1. Farmers’ Debt causes of debt attempted solutions fall in wheat prices
drought
expensive machinery
railroad shipping cost
Farmers’ Debt
“bonanza farms” huge, single crop, investors
political organizing - Populism
mortgaging land to buy more land
attempted solutions

2. Situation: lots of money that no-one trusts = INFLATION
Solution: take greenbacks out of circulation = less money = PRICES DOWN

3. Deflation hits farmers hard Farmers want MORE money in circulation
$2.00
Farmers want MORE money in circulation
68¢

4. Railroad shipping rates
Farmer’s Problems:
Deflation (falling prices)
Railroad shipping rates
NEXT…
the railroads gouge the farmers, especially for short hauls

5. Debt Farmer’s Problems: Deflation (falling prices)
Railroad shipping rates
Debt
NEXT…
Farmers had borrowed, bought on credit, and mortgaged property for land, seed, & equipment

6. The result? Farmer’s Problems: Deflation (falling prices)
Railroad shipping rates
Debt
The result?
Farmer’s organize

7. Grange - 1867 led to Farmers’ Alliances Oliver Hudson Kelley
Originally social and educational
Organize to fight the railroad, set up cooperatives, sponsor new laws “Granger Laws”
led to
Farmers’ Alliances
Oliver Hudson Kelley

8. Farmers’ Alliances Political organization
Sent lecturers from town to town
topics: banks, government, the railroad
4,000,000 members & 250,000 in “Colored Farmers‘National Alliance
1887 Interstate Commerce Act – Congress can regulate railroads and prevent unfair rates (ICC)

9. The Populist Party 1892 Goals: Lift debt burden Give people a voice
“We seek to restore the government of the Republic to the hands of the ‘plain people’…We assert our purposes to be identical with the purposes of the National Constitution.” –People’s Party platform
Goals:
Lift debt burden
Give people a voice

10. Populist Party Platform
Increase in money supply
Graduated income tax
Federal loan program
Popular election of Senators
Single terms for President and V.P.
Secret ballots
Eight hour work day
End to immigration

11. Populist results in their 1st election
10% of popular vote 5 senators
3 governors 1,500 state legislators

12. President Grover Cleveland did nothing
Panic of 1893
Causes:
Industry over-expansion, especially railroads
Shrinking federal gold reserve
President Grover Cleveland did nothing

13. Mary Elizabeth Lease “Raise less corn and more hell!”
“It is no longer a government of the people, by the people and for the people, but a government of Wall Street, by Wall Street and for Wall Street….”
Mary
Elizabeth
Lease
“Raise less corn
and more hell!”

14. BANKRUPT COLLAPSED LOST Depression of 1893 Results:
Six major railroads
BANKRUPT
500 banks
COLLAPSED
3,000,000 jobs
LOST

15. Major Political Debate: How to Fix the Economy
Gold Standard versus Bimetallism
$ backed only by gold
Republicans, North-east, bankers & businessmen
Deflation, less money, worth more, lower prices
$ backed by silver & gold
Democratic, South and West, farmers and laborers
Inflation, more money, less debt, higher prices

16. Presidential Election 1896
Republicans back the gold standard Candidate: William McKinley
Democrats back bimetallism Candidate: William Jennings Bryan
Populists back bimetallism Support William Jennings Bryan

17. Bryan’s “Cross of Gold” Speech
You shall not press down upon the brow of labor this crown of thorns; you shall not crucify mankind upon a cross of gold!

18. McKinley
A puppet of
The Wealthy?

19. 1896 Election Results

20. Why Did Bryan Lose? Inflation scared urban voters.
McKinley’s campaign was well- organized and highly funded by big business $$$$$$$.

21. Gold Triumphs 1900  Gold Standard Act
A victory for the forces of conservatism.