The Rise of Big Business Businesses continue to grow during industrialization

The Rise of Big Business With a surplus of workers and a growing economy, businesses grow to multiple owners With a surplus of workers and a growing economy, businesses grow to multiple owners Corporation: A business in which many investors own shares, usually called stocks Corporation: A business in which many investors own shares, usually called stocks An easy way for business owners to own multiple factories An easy way for business owners to own multiple factories

The Rise of Big Business Money raised by corporations sped up the growth of the American economy and put money into peoples’ pockets Money raised by corporations sped up the growth of the American economy and put money into peoples’ pockets The fastest growing industries were the railroad, building materials, energy, and communications The fastest growing industries were the railroad, building materials, energy, and communications

The Rise of Big Business As the economy boomed and industries grew larger, another type of business appeared: As the economy boomed and industries grew larger, another type of business appeared: Monopoly: A business that has complete control over a specific product. This allows for no competition from anybody! (Also known as a Trust) Monopoly: A business that has complete control over a specific product. This allows for no competition from anybody! (Also known as a Trust)

The Rise of Big Business How did the gov’t feel about monopolies? Do we still have monopolies today? What is an example of a monopoly today?

The Rise of Big Business The gov’t continued to follow the principle of Laissez-Faire (non-interference) about big business and allowed this to continue until 1900 The gov’t continued to follow the principle of Laissez-Faire (non-interference) about big business and allowed this to continue until 1900 The gov’t needed the country to industrialize to keep up with Europe. They did this at the expense of the workers The gov’t needed the country to industrialize to keep up with Europe. They did this at the expense of the workers

The Rise of Big Business Workers begin to realize that joining a Labor Union is the best way to achieve better working conditions Workers begin to realize that joining a Labor Union is the best way to achieve better working conditions As the standard of living decreased for the poor and owners got richer, something more had to be done As the standard of living decreased for the poor and owners got richer, something more had to be done

The Rise of Big Business Labor Union membership begins to soar as workers realize it is the best way to earn some rights Labor Union membership begins to soar as workers realize it is the best way to earn some rights As we get closer to the year 1900, workers begin to go on strike more frequently, monopolies become more popular, and there is a growing criticism of Laissez-Faire As we get closer to the year 1900, workers begin to go on strike more frequently, monopolies become more popular, and there is a growing criticism of Laissez-Faire

The Rise of Big Business The first victories for the workers comes from two laws passed by Congress: The first victories for the workers comes from two laws passed by Congress: Interstate Commerce Commission Interstate Commerce Commission -Ended abuses of the railroad -Ended abuses of the railroad Sherman Antitrust Act Sherman Antitrust Act Made monopolies/trusts illegal -Made monopolies/trusts illegal