The Americans Chapter 14 Section 3 Terms+Questions
philanthropy
The desire to promote the welfare of others
Horatio Alger
A 19th-century author best known for his young adult novels.
U. S. Steel
A steel production company founded by Carnegie in 1899 under the name Carnegie steel company.
vertical integration
A process in which a company buys out its suppliers.
Trust
A property that is held by one party (trustee) that is for the benefit of another (beneficiary).
horizontal integration
A type of monopoly where a company buys out its competition. An example of this is when Rockefeller bought his rival Carnegie's steel company in 1901.
What was a major effect of the Haymarket Riot of 1886?
After the mass murder of workers by police during the riot, people began to slowly turn against the movement.
How was the Sherman Antitrust Act used against labor rather than in the way Congress had originally intended it to be used?
All a company had to do was to say that a strike, picket line, or boycott movement would hurt interstate trade, and the state legislature would issue a cease and desist to the labor action.
What were Andrew Carnegie's management techniques
Among the new techniques Carnegie used were incorporating new machinery and techniques, such as accounting systems that allowed him to track precise costs, attracting people by offering them stock in the company, and also used vertical and horizontal integration.
Sherman Antitrust Act (1890)
An act passed in 1890 that made it illegal to form a trust
Gospel of Wealth
An article written by Andrew Carnegie in 1889 that describes the responsibility of philanthropy by the new upper class of self-made rich.
mogul
Another term for a business magnate, often times used as a derogatory term.
Andrew Carnegie
Came to the US in 1848, at age 12. Soon became one of the first rich men in America to make his own fortune.
What were some of the "tools" that management used to prevent labor from organizing or to stop the effectiveness of existing labor unions?
Certain tools that were used included better working conditions, pay for equal work, and an end to child labor.
How was Andrew Carnegie's life a symbol of the American success story?
Coming from a near-poverty stricken Scottish family, he bought his first stock after doing well in the company, and rose from there.
John D. Rockefeller
Established the Standard Oil Company, who is also noted for inventing horizontal integration, where a company buys out its competition.
Who was Horatio Alger? What were the main themes of his writing?
Horatio Alger was a young adult author whose subject matters usually touched on young boys who rose from humble beginnings to lives of riches. I.e. Carnegie.
What was the key flaw in the Sherman Antitrust Act of 1890?
It did not define the amount of trust, and as such the Supreme Court threw out seven of the eight cases brought against trust.
What were some of the major industrial working conditions that were so abhorrent to laborers at the end of the 19c?
Long hours were common, with some workers working up to 13 hours a day, as well as injuries due to faulty equipment.
What tactics did women labor organizers use to achieve labor reforms?
Mary Harris Jones exposed the cruelties of child labor by leading a crusade to the white house, and in 1909 Pauline Newman became the first female organizer for the International Ladies' Garment Workers' Union (ILGWU).
What is the origin of the philosophy of Social Darwinism? How did it affect late 19c economic and political policies?
Social Darwinism arose out of Charles Darwin's Origin of the Species, which explained that humans are always striving for competition, with the best-adapted always winning. Soon, economists used Darwinism to justify their use of the marketplace not being regulated, due to the constant need for competition.
What strategies enabled big business to eliminate competition?
Some strategies used by big businesses were horizontal and vertical integration, as well as monopolies and oligopolies.
Explain the ideal of the "Gospel of Wealth." How was it applied by the "robber barons" of the late 19c?
The Gospel of Wealth explains that the best way of dealing with inequality was to redistribute what they earned to their heirs. Robber Barons used this to get their heirs into a seat of power early.
Describe the events surrounding the Homestead (1892) and Pullman (1894) strikes. How did these events reflect the challenges faced by labor unions at the turn of the last century?
The Homestead strike occurred after Henry Frick decided to cut wages for the workers, and as such the steelworkers rioted and as such the plant was closed. The Pullman strike ended up becoming so violent that President Cleveland had to send in troops. Both of these strikes reflect how labor unions only worsened conditions by sending false information to fellow workers.
Social Darwinism
The application of ideas about evolution and "survival of the fittest" in the idea of imperialist expansion
How did John D. Rockefeller take a different approach to business consolidation from the approach taken by Andrew Carnegie?
Unlike Carnegie, Rockefeller joined with competing companies in trust agreements. He used these trust to gain control of the entire American Oil Industry.
Define the terms vertical integration and horizontal integration and explain the distinctions between the two.
Vertical integration is when a company buys out its suppliers, While horizontal integration is when a company buys out its rivals
oligopoly
When a market is shared by a small number of producers or sellers
holding company
a company created to buy and possess the shares of other companies, which it then attempts to control
"robber baron"
a derogatory term referring to a capitalist who acquired a fortune by means of ruthlessness.
Ida Tarbell
an American journalist noted for pioneering investigative journalism by going into the lives of rich men.
monopoly
an excessive possession or control of the supply or trade in a company.
Standard Oil Co. of Ohio
the renamed Standard Oil Company owned by Rockefeller