APUSH CH17
ANDREW CARNEGIE
A Scottish-born American industrialist and philanthropist who founded the Carnegie Steel Company in 1892. By 1901, his company dominated the American steel industry. Built a steel mill empire; US STEEL. Big philanthropy: theaters, libraries, etc.
28. Who wrote Influence of Sea Power Upon History? *
Mahon
24. Where will Edwin L. Drake create the first oil well? *
Titusville Pennsylvania
29. Who founded the Knights of Labor? *
Uriah Stephens
18. The people who found fault with the captains of industry mostly argued that these men *
b. built their corporate wealth and power by exploiting workers.
12. The "Gospel of Wealth" endorsed by Andrew Carnegie *
b. held that the wealthy should display moral responsibility in the use of their God-given money.
PULLMAN STRIKE
in Chicago, Pullman cut wages but refused to lower rents in the "company town", Eugene Debs had American Railway Union refuse to use Pullman cars, Debs thrown in jail after being sued, strike achieved nothing violent 1894 railway workers' strike which began outside of Chicago and spread nationwide 1894 - nonviolent strike (brought down the railway system in most of the West) at the Pullman Palace Car Co. over wages - Prez. Cleveland shut it down because it was interfering with mail delivery
23. What is the name of the mineral used to create strengthened steel and will be found in Western Pennsylvania? *
iron ore
6. The American system of mass manufacture of standardized, interchangeable parts provided strong incentives for U.S. capitalists to *
replace skilled labor with machinery.
SCIENTIFIC MANAGEMENT
the application of scientific principles to increase efficiency in the workplace a management theory using efficiency experts to examine each work operations and find ways to minimize the time needed to complete it studying workers to find the most efficient ways of doing things and then teaching people those techniques
HENRY FORD
1863-1947. American businessman, founder of Ford Motor Company, father of modern assembly lines, and inventor credited with 161 patents. United States manufacturer of automobiles who pioneered mass production (1863-1947).
NATIONAL LABOR UNION
1866 - established by William Sylvis - wanted 8hr work days, banking reform, and an end to conviction labor - attempt to unite all laborersThe first large-scale U.S. union; founded to organize skilled and unskilled laborers, farmers, and factory workers. founded by William Sylvis (1866); supported 8-hour workday, convict labor, federal department of labor, banking reform, immigration restrictions to increase wages, women; excluded blacks
AMERICAN FEDERATION OF LABOR
1886; founded by Samuel Gompers; sought better wages, hrs, working conditions; skilled laborers, arose out of dissatisfaction with the Knights of Labor, rejected socialist and communist ideas, non-violent.The first federation of labor unions in the United States. Founded by Samuel Gompers in 1886a federation of North American labor unions that merged with the Congress of Industrial Organizations in 1955
HOMESTEAD STRIKE
1892 strike against Carnegie's steelworks in Homestead, Pennsylvania. Strike at Andrew Carnegie's steel plant in which Pinkerton detectives clashed with steel workers. 1892 steelworker strike near Pittsburgh against the Carnegie Steel Company. Ten workers were killed in a riot when "scab" labor was brought in to force an end to the strike.
KNIGHTS OF LABOR
1st effort to create National union. Open to everyone but lawyers and bankers. Vague program, no clear goals, weak leadership and organization. Failed. labor union that sought to organize all workers and focused on broad social reforms Led by Terence V. Powderly; open-membership policy extending to unskilled, semiskilled, women, African-Americans, immigrants; goal was to create a cooperative society between in which labors owned the industries in which they worked
HORIZONTAL INTEGRATION
Absorption into a single firm of several firms involved in the same level of production and sharing resources at that level Type of monopoly where a company buys out all of its competition. Ex. Rockefeller system of consolidating many firms in the same business
WILBUR AND ORVILLE WRIGHT
American bicycle mechanics; the first to build and fly an airplane, at Kitty Hawk, North Carolina, December 7, 1903. Were two American brothers, inventors, and aviation pioneers who are credited with inventing and building the world's first successful airplane and making the first controlled, powered and sustained heavier-than-air human flight brothers who were the first people to succeed in flying a powered airplane in sustained flight
FREDERICK WINSLOW TAYLOR
American mechanical engineer, who wanted to improve industrial efficiency. He is known as the father of scientific management, and was one of the first management consultants. 1856-1915 *Created the basis for the scientific management of business in his quest for efficiency *Used shops and large plants as models and succeeded in spreading his ideas on efficiency to several industries *Wrote books on the subject of scientific management
What negative consequences of monopoly did many Americans come to fear?
Americans blamed monopoly for creating artificially high prices and for producing a highly unstable economy. In the absence of competition, monopolistic industries could charge whatever prices they wished. The artificially high prices contributed to the economy's instability, as production constantly outpaced demand. Many Americans hated monopoly because the rise of large combinations seemed to threaten the ability of individuals to advance in the world. To men, monopoly threatened the ideal of the wage-earning husband capable for supporting a family and prospering, because combinations seemed to reduce opportunities to succeed. Adding to the resentment of monopoly was the emergence of a new class of enormously and conspicuously wealthy people, whose lifestyles became an affront to those struggling to stay afloat.
Describe how railroads took the lead in new patterns of business organization and management in the late nineteenth century. What legal and financial advantages does the corporation form of enterprise offer to business and investors?
Corporations emerged as a major force when industrialists realized that no single person or group of limited partners could finance their great ventures. Selling stocks became a popular practice because of "limited liability" meaning you could not become in debt. This new practice made it possible for entrepreneurs to gather vast sums of capital and undertake great projects. The railroad companies were the first to adopt this new corporate form of organization. As railroads expanded, investments from federal, state and abroad were vital to the new expansion. New railroad combinations emerged that brought most of the nation's rails under the control of a very few men.
JOHN PETER ALTGELD
Governor of Illinois (1893-1897); improved child labor & safety laws; pardoned those accused in Haymarket riot & lost his job. Governor of Illinois during the Haymarket riots, he pardoned three convicted bombers in 1893, believing them victims of the "malicious ferocity" of the courts. He was the 20th governor of Illinois from 1893 until 1897 the first democratic governor since 1850. A leading figure of the Progressive movement He improved workplace safety and child labor laws pardoned three of the men convicted in the Haymarket Affair rejected calls in 1894 to break up the Pullman strike with force. In 1896 he was a leader of the progressive wing of the Democratic Party, against President Grover Cleveland and the conservative Bourbon Democrats. He was defeated in 1896 in an intensely fought, bitter campaign
26. What is the name of the minister who was caught in some sordid affairs and preached rags to riches stories? *
Horatio Alger and his Ragged Dick
11. The religion that grew the most due to European Immigration was *
Jews/Catholics
22. What is the name of the movement who became affiliated with American WASPS against the flux of immigration into the United States due to the burgeoning industry of the United States? *
Nativism
Explain the new Bessemer and open-hearth technologies developed for the large-scale production of durable steel. What impact did the vast expansion of steel production have on transportation industries in the late nineteenth century?
The Bessemer method consisted of blowing air through molten iron to burn out the impurities. The open-hearth process was another process that worked in conjunction with the Bessemer process. These techniques made possible to production of steel in great quantities and large dimensions. In Pennsylvania and eastern Ohio, the steel industry erupted because of the already existing iron industry and there was a new demand for coal. Steel production in the Great Lakes was possible only because of the availability of steam freighters that could carry ore on the lakes. Shippers also used new steam engines to speed the unloading of ore, a task that previously had been performed slowly and laboriously. Steel manufacturers and rail companies became close; steel manufacturers provided rails and parts for railroad cars. The Pennsylvania Railroad created its own steel company.
4. Which of the following was not among the critical U.S. raw materials, delivered by railroads to factories, that fueled early American industrialization? *
a. Rubber
2. The two industries that the transcontinental railroads most significantly expanded were *
b. mining and agriculture.
15. One group, barred from membership in the Knights of Labor, was *
b. nonproducers. (lawyers, bankers, liquor dealers)
10. Many influential businessmen paid substitutes to fight in their place in the Civil War. This practice was unethical because *
b. the practice perpetuates a social order where the wealthy are in danger.
21. What new branch of the military was created to deal with labor strikes?
c. National Guard
14. Despite generally rising wages in the late nineteenth century, industrial workers were extremely vulnerable to all of the following except *
c. new educational requirements for jobs.
17. By 1900, American attitudes toward labor began to change as the public came to recognize the right of workers to bargain collectively and strike. Nevertheless *
c. the vast majority of employers continued to fight organized labor.
1. The greatest economic consequence of the transcontinental railroad network was that it *
c. united the nation into a single, integrated national market.
9. The oil industry became a huge business *
c. with the invention of the internal combustion engine.
19. All of the following were important factors in post-Civil War industrial expansion except *
d. immigration restrictions.
5. The vast, integrated, continental U.S. market greatly enhanced the American inclination toward *
d. mass manufacturing of standardized industrial products.
7. One of the methods by which post-Civil War business leaders increased their profits was *
e. elimination of as much competition as possible.
16. The Knights of Labor believed that conflict between capital and labor would disappear when *
e. labor would own and operate businesses and industries.
What were the key late-nineteenth-century technological innovations in communications, office productivity, and ocean transportation?
the rise of steel development, steam locomotives, railroads, usage of petroleum (gasoline)-> automobiles and airplane, 2)What developments allowed the widespread use of electricity as a source of light and power to become commonplace.
HORATIO ALGER
19th-century American author, best known for his many formulaic juvenile novels about impoverished boys and their rise from humble backgrounds to lives of middle-class security and comfort through hard work, determination, courage, and honesty. Writer of novels stressing rags to riches stories of boys. Popular novelist during the Industrial Revolution who wrote "rags to richces" books praising the values of hard work
MOLLY MAGUIRES
An active, militant Irish organization of farmers based in the Pennsylvania anthracite coal fields who are believed responsible for much violence. Secret organization of Irish miners that campaigned, at times violently, against poor working conditions in the Pennsylvania mines. A secret Irish organization of coal miners in regions of western Pennsylvania and West Virgina in the mid to late 1800's. The miners worked together to achieve better working conditions, and when demands weren't met, they protested by destroying mining equipment and other activities. They were eventually brought down by a Pinkerton detective, and some alleged members had trials and were hanged.
J. P. MORGAN
Banker who buys out Carnegie Steel and renames it to U.S. Steel. Was a philanthropist in a way; he gave all the money needed for WWI and was payed back. Was one of the "Robber barons" A banker who took control and consolidated bankrupt railroads in the Panic of 1893. In 1900, he led a group in the purchase of Carnegie Steel, which became U.S. Steel. (p. 321, 323)
How did expanding research and development activities, "scientific management," and mass production reshape American industrial production? What role did General Electric and the Ford Motor Company play in these early twentieth-century developments?
General Electric created one of the first corporate laboratories in 1900. And 13 years later many other companies were also budgeting hundreds of thousands of dollars each year for research by their own engineers and scientists. This new corporate research came with a decline in government support for research; which was helpful because it helped corporations attract skilled researchers who had once worked with the government and it decentralized the source of research funding and made it so research would move in many different directions. Scientific management or Taylorism started to be used. Taylor urged employers to reorganize the production process by subdividing tasks, this would speed up production and it would also make workers more interchangeable and this diminish a manger's dependence on any particular employee. It would also reduce the need for skilled workers. Taylor argued that this was a way to make human labor compatible with the demands of the machine age. Henry Ford created the moving assembly line which greatly increased production time and efficiency.
SAMUEL GOMPERS
He was the creator of the American Federation of Labor. He provided a stable and unified union for skilled workers.leader of the American Federation of Labor United States labor leader (born in England) who was president of the American Federation of Labor from 1886 to 1924 (1850-1924)
HENRY GEORGE
He wrote Progress and Poverty in 1879, which made him famous as an opponent of the evils of modern capitalism. controversial reformer whose book Progress and Poverty advocated solving problems of economic inequality by a tax on land
Compare and contrast the vertical and horizontal integration strategies of business combination. Which approaches did Andrew Carnegie and John D. Rockefeller utilize? What "curse" of the business world was consolidation designed to attack?
Horizontal integration was the combining of a number of firms engaged in the same enterprise into a single corporation (making many railroad lines into one). The other method was vertical integration-the taking over of all the different businesses on which a company relied for its primary function. Vertical integration is what Carnegie did. At the start of his company, Rockefeller allied himself with other wealthy capitalists and proceeded to methodically buy out competing refineries (horizontal expansion). He then expended vertically; he built his own barrel factories, terminal warehouses and pipelines. Standard Oil owned its own freight cars and developed its own marketing organization. The curse of the modern economy: 'cutthroat competition," was what most businessmen claimed to believe in free enterprise and a competitive marketplace, but in fact they feared the existence of too many competing firms, convinced that substantial competition could spell instability and ruin for all. So, most capitalists saw to absorb the competing industry.
EDWARD BELLAMY
In 1888, he wrote Looking Backward, 2000-1887, a description of a utopian society in the year 2000. Wrote Looking Backward; said that captialism supported the few and exploited the many. character wakes up in 2000 after napping; says socialism will be on top in the end
What was America's first major, national labor conflict? How did it end?
It was the Great Railroad Strike. It began when the eastern railroads announced a 10% wage cut and which soon expanded into something approaching a class war. Strikers disrupted rail service from Baltimore to St. Louis, destroyed equipment and rioted in the streets of Pittsburgh and other cities. The state militia was called in West Virginia to stop the commotion. In Baltimore, 11 demonstrators died and 40 were wounded. In Philadelphia, the militia opened fire on 1000s of workers and their families who were attempting to block the railroad crossing and killed 20 people.
EUGENE V. DEBS
Leader of the American Railway Union, he voted to aid workers in the Pullman strike. He was jailed for six months for disobeying a court order after the strike was over. Head of the American Railway Union and director of the Pullman strike; he was imprisoned along with his associates for ignoring a federal court injunction to stop striking. While in prison, he read Socialist literature and emerged as a Socialist leader in America. led the Pullman strike and founded the American Railway Union
Compare and contrast Social Darwinism and the Gospel of Wealth. Who was the principal proponent of the latter?
Lots of great businesses believed in Social Darwinism. They claimed wealth was a reward because of hard work, acquisitiveness and thrift. The English philosopher Herbert Spencer was the first and most important proponent. He argued that society benefited from the elimination of the unfit and the survival of the strong and talented. William Graham Sumner did not agree with everything Spencer wrote, but he did share Spencer's belief that individuals must have absolute freedom to struggle, to compete, to succeed, or to fail. The Gospel of Wealth was that rich people believed that the rich had great power and great responsibilities. It was their duty to use their riches to advance social progress. Andrew Carnegie said that the wealthy should consider all revenues in excess of their own needs as "trust funds" to be used for the good of the community. This idea led to the practice of the rich donating their money to foundations and creating institutions to help those less fortunate. Russel H. Conwell became the most prominent spokesman for the idea. He told stories of many individuals who had found opportunities for extraordinary wealth in their own backyards. He claimed that most of the millionaires in the country had begun on the lowest rung of the economic ladder. Horatio Alger wrote celebrated novels about poor boys who rise from rags to riches.
HENRY CLAY FRICK
Manager of the Carnegie Steel plant outside of Pittsburgh, PA who barricaded the plant and hired armed Pinkerton guards to attack striking workers. United States industrialist who amassed a fortune in the steel industry (1849-1919) was Carnegie's supplier of coke to fuel his steel mills as well as his right hand man. He was very anti-union. He was in charge of the mills when the Homestead Strike occurred. His decision to use strike breakers ignited the riot, and helped stain the image of unions.
HAYMARKET BOMBING
May 4, 1886, conflict in which both workers and policemen were killed or wounded during a labor demonstration in Chicago. The violence began when someone threw a bomb into the ranks of police at the gathering. The incident created a backlash against labor activism. On May 4, 1886 workers held a protest in which seven police officers were killed by a protester's bomb. bomb thrown at protest rally, police shot protesters, caused great animosity in employers for workers' unions
America's new urban working-class was drawn primarily from what two groups?
Most immigrants to eastern industrial cities came from England, Ireland and northern Europe and later the immigration shifted to large numbers of southern and eastern Europeans. In the West, the Mexicans and until the Chinese Exclusion act, Asians were the main laborers.
Contrast the earlier immigrants to the United States with those who came to dominate by the turn of the century. What attracted immigrants, especially the later groups, to the United States? How did native-born Americans and earlier immigrants react?
New immigrants came to escape poverty and oppression in their homelands. They were also lured by expectations of new opportunities. Most of these were false promises though. Railroads tried to lure immigrants into their western landholdings by distributing misleading advertisements overseas. Industrial employers actively recruited immigrant workers under the Contract of Labor Law which permitted them to pay for the passage of workers in advance and deduct the amount later from their wages. The low-paid Poles, Greeks and French Canadians began to displace higher-paid British and Irish workers in the textile factories of New England. Italians, Slavs and Poles emerged as a major source of labor for the mining industry in the East. Chinese and Mexicans competed with Anglo-Americans and African Americans in mining, farmwork and factory labor in California, Colorado and Texas.
Describe the radical and idealistic alternative visions of late-nineteenth-century writers and activists. How realistic were such views?
One philosophy by Lester Frank Ward, was that civilization was governed not by natural selection but by human intelligence, which was capable of shaping society as it wished. He thought that an active government engaged in positive planning was society's best hope. The people could then intervene in the economy and adjust it to serve their needs. Other Americans joined the Socialist Labor Party. The party attracted a modest following in the industrial cities, but it failed to become a major political force and later part of it split off and formed the American Socialist Party. Henry George tried to explain why poverty existed amid the wealth created by modern industry. He blamed social problems on the ability of a few monopolists to grow wealthy as a result of rising land values. George later proposed a single tax to replace all other taxes, which would destroy monopolies, distribute wealth more equally and eliminate poverty. Edward Bellamy wrote about a person waling up tin the year 2000 where politics, want and vice were unknown. The large trusts of the late 19th century had continued to grow and combine until they formed a single great trust, controlled by the government, which absorbed all the businesses of all the citizens and distributed the abundance of the industrial economy equally among all he people.
VERTICAL INTEGRATION
Practice where a single entity controls the entire process of a product, from the raw materials to distributionthe combination in one company of two or more stages of production normally operated by separate companies. An approach typical of traditional mass production in which a company controls all phases of a highly complex production process.
How did the rapidly expanding railroads of this era contribute to the expansion of the American economy?
Railroads helped determine the path by which agricultural and industrial economies developed. When railroad lines ran through sparsely populated regions, new farms and other economic activity quickly sprang up along the routes. When they reached forests, lumbers came quickly and began cutting down timber to send back to towns and cities for sale. When railroads moved through the great plains of the West, they brought buffalo hunters.
Compare and contrast the Haymarket affair, Homestead strike, and Pullman strike. On balance, what was their effect on the organized labor movement?
The Haymarket affair was where the city police had been harassing the strikers and labor and radical leaders called a protest meeting at the Square. When the police ordered the crowd to disperse, someone threw a bomb that killed 7 officers and wounded 67 other people. The police killed 8 total strikers and many people demanded retribution for the bombing. To most middle-class Americans, the affair was an alarming symbol of social chaos and radicalism. "Anarchism" now became a code word in the public mind for terrorism and violence. This image became one of the most fighting in the American public's eyes and it became an obstacle for the AFL and Knights. The Homestead Strike was where the steel industry started to introduce new production methods and new patterns of organization that were streamlining the steelmaking process and reducing the companies' dependence on skilled labor. Henry Clay Frick and Carnegie had decided that the Amalgamated had to go. Over the next two years, they repeatedly cut wages and at one point, the Amalgamated called for a strike to which Frick abruptly shut down the plant and called in 300 guards from the Pinkerton Detective Agency to enable the company to hire nonunion workers. The strikers and Pinkertons fought a battle and after several hours the workers won. The governor of Pennsylvania then sent the state's entire National Guard to Homestead and production resumed because of the military. The strike was a symbol of the general erosion of union strength in the late 19th century as factory labor became increasingly unskilled and workers thus became easier to replace. The Pullman strike was when the people living in Pullman's town had their wages cut by 25%, but their rent still remained very high. Workers went on strike and persuaded the American Railway Union to support them by refusing to handle Pullman cars and equipment. General Managers' Association opposed this and it persuaded its member companies to discharge switchmen who refused to handed Pullman cars. The governor of Illinois supported the workers and would not send troops to solve the problem, so the national government was asked to fix it and they imprisoned the strikers.
Compare and contrast the organization, membership, leadership, and programs of the Knights of Labor and the American Federation of Labor. Why did the AFL succeed, while the Knights disappeared?
The Knights were founded by Uriah S. Stephens. Membership was open to all workers and most business and professional people. They welcomed women members (factory and domestic servants and worked in their own homes). Leonora Barry ran the Woman's Bureau of the Knights. Members met in local assemblies which took different forms. They were loosely affiliated with a national general assembly. Their program was similarly vague; they championed an 8-hour day and abolition of child labor and the leaders wanted to replace the wage system with a new cooperative system. Under the leadership of Terence V. Powderly, the organization came out of the shadows and started to go on strike and riot. One strike was successful, but then another was crushed and the power of the union failed and it fell apart. The AFL was an association of autonomous craft unions and represented mainly skilled workers. The AFL male leaders were hostile to the idea of women entering the paid workforce because they believed women were weak and employers could easily take advantage of them by paying them less than men. Samuel Gompers was the powerful leader that supported this idea. The AFL still sought equal pay for those women who did work and even hired some female organizers to encourage unionization in industries dominated by women (equal pay means driving them out of the work force). The AFL concentrated on the relationship between labor and management. It supported the immediate objectives of most workers: better wages and working conditions. It also demanded a national 8-hour day.
What developments allowed the widespread use of electricity as a source of light and power to become commonplace by the turn of the century?
The Lightbulb created by Edison
SOCIAL DARWINISM
The application of ideas about evolution and "survival of the fittest" to human societies - particularly as a justification for their imperialist expansion. The belief that only the fittest survive in human political and economic struggle.
Why did industry increasingly employ women and children? How were they treated?
The decreasing need for skilled work in factories induced many employers to increase the use of unskilled women and children, whom they could hire for lower wages than adult males. Women were particularly vulnerable to exploitation and injury in the rough environment of the factory. Women were usually working in textile factories, but they were paid about half of what a while male earned with the same job. There were some women that went to prostitution more a better income. Children were employed in factories and fields. Sometimes children worked because the parents needed the money and/or the father did not want to send the wife off to work. Laws were passed to regulate child labor, but they were ignored. Children often worked 12 hour days picking or hoeing in the fields; children working at the looms all night were kept awake by having cold water thrown in their faces; in canneries, little girls cut fruits and vegetables 16 hours a day. Exhausted children were particularly susceptible to injury while working at dangerous machines.
What kept alive the ideology of individualism and the faith in the "self-made man" among the American masses?
The defenders of the new industrial economy said that industry was providing every individual with a chance to succeed and attain great wealth. There was only a small amount of truth in these claims. There were around 4,000 millionaires in America after the Civil War and only a few like, Carnegie and Rockefeller had begun as relatively poor and worked their way up. Also there were stories like this, there were also stories of people moving from riches to rags.
What factors combined to help explain why organized labor remained relatively weak before World War I?
The rapidly expanding industrial economy, wages for workers rose hardly at all, and not nearly enough or keep up with the rising cost of living.
Describe the beginnings of the oil industry in the United States. What was the main use of petroleum at first?
The steel industry's need for lubrication for its machines helped create the oil industry. In the 1850s, George Bissell showed that the substance (oil) could be burned in lamps and that it could also yield such products as paraffin, naphtha and lubricating oil. After this, oil wells began to appear.
What were the uncertainties and hazards of industrial labor?
The workers were paid very little that they were always considered close to poverty. The most disturbing thing was that managers started to seize all control the workers had, when lead to an abuse of workers. There were many hazards in industrial labor. They worked 10-12 hours; 6 days a week and many worked in severely unsafe or unhealthy factories. This meant that industrial accidents were frequent and severe. Compensation to the victims was often limited until the early 20th century.
Although the age of the automobile and the era of significant American aircraft production would not fully arrive until the 1910s and 1920s, what developments of the 1890s and the first decade of the twentieth century laid the basis for the later boom?
There were two things that automobiles needed to be a new working technology; the creation of gasoline and the internal combustion engine. Gasoline was the result of an extraction process developed in the late 19th century by which lubricating oil and fuel oil were separated from crude oil. Nicolaus Otto created an engine that worked, but not without a constant flow of gas, but one of his former employees, Gottfried Daimler, created an engine that could be used in cars. Charles and Frank Duryea built the first gasoline-driven motor vehicle in America in 1893. 3 years later Henry Ford produced the first of the famous cars that would bear his name. There were new tests to try to make air travel possible; the first major breakthrough coming from the Wright brothers. They made a glider that was propelled through the air by an internal combustion engine and the farthest it went was 23 miles. America was the first country to build a plane, even though the infrastructure was slow to start (The National Advisory Committee on Aeronautics was created in 1915).
GOSPEL OF WEALTH
This was a book written by Carnegie that described the responsibility of the rich to be philanthropists. This softened the harshness of Social Darwinism as well as promoted the idea of philanthropy. called on those who accumulated wealth to share their riches for the betterment of society. The belief that, as the guardians of society's wealth, the rich have a duty to serve society; promoted by Andrew Carnegie; Carnegie donated more than $350 million to libraries, school, peace initiatives, and the arts
Although the term "trust" came to be a general term for any big business, there were legal differences between a formal "trust" and a "holding company." Explain the differences. What were the advantages of the latter?
Trust became a term for any great economic combination. But the trust was in fact a particular kind of organization. Under a trust agreement, stockholders in individual corporations transferred their stocks to a small group of trustees in exchange for shares in the trust itself. Owners of trust certificates often had no direct control over the decisions of the trustees, but the trustees might own only a few companies, but could exercise effective control over many. A new type of consolidation emerged which was changing its laws of incorporation to permit companies to buy up other companies. That made the trust unnecessary and permitted actual corporate merges. By the end of the 19th century, 1% of the corporations in America were able to control more than 33% of the manufacturing. A system of economic organization was emerging that lodged enormous power in the hands of a very few men.
JOHN D. ROCKEFELLER
Was an American industrialist and philanthropist. Revolutionized the petroleum industry and defined the structure of modern philanthropy. Established the Standard Oil Company, the greatest, wisest, and meanest monopoly known in history
WOMEN'S TRADE UNION LEAGUE
a U.S. organization of both working class and more well-off women formed in 1903 to support the efforts of women to organize labor unions and to eliminate sweatshop conditions First national association dedicated to promoting women's labor issues A labor organization for women founded in New York in 1903 that brought elite, middle-class, and working-class women together as allies. The WTUL supported union organizing efforts among garment workers.
8. Andrew Carnegie's system of vertical integration *
a. combined all facets of an industry, from raw material to final product, within a single company.
3. Agreements between railroad corporations to divide the business in a given area and share the profits were called *
a. pools.
27. In what industry did a majority of children work? *
agriculture
