1. Sections 2 and 3 Cornell Notes
Chapter 19
Sections 2 and 3 Cornell Notes

2. Section 2: Transportation and Industry
Texas Demand Railroad System
Before 1900 most families traveled by wagons and buggies
Poor transportation system slowed the development of Texas and it made it harder to farmers and merchants to market their items
Railroads could solve the problem with the promise to move goods faster
What did the railroads do to the Cattle Drives?
Eliminated the need for long cattle drives, the whole point was to get the cattle to trains to send them north, now the railroads were in Texas!

3. Section 2: Transportation and Industry
A Network of Steel Connects Texas
Before the Civil War there were very little railroads in Texas, and very little progress made during reconstruction
Railroad companies made rapid growth after 1870
Land Grant Law of 1876 authorized 16 section of land to be granted to a railroad company for every mile of track it laid to encourage railroad companies to build

4. Section 2: Transportation and Industry
A Network of Steel Connects Texas
Many railroad companies resold this land to farmers and ranchers
Railroad companies built rails from the gulf northward across the state
Settlers in west Texas often built towns near railroad lines
Houston, Dallas, and Fort Worth developed rapidly because they were railroad centers

5. Section 2: Transportation and Industry
Trans-portation Improves
No road system supported by state taxes existed in the late 1800s, each county built and maintained their own roads
Roads in bad shape: rain turned it into mud holes, dust and dirt made travel unpleasant
Brick was probably the most common paving material.

6. Section 2: Transportation and Industry
Trans-portation Improves
Streetcars appeared in the 1870s, first pulled by mules and later electric
1890s: automobiles began to show up
Growing demand of automobiles led to a demand for better roads.

7. Section 2: Transportation and Industry
Telephone in Texas
Rapid communication made an important contribution to the growth of industry
Alexander Graham Bell invented the telephone
Every telephone call had to be connected by employees called operators

8. Section 2: Transportation and Industry
Industry Begins and Grows
1870s – Industry in Texas was very small, less than 1% of population worked in factory
Gristmills that ground corn and wheat made up the largest industry in Texas
Other Texas products: lumber, wagons, buggies, boots, harnesses, textiles, bricks, furniture, glue, and soap
After the Civil War – Meat packing industry grew

9. Section 2: Transportation and Industry
Lumbering and Minerals
By 1900 lumbering was the most important and valuable industry in the state
Harvested from piney woods in East Texas
Most lumber used in construction
After railroads were built, mining became important part of Texas industrial economy

10. Section 2: Transportation and Industry
Lumbering and Minerals
Counties
Industry
Palo Pinto
Coal Mining
Rusk
Iron ore
Brown
Oil

11. Section 3: Demands for reform
Monopolies use Unfair Tactics
By the approaching 20th century, many large companies emerged in Texas that were helpful to the growth of the states because they provided valuable services and products
Sometimes several companies formed trusts – a combination of companies that form an agreement to reduce competition
Trusts were able to hold a monopoly – exclusive control – of a business, and reduce free trade

12. Section 3: Demands for reform
Farmers Become Trapped in Debt
Farmers and merchants felt the railroad companies charged them more than larger businesses outside the state
Farmers also worried about crops prices, cotton prices decreased between 1875 and 1900 because of increased supply that exceeded demand
This oversupply resulted in lower prices and less profit

13. Section 3: Demands for reform
Texas Called for Reform
Free enterprise system: allowed businesses to operate without government interference
Organizations for Reform
Accomplishments
Grange
Provided supplies at cheaper prices to members, pressured the legislature to deal with unfair shipping rates
Farmers’ Alliance
Negotiated sales directly with cotton mills, founded Populist party – aka Peoples Party
Interstate Commerce Commission
Set rules for interstate railroads (railroads that connect 2 or more states)
Texas People’s Party
Or the Populist Party, were struggling, poor farmers, Populist influence led other politicians to support the passage of laws that protected farmers and workers.

14. Section 3: Demands for reform
New Law Prohibits Trust
Antitrust Law: prohibited companies from joining together to fix prices of limit production

15. Section 3: Demands for reform
Governor Hogg Regulates the Railroad
The regulation of railroads was another important reform of the period
Interstate Commerce Commission (ICC) set rules for interstate railroads that connected 2 or more states
Texas Railroad Commission: set rates and stopped many unfair railroad practices
James Hogg remembered for helping put railroads under government control
Within a few years, many railroads’ unfair practices were stopped