Politics of the Gilded Age

Question 1

Vanderbilt:

Answer 1

-Railroads. (Steel over Iron)

Question 2

Rockefeller:

Answer 2

Oil, controlled 90% of refineries. (At peak $200 billion)

Question 3

Morgan:

Answer 3

Banking, owned rail lines.

Question 4

Carnegie:

Answer 4

Steel, controlled 25% of U.S steel production.

Question 5

Vertical integration:

Answer 5

-Buying up all of the levels of production
-You control every step
E.g. andrew carnegie and steel production
Owned mines, foundries, railroads to transport steel, everything

Question 6

Horizontal integration:

Answer 6

-You control a certain step of production completely
E.g. John D. Rockefeller
He owned 90% of the oil refineries at the time

Question 7

Defenses of the Gilded Age:

Answer 7

• Social Darwinism
• Triumph of individualism
• Great wealth open to all
• “Captains of Industry” create wealth and jobs
• Wealthy are the social benefactors

Question 8

Condemnations of the Gilded Age:

Answer 8

• Concentration of wealth unhealthy.
• By 1900, 1% controlled 88% of wealth.
• Great wealth contributes to political corruption (anti-democratic).
• ‘Captains of Industry’ stifling competition.
• Monopolies and Trusts bad for economy.
• Conditions for many harsh.
• Business cycles, low wages, child labor, urban crowding and poor health.

Question 9

Response to the Gilded Age:

Answer 9

Business Regulations
-Interstate Commerce Act of 1887 
-Regulated railroads in interstate commerce 
-Interstate commerce commission created 
-Sherman Anti -Trust Act of 1880
-Made restraints of trade in interstate commerce illegal
Amendments:
-Income Tax
-Women’s suffrage
-19th amendment
-1920
-Direct election of senators
-Not by state legislators anymore
-Prohibition (of Liquor) In 1919