Rise of the Populists Flashcards
What did homesteaders and farmers need money for?
They needed money to purchase seed, livestock, high tech farming equipment, and other supplies.
How did many farmers finance their expenses?
Many financed these expenses by taking out loans with banks in the east.
What happened to crop prices in the late 1880s?
Crop prices began to fall, leading farmers to go further into debt.
What was the consequence of falling crop prices for farmers?
Farmers worked to plant more for less return, earning less money while most went to paying off debt.
What actions did banks take against farmers unable to pay debts?
Banks aggressively foreclosed the farms of debtors.
How did railroads affect farmers?
Railroads gouged farmers to ship and store products due to a lack of competition.
What were greenbacks?
Greenbacks were paper money issued by the U.S. government not backed by gold, used to finance the Union cause in the Civil War.
What was one result of issuing greenbacks?
One result was inflation, which raised the prices of crops.
What did some Americans want to do after the Civil War regarding greenbacks?
They wanted to discontinue greenbacks and replace them with bank notes backed by gold.
Why did farmers oppose the discontinuation of greenbacks?
Farmers feared it would trigger economic recalibration, causing crop prices to fall and making it impossible to repay loans taken out during inflation.
What did the Resumption Act of 1875 accomplish?
It reduced greenbacks in circulation from $450 million to $300 million, ensured future notes would be backed by gold, and called for issuance of silver coins.
How did farmers feel about the defleation that followed the Resumption Act?
Farmers grew unhappy as deflation took hold and wheat prices dropped.
When could greenbacks be redeemed for gold?
Starting in 1879, greenbacks could be redeemed for gold.
What was the Grange?
The Grange was founded in 1867 as a social organization for rural farmers.
How did the Grange evolve over time?
It quickly evolved into a political movement against railroad monopolies and for better loan terms from banks.
What was the membership size of the Grange?
Membership quickly grew to 4 million farmers.
What political movement emerged from the Grange?
The political movement that emerged became known as populism.
When and where was the first Populist Party convention held?
The first Populist Party convention was held on July 2, 1892, in Omaha, Nebraska.
What did the Populist Party’s want? (7 things)
- More paper money not backed by gold (2) A graduated income tax (3) Federal loan program for farmers (4) An 8-hour workday (5) Restrictions on immigration (6) Popular election of Senators (7) A guaranteed secret ballot.
