1. 8.24.15 Honors US History Mrs. Stoffl

2. Edwin L. Drake – first to pull oil out of the ground in PA (1859) This created an oil boom that made Cleveland the world’s wealthiest and greatest city in the world. Mark Twain called Millionaire’s Row the greatest street in the world.

3. OH, KY, PA, IL, and IN all served as major oil producing states. In Cleveland and Pittsburg oil refineries were built to transform oil to kerosene The byproduct of kerosene is gasoline…was originally thrown away until the automobile became more popular.

5. Standard Oil (1870) – 2-3% of the market Standard Oil (1880) – 90% of the market How? Trusts among competing companies – all stock run by a board of trustees. Paid low wages, sold oil for less that it cost to produce = predatory pricing Drove the rest of the competitors out then rose the prices https://www.youtube.com/watch?v=_LC9Dh4kR_g http://www.history.com/topics/john-d-rockefeller/videos/the-men-who-built- america-monopoly http://www.history.com/topics/john-d-rockefeller/videos/the-men-who-built- america-monopoly James Cole

7. Bessemer Process: Injecting air into molten iron to remove impurities to make a softer metal  steel. Andrew Carnegie: One of the 1 st industrial moguls Invested in the RR Then in steel, where he made his fortune

8. Made a fortune off of investing in the steel industry Business practices made him a success Always looking to make more for cheaper Attracted talent by offering stock in the company Control of the market Vertical integration: buying out suppliers Horizontal integration: buying out competitors

9. Forming arguments: Swindle the poor vs. providing jobs for a needy labor force?

10. Survival of the fittest in the business world Others win while others lose, this is the natural way. Riches = God’s approval while poverty signifies inferiority.

11. 1887 – Interstate Commerce Commission Oversee railroad operations Records sent to Congress, time consuming Sherman Anti-Trust Act: Outlawed any trust that operated in “restraint of trade or commerce among the several states.”