1. The Gilded Age Winners Big Business / Corporations
Entrepreneurs (oil, mining, ranching, railroads, shipping)
US Government and Economy (increase in standard of living)
State governments (federal money for public universities)
Losers
Native Americans (closing of the frontier)
African-Americans (disenfranchisement)
Factory workers (long hours, low wages, unsanitary and unsafe)
Farmers (low prices for produce, high costs to get produce to market, high debt; declined from 60% of population to under 37%)

2. Farmers’ Problems
Improvements in farming technology  higher yields  lower prices for farm produce
1873 – US went on Gold Standard  deflation lower prices for farm produce
Prices not high enough to cover costs of production due to increasing costs of farm machinery and freight costs.
Railroads had monopoly control of shipping costs and were not regulated
Dependent on borrowing to cover the costs of production and interest rates were controlled by banks

3. Decreasing Wheat Prices
YEAR
Bushels Grown (millions)
Price per bushel (dollars)
1866
170
$2.06
1875
254
$1.04
1880
502
$.92
1885
400
$.77
1890
449
$.84
1895
542
$.51
1900
599
$.62

4. Price Indexes for Consumer & Farm Products: 1865-1913

5. THE GRANGE MOVEMENT
Founded in 1867, by Oliver H. Kelley.
It was primarily a social and educational organization for farmers and their families.
By the mid-1870s, the Movement claimed over 700,000 members and there were Granges in every state.
Its members called on state governments to establish fair freight rates and warehouse charges.
In several states, the Grange succeeded in having commissions established to investigate – and in some cases, regulate – railroad practices.

6. THE GRANGE MOVEMENT Succeeded in the passage of Granger Laws:
Laws regulating storage and freight rates.
Some laws made it illegal for railroads to fix prices by rebates to privileged customers.

7. THE FARMERS’ ALLIANCE Largest citizens’ movement in the 19th century
Founded in Texas in the late 1870s, the Alliance spread to 43 states by 1890.
More political and less social than the Grange.
Ran candidates for office.
Controlled 8 state legislatures and had 47 representatives in Congress during the 1890s.

8. The Populist (Peoples’) Party
Founded by James B. Weaver and Tom Watson.
First convention to nominate a candidate for president held in Omaha, Nebraska, in July, 1892.
Nominated candidate Weaver got almost 1 million popular votes.
The Populist Party won several seats in Congress.
James B. Weaver, Presidential Candidate

9. Omaha (Populist Party) Platform of 1892
Economic
Abolition of the National Bank
Government ownership of railroads and telephone & telegraph companies
Allow dollar to be backed by silver (to increase the money supply)
Federal loan program for farmers
Political and Social
Direct election of Senators
Secret ballots in elections
Restriction of immigration
8-hour work day for factory workers
Abolition of the Pinkerton detective agency
Single term for President & Vice President

10. Government-Owned Companies

11. Platform of Lunacy

12. 1892 Presidential Election: Populist Candidate won over a million votes!

13. 1893 Panic Begun 10 days after Cleveland took office.
Several major corps. went bankrupt.
Over 16,000 businesses disappeared.
Triggered a stock market crash.
Over-extended investments.
Bank failures followed causing a contraction of credit [nearly 500 banks closed].
By 1895, unemployment reached 3 million.
Americans cried out for relief, but the Government continued its laissez faire policies!!

14. Here Lies Prosperity

15. COXEY’S ARMY March led by Jacob Coxey a Populist from Ohio
March to Washington, DC in 1894
Thousands of unemployed marched.

16. COXEY’S ARMY
The “army” demanded that the federal govt., spend $500 million on public works programs to create jobs.
Coxey and other protest leaders were arrested for trespassing, and the dejected “army” then left for home.

17. 1896 Election
Populists decide to improve their chances by supporting a Democratic candidate: William Jennings Bryan, who agreed to support the silver-backed dollar.

18. 1896 Presidential Election: Bryan loses but carries most of the South and West

19. THE ELECTION OF 1896 AND THE END OF POPULISM
The results revealed a nation as divided along regional lines as in 1860.
Bryan carried the South and West and received 6.5 million votes.
McKinley swept the more populous industrial states of the Northeast and Midwest.
He received 7.1 votes.
His electoral margin was 271 to 176.

20. Why Did Populism Decline?
The economy experienced rapid change.
The era of small producers and farmers was fading away.
Race divided the Populist Party, especially in the South.
The Populists were not able to break existing party loyalties.
Most of their agenda was co-opted by the Democratic Party.