Business+and+Industry+1865-1900

By: Helivett Ramirez, Michelle Premnauth, Sierra Neale, Ryan Rampersad

===**The American Economy in the nineteenth century was a time of phenomenal growth in business and industry. The population of the city doubled, and railroads were established. There was a tremendous growth in coal, oil, and steel, which were all the main sources associated with industrialization. **===

Problems associated with industrialization include :


 * - The establishment of the “free enterprise” system where the government had to maintain a laissez-faire attit ude toward business and economics.

-(Q) Was there competition among other countries dealing with trade?

-(A) The answer is yes. There was a tariff established which was the heart of the “free enterprise” system, which was limited by a high protective tariff on imported goods.


 * -The tariff was placed on majority of the goods, and it meant that a disproportionate share of the cost of government was paid for by those who might have consumed foreign goods or gotten American goods cheaper.

*Farms in the south, were mainly affected by the tariff. * Railroads: The growth American rails is another example of government intervention on behalf of business rather than a true free market system. The Federal Government gave huge subsidies to the companies that built the first transcontinental railroad, Union Pacific and Central Pacific. The companies were given twenty square miles of land for each track laid, plus direct payments of $16,000 and $48,000 per mile for track laid in plain areas and mountain areas. Still they were not content with their huge subsidies, the Union Pacific maximized their own profits by hiring out the work to the Credit Mobilier.

-(Q) Why was the Credit Mobilier paid $73 million, for $50 million dollars worth of work?

-(A) Union Pacific controlled Credit Mobilier outright while they were only major share holders in Union Pacific. This scheme allowed them to transfer $23,000,000 in profits directly to themselves, so they would not have to share with the other Union Pacific stock holders.

When railroad tycoons were not trying to rip off stockholders, and the government, they were busy trying to rip off each other, and destroy the competition.

-The Steel (Steal?) Industry The growth of the railroads meant a tremendous increase in the demand for steel, and more opportunity for enterprising individuals. One of the biggest names in steel: Andrew Carnegie.

He is used as a model for the American ideal. He started off as the son of a tailor, who emigrated from Scotland, and he worked as a bobbin boy, for about $1.20 everyday. He was honest, industrious, and hard-working. He was always willing to get the job done, which soon he was able to accumulate enough capital to buy his way into the steel industry. - One of the first to see the potential of the Bessemer process to turn out a higher quality steel at a lower price, Carnegie ended up earning a large fortune, which then in return he was prepared to give away.

- The Bessemer process was “first” used in this country by Duquesne Steel, not Carnegie. Carnegie knew who wasn’t going to be able to compete with Duquesne, a company turning out a better product and a lower price.

<span style="font-family: 'times new roman','serif'; font-size: 13px;">-Carnegie used the technique of vertical integration which allowed him to control the manufacturing of steel every step of the way. He controlled iron mines, coal mines, rails, enabling him to control production costs and undercut his competitors.


 * __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">*Important Business People* __**

<span style="font-family: 'times new roman','serif'; font-size: 13px;">Andrew Carnegie <span style="font-family: 'Times New Roman','serif'; font-size: 16px;">One of the captains of industry of 19th century America, Andrew Carnegie helped build the formidable American steel industry, a process that turned a poor young man into one of the richest entrepreneurs of his age.

<span style="font-family: 'times new roman','serif'; font-size: 16px;">Cornelius Vanderbilt, for instance, decided to secretly buy up Erie Railroad stock so he could control the line and eliminate its tendency to compete with his own lines.

<span style="font-family: 'times new roman','serif'; font-size: 13px;">John D. Rockefeller ,was the founder of the Standard Oil Trust. He did everything possible to stay ahead of his various competition. With help from the railroad owners he was able to sell his product cheaper than the rest of the companies. He used the idea of horizontal integration where he was able to control the prices and the production of oil around the country.

<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">“And while the law of competition may be sometimes hard for the individual, it is best for the race, because it ensures the survival of the fittest in every department.” - Andrew Carnegie

<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">“The 'morality of compromise' sounds contradictory. Compromise is usually a sign of weakness, or an admission of defeat. Strong men don't compromise, it is said, and principles should never be compromised.” <span style="font-family: 'times new roman','serif'; font-size: 16px;">- Andrew Carnegie

<span style="color: red; font-family: 'times new roman','serif'; font-size: 19px;">**__Documents__**

<span style="font-family: 'times new roman','serif'; font-size: 16px;">Business and Industry from 1865-1900. This was an era of vast improvement and prosperity. During this time a large number of changes occurred, the economy was severely impacted, and the government played a substantial role in its growth and development.

__<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Document 1 __

<span style="font-family: 'Times New Roman','serif'; font-size: 13px;">Q - What can we infer using this picture about the expansion of the railroad during the time period from 1865-1900?

__<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Document 2 __

<span style="font-family: 'Times New Roman','serif'; font-size: 13px;">What is going on in this picture?

__<span style="font-family: 'Times New Roman','serif'; font-size: 13px;">Document 3 __

<span style="font-family: 'Times New Roman','serif'; font-size: 13px;">Q- Who or what is being represented in this document?

__<span style="font-family: 'Times New Roman','serif'; font-size: 13px;">Document 4 __

<span style="font-family: 'Times New Roman','serif'; font-size: 12px;">Source: I. W. Burnham, interviewed in Jennings and Brewster, The Century, Doubleday, 1998 (adapted) <span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Q-According to I. W. Burnham, what was one reason the public became more interested in the stock market in the 1920s?

<span style="color: red; font-family: 'times new roman','serif'; font-size: 16px;">**__Vocabulary__**


 * __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Knights of Labor: __**<span style="font-family: 'Times New Roman','serif'; font-size: 16px;"> This was a foundation created by Uriah Stevens in the year 1869. It's main purpose was to bring together all of the companies that "produced" something. The labor rejected people who were considered "non-producers". Non-producers were the people who did not physically produce anything, for example: bankers, lawyers and intellectuals. The Knights of Labor looked to end child labor, have better working conditions, and higher wages.
 * __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Monopolies __****<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">: **<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">A monopoly is when only one company has complete control over one specific product. When a monopoly is created the owner of it is the only one allowed to make and sell the product. The creators are allowed to set the price of the product. Consumers are forced to purchase the item at any price because there is only one company selling it. There came a point in time when the United States Senate was completely controlled by the monopolists.
 * __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Interstate Commerce Act __****<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">: **<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">This act was passed in response to the failure of states to manage and regulate the railroads. The Interstate Commerce Act required that the railroads companies charged a "fair rate" to the people who used them and also to make those rates available to the public. This ensured that no one was getting unfair benefits, for example: cheaper rates. This Act also made it illegal to charge more for a "short trip" than for a "long trip" along the same line.
 * __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Social Darwinism __****<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">: **<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">The basic idea of this theory was "survival of the fittest". This theory encouraged competition amongst the human race. Social Darwinist believed that the rich were rich and the poor were poor because of "natural selection". Most of the people who supported this idea believed in the "Every man for themselves" theory. The followers of this idea believe that those who are most suited for success are the ones that will achieve it.
 * __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Federal Land Grant: __**<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">The United States government gave money to the railroad companies for them to construct railroads in the West. More land was distributed during the Federal Land Grant than in the Homestead Act. About 80 railroad companies received more than 170 million acres of land.
 * __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Panic of 1893: __**<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">this depression caused 25% of all railroad companies to collapse. After this event, wealthy bankers consolidated the railroads. When this occurred, the amounts of debts were decreased and rates became stable. By the year 1900 33% of the nation's railroads were controlled by seven systems.
 * __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Free Enterprise System __**<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">: where the government maintained a laissez-faire attitude toward business and economics.

__<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Bibliography __<span style="color: blue; font-family: 'Times New Roman','serif'; font-size: 16px;">[][][][] <span style="color: blue; font-family: 'Times New Roman','serif'; font-size: 13px;">[] <span style="color: blue; font-family: 'Times New Roman','serif'; font-size: 16px;">[|http://www.brainyquote.com/quotes/authors/a/andrew_carnegie.html#uAGFuCygiIubWAML.99]

<span style="color: blue; font-family: 'times new roman','serif'; font-size: 21px;"> **__Civil Rights Movement__**

<span style="color: blue; font-family: 'Times New Roman','serif';">The Civil Rights refers broadly to the rights belonging to an individual by virtue of citizenship in a country or state. In the United States, civil rights encompass the fundamental freedoms and privileges guaranteed by the Thirteenth, Fourteenth, Fifteenth, and Nineteenth Amendments to the United States Constitution and by subsequent acts of Congress, including the Civil Rights Acts of 1964 and 1991. In modern times, the term is associated with the civil liberties and includes the right to vote, due process, and equal protection, including equal employment rights, equal education rights, and access to public accommodations. The African-American Civil Rights Movement (1955–1968) refers to the <span style="color: blue; font-family: 'Times New Roman','serif'; text-decoration: none;">social movements <span style="color: blue; font-family: 'Times New Roman','serif';"> in the <span style="color: blue; font-family: 'Times New Roman','serif'; text-decoration: none;">United States <span style="color: blue; font-family: 'Times New Roman','serif';"> aimed at outlawing <span style="color: blue; font-family: 'Times New Roman','serif'; text-decoration: none;">racial discrimination <span style="color: blue; font-family: 'Times New Roman','serif';">against <span style="color: blue; font-family: 'Times New Roman','serif'; text-decoration: none;">African Americans <span style="color: blue; font-family: 'Times New Roman','serif';"> and restoring <span style="color: blue; font-family: 'Times New Roman','serif'; text-decoration: none;">voting rights <span style="color: blue; font-family: 'Times New Roman','serif';"> to them.The emergence of the <span style="color: blue; font-family: 'Times New Roman','serif'; text-decoration: none;">Black Power Movement <span style="color: blue; font-family: 'Times New Roman','serif';">, which lasted roughly from 1966 to 1975, enlarged the aims of the Civil Rights Movement to include racial dignity, <span style="color: blue; font-family: 'Times New Roman','serif'; text-decoration: none;">economic <span style="color: blue; font-family: 'Times New Roman','serif';"> and <span style="color: blue; font-family: 'Times New Roman','serif'; text-decoration: none;">political self-sufficiency <span style="color: blue; font-family: 'Times New Roman','serif';">, and freedom from oppression by <span style="color: blue; font-family: 'Times New Roman','serif'; text-decoration: none;">white Americans <span style="color: blue; font-family: 'Times New Roman','serif';">. <span style="color: blue; font-family: 'Times New Roman','serif';">The movement was characterized by major campaigns of <span style="color: blue; font-family: 'Times New Roman','serif'; text-decoration: none;">civil resistance <span style="color: blue; font-family: 'Times New Roman','serif';">. Between 1955 and 1968, acts of <span style="color: blue; font-family: 'Times New Roman','serif'; text-decoration: none;">nonviolent <span style="color: blue; font-family: 'Times New Roman','serif';"> protest and civil disobedience produced crisis situations between activists and government authorities. Federal, state, and local governments, businesses, and communities often had to respond immediately to these situations that highlighted the inequities faced by African Americans.


 * __<span style="color: blue; font-family: 'Times New Roman','serif'; font-size: 21px;">Documents __**

__<span style="color: blue; font-family: 'Times New Roman','serif'; font-size: 16px;">Document 1 __

<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">This is an excerpt from an address by President Lyndon B. Johnson to a joint session of Congress shortlybefore submitting the Voting Rights Act of 1965. <span style="font-family: 'Times New Roman','serif'; font-size: 12px;">Source: President Lyndon B. Johnson, Special Message to the Congress: The American Promise, March 15, 1965 <span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Q: According to President Lyndon B. Johnson, why was the Voting Rights Act necessary in the United States?

__<span style="color: blue; font-family: 'Times New Roman','serif'; font-size: 16px;">Document 2 __

<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Q: According to Ralph David Abernathy, what was a goal of African Americans in Montgomery, Alabama?

__<span style="color: blue; font-family: 'Times New Roman','serif'; font-size: 16px;">Document 3 __

<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">Q- Based on the Cartoon, in what field did segregation finish?

__<span style="color: blue; font-family: 'Times New Roman','serif'; font-size: 16px;">Document 4 __

<span style="color: black; font-family: 'Times New Roman','serif'; font-size: 16px;">Q- <span style="font-family: 'Times New Roman','serif'; font-size: 16px;">According to this cartoon, the slaves had to face the wrath of who?


 * <span style="color: black; font-family: 'Times New Roman','serif'; font-size: 16px;">Prominent Figures in African American Civil Rights movement **


 * __<span style="color: blue; font-family: 'Times New Roman','serif'; font-size: 21px;">Major Events __**

<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">On May 17, 1954, the United States Supreme Court handed down its decision regarding the case called “Brown vs. Board of Education of Topeka Kansas” in which the plaintiffs charged that the education of black children in separate public schools from their white counterparts was unconstitutional. The opinion of the Court stated that the "segregation of white and colored children in public schools has a detrimental effect upon the colored children.
 * <span style="font-family: 'Times New Roman','serif'; font-size: 19px;">Brown v. Board of Education, 1954 **

<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">On December 1, 1955, Rosa Parks, also known as the “Mother of the Civil Rights Movement” refused to give up her seat on a public bus to make room for a white passenger. She was secretary of the Montgomery NAACP chapter and had recently returned from a meeting at the Highland Center in Tennessee where nonviolent civil disobedience as a strategy had been discussed. Parks was arrested, tried, and convicted for disorderly conduct and violating a local ordinance. After word of this incident reached the black community, 50 African-American leaders gathered and organized the Montgomery Bus Boycott to demand a more humane bus transportation system.
 * <span style="font-family: 'Times New Roman','serif'; font-size: 19px;">Rosa Parks and the Montgomery Bus Boycott, 1955–1956 **

<span style="font-family: 'times new roman','serif'; font-size: 16px;">A. Philip Randolph had planned a march on Washington D.C. in 1941 to support demands for elimination of employment discrimination in defense industries; he called off the march when the Roosevelt Administration met the demand by issuing Executive order 8802 barring racial discrimination and creating an agency to oversee compliance with the order.
 * <span style="font-family: 'Times New Roman','serif'; font-size: 19px;">March on Washington, 1963 **


 * __<span style="color: fuchsia; font-family: 'Times New Roman','serif'; font-size: 16px;">Freedmen ____<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">: __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;"> this was the name given to men and women who were freed from slavery after the passage of the 13th amendment. These people were taken away their rights by the Black Codes and segregation. This occurred after the reconstruction era in the United States.
 * __<span style="color: fuchsia; font-family: 'Times New Roman','serif'; font-size: 16px;">The Harlem Renaissance __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">: during this period a lot of prosperous things happened for the African American culture. They became very popular for their art and literature in the 1920’s. Many popular figures emerged during this era such as: Langston Hughes, Zora Neale Hurston and W.E.B Dubois.
 * __<span style="color: fuchsia; font-family: 'Times New Roman','serif'; font-size: 16px;">Civil Rights Act of 1964: __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;"> this act made it illegal to descriminate anyone in the workplace based on sex, religion, race or color. It also gave the government the power to enforce all laws related to civil rights. This included desegragation of schools and public facilities.
 * __<span style="color: fuchsia; font-family: 'Times New Roman','serif'; font-size: 16px;">Brown VS. Board of Education __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">: this was a court case regarding segregation in schools. Thurgood Marshall believed that separate facilities did not give Blacks the right that they had earned and deserved. He argued that the facilities were separate and unequal. This case overturned the Plessey VS. Ferguson case, which ruled that "separate but equal" was ok.
 * __<span style="color: fuchsia; font-family: 'Times New Roman','serif'; font-size: 16px;">Martin Luther King Jr ____<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">. __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">: Mr. King was a leader in the African American civil rights movement. He used civil disobedience, which he adapted from Mohandas Ghandi. He was the leader of the 1955 Montgomery Bus Boycott. His efforts led to the march on Washington in the year 1936. There he delivered his "I Have a Dream" speech. He worked to end racial segregation and racial discrimination.
 * __<span style="color: fuchsia; font-family: 'Times New Roman','serif'; font-size: 16px;">Montgomery Bus Boycott __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">: the Montgomery Bus Boycott began on December 1, 1955. The Blacks of Montgomery decided that they would not ride the bus until they were allowed to sit anywhere they wanted. This was not exactly the beginning of the movement, but it was definitely the most visible. This boycott was not expected to last so long, but it went from a one-day boycott to a week boycott. This cost the bus companies a lot of money and ended the discrimination on the buses.
 * __<span style="color: fuchsia; font-family: 'Times New Roman','serif'; font-size: 16px;">Little Rock Nine __<span style="font-family: 'Times New Roman','serif'; font-size: 16px;">: this was the name given to a group of African- American students that went to Little Rock Central High School. They were denied the entrance by governor Orval Faubus.Later, they attended the school after the intervention of President Eisenhower. These students were followed and received threats on their first day of school.The Supreme Court issued The Brown VS. Board of Education case which ruled that segregated schools were unconstitutional and called for desegregation.