Antitrust Act and began to sue monopolies. TR did not attack all monopolies just ones that threatened public good.

The Elkins Act and Hepburn Act gave the Interstate Commerce Commission price-setting and enforcement powers.

Roosevelt Presidency: Consumer Protection

Problem Upton Sinclair’s The

Jungle exposed the unsanitary processing and butchering of Meat

Scandal arose during the Spanish American War (1898) regarding spoiled meat being supplied to the American Government.

Solution The Pure Food and Drug

Act was passed in 1906 which eliminated the alteration or false labeling of food and drugs.

The Meat Inspection Act was passed in 1908 required improved sanitation and inspection of meat before sale.

Roosevelt Presidency: Conservation

Problem Industrialization, Captains

of Industry, and Westward Expansion were gobbling up the “American Wilderness.”

Unregulated exploitation of natural resources were causing pollution.

Solution Preservation: protecting

the environment from being lost. (Yosemite National Park)

Conservation: Managing and monitoring the use of natural recourses.

TR created the US Forest Service and established many National Parks.

Taft Presidency William Howard Taft

is TR protégé. Taft is the polar

opposite to TR regarding personality

Very insecure, quiet, lacked energy

Never wanted to be president

Taft Presidency 1908-1912

Positives Taft was more of a

trustbuster than TR. He filed more lawsuit.

Mann Elkins Act: (1910) Strengthened the ICC railroad regulation

16th Amendment: Income Tax

Negatives Payne-Aldrich Tariff:

raised tariff taxes to an all-time high.

Ballinger Pinchot Affair: Results in Taft allowing the Secretary of the Interior to sell Government lands to private companies

Election of 1912Bull Moose Party

Republicans Democrats

T. Roosevelt Will Taft Woodrow Wilson

Progressive / Conservationist

Old Guard Republican

Progressive

Split Republican party

Split Republican party

Won election with Democratic vote.

Wilson’s Presidency: New Freedom Professor and eventual

President of Princeton University

One of the most intellectual men to serve as President

His New Freedom wished to improve banking, currency, tariffs and industry

Wilson’s Presidency: Economic Reform Clayton Antitrust Act: prohibited horizontal

consolidation if that consolidation resulted in a monopoly.

Federal Trade Commission: regulated against unfair business and trade practices

Underwood-Simmons Tariff: cut rates by 15% which created more competition

Wilson’s Presidency: Economic Reform-Federal Reserve System The private banking system in America was

unstable. Fluctuating value of money and the inflexible credit structure created economic panics.

“Money Trust”- a select few banking firms controlled the supply of money (JP Morgan)

Federal Reserve Act of 1913 created a flexible credit structure and stabilized the value of money.

Federal Reserve Act Divided the Nation into 12 banking regions

with a federal bank Each federal bank served as a bank for

bankers Federal Reserve controls the interest rate

of borrowed money by member banks Federal Reserve also issue money which

stabilizes the value of the dollar

Wilson’s Presidency: Labor Keating-Owen Act (1916): outlawed interstate

trade of products by child labor Adamson Act (1916): 8 hour workday for

interstate railway workers Workmen’s Compensation Act (1916): accident

and injury protection for federal workers Federal Farm Loan Act (1916): allowed farmers

to use crops as collateral for federal loans

Impact of the Progressive Movement Progressivism…

ends with WWI demonstrates how laws can be used to protect

the rights of every individual. demonstrates the changing role of the

President began to solve the problems of a fast changing

American society