Music: Scott Joplin, The Entertainer (1902)

What is the Gilded Age? Roughly from 1876 (End of Reconstruction) to 1900 (Progressive Period, Rise of TR) Takes name from 1873 novel by Mark Twain Time of tremendous wealth and progress, but also abject poverty and oppression Time of tremendous wealth and progress, but also abject poverty and oppression Looks pretty on the surface, but it is cheap plaster beneath Looks pretty on the surface, but it is cheap plaster beneath Time of tremendous upheaval and violence Laborers, farmers, and other average Americans fighting for a place at the table Laborers, farmers, and other average Americans fighting for a place at the table The “Other Civil War” The “Other Civil War” Question: Is political freedom without economic freedom (security?) truly freedom? Question: Is political freedom without economic freedom (security?) truly freedom? Should democracy control economics as well as politics?

Mass Production in Factories Formerly highly paid and proudly independent skilled craftsmen replaced by cheap low skill workers Break down manufacturing into simple steps Break down manufacturing into simple steps Trains anyone do it, including women and children Trains anyone do it, including women and children Manufacturer saves labor costs, speeds up process, makes more money, and can lower prices Manufacturer saves labor costs, speeds up process, makes more money, and can lower prices But also means: Lower wages for workers Lower wages for workers Loss of pride and independence Loss of pride and independence Work becomes boring and repetitive, no longer a source of identity and satisfaction Work becomes boring and repetitive, no longer a source of identity and satisfaction Numbers employed in factories, foundries, etc.: 1865: 1.3 million 1865: 1.3 million 1900: 4.5 million 1900: 4.5 million

Floor plan of a typical tenement building. Twelve families would be expected to occupy this one floor, often sleeping five or even ten people per room

Credit Mobilier Scandal (1872) Union Pacific received 12 million acres public lands, $27 million government bonds, million in stock sales Created supposedly separate construction company, Credit Mobilier, but actually controlled by UP executives Building of the RR cost $44 million, but UP paid CM $94 million (much of it public money) for the job Where did the money go? Into the hands of the CM executives Into the hands of the CM executives Pushed UP to the edge of bankruptcy, but CM paid 400% dividends to the directors Pushed UP to the edge of bankruptcy, but CM paid 400% dividends to the directors To prevent objections, CM sold cheap stock to many U.S. senators and congressmen

The Pattern of Wealth Huge profits could be had by a handful of individuals through: Technical innovation Technical innovation Increasing efficiency and consolidating competition Increasing efficiency and consolidating competition Maintaining high prices by monopolies and government protection Maintaining high prices by monopolies and government protection Obtaining government subsidies Obtaining government subsidies Keeping wages of workers low Keeping wages of workers low Corruption Corruption