1. 11-2 Populism

2. What is Populism?
Movement to increase farmers’ political power and work for legislation in their interest

3. Why did farmers support Populism?
New technology = more crops = lower prices
High tariffs increased costs of manufactured goods (stuff they wanted to buy) and made it hard to sell their crops overseas
Banks charged high interest on loans
Railroads charged high shipping rates

4. What concerns did farmers have about the money supply?
Inflation and deflation due to printing - and then no longer printing – Greenbacks (paper currency in Civil War)

5. What is the difference between inflation and deflation?
Inflation – decline in the value of money (prices )
Deflation – increase in value of money (prices )

6. Which was worse for farmers and why?
Deflation
Most farmers had to borrow money for seed and other supplies to plant their crops
Shortage of money meant interest rates went up, cost more to pay back loans
Mortgage interest rates up too
Deflation means lower prices, crops sell for less, still have to make payments with less money

7. What is the Grange and why did it start?
Grange – nation’s first national farm agency (official name = the Patrons of Husbandry)
Began for social and educational purposes

8. What were its goals? Grangers wanted:
Regulation of railroad and warehouse rates
Government to print more Greenbacks (to increase the money supply)
To form Cooperatives to raise prices of crops (reduce competition)

9. Why did it fail? People suspicious of paper money
Cooperatives were too small to affect prices
Considered unions – many refused to trade with them

10. What were the goals of the Farmer’s Alliance?
Form exchanges (large cooperatives) to drive up farm prices and give loans to farmers at low interest rates

11. What political party was formed from it?
Populists (aka People's Party)
Political reforms for farmers
Want:
silver and gold
end of tariffs
direct election of Senators

12. What was the Subtreasury Plan?
Called for the government to set up warehouses called subtreasuries
Farmers would store crops to drive up prices
Government would provide low interest loans to farmers
(Goal was for Democrats to adopt this plan and win farmer’s votes.)

13. Who did the Populists run for President in 1892
Who did the Populists run for President in 1892? What platform planks (goals) did the party have? Results of election?
James B. Weaver
Goals
Unlimited coinage of silver
Federal ownership of railroads
Graduated income tax
Won 4 states

14. What was the Panic of 1893? What were goldbugs and silverites?
Worst economic crisis in US history (to this point)
Started with railroad bankruptcies, Wall Street crashed, banks closed
Democratic party split
Goldbugs wanted US currency to be based on gold only
Silverites wanted unlimited coinage of silver

15. Election of 1896 Silver a big issue Rep. – William McKinley
Gold only
Front porch campaign
Dem. – William Jennings Bryan
Supported silver
Populists supported him so the silver vote wasn’t split
Campaigned for self
Seen as undignified
McKinley
Wins!

16. Wizard of OZ
Lyman Frank Baum – 1900
Satire on the times

17. OZ = the almighty ounce of gold Yellow Brick Road = a path paved with gold bricks that led nowhere

18. Wizard = the President
Emerald City = Washington D.C.

19. Wicked Witch of the East = industry
Wicked Witch of the West = drought

20. Munchkins = slaves of banking and industrial interests

21. Dorothy = common man (very naïve)

22. Scarecrow = western farmer
Cowardly Lion = William Jennings Bryan
Tin man = industrial workers

23. Glinda the Good Witch = populist supporters

24. The Ruby Slippers (actually silver in the book) = Dorothy brings the silver issue to Washington D.C.