1. THE RISE OF AMERICAN BUSINESS, INDUSTRY, & LABOR: 1865—1920.
The US develops a prosperous new economy based on the mass production of goods.

3. Key Terms
Transcontinental Railroad: effort to link the railroads across the US to increase trade and ease of movement.
Sharecropper: Former slaves who worked the plantation land & turned over crop and profit.
Monopoly: When one business has complete control of a field of business.
Trust: Group of corporations agreeing to act under one board of directors. Illegal.
Andrew Carnegie: Steel Industry, Pittsburgh.
John D. Rockefeller: Standard Oil
JP Morgan: Banking, loans. US Steel.
Henry Ford: moving assembly line production of automobiles.

4. Key Terms
Laissez Faire: “Hands Off”. Supported by Adam Smith. Government stays away from involvement with business.
Robber Baron: gain wealth by ruthless means
Munn v. Illinois:
Wabash, St. Louis & Pacific v. Illinois:
Sherman Anti-Trust Act: 1890, prohibits monopolies
US v E.C. Knight Company:
Unions: Workers acting together to gain advances in hours, wages, benefits.
Knights of Labor: Terrence Powderly, unskilled workers.

5. Key Terms
AFL: American Federation of Labor, unions of skilled workers.
International Ladies’ Garment Workers union: Response to the Triangle Shirtwaist Tragedy, fight for working conditions in garment industry.
Haymarket Riot: 1886 bombing blamed on Knights of Labor, killed 7 police officers in Chicago.
Homestead Strike: Carnegie Steel Workers protest wage cuts, violence leads to 16 deaths.

6. Key Supreme Court Cases
Munn v. Illinois (1877): grain elevator rates. State can regulate property that affects “public interest”.
Wabash, St. Louis & Pacific Railway v. Illinois (1886): States cannot regulate interstate railroads.
United States v. E.C. Knight Company (1895): Gov. has the right to restrict monopolies.
In re Debs (1895): People, property, mail. Congress can stop Monopolies.

7. Economic Developments in the North
Industrialization booms after Civil War.
Improvements in Railroads, steel, mines.
Transcontinental Railroad completed 1869.

8. Transcontinental Railroad--1869

10. Economic Developments in the South
War ruins Southern economy.
Ends slavery, kills plantation system.
New South: Railroads, textiles, mills.
Sharecropping.
Mass migration of blacks to the North.

11. Business Developments
Rise of CORPORATIONS due to increased capital, stocks, dividends, investment.
Involved risk, but possibility of tremendous gains. CAPITALISM
RAILROAD, STEEL, COAL, OIL, ELECTRICITY

12. Coal, Oil, Steel

13. Captains of Industry, or Robber Barons?
Entrepreneurs
Andrew Carnegie: Steel Industry, Pittsburgh. Carnegie Steel John D. Rockefeller: Oil Refining Business. Standard Oil (1882) owns 90% American refining $815,647, at death…40 million / year salary. JP Morgan: Financier & US Steel (1901) World’s largest Steel Company. Henry Ford: Assembly Line, mass production
Captains of Industry, or Robber Barons?

14. Andrew Carnegie
J.P. Morgan
JD Rockefeller
Cornelius Vanderbilt

15. Business Organization
Monopoly: Complete control over a particular field of business. (EC Knight Sugar Company)
Vertical
Control all of the aspects of producing a product.
-Meat industry controls cattle, slaughterhouses, packing plants, delivery wagons.
-Purchase companies at all levels of production…

16. Carnegie Steel: Vertical Integration

17. Horizontal Integration (monopoly)
Oil Company # Oil Company # Oil Company #3 =
GIANT OIL COMPANY WHICH CONTROLS
THE MARKET.
-Prices, Jobs, supply
Pools, Trusts, Holding Companies. All ways of keeping owners in control and fixing prices/competition.

18. Horizontal Inegration: Standard Oil

19. Attitudes towards Business
Laissez-Faire: “Hands off” Government has no right to interfere in Business.
FREE ENTERPRISE SYSTEM. (Adam Smith, invisible hand theory)
SOCIAL DARWINISM
Fair? Unfair?

23. Sherman Anti-Trust Act--1890
Prohibits Monopolies.
Breaks up Standard Oil
Breaks up any combination which “is in restraint of trade or commerce”
Trusts and “holding companies” become the loophole. (EC Knight)

24. LABOR ORGANIZATIONS
Due to power of Factory Owners, Unions are formed to protect workers.
Knights of Labor: Terrence Powderly. (Unskilled Workers, NATIONAL UNION) Haymarket Riot causes reputation to fall.

25. American Federation of Labor (AFL)
1886: Samuel Gompers, skilled workers. By 1900, most powerful Union in the USA. NATIONAL UNION.
1900: ILGWU to protect
sweatshop workers

26. Labor Conflict Strikes, violence. Haymarket Riot 1886.
Homestead Strike 1892: Carnegie Steel, 16 people killed.
Pullman Strike 1894: President Cleveland sends in Federal Troops to end strike. (In re Debs)

27. Pullman Strike

28. Triangle Shirtwaist Fire
150 women die in 1911 fire.
Leads to safety reforms in the private industry.
Triangle Fire

30. Key Terms, Urbanization
Tenements: multifamily housing, poorly maintained.
Political Machines: gain support of immigrants, leads to political corrpution in cities.
Urbanization: Development of modern cities. Many positives and negatives.
Immigration: People entering your country from another.
Old Immigration: colonies (N/W Europe, Ireland, Germany)
New Immigration: S/E Europe. Italy, Poland, Russia
Nativism: native born Americans were superior to immigrants.

31. Key Terms, Urbanization
Melting Pot Theory: People from various cultures meet in US to form a New Culture. Old cultures are surrendered to form a “new” culture.
Assimilation: Immigrants give up native language, traditions. “Americanize”
Cultural Pluralism: (Salad Bowl) Groups do not lose their distinctive cultures.

32. Immigration
OLD:(until 1875) Northern and Western Europe (Britain, Ireland, Germany)
NEW:( ) South/East Europe (Poland, Italy, Russia)

33. Old Immigration
North/West Europe

34. New Immigration
South, East Europe

35. Exclusion of Immigrants
“Know Nothing” Party: exclude immigrants, silent, anonymous. “American Party”
Chinese Exclusion Act: 1882
“Gentleman’s Agreement”: Ends Japanese immigration in 1907.
National Origins Act 1924: favors N/W immigrants.

36. Immigration, Pictures

38. Ellis Island

39. Buffalo, the First Ward Grain Elevators

40. Political Machines and Life in the City
Cities become segregated into Ethnic Groups
Ward Bosses, political parties dominate life
Political Machines: “Tamany Hall” (NYC) best example.

41. Gangs of New York

42. Gangs of NY
GW Plunkitt

43. Thomas Nast—Attacks Tamany Hall, Boss Tweed