Warm Up Why did Mark Twain call the period, 1865 – 1900, “The Gilded Age”? Is a meritocracy essential to a democracy? How do you create one? List three ways in which the Federal gov’t was involved in the economy from 1793 – 1865

Gilded Age Politics 1866-1896

Grant’s Presidency: ‘The Era of Good Stealings’ No political experience & plagued by scandal Credit Mobilier (VP bribed w/stock) Whiskey Ring (Sec of Treasury & patronage workers cheated gov’t out of excise tax) Black Friday Panic of 1869 (brother-in-law tipped off gold speculator Jay Gould) Blatant use of the spoils system Supported the Radical Republicans through 1875 Panic of 1873 -4 year crisis ‘greenback’ debate Specie Resumption Act –As of Jan 1879 all greenbacks issued had to be pegged to gold

The wreckage of Black Friday, Sept. 24, 1869 (courtesy of Gould & Fisk)

Grant: “Shouldering the Burdens of Republican Government”

I. A Two-Party Stalemate

II. Intense Voter Loyalty to the Two Major Political Parties

III. Well-Defined Voting Blocs Democratic Bloc Republican Bloc White southerners (preservation of white supremacy) Catholics Recent immigrants (esp. Jews) Urban working poor (pro-labor) Most farmers Northern whites (pro-business) African Americans Northern Protestants Old WASPs (support for anti-immigrant laws) Most of the middle class

IV. Very Laissez Faire Federal Govt. From 1870-1900  Govt. did very little domestically. Main duties of the federal govt.: Deliver the mail. Maintain a national military. Collect taxes & tariffs. Conduct a foreign policy. Exception  administer the annual Civil War veterans’ pension.

V. The Presidency as a Symbolic Office Senator Roscoe Conkling Party bosses ruled Presidents should avoid offending any factions within their own party Republican Senator, Roscoe Conkling was the boss The President just doled out federal jobs. 1865  53,000 people worked for the federal govt. 1890  166,000 Senator Roscoe Conkling

1880 Presidential Election: Republicans Half Breeds Stalwarts Sen. James G. Blaine Sen. Roscoe Conkling (Maine) (New York) compromise James A. Garfield Chester A. Arthur (VP)

The Party Machine: Graft political organization in which an authoritative boss commands a corps of supporters and businesses (usually campaign workers), who receive rewards for their efforts Democrats - “Boss” Tweed (NY) ‘Tammany Hall’ Controlled NY politics from 1845 -1877 3rd biggest landowner in NYC Simultaneously member of US House of Reps & NY State legislature (unconstitutional) eventually found guilty of embezzling $45 Mil.

1880 Presidential Election

1881: Garfield Assassinated Charles Guiteau: I Am a Stalwart, and Arthur is President now!

Chester A. Arthur: The Fox in the Chicken Coop?

Pendleton Act (1883) Civil Service Act. The “Magna Carta” of civil service reform. 1883  14,000 out of 117,000 federal govt. jobs became civil service exam positions. 1900  100,000 out of 200,000 = civil service federal govt. jobs.

Caption: ‘With the Inevitable Result’

Republican “Mugwumps” Reformers who wouldn’t re-nominate Chester A. Arthur. Reform to them  create a disinterested, impartial gov’t run by an educated elite like themselves Social Darwinists Their target was political corruption, not social or economic reform

The Mugwumps ‘Men may come and men may go, but the work of reform shall go on forever.’ Will support Cleveland in the 1884 election.

A Dirty Campaign “Ma, Ma…where’s my pa? He’s going to the White House, ha… ha… ha…!”

1884 Presidential Election Grover Cleveland James Blaine * (DEM) (REP)

1884 Presidential Election

Cleveland’s First Term The “Veto Governor” from New York Veto limits the power of the legislative branch First Democratic elected since 1856. A public office is a public trust! His laissez-faire presidency: Opposed bills to assist the poor as well as the rich. Vetoed over 200 special pension bills for Civil War veterans!

Bravo, Señor Clevelando!

The Tariff Issue After the Civil War, Congress raised tariffs to protect new US industries Big business wanted to continue this; consumers did not. 1885  tariffs earned the US $100 mil. in surplus! Mugwumps opposed it farmers did not get protections gov’t surplus was potential for graft President Cleveland believed that tariffs should be lowered to help the common man Tariffs became a major issue in the 1888 presidential election.

Filing the Rough Edges Tariff of 1888

1888 Presidential Election Grover Cleveland Benjamin Harrison (DEM) * (REP)

1888 Presidential Election

“Disposing of the Surplus

Changing Public Opinion Americans wanted the federal gov’t to curb the power of the trusts: Interstate Commerce Act – 1887 Sherman Antitrust Act – 1890 McKinley Tariff – 1890 Based on the theory that prosperity flowed directly from protectionism Increased already high rates 48% Rep. Party suffered big losses in 1890 (even McKinley lost his House seat!)

1892 Presidential Election Grover Cleveland Benjamin Harrison again! * (DEM) (REP)

1892 Presidential Election

Cleveland Loses Support Fast The only President to serve two non- consecutive terms. Blamed for the 1893 Panic Defended the gold standard Used federal troops in the 1894 Pullman strike Repealed the Sherman Silver Purchase Act Went to J.P. Morgan “the banker’s banker” to shore up US gold reserves -$65 million with a $7 million commission

The Money Question The gold standard –prior to 1933, all US Treasury notes had to be backed by gold Greatly limited the money supply 1869 Jay Gould & Jim Fisk tried to corner the gold market (control enough to rival US holdings) Treasury Dept. insisted that 1 oz of silver = 1/16th of an ounce of gold Panics of 1873 & 1893 were both brought on by speculation in land, railroads & gold AND the gov’t lack of foresight Resumption Act of 1879 Sherman Silver Purchase Act of 1890

Populism Populist Party (People’s Party) emerged out of the Farmer’s Alliance –militant group of southern & western farmers Popular in the Midwest, not in Eastern cities Southern Blacks joined, so whites would not Rose to prominence after the McKinley Tariff (1890) & Panic of 1893 (4 yr depression) Populist “Omaha Platform” (created in Nebraska) Wanted “bimetalism” silver & gold backed currency Graduated income tax Nationalized railroads, telephone & telegraph service Direct election of Senators National referendum & initiative

Popular Populist Leaders William Jennings Bryan Nebraska Congressman who was the party’s Presidential candidate in 1896, 1900, 1908 Fundamentalist Christian Famous for his “Cross of Gold” speech Jacob Coxey Ohio businessman who led the first ‘march on Washington’ Wanted to press Populist agenda (Omaha Platform) to relieve the Panic of 1893 “Coxey’s Army”, 1894