Populism & the Election of 1896

Essential Questions: What were the successes and failures of the Populist Party? Why was it the most important 3rd party in American History?

What were some of the major problems facing farmers during the Gilded Age ??

Problems of the Farmers Drought Surpluses Prices set by world market Railroad corruption Debt & monetary policies

Farmer’s Organize The Grange The Southern Alliance The Coop

Written by a Farmer at the End of the 19c When the banker says he's broke And the merchant’s up in smoke, They forget that it's the farmer who feeds them all. It would put them to the test If the farmer took a rest; Then they'd know that it's the farmer feeds them all. Catalyst: 1891 = Banks began to foreclose on farm mortgages

Founder of the National Grange of the Patrons of Husbandry (1867)

The Grange Movement First major farmer organization. Began as a social organization (farmers could avoid isolation). As financial problems grew, became a political organization that challenged the railroads.

The Grange Movement Set up cooperatives - where farmers combined their resources to buy and sell goods Succeeded in getting Congress to pass “Granger Laws.” to regulate the RR

Granger Laws Munn vs. Illinois (1877) Allowed state legislatures to regulate RR Interstate Commerce Act (1877) Made railroads play fair

The Farmers Alliances A more powerful farm organization Built upon the Grange. More political and less social. Ran candidates for office. Controlled 8 state legislatures & had 47 representatives in Congress during the 1890s.

The Farmers Alliances Omaha Platform, 1892 (What they lobbied for) Graduated income tax Government ownership of RRs Expansion of money supply 1873: Gold Standard (The amount of $ in circulation was limited by the amount of gold held in the treasury.)

The Money Supply 1873: Gold Standard (The amount of $ in circulation was limited by the amount of gold held in the treasury.) Caused a decrease in the amount of money in circulation Lowered prices (bad for farmers trying to sell crops) Farmers Alliance wanted to back $ supply with silver

The Populist (Peoples’) Party James B. Weaver, Presidential Candidate Formed when Farmers Alliance did so well in 1890 election. Platform included most of Farmers Alliance ideas Government ownership of RR, telegraphs, telephone Graduated income tax Return all excess RR land to government James B. Weaver, Presidential Candidate & James G. Field, VP

The Populist (Peoples’) Party James B. Weaver, Presidential Candidate Also wanted political reform Direct election of senators Secret ballot Initiative (laws can be suggested by average people) Referendum (laws can be voted by average people) James B. Weaver, Presidential Candidate & James G. Field, VP

1892 Election

Bi-Metallism Issue

The Panic of 1893

Causes of the 1893 Panic Begun 10 days after Cleveland took office. Several major corps. went bankrupt. Bank failures followed causing a contraction of credit [nearly 500 banks closed]. By 1895, unemployment reached 3 million. Americans cried out for relief, but the Govt. continued its laissez faire policies!! (They did nothing.)

Here Lies Prosperity

The 1896 Election

Gold / Silver Bug Campaign Pins Populists and other free-silver proponents advocated unlimited coinage of silver in order to inflate the money supply, thus making it easer for cash-strapped farmers and small businessmen to borrow money and pay off debts.

William Jennings Bryan Democratic Candidate Supports free silver Endorsed by the Populist Party The “Great Commoner”

You shall not press down upon the brow of labor this crown of thorns; you shall not crucify mankind upon a cross of gold!

Mark Hanna: The “Front-Porch” Campaign

William McKinley Republican Candidate Conservative platform Gold standard (sound $)

The Seasoned Politician vs. The “Young” Newcomer

1896 Election Results

Gold Triumphs Over Silver 1900  Gold Standard Act confirmed the nation’s commitment to the gold standard.

16th Amendment—Graduated Income Tax If they lost the presidential election, why was the Populist Party considered a success? 16th Amendment—Graduated Income Tax 17th Amendment—Direct Election of Senators Initiative & referendum Australian (secret) ballot 16th Amendment: In 1913, the 16th Amendment to the U.S. Constitution was ratified. It allowed the federal government to levy an income tax. Most people at the time thought an income tax was a great idea. Far-reaching in its social as well as its economic impact, the income tax amendment became part of the Constitution by a curious series of events culminating in a bit of political maneuvering that went awry. The financial requirements of the Civil War prompted the first American income tax in 1861. How were US Senators chosen before the Seventeenth Amendment was ratified in 1913? According to Article I, section 3 of the U.S. Constitution, senators were to be chosen by the legislatures of their respective states. The 17th Amendment to the Constitution, however, dictates that senators are to be directly elected by the people they represent. Initiative & Referendum: The Progressive Era was a period marked by reforms aimed at breaking the concentrated, some would say monopoly, power of certain corporations and trusts. Many Progressives believed that state legislatures were part of this problem and that they were essentially "in the pocket" of certain wealthy interests. They sought a method to counter this—a way in which average persons could become directly involved in the political process. One of the methods they came up with was the initiative and referendum. Between 1904 and 2007, some 2231 statewide referendums initiated by citizens were held in the USA. 909 of these initiatives have been approved. Perhaps even greater is the number of such referendums that have been called by state legislatures or mandatory—600 compared to 311 civic initiatives in 2000-2007. Australian Ballot: also called secret ballot,  the system of voting in which voters mark their choices in privacy on uniform ballots printed and distributed by the government or designate their choices by some other secret means. Victoria and South Australia were the first states to introduce secrecy of the ballot (1856), and for that reason the secret ballot is referred to as the Australian ballot. The system spread to Europe and the United States to meet the growing public and parliamentary demand for protection of voters. The means for securing secrecy vary considerably.

What happened to Populism? McKinley won (not Bryan) Farmers economic conditions begin to improve. Populism dies but lays groundwork for future reform.

Heyday of Western Populism