1. Farming America post Civil War
Farmers & Populism
Farming America post Civil War

2. Farmers… Post Civil War farm production rose, so did DEBT
Tariffs- this discouraged people from buying imported goods, encouraging the purchase of domestic goods
Raised the price of manufacturing production
Europe retaliated with tariffs on American crops
Farmers saw tariffs as the government favoring industry

3. Impact of Tariffs
Farmers had to borrow the money necessary to afford the new farm equipment to keep up with production demands
Then, competition from abroad caused crop prices to decline
Tenant farming increased as farmers lost their land because of debt

4. The money issue The value of money is linked to the money supply
The sliver supply
Inflation-benefited farmers, price of crops rose
Deflation- dollar becomes worth more, benefits lenders
Post Civil War the government tried to take back the paper dollar
This hurt farmers!

5. The gold standard Reduced the amount of money in circulation
Money supply was based on the amount of gold held in the government
Benefitted big lenders
Tight money policy

6. Silverites
The gold standard angered miners, farmers, people who used silver
They felt that the gold standard would hurt farmers
They called for free silver
The unlimited coining of silver to increase the money supply
Bland-Allison Act the government had to coin more silver, causing inflation
President Rutherford B. Hayes vetoed it, but congress overrode it!!!
The treasury department refused to buy more than the minimum amount of silver
So this basically did not help

7. OK…..Farmers are getting mad
Farmers alliances– political group
Helped farmers form cooperatives, bought goods in large quantities at lower prices
1800’s most farmers joined an alliance
Launched attacks on monopolies, like railroads
Wanted things like
More money in circulation
Creation of state department of agriculture
Antirust laws
Farm credit

8. Populists
1890- farm alliances created a political party, THE PEOPLES PARTY
They were referred to as populists
Populists wanted
An increase circulation of money
Unlimited minting of silver
Progressive income tax
Government ownership of transportation and communication systems
Sought a united front with industrial workers, African Americans, and white farmers

9. Election of 1896 Major issue was currency
Republicans- William McKinley (gold standard)
Democrats- William Jennings Bryan (Silverite)
Cross of Gold Speech
McKinley won
Returned the nation to a gold standard, and surprisingly prices began to rise
Populism could not bridge the gap between industrial and farming America
This is the beginning of an era of reforms
“You shall not press down upon the brow of labor this crown of thorns. You shall not crucify mankind upon a cross of gold!”