Rise of Big Business in America – What you really need to know…
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Transcript of Rise of Big Business in America – What you really need to know…
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Rise of Big Business in America –What you really need to know…
• When / how did big multi state businesses emerge?• What key social and economic concepts shaped the rise
of big business?• Who were the robber barons – what makes them so
significant?• What were some of the results and criticisms of the new
industrial America, and what forms did these criticisms take?
• Who were the muckrakers and what impact did they have?
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• “it is your duty to get rich, it is wrong to be poor” Russel Conwell
• "The problem of our age is the proper administration of wealth, so that the ties of brotherhood may still bind together the rich and poor in harmonious relationship.“ Andrew Carnegie
• "I believe the power to make money is a gift of God. . . . I believe it is my duty to make money and still more money and to use the money I make for the good of my fellow man according to the dictates of my conscience." J. D. Rockefeller
• “I aimed at America’s heart, but I think I hit them in the stomach”– Upton Sinclair 1906
• THE principal object of management should be to secure the maximum prosperity for the employer, coupled with the maximum prosperity for each employee. Frederick Taylor 1911
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Rise of Industrialism Stats
• 1869 – 1913 GNP Rose 56 Percent
• 1865 US 4th Behind GB, FR, Ger
• 1900 US 1st
• 1900 US largest Petroleum Producer
• 150,000 miles of RR 1865- 1895
• 1910 US = 33% of all manufactures in World
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What made the expansion of businesses possible?
• Industrial revolution in general• Expansion of transportation network• Civil War realization of necessities • Scientific Processes / Scientific Management • By 1900 US free from major domestic security concerns • Gov protections (tariffs, land, tax breaks)• Immigration • Foreign Investment• Increase of Stock Companies • Close of Frontier / Turner’s Thesis
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Who were the Robber Barons?• Rockefeller• Carnegie• Morgan• Vanderbilt • Stanford • Hearst • Pulitzer
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Key Inventions / Inventors that play into the rise of big business
• Bessemer Process• Thomas Edison
– Lights– Movies– Phonograph
• Bell and the Phone• Brooklyn Bridge • Railroads are both a
cause and a result
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Concepts – that helped make businesses grow so fast
• Social Darwinism
• Laissez Faire• Gospel of
Wealth• Vertical
Integration • Scientific
Management (Taylor)
• Sherman Act
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Results / Reactions
• Increased urbanization• Plight of urban poor• Rich v. poor gap
– $100 bill cigar lighters
• Rise of “middle management”• Union Busting (Homestead Strike)
– Increased fear of communism / anarchists
• Gospel of Wealth – Morality of Philanthropy
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The chart shows the share of the richest 10 percent of the American population in total income – an indicator that closely tracks many other measures of economic inequality – over the past 90 years, as estimated by the economists Thomas Piketty and Emmanuel Saez.
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Anti Trust - Reform
• Sherman Act• Roosevelt• Progressives • Muckrakers
– Tarbell– Sinclair– McClure’s – Riis– Steffens
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Labor Organizations @1900“all we want, is more” S. Gompers
• Reaction to Big Business– Europe at same time
• Homestead Strike• Knights of Labor –
Utopian / Universal • Haymarket Bombing• AF of L – Skilled workers,
realistic, Gompers (Capitalist)
• IWW – Debs, Socialists• Eventual Red Scare hurts
labor • Pullman Strike
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Immigration Traps and Misconceptions
• Huge percentage came illegally• Illegal immigrants pay taxes• Don’t forget Angel Island / West Coast• Don’t forget Mexico• Many immigrants were wealthy• Up to 40% planned on re-migration• 25% did re-migrate• US was not the only target of Immigration• Numerically today is greater wave of immigration• Percentage today is only slightly behind the late 19th
Century Boom
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US at 1900 Urbanization of America:
Key Questions
• Why did cities get so big? What challenges went with that growth?
• How did Political Machines influence urban life?
• What was life like for new urban dwellers?
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Immigration Vocab Terms
• Golden Door• Ellis Island / Angel
Island• Steerage• Quarantines• Ghettos• Tenements• Settlement Houses• Birds of Passage• The “New Immigration”
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Baxter Street Alley in Mulberry Bend (Riis)
Court at 24 Baxter Street (Riis)
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Boss Tweed
• I don't care a straw for your newspaper articles, my constituents don't know how to read, but they can't help seeing them damned pictures.
I don't care who does the electing, so long as I get to do the nominating.
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Push and Pull Factors on Urbanization
• Growth of business / jobs, new jobs
• Transportation makes food available
• Fewer farming jobs available• Romance of the big city / Success
Stories• Immigrant entry points • Cosmopolitan culture• Brings Challenges –
– Social Services, Fire, Police, Sanitation, Education, Public Health, Roads, Fuel, Refrigeration, Storage
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Political Machines and the City
• Local versions of political parties, sponsored candidates etc
• Exchange of favors for votes
• Prey on immigrants
• Tammany Hall, Boss Tweed, GW Plunkitt
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Combo of Urb / Immig / Labor etc leads to the “Progressives”
• Generally defined 1901-1918• Loose grouping of reform
movements and their leaders• Gathered steam after TR comes in• Muckrakers were early examples• Prohib, Suffrage, Af Am rights,
Immig rights, worker rights all loosely Progressive
• Attitude of “progress”• Why so many women?• Very middle class oriented – Goal
is to make everyone look like mid class / share mid class values
– Ex – Settlement Houses – classes on Americanization
1906
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Progressive Highlights• Teddy Roosevelt – Square Deal /
Trustbusting• Muckrakers• Jane Addams / Florence Kelley /
Hull House • NAWSA • NAACP• Was progressivism really
“progressive?”– Progress implies problem?
• Who decides?– OK to change people’s values?– Central park v. Coney Island– Limit working hours v. maximize
earning potential– Melting pot v. salad bowl?
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Baxter Street Alley in Mulberry Bend (Riis)
Court at 24 Baxter Street (Riis)
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Presidency of Theodore Roosevelt • Post CW Generation• Self Created• Cowboy Image• Sec Navy / Rough Riders• VP Candidate / Ascends • Panama / Big Stick • Roosevelt Corollary • Progressivism / Square Deal
Trust Busting / Muckrakers• Conservation / National Parks• Assertion of Presidential power • Selection of Taft • Later Progressive / Bull Moose
Campaign
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Foreign Policy Before WWI
• McKinley / Roosevelt – Start of Imperialism – Competing with Europe – Imperialism mostly as good
thing– Big Stick / Roosevelt Corollary – Span AM War , Panama, R/J
War, Venezuela
• Taft – Dollar Diplomacy • Wilson – Theoretically less
aggressive, actually more so– Haiti– Mexico– WWI – US must not be seen as weak
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The Square Deal Dance - 1908
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Puck Magazine July 1898
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Puck Magazine 1905
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“Doomsday for the Trusts”
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"I Rather Like That Imported Affair"
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“The World’s Constable”
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Circa 1900 Life for African Americans3 Main Ideas
• Remember – Plessy v. Ferguson, Lynching, Rise of KKK,
• Northern Migration
• Discrimination
• African American Response– Cultural Response –
• 1920s Harlem Renaissance
– Political Reaction
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Ida B. Wells (Barnett)
• Outspoken journalist / activist
• Specifically vocal on anti-lynching
• Accusatory (toward north + non-action)
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Booker T. Washington
• “Heir to F. Douglass”?
• Tuskegee Institute
• Vocational Schools
• Need to “earn rights”
• Gradualism
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Marcus Garvey
• •1920s version of Bishop Henry Turner•Re-Colonization Movement •Garvey-ites
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W.E.B. DuBois
• PhD
• NAACP
• The Crisis
• The Talented Tenth
• The problem of the 20th Century is that of
the color line
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1920s – African Americans6 Specifics
• Jim Crow
• Lynching
• Booker T. Washington
• Marcus Garvey
• W.E.B. DuBois
• Harlem Renaissance
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