2. Problems facing American Farmers in the Late 1800s…

3. Overproduction  Due to: New and more land being developed New machinery that allowed farmers to farm more land, faster

4. Falling prices! …Falling prices!WHY? Supply and Demand! Supply and Demand! Overproduction led to…

5. Falling prices led to lower incomes BUT…  Farming costs remained high  Mortgage payments stayed the same  Cycle of debt worsened  Interest rates for farmers went up

6. Also… the “money issue”  Money was ‘tight’  Gold Standard Scarcity of gold meant scarcity of money  Value of money went up

7. Outsiders caused problems for farmers as well  Middlemen were taking much of the profit  Railroads Had monopolies in certain areas Rebates (discounts) were offered to larger farmers

9. When laborers had problems…

10. When farmers had problems…

11. Farmers felt the rich ran the country  Wanted more democracy  Not more wealth, more commonwealth  Wanted to change the democratic system

12. Goals of Populists:  End farmer debt  Give people a greater voice in government  Expand power of Federal government

13. Platform of the Populists  Economic Reform: Increase supply of money Graduated income tax ○ The more one makes, the higher the tax rate Government control of railroad and warehouse prices

14.  Government Reform: Vote by secret ballot Direct election of Senators Right to propose and vote directly on laws

15.  Labor Reform: 8-hour workday Immigration restrictions No government aid to corporations