Period 6 Test Flashcards
What events highlighted the politics of the Gilded Age?
The Elections from End of Civil War up to 1890s.
What was the first election after the Civil War?
1868
Describe the events leading up to the 1868 Election.
Lincoln elected in 1864, assassinated and Johnson becomes President. Johnson would not run again.
Why did Johnson not run again in 1868?
It was because of his misdealing and impeachment issues.
Who did the Republicans nominate for the 1868 election?
Grant
Why did Republicans like Grant?
They felt good Generals made Good Presidents.
Was the Great Generals Great Presidents proved true by Grant?
No
Who did the Democrats nominate in 1868?
Horatio Seymour
What did Seymour do before the election?
He was the NY Governor
What was the main difference between Seymour and Grant?
Seymour had experience, unlike Grant.
What was a campaign tactic Republicans used for Grant
“Wave the Bloody Shirt”
What was “Waving the Bloody Shirt?”
The campaigners took the bloody shirt and go out on a campaign and say Grant was man to elect because he is best thing for America, the key general who won the Civil War.
What was Grant’s administration filled with?
corruption and scandals
What name was given to Grant’s administration?
Era of Good Stealings
What was our population in 1870?
39 million
From 1860 to 1870, what was the population change?
We increased by 26.6%.
Why was the 1860-70 population increase surprising?
Because we lost 600,000 people in a bloody Civil War.
What caused our population to rise despite the Civil War?
Immigration
How did immigration affect our population from 1860-70?
So many immigrants came into the US, that it raised the population despite fighting a war against ourselves.
What did our large population increase make us in relation to the world?
We were now #3 in population of the whole Western World.
Were we #3 in the whole world in population?
No
What countries were we behind in the western world in population?
Russia and France
What other countries were ahead of us in the entire world population count besides France and Russia?
China and India
What was Grant’s first scandal as President?
Tweed Ring
Where was Tweed Ring located?
New York City
Describe Tweed Ring and what they would do.
A corrupt circle of politicians who would literally buy peoples’ votes, and eventually buy elections as a result.
Who led Tweed Ring?
Boss Tweed
What else did Tweed create?
A pre-mafia criminal empire
How much was Tweed’s criminal empire worth?
$200 Million
What was interesting about Tweed’s criminal empire and political empire?
They were worth about the same money.
Who eventually brings down Tweed?
Samuel Tilden
What was Tilden’s job when he took down Tweed?
He was an attorney from New York.
What was Tilden’s future after taking down Tweed? Why?
He will come up again in political races because Americans are celebrating he took down this corrupt ring.
What was Grant’s second scandal?
Credit Mobilier
What industry did Credit Mobilier relate to?
Railroad industry
What was the Credit Mobilier?
A fake company setup by the Union Pacific.
What was the Union Pacific?
A a major railroad company at the time in the US, as they build part of the Transcontinental Railroad.
What was the idea behind the Union Pacific setting up the Credit Mobilier?
They could infiltrate Congress with bribes, corruption, and low-life deals to win Congressmen’s votes on certain railroad bills in Congress to be passed.
How does Credit Mobilier infiltrate Congress?
They do lots of tainted favors for Congress.
What one favor in Congress does Credit Mobilier do?
They have a man in Congress selling shares to Credit Mobilier to other Congressmen.
Why was there a man in Congress selling Credit Mobilier shares?
They felt if Congressmen can buy shares of the company and then will vote yes to make the company more profitable and could profit from their shares.
Are Congressmen allowed to buy shares and endorse a certain company anymore?
No, it’s illegal
When was the Credit Mobilier scandal exposed?
1872
Who exposed the Credit Mobilier scandal?
a newspaper
Who were some of the political officials involved in the Credit Mobilier scandal?
- Congressmen, such as James A. Garfield
- Vice President
- Speaker of the House
What was significant about the VP and Speaker of the House being involved in the Credit Mobilier?
They are the first two people line for the Presidency and are involved in this scandal.
What was the third scandal for Grant?
The Whiskey Ring
How did the Whiskey Ring scandal begin?
A group of men who decided it would be fun to defraud the government created counterfeit revenue stamps and defrauded the government millions of dollars.
How did Grant feel about the Whiskey Ring scandal?
He was furious and wanted to punish everyone who was involved in this scandal.
What changed his mind about punishing everyone in the Whiskey Ring scandal?
When Grant found out his Private Secretary, was involved
Who was Grant’s private secretary?
Former General Orville Babcock.
What did Grant do when he found out Babcock was involved?
He wanted to get him off the hook and save him from punishment.
Why did Grant want to save Babcock from punishment?
He was a close official to Grant.
How many people were indicted in the Whiskey Ring scandal? What punishment did they receive later on?
About 200 other people were indicted and would serve jail time as a result.
What was the fourth scandal of Grant’s administration?
The Belknap Scandal
Who was involved in Belknap scandal?
Secretary of War Belknap
What did Belknap do in the scandal?
He winds up stealing $24K from the Native Americans/
How did Belknap steal the $24K from the Natives?
He was selling supplies to natives and is over-charging for those supplies, with the profits, he keeps them and it amounts to $24K.
What was significant about Belknap taking in $24K?
That value of money was a lot back then.
Who dealt with one final scandal in the Grant administration?
Congress
What scandal did Congress have in Grant’s administration?
The Salary Grab Act
How did the Salary Grab Act make Congress look? How did citizens feel about it?
It was embarrassing for the Congress and the citizens were very angry about this.
What did Congress do in the Salary Grab Act?
They voted to increase their salaries, as well as the President’s salary.
How much does Congress increase the President’s salary in the Salary Grab Act?
It doubles, from $25K to $50K.
How much did Congress increase salaries for Congressmen in the SGA?
They raised it between $5K and $7K, depending on the person’s role in Congress.
What other corrupt move did Congress make as part of the SGA?
They made the raises to salaries retroactive.
How did Congress make their salary raises retroactive?
If you were in Congress by this one date, you got a raise for all these past years, which totaled up and essentially gave them another bonus of $5K.
What was the problem with Congress making their salaries retroactive?
It gave them money for terms in Congress they already had and are currently in, which kept adding onto their first bonus and gave them more money.
How did the citizens respond to the SGA?
They were furious and forced Congress to eventually repeal their own raises.
What are today’s laws relating to increasing payment for Congressmen?
Congress cannot vote itself a raise in its current term, it may only vote a raise in future terms, must be re-elected to count that raise.
Who is the Republican candidate in the 1872 Election?
Grant
How was Grant viewed in the election of 1872 by Republicans?
Republicans are not thrilled with him because of scandals, but have to go with him as they have no choice, nobody else around.
What happens inside the Republican Party during the Election of 1872?
There is a defection inside the party.
Who defected from the Republican party in 1872?
Liberal Republicans
Why did the Liberal Republicans defect from the party?
They were unhappy with Grant.
With this party defection in 1872, how much support does Grant get?
He still gets a lot, but much less than in 1868.
Who was the Democratic candidate in 1872?
Horace Greeley
What did Greeley do before the 1872 election?
He was en editor for the NY Tribune, a newspaper man.
What was key about the two top candidates in the 1872 General Election?
Neither candidate had a lot of real political experience.
Describe how both Grant and Greeley had very little experience by the 1872 election.
Greeley had no experience at all, as he worked for a newspaper, and Grant had no political experience before being President, and was President for 4 years in a mess of an administration.
When Liberal Republicans left the party, who did they support in 1872?
Greeley
How did the 1872 Election turn out?
Grant won very narrowly.
How did Grant win very narrowly?
It was a tight election, there was no real good choice because of lack of experience, neither side had clear advantage.
What was significant about the 1872 Election in relation to the Gilded Age’s politics?
All the other Gilded Age elections would be tight like this one, sets up this theme, as the country is on the fence of who wins each election.
In Grant’s Second Term, what major issue occurred?
The Panic of 1873
What is a panic similar to?
An economic depression or recession
What was tough about the Panic of 1873?
We had to deal with both this panic and Grant’s scandals.
How long did the 1873 Panic last?
6 years, from 1873-79.
What caused the Panic of 1873?
A financial collapse caused by over-speculation.
During the Panic, how many risky financial behaviors could have risked our economy?
4
What were the four risky financial behaviors of the Gilded Age, which caused the panic of 1873?
over-investment in:
- railroads
- factories
- agriculture
- banking
How would one over-invest in factories, causing the Panic of 1873?
People were building too many manufacturing facilities and being unable to support them with the demand in the market.
How was over-investing in agriculture a risk during the Gilded Age?
There was new farming equipment around, farmers got loans from banks to use this equipment, but were unable to use it to its potential and turn out a successful crop, selling in the market where prices were depressed.
How did over-investment in banking cause financial risk and lead to the 1873 Panic?
There was really risky banking going on, as people gave faulty loans that were not supported by responsible people.
What were the two main effects of the Panic of 1873?
- 15,000 businesses went bankrupt
- 3 million people were unemployed
How was losing 15,000 businesses to bankruptcy a blow to our economy during the Panic?
It was a large number of places considering the country’s size, we were not large western manufacturing power yet, as this was a big blow to the economy.
How was having 3 million people unemployed a hit to our economy?
Since our total population was 39M people, 3 million unemployed brought our rate to over 10% of the workforce.
How did people respond to the Panic of 1873?
They wanted to get money and wanted government to resolve this.
How did people want the government to fix the Panic of 1873 issue?
They hoped the government would issue more money.
What was the ultimate peoples’ plan for fixing the Panic of 1873?
Going to a Silver Standard
Why did the American people want us to change to a silver standard?
We were on a Gold Standard for a long time, country felt if we went from gold to silver, the government can issue more money based on the silver we can build up
Why did Americans think going to a silver standard would get the people more money?
Silver is a cheaper but still precious metal, and we also had lots of silver in our economy as well. The government could save money and get it to the people.
Did the government decide to go to a Silver Standard?
No
Why did the government not want to go to a Silver Standard?
They knew it would reduce the value of the money and then causing rapid inflation, as they needed the money process backed by something tangible.
What system does the government try to use during the Panic of 1873 with respect to money?
They will issue more gold-backed money called “greenbacks”.
Who dubbed the term “Gilded Age”?
Mark Twain
Describe the state of the Gilded Age politics as a whole.
- they are very unstable
- many close elections, especially in Presidential races
- Congress is back and forth
What was the voter turnout during the Gilded Age of eligible voters, and what is that compared to today?
There was an 80% turnout for Presidential years, almost double of what we see today.
Describe how Congress was back and forth politically during the Gilded Age.
The majority party flipped usually after each set of elections, no consistent leadership in the country, it was changing constantly.
What were the Republican Party’s values during the Gilded Age?
They valued morality and government regulation.
What were the Democratic Party’s values during the Gilded Age?
They valued toleration, looser government and more laissez-faire.
What kind of toleration did Democrats value in the Gilded Age? What kind did they not value?
It was not racial or cultural toleration, but toleration of letting people do what they want to do in a free economy.
After two terms as President, what did Grant do in the future?
He made attempts to run for President twice more, but failed.
In 1876, who did the Republicans nominate?
Rutherford B. Hayes
Where was Hayes from?
Ohio
What was significant about Hayes being from Ohio?
He started a string of Ohio Presidents during the Gilded Age, as early on we had string of Virginians, now we had Ohioans.
Who did the Democrats nominate in the 1876 Election?
Samuel J. Tilden
What was Tilden’s experience before this election?
He was the attorney that took down Boss Tweed
Who won the popular vote in 1876?
Tilden
Describe the electoral vote situation in the 1876 Election.
Tilden is one vote short of the Presidency, and had 184, needed 185 to win.
What states were left with votes that had not been counted when Tilden was one vote short? All those states put together totaled how many votes?
Louisiana, South Carolina, Florida, and Eastern Oregon were left outstanding and totaled to 20 electoral votes.
What was the problem with the results from these four outstanding states in 1876?
Their results differed, as when two sets of results were counted, Louisiana and South Carolina had different winners in each vote count, making people confused who would win.
With this electoral vote confusion in 1876, what did the government do?
They passed the Electoral Count Act
What did the Electoral Count Act do?
It set up a commission of 15 members who will decide how to determine which set of voting results to take.
What did the Electoral Count Committee consist of?
Congressmen, Supreme Court Justices, and Senators.
What was the problem with the Electoral Count Committee?
They needed an odd number, so there would never be a tie, but there is an 8-7 Republican majority.
With the Electoral Count Committee’s Republican majority, what results were chosen to be official by them?
The Republican-favored results in South Carolina and Louisiana.
How did the Democrats feel about the decision on making Hayes President by the EC Committee?
They were very angry.
With the Electoral Count committee taking the Republican results in those 4 states (2 of which were Republican on both return forms, 2 differed), how did the election play out?
Hayes became President
With Hayes’ controversial victory and the Democrats’ anger, what do Republicans decide to do?
They will make a negotiation with Democrats in the election’s wake.
What was the deal made after the 1876 Election?
The Reconstruction troops are to be withdrawn from southern states and Hayes will be President with no controversy.
How was the end of Reconstruction negotiation viewed for both sides?
Republicans agree to end Reconstruction at this point, good news for the south, as south was willing to give up election in order to get military reconstruction troops out of the south.
What caused the end of Reconstruction?
The controversial results of the 1876 Election.
How long did military Reconstruction last?
1865-1877
What was the real main result of ending military reconstruction in the south?
Blacks were really not much better off.
What were some problems for blacks after Reconstruction ended?
- many were sharecroppers
- voting rights were not respected
- Jim Crow/segregation laws came into effect
After Reconstruction, why did blacks rights’ dwindle?
The South knew they could now be more free in making laws without any major northern response, as military troops were gone, and the only people to defend the blacks were themselves.
Describe how blacks’ rights were disrespected after Reconstruction ended.
Their voting rights were limited with literacy tests and grandfather clauses, hate groups like the KKK disrespected them.
Describe how blacks were segregated.
Many facilities such as schools were segregated, black and white, and blacks learned in the bad schools, while whites learned in the nicer schools.
What was the problem for blacks with sharecropping?
They basically were doing labor on their former slave owner’s land, but making a little bit of money as they shared some crops and profits.
What major Supreme Court case related to segregation in the south later on? What year was this case?
Plessy v. Ferguson in 1896
What was established in Plessy v. Ferguson?
The theory of “separate but equal.”
What did the “separate but equal” theory mean?
As long as the facilities are in equally good shape, it is okay that they are segregated.
What was the Plessy v. Ferguson decision based on?
14th Amendment
How did the court rule Plessy v. Ferguson in relation to the 14th Amendment?
The Amendment meant qual rights for every citizen, including former slaves, and says each citizen will be treated equally according to the law, even if they are separated.
How did people view President Hayes?
They did not really respect him as the legitimate winner and called him nicknames.
What nicknames did people call President Hayes?
“Old 8 to 7” and “His Fraudulency”
How long did Hayes serve as President?
One term
What was Hayes most noted for as President?
- The Labor Disputes
- Chinese Immigration
Where did many Chinese immigrants come into?
California
Why did many Chinese immigrants come to California?
They were looking for work and prosperity.
Where did many Chinese immigrants work?
Mainly in mines or on the railroads.
Who was Dennis Kearney and what did he do?
He was an abusive man towards the Chinese people who worked for him.
What was the name for Kearney’s group of followers?
Kearneyites
What did Kearney and his followers think about the Chinese immigrants?
They deeply resented them and their cheap labor.
Why did Kearney and his followers dislike the cheap labor of the Chinese immigrants?
Because people did not pay Chinese anywhere near how much they would pay an American citizen.
With the movement of the Kearneyites and the mass hiring of the cheap labor in the Chinese, what happens in Congress?
Congress passed the Chinese Exclusion Act.
What did the Chinese Exclusion Act do?
It set up a quota for how many Chinese immigrants are allowed into the US in any given year.
How was the number of admitted Chinese immigrants determined under the Exclusion Act?
It was based on census data from a few decades ago.
How did some people feel about using past censuses to determine how many Chinese immigrants could come in?
They felt it was an unfair estimate of how many Chinese immigrants are let in and was poorly done.
How did Hayes feel about the Chinese Exclusion Act? Why?
He disliked the act, as he is from the Republicans, the party for morality in the Gilded Age.
What does Hayes do after the Chinese Exclusion is passed in Congress?
He vetoed it.
What would eventually happen to the Chinese Exclusion Act after Hayes left office?
It would later passed along in the future.
Who did the Republicans nominate in the election of 1880?
James A. Garfield
Where was Garfield from?
Ohio
Who was James Garfield’s running mate?
Chester A. Arthur
Who did the Democrats nominate in the election of 1880?
General Winfield Scott Hancock
How did the 1880 election turn out?
Hancock won popular vote, but Garfield narrowly won the electoral college and became President.
What process do most politicians use when appointing office seekers to government positions?
They let local offices pick them.
How was patronage carried out?
The President would pick his own men
How did Garfield feel about patronage?
He liked it and wanted to do his own thing by picking his own men.
What government job caused lots of contention during Garfield’s job appointments?
A Custom House Job opening.
Where was the contention about the Custom House job for Garfield?
New York
Which man really wanted the job with the Custom House under Garfield’s administration?
Charles Guiteau
How did Guiteau show he really wanted Garfield to appoint him?
He constantly petitioned Garfield for the right to be appointed for the job.
How did Garfield respond to Guiteau’s campaigning for the Custom House job?
He said no.
What did Guiteau do after Garfield told him he could not have the Custom house job?
He decided to assassinate Garfield.
How did Guiteau assassinate Garfield?
He walked right up to him in this room, pointed gun at him and shot him in the stomach.
Describe what happened to Garfield after he was shot.
He lingered for another 10 weeks and kept living with a bullet in his stomach.
During those 10 weeks after Garfield’s assassination, what was done to him to try to remove the bullet?
The doctors brought in Thomas Edison to figure out where the bullet was in his stomach, so the surgeons could try to remove it.
Did the plan with Edison and the surgery work out?
No
When did Garfield die in relation to him being shot?
He died 10 weeks later
Who became President after Garfield died?
VP Chester Arthur
How was Arthur viewed as President by the people?
He was seen as an unqualified President, as Arthur even did not want the job when Garfield was killed and he felt unprepared for the job and did not want responsibility of the office.
Describe Arthur’s background.
He came from a corrupt background in New York City, when he was head of the Customs Office.
Where is Arthur from?
New York
How was Arthur corrupt as head of the Customs Office?
He was susceptible to bribes and he took them.
When Arthur was VP and President, what did he hope to do with his background?
He wanted to put all of that behind him at this point and move on with a clean image, and tries to do it when he was VP and President.
What major act was passed in Arthur’s administration?
Pendleton Act
When was the Pendleton Act passed?
1883
Why was the Pendleton Act passed?
As a result of the causes of Garfield’s assassination with patronage.
What did the Pendleton Act do?
It set up a merit system, whereby you have to be qualified for the appointment for the position you want, you cannot just use patronage anymore.
After the Pendleton Act was passed, what else was used to ensure this act would be followed?
The Civil Service Commission
Why was the Civil Service Commission created?
To determine who has the merit to be given a job for the government.
What is the job of the Civil Service Commission?
They need to present job candidates with the Civil Services Exam.
What was the Civil Services Exam about?
You had to prove your aptitude and qualifications for particular jobs, you had to take it to work for the government.
Who did the Republicans nominate in 1884?
James G. Blaine
Did Arthur run again after he finished Garfield’s term?
No
Who did the Democrats nominate in 1884?
Grover Cleveland
Who won the 1884 Election?
Cleveland
What was significant about the 1884 Election?
With Cleveland’s win, he is the first Democrat since Buchanan in 1856 to win the Presidency, after long string of Republicans, first Democrat to win post-civil war.
Why did Cleveland mainly win and get so many votes?
Some Republicans, who were disgusted with their party’s leadership, defected and voted for Cleveland.
What was the name for Republicans who voted for Cleveland?
Mugwumps
What was key about the Mugwumps who voted for Cleveland?
Their votes will push Cleveland over the line to win.
How much did Cleveland win by?
He won by 29,000 popular votes in a close win.
What major issue came up in Cleveland’s first term?
Morrill Tariff
What has happened to the Morrill Tariff since the Civil War?
It has been very high.
How has the Morrill tariff been high before the war?
The had to raise the tariff with the Morrill Tariff Bill.
How did the South feel about raising the tariff before the war?
It made them angry and was a cause of why they left the Union.
After the south seceded, did the Union keep the tariff? Why?
They kept it and increased it during the war in order to raise money to fund the war, and since the south was out, they could have it for themselves.
In 1884, was the tariff still in place?
Yes
What did Cleveland do about the tariff in his first term?
He suggests lowering the tariff.
Why did Cleveland favor in lowering the tariff?
It was because we had a surplus in the Treasury of $145M.
How did people feel about Cleveland wanting to lower the tariff rate?
Many northerners disliked it, especially the Northern manufacturers. It was a very unpopular move.
Why were northern manufacturers angry when Cleveland wanted to lower tariffs?
Those workers want tariffs to protect them to force people to buy their goods over European goods.
What other issue did Cleveland deal with as President besides the tariff?
Scandals
What was Cleveland’s main scandal as President?
He was given a ward of the state, who was 21 years old, and Cleveland was over 50 when he was President, and they get married in the White House.
What other allegations came out about Cleveland and his 21 year old wife in his first term?
It was rumored that he beat her up when he was drunk.
What was Cleveland’s other issue with drinking as President?
That he would get on drunken rages and beat her.
Was it proven that Cleveland beat his wife when he was drunk?
No
Even though his drinking issues were not proven true, what was the problem about the talk for them?
The thoughts of scandal by the people plagued him with the people.
What other family problem/scandal did Cleveland deal with as President?
He also had a child out of wedlock, so when he became President, he had illegitimate child.
Who did the Democrats nominate in 1888?
Incumbent President Cleveland
Who did the Republicans nominate in 1888?
Benjamin Harrison
Where was Benjamin Harrison from?
Indiana
Who won the 1888 Election? By how much?
Harrison narrowly wins the election.
What factors caused Cleveland to lose the 1888 Election?
Between lowering the tariff and the alleged scandals, he made many people upset and lost voters as a result.
What were the three main political themes of the Gilded Age?
- Dominated by Republican Presidents
- Plagued by constant scandals and corruption
- blurred by flip-flopping politics
How was the Gilded Age dominated by Republican Presidents?
Every President except Cleveland was a Republican.
How was the Gilded Age’s politics blurred by flip-flopping politics?
Congress shifted its control almost every election, and we had very narrow Presidential races.
What was the most profound industry of the Gilded Age?
Railroad Industry
What was the significance of railroads in the Gilded Age?
It was an impactful thing we did during a peaceful time in the country, an amazing transformation of the country that moved us forward.
How much railroad track did we have in 1865?
35,000 miles
What was the problem with our 35K miles in 1865?
3/4 of those miles of track were in the north.
What was the problem with having most railroad track in the north, even after the Civil War?
There was deep concern of developing the whole country.
How did we have to develop the whole country during the Gilded Age?
We had to recover the South from after the Civil War, and we had to bind the west coast to the rest of the country, as there was a huge gap of undeveloped land, west coast was aloof.
Why was it imperative we connect the West coast with the rest of America?
The last thing anyone wanted to see was the west coast to secede because they could have felt left out and aloof on their own, we hoped California would not go back to the Bear Flag Republic.
By 1900, how many miles of railroad did we have?
192,556 miles
Before we developed all this new track and had this issue with connecting the west coast, what did the government do?
They saw a strong need for a transcontinental railroad.
To get a transcontinental railroad built, what must be needed?
an incentive to build it
When people needed an incentive to build the railroad, what did the government do?
They gave railroad builders land and money.
How did the governments give land and money for people building railroads? How much did they give?
Federal government gave 155 million acres to build, and state governments gave 49 million acres. For each mile of track built, they were given between 16K and 48K.
Why did governments give land and money incentives to build the transcontinental railroad?
They wanted it to get done soon, so they gave them an incentive to work hard on it.
Who built the first transcontinental railroad?
Two major railroad companies.
What two companies built the first transcontinental railroad?
Union Pacific and Central Pacific
What part of the railroad does Union Pacific build?
They started in Omaha, NE and went west to the point where both lines met.
How many workers did Union Pacific use to build the railroad? What kind of workers were they?
They used about 5000 Irish workers.
How many miles of track did Union Pacific build on the first transcontinental railroad?
1086 miles
How many miles did Union Pacific build per day?
10 miles
Where did the Central Pacific build the railroad from?
They go west to east, from California, inland.
Which railroad company had the harder road to build? Why?
Central Pacific had it harder because they had to go through the Rocky Mountains and the Sierra Nevada.
Why was it harder for the Central Pacific to go through the rockies?
It was more difficult to lay down track and it needs more reconfiguring of land to lay down the track.
What group of workers did the Central Pacific company use to build their railroad?
They used mostly Chinese workers
How many miles of track did Central Pacific build?
689 miles
What was the place where both Central Pacific and Union Pacific met the tracks?
Ogden, Utah
What do the two companies do when they meet at Ogden, UT?
They take a gold spike and drive it into the ground to bring the tracks together.
Where is the gold spike from the railroad juncture placed today?
Stanford University
Why is the gold spike from the railroad juncture at Stanford?
Leland Stanford was a big finance of the Central Pacific, and he founded the University.
What political position did Stanford hold as a wealthy businessman?
He would be Governor of California.
Who was deemed to be the greatest railroad builder ever?
James Hill
What did James Hill do as a railroad builder?
He helped build the first transcontinental railroad and would help build a second railroad, the Northern Pacific.
During the Civil War, describe the conditions of railroads.
They were in poor conditions and in a mess.
What are some of the changes to the railroads done during the Gilded Age?
- lowered rates
- standard gauges
- steel rails
- air brakes
- Pullman sleeping car
Why did the railroad companies want to lower rates in the Gilded Age?
They wanted to have more people using them and to be affordable for the common man.
Before steel rails, what was used by railroad companies to build track?
Iron
What were the problems with iron rails?
The iron was heavy, porous, and weak for the mission.
Why was a steel track better suited for railroads than the previous iron tracks?
Steel was lighter, more flexible, and had more endurance in bad weather.
What is a railroad track’s gauge?
The width of the train tracks.
Why did railroads in the Gilded Age go to a standard gauge?
All the railroads had different track widths, so when you got to another track, you had to change cars and unload all the stuff and load it onto another car in order to keep moving, the standard gauge made it so you did not have to change cars.
Why did railroads of the Gilded Age change to air brakes?
The older brakes were rickety, not very strong, and caused many accidents, which made it uncomfortable for passengers.
What was the benefit of having air brakes on trains?
It made for a more comfortable ride as a passenger and made for an easier stop.
What was the Pullman sleeping car?
A car that is comfortable to ride long distance in, where you can sleep.
Why did the transcontinental railroads implement Pullman sleeping cars on their trains?
If there is a long transcontinental railroad with moving passengers, you want to make them feel comfortable if they are riding across the country.
How did the railroad unite America in transportation?
It made us worry no longer about wagons or steamboats and river system, we could now essentially go anywhere we wanted in the country by rail, and it connected our west coast to the east.
How did the transcontinental railroad help our economy?
It increased our domestic market.
How did the transcontinental railroad help with trading?
We could move more raw materials and agriculture around the country more easily.
How did the transcontinental railroad help immigrants?
The immigrants going west were able to travel easier across the country.
What system is implemented by the railroad operators after a few years of the railroad system?
We introduced the time zones.
Why did railroad operators create the time zones?
There were many wrecks happening because people did not know what time trains would arrive at different places.
How were time zones created in America?
They divide the country into 4 time zones.
What are the four American time zones created in the Gilded Age?
- Eastern
- Central
- Mountain
- Pacific
Was the railroad industry free of corruption?
No
What corrupt actions took place in the railroad industry?
- stock watering
- bribery
- pooling rates
- secret rebates
Where did stock watering come from?
the cattle industry
What was “stock watering” in the cattle industry?
Before cows were weighed to gauge a price on them at markets, farmers would feed them salt, which would make them thirsty, and the cows would drink lots of water to increase their weight and price
How did railroad businessmen “stock water” their industry?
They talk about their company in a way that is so appealing that it boosts the price of the stocks to an unreasonable value.
How was the railroad industry’s stock watering process corrupt?
The stock values they put on were not a true value of the stock’s worth, as they did this by word of mouth, not real values.
Who did railroad businessmen bribe in their corrupt dealings? Why did they bribe these people?
They bribed officials for passage of bills in Congress.
What did it mean when railroad businessmen pooled their rates?
It meant that several railroad operators got together in geographic areas and decided to split the profits instead of relying on one company.
How was pooling rates by the railroad businessmen corrupt?
This drove down the competition, but increased the profits for the businesspeople, so it hurt the economy, but helped the businessmen.
How did railroad businessmen give secret rebates?
If you were a frequent traveler you got a kickback and in some cases you went a shorter distance, you paid more than going a longer distance.
Who was affected by the secret rebating by railroad businessmen?
It affected people who moved goods and merchandise.
How did the states respond to this railroad corruption to try to stop it.
The states were taking upon themselves to regulate the railroads.
What happened as a result of states regulating railroads?
The Wabash Case
What did the Wabash Case rule about railroad regulation?
States cannot regulate, as it was interstate commerce, it was federal regulation, goes back to ruling of interstate commerce from 60 years ago.
What was created following the Wabash Case?
Interstate Commerce Act
When was the Interstate Commerce Act created?
1887
What did the Interstate Commerce Act do?
It takes away the corrupt practicing by these railroad businessmen of bribing, pooling, secret rebating, or changing long haul vs. short haul.
What was the effect of the Interstate Commerce Act?
It curtails the corruption of these businessmen
What did the Interstate Commerce Act establish?
Interstate Commerce Commission (ICC)
What is the role of the ICC?
To oversee business deals to ensure there is no corruption
During the Gilded Age, what major business tool was formed?
Trusts
After more and more adding to manufacturing, what eventually happens to US industry?
The US is #1 among manufacturing nations after a while.
When did the US become #1 in manufacturing nations?
1894
What was significant about us becoming #1 in manufacturing?
It showed how we made up lost ground quickly after the Civil War.
What economic cause made us #1 in manufacturing growth?
Within 30 years, US patent office issues 440,000 patents for workers.
What are the top industries invested in by mainly one person that got very rich?
oil, steel, business, railroad
Which man was on top of the steel industry in the Gilded Age?
Andrew Carnegie
Which man is on top of the business industry in the Gilded Age?
John Pierpont Morgan
Which man is on top of the oil industry in the Gilded Age?
John D. Rockefeller
Which man is on top of the railroad industry in the Gilded Age?
Cornelius Vanderbilt
How many ways did the top of the industry people establish their empires and got rich?
3 ways
What 3 methods were used by the top of the industry men to establish their empires and get rich?
- vertical integration
- horizontal integration
- interlocking directorates
Which wealthy person used each method to grow the industry they controlled?
Carnegie used vertical integration
Rockefeller used horizontal integration
Morgan used interlocking directorates
How did Carnegie use vertical integration to grow his monopoly?
He controlled or monopolized every step of the production process.
What are some steps of the process in the steel industry? What did Carnegie do in all of these steps?
They workers must mine coal and transport coal, needs to produce steel, needs to transport it out to sell it in the market. Carnegie controlled all these steps in his vertical integration plan.
How did Rockefeller use horizontal integration to grow his monopoly?
He took one step of the oil refining process and controls all of that one step.
What one step of oil refinements did Rockefeller control?
Since he was geographically widespread, he would visit and control a vast number of oil refineries, where he gets very rich.
How did Morgan use interlocking directorates to grow his monopoly?
He would go to failing banks and put his people on the board of directors, he would often put them on multiple boards of directors.
Why did Morgan put his people on multiple boards of directors at banks?
So the directorates would interlock, had common interests, which was to make Morgan get more money and fix each bank.
What was the state of oil in the 1860s?
It had minor uses.
What were the minor uses of oil in the 1860s?
It was used as kerosene to turn on a lamp and other smaller uses.
What invention hurt the oil industry in 1860s?
The invention and perfection of the electric lightbulb by Thomas Edison
What did it look like for the oil industry after the lightbulb was created?
It looks like it will have no use for the future.
What industry brought up the oil industry in the Gilded Age?
The Automobile industry
How did the automobile industry help the oil industry?
The auto industry pushes a need for oil with the invention of the automobile, it keeps oil going in its industry.
After the automobiles were created, what was happening to Rockefeller and his oil businesses?
He was receiving great money and becoming richer.
How much of the American oil refineries would Rockefeller control at one point? What did this do for him?
He controlled 95% of the country’s oil refineries, making him very rich.
What other industry, like oil needed a boost to improve its industry?
Steel
How did the steel industry get better in the 1870s?
When the Bessemer Process was developed, it helped the steel industry.
Where was the Bessemer Process developed?
England
What did the Bessemer Process do?
It took impurities out of iron to make a higher quality steel, made for a much more efficient process.
What other minor industries had trusts?
- meat
- leather
- sugar
- farming
Who were the leaders of the Meat Industry/Trust?
Gustavus Swift and Phillip Armour
What inventions did Swift and Armour create while leading the meat industry?
The cold cut sandwich and hot dog.
What theory did all the top businesspeople in these top industries try to follow?
The Gospel of Wealth
What was the theory of the Gospel of Wealth?
The wealthy believed God reached his hand down to give them heavenly help to get rich. They felt with the money they were gifted, they owed it to the public to pay it back and forward.
What did some of these wealthy people do to help people as part of the Gospel of Wealth?
They setup colleges, and invested in libraries, all valued education.
Which industrial businessman invested in libraries?
Carnegie
What colleges were created as a result of the Gospel of Wealth? Who created each one?
Vanderbilt-Vanderbilt University
Carnegie-Carnegie-Mellon
Rockefeller-University of Chicago
How did the government feel about all these industrial trusts making people rich?
They felt they must control the trusts.
How did the government feel about the trusts and why they felt they should control them?
They felt trusts broke the economy, as they monopolized market shares. The government felt it was unfair.
What action did government take to control these industrial trusts?
They passed the Sherman Anti-Trust Act
When was the Sherman Anti-Trust Act passed?
1890
What was the purpose of the Sherman Anti-Trust Act?
It was intended to break up these large trusts and monopolies.
Why did the government hope the Sherman Anti-Trust Act would break up these trusts?
So the trusts cannot monopolize a large portion of the market share and eliminate competition.
What was the moral reason why the government felt they should break up the trusts?
The country was founded on equal opportunity, and these trusts only helped the rich get richer.
How was the Sherman Anti-Trust Act followed or enforced?
It really became an ineffective law.
Why did the Anti-Trust Act become so ineffective?
There was not anyone in government who was strong enough to enforce this against the large companies, and the companies found loopholes in this law, so they got around it very easily.
In the Gilded Age, after Reconstruction, what is the south’s economic/infrastructural state?
They are still recovering from the war, as Sherman tore it up badly, and they are trying to get it back together.
Who stepped up to try to help the southern economy when they were rebuilding after Reconstruction?
James Buchanan Duke
What did Duke do to try to help the south recover?
He formed the American Tobacco Company.
