Presentation on theme: "Robber Barons or Captains of Industry?"— Presentation transcript:
1Robber Barons or Captains of Industry? Discuss corporate mergers that produced trusts and cartels and the economic and political policies of industrial leaders.
2HomeworkRead and take Cornell Notes on section 14.2 to prepare for an activity on Tuesday.Challenge Option – Come up with 8 cause and effect statements from the reading.Example:The South had fewer people they lost the Civil War
33 New Vocabulary words…Mass Production – Used by Henry Ford to make cars more affordable.Monopoly: Oil and steel industries were both controlled by monopolies at the beginning of industrialization.Trust: a set of companies managed by a small group known as trustees, who can prevent companies in the trust from competing with each other. If all search engines were controlled by the same people.Corporation: Google, Netflix, Apple. Any company that sells stocks.
4HOT ROC: Do billionaires have a responsibility to help the poor? Do millionaires?*HW CheckOrganizational Categories for your project.Project Reminder:Essay outline with a thesis statement for the project is due on Friday
6Big Business and the Government Horizontal and Vertical IntegrationTextbook, page 171
7Andrew Carnegie $75 Billion Don’t take notes on this sectionAndrew Carnegie came from Scotland with his parents in 1848.In 1861, at the age of 26, he started up the Freedom Iron Company, and used the new Bessemer process for making steelHe formed all of his companies into the Carnegie Steel Company in 1899, which controlled raw materials, manufacturing, storage, and distribution for steel.Vertical Integration
8John D. Rockefeller $192 Billion Don’t take notes on this sectionBorn in 1839His working life started as a bookkeeperHe established one of the first oil refineries1870—With partners, forms a business trust: Standard OilAt its peak, controls 90% of all oil companiesHorizontal Integration
9The Gilded Age…1870s-1900 Where was the most money made? Was this positive or negative for America?18701900Steel Production77,000 tons11 million tonsOil production5 million barrels63 million barrelsRailroad track53,000 miles200,000 miles
10What would Rockefeller say… Monopolies are good because we can produce goods at a lower cost to consumers!Now everyone can have cheap oil and gas.We use our wealth to benefit others through our charitable donations (philanthropy)
11Big Business and the Government: POV Leave Business AloneLimit BusinessLaissez-faireSocial DarwinismSherman Anti-Trust Act1911--Splits Rockefeller’s Standard Oil into 34 companies(A U.S. Court of Appeals found in 2001 that Microsoft violated the Sherman Act antitrust law.)
12What would the Populists (poor farmers) say? Monopolies are bad because they control the whole industry and there is no competition over prices.We have to pay high prices to ship our wheat on the trains!And these companies pay low wages to their workers!
13Draw a Below the Surface graphic from each point of view… 1. According to Rockefeller—monopolies are like…2. According to the Populists—monopolies are like…