APUSH Chapter 16

Herbert Spencer

"Survival of the fittest"; Social Darwinism between societies and cultures

Laissez-faire

"to let things happen," literally means "let do"; a system of free market economics in which the government doesn't intervene in the market, or intervenes as little as possible; the government practiced laissez-faire economics during the Gilded Age to let the economy grow

Vertical Integration

Andrew Carnegie used this to build his business by controlling every aspect of the steel industry. This process involves the control of all the parts of the production business. It is still legal because it allows other companies to compete in the market

Populist Party

-A.K.A. People's Party is launched in Kansas in 1890

Plessy vs Ferguson

-Court case in 1896 in which the Supreme Court supported the Jim Crow laws -supported segregation as long as there were equal facilities it was constitutional

Social Darwinism

Andrew Carnegie wrote Gospel of Wealth, which advocated social Darwinism, the survival of the fittest in business. Herbert Spencer coined the phrase "survival of the fittest" in applying the evolutionary theory to social institutions.

Invisible hand

-Idea from the Wealth of Nations written by Adam Smith -argued business should not be regulated by the government but by the "invisible hand" of the law of supply and demand

Identify the causes of industrial growth

-an abundance of resources(coal, iron ore, copper, timber) -abundant labor supply -abundant of capital -labor saving technologies -friendly government polices -entrepreneurs

Gospel of Wealth

Book written by Andrew Carnegie, advocated Social Darwinism, or survival of the fittest in business

New Women

-came from the Women's club Sorosis -a women who was athletic, self-confident, young and independent

sharecropping

-developed as an answer to the economic situation in the South -workers would work the land in return for some of the profit

John Rockefeller

-involved in the oil industry -used horizontal integration to build his business controlled all of one segment of the oil business

Andrew Carnegie

-made his millions in the steel industry -used vertical integration to build his business controlled every aspect of the steel industry

philanthropy

-promoted by the Gospel of Wealth -the rich have a duty to help out society with their wealth -the Captains of Industry gave millions to charity -example: Carnegie Hall

Jim Crow Laws

-supported segregation as long as there were equal facilities it was constitutional -Plessy v. Ferguson

Adam Smith

A Scottish moral philosopher, pioneer of the political economy, and a key figure in the Scottish Enlightenment

Holding Company

A company that doesn't produce anything but owns the stock of companies that do

Wealth of Nations

-written by Adam Smith -argued business should not be regulated by the government but by the "invisible hand" of the law of supply and demand

Pacific Railway Act

1862 law that gave lands to railroad companies to develop a line linking the East and West Coasts

Chinese Exclusion Act

1882 law that barred Chinese laborers from entering the United States

Haymarket Riot

1886 labor-related protest in Chicago which ended in deadly violence

George Westinghouse

An american entrepreneruer and engineer who invented the railroad and the air brake and transformers for producing high voltage currents

Second Industrial Revolution

After the Civil War, this resulted in the growth of large-scale industry and the production of steel, petroleum, and electric power. America became the leading industrial nation in the world. Captains of Industry/Robber barons emerged, and the standard of living increased along with the connectivity of the markets and increase in communication and consumer goods.

Robber Barons

Alternative name for the "Captains of Industry," used by those who viewed them as thieves who lauded their money over the people

Jay Gould

American railroad executive, financier, and speculator, an important railroad developer who was one of the most unscrupulous "robber barons" of 19th-century American capitalism. He was involved in the "Black Friday" Gold market scandal during the Grant Administration. He ran a railroad and competed with Vanderbilt, and was involved with Boss Tweed. He also owned Union Pacific Railroad stock.

Panic of 1893

Caused the collapse of railroad overbuilding and caused bank failures

corporations

Companies that are treated like one person rather than a group

Lint head

Derogatory term for someone who works in a cotton mill, southern lower-class white person

American Railroad Association

Divided the nation into four time zones to keep railroad schedules coordinated

Interstate Commerce Act

Established the Interstate Commerce Commission, the first regulatory agency, which regulated railroads

Henry Grady

Editor of the Atlanta Constitution who proclaimed that a New South had emerged due to new technology

The Great Railroad Strike

First general strike in American history. Started with the B&O Railroad, railroad workers across the country walked off the job

Gustavus Swift

He founded a meat-packing empire in the Midwest during the late nineteenth century, over which he presided until his death. He is credited with the development of the first practical ice-cooled railroad car

Horizontal Integration

John Rockefeller used this to build his business by controlling all of one segment of the oil business. It involved controlling several smaller companies within the same industry and buying out or destroying all the competition so that it controls one whole sector of the manufacturing of a product through a giant monopoly. It is illegal today through the creation of antitrust legislation.

Standard Oil

John Rockefeller's company in the oil industry that used horizontal integration to build his business. He controlled all of one segment of the oil business.

Samuel Morse

Invented the telegraph

Alexander Graham Bell

Invented the telephone

Thomas Edison

Inventor of lightbulb, phonograph and numerous other innovations

US Steel

J. P. Morgan founded U.S. Steel on March 2, 1901 by combining Andrew Carnegie's Carnegie Steel Company with Gary's Federal Steel Company and William Henry "Judge" Moore's National Steel Company for $492 million ($14.47 billion today). At one time, U.S. Steel was the largest steel producer and largest corporation in the world. It was the world's first billion-dollar corporation.

Great Northern Railroad

James J. Hill established and ran this Railroad without any government land grants. It became the most successful transcontinental railroad.

Iron Law of Wages

Knights of Labor

Terence Powderly

Knights of Labor was a second national labor union that began as a secret order to avoid detection. He was their leader, and the reforms he advocated were to create worker cooperatives that make each man his own employer, abolish child labor, abolish trusts and monopolies, and settle disputes through arbitration with a third party.

Lockouts

Labor-management workplace action where management refuses to allow labor to work

Gilded Age

Late 1800s to Early 1900s - time of large increase in wealth caused by industrialization

Samuel Gompers

Led the American Federation of Labor (AF of L / AFL), which just focused on higher wages and better working conditions. By 1901 it was the largest labor union in the nation.

blacklists

Lists of pro-union workers given to managements of companies so they would know who not to hire

R.C. Macy

Made the large department store the place to shop

NAACP

National Association for the Advancement of Colored People, Black critics like W. E. B. DuBois accused Booker T. Washington of playing into the hands of white supremacists by accepting segregation as a temporary accommodation between the two races, so he founded this association.

Pittsburgh of the South

Nickname for Birmingham, Alabama, because it became the leading source of the textile industry in the South

Wobblies

Nickname for the Industrial Workers of the World union force; wanted to organize all workers w/o distinction between skilled and unskilled

Entrepreneurs

People who risk money in order to make more money; known as Robber Barons or Captains of Industry, depending on how you viewed them; caused massive economic growth in the Gilded Age

white collar workers

Salaried workers for corporations whose jobs did not require manual labor

Segregation

Separation of people based on racial, ethnic, or other differences.

B&O Railroad

The Great Railroad Strike started with this Railroad, when railroad workers across the country walked off the job after their wages were cut. It was the first successful railroad.

Economies of scale

The cost of manufacturing is decreased by producing goods quickly in large quantities

Who were the critics of the American economic system during the Gilded Age? What were their criticisms? What did they propose?

The critics were the working class, women, and African Americans who were disadvantaged by the systems. They criticized it because the wealth was concentrated in the hands of the few and they were paid low wages. They proposed antitrust acts to keep monopolies from forming, and many formed unions such as the National Labor Union, Knights of Labor, American Federation of Labor, and Industrial Workers of the World. They proposed higher wages, a shorter workday, equal rights, better working conditions, an end to child labor, and settling disputes by arbitration. They would strike if they did not get their way. Also, small businesses were put out of business by monopolies, so they proposed changes. Also, Africans Americans like Booker T. Washington accepted segregation as freedmen worked their ways up in the world and formed the Tuskegee Institute to help them achieve this, but W.E.B. DuBois formed the NAACP in response to segregation and inequality.

Industrialism

The development of industries for the machine production of goods.

scapegoats

The economic conditions in the south caused frustrations and bitterness in which blacks became the __________ for white rage

American Federation of Labor

The first federation of labor unions in the United States. Founded by Samuel Gompers in 1886.

J.P. Morgan

The richest of the Captains of Industry/Robber barons. An influential banker and businessman who bought and reorganized companies. His US Steel company would buy Carnegie steel and become the largest business in the world in 1901.

Standard time

The time zones devised by railroad companies

Yellow Dog Contracts

These were agreements that employers forced workers to sign where workers pledged not join a union.

Disenfranchised

To deprive someone the right to vote

wage earners

Two thirds of Americans by 1900 and worked lots of hours. Unstable workforce impacted by immigration. 10/6 work shifts.

consumer economy

With the increase in production as well as the invention of new consumer products, there came a need to find new ways to sell merchandise to the public

Ida B. Wells

activist who launched nationwide campaigns against lynching

David Ricardo

famous economist who created the "iron law of wages" and believed wages should be kept low. He was a British stock broker. His law theorized that there was an eternal cycle in which higher wages resulted in larger families, followed by increased competition for jobs and an inevitable drop in wages.

W.E.B. DuBois

black leader who advocated more aggressive action from blacks and criticized Booker T. Washington's stances; founded the NAACP

Booker T. Washington

black leader who emerged in 1895; accepted segregation as a temporary accommodation between the races and believed whites would accept blacks and support their reform efforts if they became educated and adjusted to society

Frank Woolworth

entrepreneur who made the Five and Ten Cent Store a nationwide chain

James Hill

established and ran the Great Northern Railroad without any government land grants

standard gauge

the uniform width of 4 feet, 8.5 inches for railroad tracks, adopted during the 1880s

George Eastman

invented the Kodak camera

Cyrus Field

laid 1st transatlantic cable in 1866 with Morse code.

captains of industry

view of the industrialists as ingenious and industrious men who transformed the American economy with their business skills (positive view of industrialism). Examples are Carnegie, Vanderbilt, Morgan, and Rockefeller. They believed in philanthropy and using their money to benefit society by giving money to charity (Carnegie Hall). Some were worth 2 to 300 billion dollars in today's money.

Cornelius Vanderbilt

made millions in the railroad industry

truck lines

major railroads during the Industrial Age of American that usually went from east to west all the way across the country

Promontory Point

marks the point where the transcontinental railroad system was completed. In Utah

Define, describe, and evaluate the robber barons.

men who acquired wealth unethically

Mark Twain

named the post Civil War era The Gilded Age

Grange laws

passed by Midwestern states to help out the farmers, promoted primarily by a group of farmers known as the Grange

Sherman Antitrust Act

passed by President Benjamin Harrison, it attempted to break up the trusts and monopolies and did not have much teeth. The United States v E.C. Knight Co decided that the Act only applied to commerce, not manufacturing.

wages of whiteness

racial superiority among southern whites

Interlocking Directorates

refers to the practice of members of a corporate board of directors serving on the boards of multiple corporations. A person that sits on multiple boards is known as a multiple director. Two firms have a direct interlock if a director or executive of one firm is also a director of the other, and an indirect interlock if a director of each sits on the board of a third firm. This practice, although widespread and lawful, raises questions about the quality and independence of board decisions. It is often involved in the creation of monopolies. They become illegal if they violate Antitrust Acts by linking together companies in the same industry to form horizontal integration.

US v E.C. Knight Co

the Sherman Antitrust Act only applied to commerce not manufacturing

Eugene Debs

was an American union leader, one of the founding members of the Industrial Workers of the World (IWW or the Wobblies), and five times the candidate of the Socialist Party of America for President of the United States

National Labor Union

was the first labor federation in the United States, founded 1866 and dissolved 1873

Horatio Alger

writer who gave hope to many with his "rags to riches" novels; the classic example of which was Andrew Carnegie