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First DBQ – DUE Big Business
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Question To what extent and for what reasons did the policies of the federal government from 1865 – 1900 violate the principles of laissez faire, which advocated minimal government intervention in the economy? Consider with specific reference to the following three (3) areas of policy: railroad land grants, control of interstate commerce, and anti-trust activities.
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Remember your formatting
INTRO – thesis statement; mentioning your three subtopics BODY PARAGRAPHS – 3 of them 1) RR Land Grants 2) Control of Interstate Commerce 3) Anti-Trust Activities CONCLUSION – restate your main ideas; wrap up the essay
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Document A Amasa Walker; American Economist
The government is best which governs least Gov’t needs to stay out of economic affairs. Laissez-faire supporter This can go in any subtopic paragraph.
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Document B Daniel Knowlton – New York City Merchant
Laissez Faire supporter Government should only protect the people’s safety, let the people do their business and trade Could go into any subtopic
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Document C National Population and Federal Government Spending and Debt Population increases Government is spending more money BUT the government is getting less and less out of debt The government is giving away money, and land, and people are getting richer and pouring money back into the economy As the population grows, the country gets richer…the government made money off the land it gave away
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Document D RR Land Grants
This is an example of government intervention Stimulus The government took land, subsidized it, and gave it to corporations to BUILD RRs. NOT Laissez Faire – government intervenes by taking the land and giving it away Sub-Topic - RR Land Grants
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Document E National Agricultural Congress of farmers’ representatives
Farmers are calling for businesses to BE FAIR The farmers are calling for government intervention to make corporations charge fair rates for shipping Against Laissez Faire Subtopic – RR Land grants; or Interstate Commerce
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Document F Congressional Record – U.S. Congress
Congress is stopping the giving of land to businesses by 1878. This is Laissez-Faire They give land away for a few years and then they back off Sub-topic – RR Land Grants
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Document G J.K. Lutrell; Democratic Congress
Criticizing the government for giving away the land and causing a gap between the rich and poor Subtopic – RR Land grants
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Document H Jay Gould – RR Financier – RICH!
Supports government intervention to give the land away He believed it was helping the country and the people by providing capital for the nation
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Document I Charles Francis Adams Jr.; RR official The Railroad Problem
It makes the few rich; creates these socioeconomic gaps Who can solve the problem? The government The governments need to intervene and make laws to solve the problem Subtopic – RR Land Grants
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Document J Interstate Commerce U.S. Senate
RRs are fueling the rich and hurting the not so rich; fueling monopolies and such Congress must secure fairness and equity through legislation Result – Interstate Commerce Act Subtopic – interstate commerce
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Document K William C. Oates Democratic Congressman
AGAINST government intervention referring to the Interstate Commerce Act If the government starts intervening in business it will diminish our democratic values that makes the U.S. special Laissez Faire supporter Subtopic – Interstate commerce
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Document L Interstate Commerce Commission
Defending government intervention They are saying that the government is not attacking free enterprise, but instead unfair business practices Subtopic – interstate commerce
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Document M Political Cartoon 1889
The fatmen are trusts; rich entrepreneurs and corporations; they look mean and intimidating Standing behind the senators as they make laws BIG BUSINESS HOLDS THE REAL POWER Criticizing trusts and monopolies Subtopic – Anti-trust activities
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Document N John Sherman
Lead politician pushing the Sherman Anti-Trust Act Supports government intervention to protect FAIR COMPETITION and fair business practices Subtopic – Antitrust activities
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Document O President Grover Cleveland Second Inaugural Addy
Cleveland is supporting government intervention to protect FAIR business Subtopic – Antitrust Activities PS TRUSTS = “combinations”
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Document P Chief Justice M.W. Fuller
Supreme Court defends the U.S. Government’s right to regulation and stop monopolies and trusts Subtopic – Anti-Trust Activities
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Document Q U.S. government data Mergers in Manufacturing and mining
Federal Prosecutions under the Sherman Anti-Trust Act by President Mergers – companies coming together – forming a trust 1895 – 1900 – goes up dramatically then drops Sherman Anti-Trust is not being consistently and successfully enforced Presidents didn’t enforce this law consistently This shows the difficulty the government has in finding a good balance of intervention in U.S. economics Sherman Anti-Trust Act will not be thoroughly enforced until Roosevelt’s presidency (1901 – 1909) Subtopic – Anti-Trust Activities
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