1. Politics and Reform Problems In Washington

2. What is the spoils system (patronage)?  Putting people in office that are friends or political supporters  These people are not necessarily the most qualified for the job

3. The Campaign to clean up politics  The Pendleton Act steers away from the spoils system by giving the President the power to fill federal jobs based on examination scores on tests taken by the candidates.  We still have civil service tests for some federal positions

4. Republicans  Held the upper hand in gov. (North and Midwest)  Supported temperance - not drinking alcohol  Civil War vets, big businesses and farmers on the Great Plains supported this group

5. Democrats  Supports were in the South  Many big cities supported this group

6. Democrats Reclaim the White House

7. Grover Cleveland  First Democrat in the White House since before the Civil War  PROBLEMS THAT HE FACED  Strikes and riots  Powerful corporations  Cost of railroads for consumers

8. Trying to Control Corruption  Passed the Interstate Commerce Commission  First law to regulate interstate commerce

9. Interstate Commerce  INTERSTATE: between states  COMMERCE: trade  Reasonable and fair for everyone  Did not allow rebates  Couldn’t charge high rates for short distances on railroads  NOT EFFECTIVE: because the courts had to enforce it and didn’t

10. Other Legislation is Passed  Proposed by William McKinley  Cut tobacco taxes  Cut taxes on raw sugar  Increased taxes on clothing  NOT EFFECTIVE: lowered federal revenue (profits) and placed the federal governments budget in deficit (debt) McKinley Tariff

11. Sherman Anti-Trust Act  Made it illegal to form trusts  Trust: combining large companies to control a market  NOT EFFECTIVE: courts had to enforce the act, but they did NOT see big business as doing anything wrong

12. Another election approaches  Problems:  Americans believed that the two-party system was incapable of solving the U.S. problems  Farmers felt exploited by banks and railroads and ignored by the government

13. Solution: Farmers respond by creating a new political party….the Populists