1. Which situation brought about the rapid growth of industry between 1865 and 1900?
high worker morale resulting from good wages and working conditions
availability of investment capital
establishment of western reservations for Native American Indians
decline in the number of people attending schools

2. In the decades after the Civil War, the major result of the shift from single proprietorship to corporate organization was that business was able to
make more efficient use of natural resources
concentrate on improving the quality of manufactured goods
provide workers with higher wages
raise large sums of money

3. Businesses formed trusts, pools, and holding companies mainly to
increase profits by eliminating competition
offer a wide range of goods and services to consumers
provide employment opportunities for minorities
protect the interests of workers

4. A negative effect of holding companies (trusts), mergers, and pools on the United States during the late 19th century was that these combinations
encouraged the Federal Government to spend more than its income
reduced the need for labor unions
decreased competition between businesses
ended United States participation in inter-national trade

5. The 19th-century philosophy of Social Darwinism maintained that
the government should have control over the means of production and the marketplace
all social class distinctions in American society should be eliminated
economic success comes to those who are the hardest working and most competent
wealth and income should be more equally distributed

6. The American Beauty Rose can be produced in the splendor and fragrance which bring cheer to its beholder only by sacrificing the early buds which grow up around it. This is not an evil tendency in business. It is merely the working-out of a law of nature and a law of God.
John D Rockefeller

7. Rise of big business in the Gilded Age (1870s- early 1900s)
1870s, 80s- Largest economic growth in history
Pass Britain as world’s #1
RR- transform the economy
Mechanized farming- massive production of food in the west
Corporations become the dominate form of business
By 1900 “trusts” dominate steel, oil, sugar, meat and farm machinery industries (horizontal, vertical integration)
Millions employed- huge era of innovation and inventions (kerosene, steel, telephone, electricity, running water
Rise of the middle class (wages increase 60%) and wealth (per capita income #1 in the world)

8. “Gospel of Wealth”- Industrialists become philanthropists
Carnegie donates 90% of wealth to charity
Rockefeller- $500,000,000
1000s of colleges, hospitals, museums, academies, schools, opera houses, public libraries, charities paid for by industrialists

9. “survival of the fittest” in business
Social Darwinism
“survival of the fittest” in business
The most competent businesses would survive and society would benefit from fierce competition
Laissez faire
“allow to do”
Gov’t should leave business alone to let this take place and not regulate big business
Government actually supports big business:
High tariffs
No immigration restrictions
Subsidizes the railroads

10. By the end of the 1800s, many began to be critical of the power of big business and the wealth of industrialists…

11. According to the cartoons…
What was the problem with the rise of big business, formation of monopolies and trusts, and the growing power and wealth of industrialists….
(on back of your cartoon, write down at least three issues the cartoons are critical of)

12. “What a Funny Little Government”, by Horace Taylor for the September 25, 1899 issue of The Verdict
THE TRUST GIANTS POINT OF VIEW
“WHAT A FUNNY LITTLE GOVERNMENT”

13. Mark Hanna- iron and coal industrialist Philip Armour- meatpacking
LABOR
ONE SEES HIS FINISH UNLESS GOOD GOVERNMENT RETAKES THE SHIP
Mark Hanna- iron and coal
industrialist
Philip Armour- meatpacking
industrialist

14. “The Standard Oil Octopus”

15. Joseph Keppler - 1889 political cartoon "The Bosses of the Senate",

16. “The Protectors of our Industry” 1883
Russell Sage- financier and
Railroad executive
William Henry
Vanderbilt- railroads
Cyrus
Field-
American
Telegraph
Company
Jay Gould-
Railroad
Developer
And
speculator

17. Samuel Ehrhardt, ‘History Repeats Itself: The Robber Barons of the Middle Ages and the Robber Barons of Today’, Puck, c. 1889

18. If you haven’t, please write down 3 specific problems the cartoonists saw with the rise of big business, formation of monopolies and trusts, and the growing power and wealth of industrialists….
For at least one, write down a possible solution to the problem….

19. Think of what we covered Friday… refer to your list of complaints on big business from toons… Were the industrialists…
Robber Barons (CONS) captains of industry? (PROS)

20. Labor Unions Emerge

21. Labor Unions Emerge: Working Conditions: Dangers: Wages: child labor:
Six or seven days a week
12+ hours
No benefits (vacation, sick time, unemployment, injury)
Dangers:
injuries common; dangerous equipment
675 deaths a week in ’82
Wages:
to survive, women and children often had to work
 child labor:
20% of boys, 10% of girls work full time- no education
sweatshops:
done in tenement houses;
women and children (27 cents for 14 hour day- children)

22. American Federation of Labor (craft unions)
Types of workers it organized
Tactics used (strikes, collective bargaining, arbitration)
Goals- types of reforms sought
Level of success?
Knights of Labor
ALL WORKERS (men, women, minorities, immigrants, skilled unskilled)
Mostly arbitration- third party solves dispute
8-hour work day
Equal pay for men and women
Declines after failure of strikes
American Federation of Labor (craft unions)
Skilled workers
LEADER: Samuel Gompers
Collective bargaining- negotiation between labor and management
Strikes used
“bread and butter issues”
Higher wages
Shorter work weeks
Quite successful
American Railway Union (industrial union)
All workers in a specific industry (railroad)
Unskilled, semi-skilled, some skilled
LEADER: Eugene V. Debs
Strikes
Declines after failure of a strike

23. Homestead Strike: Conditions that led to the strike:
Announcement to cut wages at Carnegie Steel.
Tactics used by both sides (labor and management):
Labor: go on strike; attack plant- occupy it and keep it closed
Management: hires scabs, hires “Pinkertons” (armed guards) to protect plant (9 die)
Role of the state and/ or federal government:
National Guard sent in to reopen plant
Outcome of the strike:
after 5 months, union gives in to company; loses public support;
(45 years until steel workers unionize again)

24. The Pullman Strike
Chicago 1894

25. Pullman Palace Car Company
Railway car company owned by George Pullman
Over 6,000 workers
Workers lived in “company town”
Rent was 25% higher than other areas
Interior of a Pullman Sleeper Car

26. Reasons for the Strike Historical Context: Depression of 1893
Pullman cut workers’ wages but didn’t cut rent for apartments
On May 10, 1894, workers walked out of their factory

27. ARU Supports Pullman Workers
American Railway Union was a national union of railway workers
Eugene Debs, ARU leader, decided to support Pullman strikers
Across the nation, railway workers refused to run trains that had Pullman cars attached to them
The country was paralyzed

28. Eugene Debs
Eugene V. Debs, the rail union president at the time of the strike, later campaigned as the American Socialist presidential candidate

29. President Grover Cleveland sends in troops

30. Violence Erupts Presence of federal troops set off riots
Rioters burned buildings
Troops killed 4 people and wounded 20

31. End of Strike By August the strike fell apart
1000 union workers were fired
New workers had to sign contracts promising not to join a union
Debs was arrested and jailed for 6 months

32. Which paper sided with which side?
Look for key words or phrases…. That present different sides of the story…

37. Pullman Strike Conditions that led to the strike:
Pullman lays off more than half of work force; cuts pay of rest
Still charges the same for rent
Tactics used by both sides (labor and management):
Labor: strike called; Debs asks for arbitration; ARU boycotts Pullman trains; go after strikebreakers (scabs)
Management: hires scabs; refuses arbitration
Role of the state and/ or federal government:
President Cleveland sends in federal troops to end strike
Courts issue an “injunction” (order) to halt the strike
Debs is arrested for refusing the injunction
Outcome of the strike:
Pullman fires strikers
Strikers “blacklisted”- no RR company will hire them