Chapter 12 Test Flashcards
Where and when was golden spike placed for the Transcontinental Railroad
May 10, 1869-Promontory Point, Utah
What 2 companies began building the transcontinental railroad?
Union Pacific and Central Pacific
What were the three things Cornelius Vanderbilt did?
- He merged 3 railroads from New York City to Buffalo
- Had enough rail for a direct route to Chicago
- Started building Grand Central Station
What set up four US time zones?
The American Railway Association
an American capitalist of the latter part of the 19th century who became wealthy through exploitation
Robber baron
a business leader whose means of amassing a personal fortune contributes positively to the country in some way
Captain of Industry
What caused the Credit mobilier Scandal?
Investors acting for both Union Pacific and Credit Mobilier used inflated bids to build railroads
Where did the money for the Credit Mobilier Scandal come from?
Government and high-stake investors
The cost of manufacturing goods is decreased by producing goods quickly and in larger amounts, when a company decreases cost but increases production.
Economy of scale
What were some events of Carnegie’s personal business life?
Born in Scotland
First job was in a cotton factory making $1.20 per week.
Used consolidation to control the Steel industry.
He gave away of $350 million in philanthropy
What were the terms of Carnegie’s Gospel of Wealth?
Believed that “people should be free to make as much money as they can. After they make it they should give it away.”
Believed that wealth shouldn’t be left to heirs.
Believed that wealth should be distributed before you die.
Believed that it was for the rich to give to the poor through philanthropy
Social Darwinsim
Applied Darwin’s theory of natural selection to the struggle between workers and employers.
Society should do as little as possible to interfere with whether or not people fail or succeed
What are the points of the Circle of Wealth?
The poor can use the instructions set up for the rich to improve their status, possible become one of the richer themselves. This continues the circle of wealth.
The rich give money through philanthropy. This is directed at helping the poor better themselves and therefore society
consolidation; occurs when a company controls all of the means of production for a particular product, this allows an economy of scale to be developed
Vertical Integration
occurs when a company merges with or takes over another company in the same industry
Horizontal Consolidation
If one company that merges with or takes over all of the companies in the same industry, this is considered what?
Monopoly
When is a monopoly determined?
when there is no competition for a product due to consolidation of the industry.
A legal arrangement that allows for one person to manage another person’s property.
The manager is called a trustee
Trust
Owns enough stock of companies that it controls the company
Holding company
workers negotiate as a group with owners
collective bargaining
a list of people who Industrialists wouldn’t hire
blacklist
strike breaker who replace striking workers
scab
formal court order for strikers to go back to work
injunction
private police force-known for breaking strikes
Pinkerton
only union workers can be hired here
Closed shop
Attempt to make things better for workers
Better pay, working conditions, regulation of hours, other benefits
Power in numbers
Trade Union
economic and political philosophy that advocated collective or government ownership of factories and property
Socialism
no need for the state, classless society
anarchist-oppose all government
Communism
called “wobblies”, all workers in a single Union
Power of the strike is the only true power of the workers, Included women, immigrants, and blacks, Heavily persecuted during World War I
Industrial Workers of the World
Skilled labor
Wanted to achieve worker demands without challenging rights of owners
No blacks, immigrants, or Chinese
American federation of Labor
Describe the Homestead Strike.
1892-Homestead, PA
- Carnegie owned steel mill
- Carnegie is overseas
- Henry Clay Frick is in charge of the Mill
- Frick decides to cut wages by 20%
- Frick locks out the workers and sends in the Pinkertons
- Violence erupted between the workers and Pinkertons
- PA Governor sent in the militia
- The strike fell apart
- Carnegie refused to negotiate with any unions from that point.
anarchist
opposes all government
1869-Philadelphia, group that wanted to united workers under one Union, 8 Hour work day, end child labor, equal pay, Hated Chinese
Knights of Labor
