1. Robber Barons vs. Captains of Industry
-Pros and Cons of Industrialists
-Treatment of workers
-Antitrust Movement

2. Captains of Industry I helped make life easier for you
If you work hard you can be rich too!
I helped make life easier for you
We made this country an empire
I created jobs
We make all those nice things you like!
I provide affordable products

3. Robber Barons We started corporations
You work for pennies while I make millions
The people you vote for work for me
I gamble with the taxpayers money
Corporations are people and have rights---right?
I get government bailouts…

4. Opposing View Points Captains of Industry Robber Barons Created Jobs
Increased production
Provided cheap products
Gave money back to the community
Helped build the nation
Robber Barons
Exploited workers
Corrupted the government
Greedy
Offered bribes for political favors
Above the law

5. Corporations are people????
A corporation:
Is owned by many people (stockholders)
But treated as a single entity
It can
Own property
Pay taxes
Sue or be sued
Make contracts

6. Corporations Stocks Stockholder
Shares of a corporations
Share risk and reward
Stockholder
People who own a corporations via stocks
Buying/Selling STOCKS allows corporations to expand/increase
Production
Employees
Factory
Research & Development

7. Corporations More money brings Economies of Scale New technologies
More workers
New machines
Bigger factories
Economies of Scale
Corporation can make more goods at a lower cost….passing the saving on to you 

8. Costs Operating Fixed Money used to make your business GO!!!
Water
Electricity
Employees
Shipping
Wages
Materials
Money that you have to pay regardless if your business goes or not…
Loans
Mortgages
Taxes
Rent

9. POOLS
An affiliation of two or more people/companies formed for the purpose of attempting to manipulate a products price and/or volume.
= gas station $ $ $ $ $

10. Vertical Integration
Corporation owns all of the companies which it depends on to improve profits. Cut out the profit margins of “middle man” companies.
Ex. McDonalds

11. Horizontal Integration
Combining or merging LIKE companies into one LARGE company.
Ex…Blockbuster Video

12. Monopoly
Exclusive control of a product or service in a particular market that makes it possible to manipulate prices.

13. TRUSTS
BIG OIL
Trustee 1
Joe’s Oil
Trustee 2
Bill’s Oil
Trustee 3
Juan’s Oil
$$$
$$$
an organization of businesses designed to operate like a monopoly to circumvent anti-monopoly laws

14. Holding Companies
Corporation that doesn’t really do anything except own a significant amount of stock in real companies.
Board of Directors
CEOs

15. Cutting Costs Skilled Workers replaced by Unskilled machine operators.
$10 a day
Skilled Workers replaced by Unskilled machine operators.
Production cost lower
Deflation = profits
Value of $ rises
Prices drop
Workers wage has more buying power
Terrible working conditions
Unsafe
Unsanitary
Long hours
Low wages
$3 a day

16. Workers Unite TRADE UNIONS- Limited to Skilled Laborers
Iron workers
Shoemakers
Industrial Unions- Common Laborers and craft Workers
Carpenters
Painters
artisans

17. Knights of Labor – formed
Workers Organize
Goal #1:
Shorter work day
Goal #4:
Worker owned
factories
boycotts
Knights of Labor – formed
in 1869 as the first labor
union in the nation.
Strikes
Goal #2:
End child labor
Goal #3:
Equal pay for men
and women
arbitration

18. Blacklisted
Anyone that tried to start a union considered a troublemaker.
Could not get a job anywhere
Had to
Move
Change Name
Change Identity

19. LOCKOUT COMPANY ANSWER TO STRIKE NO PAY NO WORK
HIRE REPLACEMENT WORKERS
“STRIKE BREAKERS”
SCABS

20. STRIKES Workers walk off the job & protest working conditions
Early Strikes resulted in Violent Riots
Government normally sided with Business because they shared similar interest in companies making a profit
Pullman Strikes
Great Rail Road Strike
Haymarket Riots

21. American Federation of Labor (AFL)
umbrella organization made up of many different trade unions.
Led by Samuel Gompers
Unions stay out of Politics
Closed Shops- Companies only hire Union Workers

22. Unions of the AFL - CIO United Farm Workers of America
Screen Actors Guild
United Steel Workers of America
American Postal Workers Union
International Association of Firefighters
American Federation of Teachers

23. Justifications for Industrialists’ Extreme Wealth
Gospel of Wealth
Andrew Carnegie
God gave wealth to the most capable people
It is the duty of the wealthy to give money to help the poor
Carnegie gave millions of dollars away to establish libraries, colleges, and museums
Social Darwinism
Herbert Spencer
Based on Charles Darwin’s theory of evolution
Those who are rich are more fit, than those who are poor
Attempted to use science to explain social classes

24. Captains of Industry Andrew Carnegie- US Steel
J. P. Morgan- Banking, and Insurance Companies
John Rockefeller – Standard Oil
Cornelius Vanderbilt- Rail Roads