aim : how did the american government help to make big business grow?

AimAim: How did the American : How did the American government help to make big government help to make big

business grow?business grow?Do NowDo Now

Read pages 440-443.Read pages 440-443.Answer the questions on the note sheet.Answer the questions on the note sheet.

Turn in your HW.Turn in your HW.Look at the HW board for your assignment.Look at the HW board for your assignment.

ObjectivesObjectivesBy the end of this lesson, you, one red-By the end of this lesson, you, one red-

blooded American student, will be able to:blooded American student, will be able to:

List the ways in which political List the ways in which political leaders responded to the leaders responded to the problems of the late 1800s.problems of the late 1800s.

Let’s DiscussLet’s Discuss Yesterday, we discussed the major industrial Yesterday, we discussed the major industrial

figures in American big business in the late figures in American big business in the late 1800s.1800s.

Today, we are going to play a game called:Today, we are going to play a game called:

Who Am I?Who Am I?

Who am I? Question 1Who am I? Question 1 I was a Scottish immigrant who made a lot I was a Scottish immigrant who made a lot

of money in the steel industry. Unlike my of money in the steel industry. Unlike my fellow robber barons, I donated my money fellow robber barons, I donated my money into forming a university that bears my into forming a university that bears my name in Pennsylvania and I currently have name in Pennsylvania and I currently have an entertainment center in NYC named in an entertainment center in NYC named in my honor.my honor.

Who am I?Who am I?

Who Am I? Question 2Who Am I? Question 2 I made my money in transportation. I I made my money in transportation. I

started out in NY by owning the small started out in NY by owning the small railroad and shipping lines within the city, railroad and shipping lines within the city, then I consolidated my companies to form then I consolidated my companies to form the biggest rail company on the east the biggest rail company on the east coast. I have a street named in my honor coast. I have a street named in my honor in Staten Island while there is a university in Staten Island while there is a university named in my honor in Tennessee. Who named in my honor in Tennessee. Who am I?am I?

Who Am I? Question 3Who Am I? Question 3 I established Standard Oil in Cleveland, I established Standard Oil in Cleveland,

Ohio back in the 1870s. By 1900, I had Ohio back in the 1870s. By 1900, I had owned over 90% of the oil refineries in the owned over 90% of the oil refineries in the United States. I used my money to build a United States. I used my money to build a center in New York, establish the University center in New York, establish the University of Chicago and my influence is the reason of Chicago and my influence is the reason why Jay-Z owns a record company which is why Jay-Z owns a record company which is named for me. (Although their spelling is named for me. (Although their spelling is incorrect.) Who am I? incorrect.) Who am I?

QuestionsQuestions What did the alliance of big business and government lead to?What did the alliance of big business and government lead to? What had backed paper money since the beginning of the United States?What had backed paper money since the beginning of the United States? What does it mean when the United States went on the gold standard?What does it mean when the United States went on the gold standard? What was the purpose of the Bland-Allison Bill?What was the purpose of the Bland-Allison Bill? Who were the Half-Breeds? the Stalwarts?Who were the Half-Breeds? the Stalwarts? Who did the Republicans nominate for President in 1880?Who did the Republicans nominate for President in 1880? If he was nominated and elected, Ulysses Grant would have been elected If he was nominated and elected, Ulysses Grant would have been elected

for a third term. Why would this occur without a problem? for a third term. Why would this occur without a problem? What did the Hatch Act provide?What did the Hatch Act provide? What happened to interfere with Cleveland’s popularity?What happened to interfere with Cleveland’s popularity?

Reasons for the alliance between big Reasons for the alliance between big business and government are due to five business and government are due to five reasons.reasons.

1. A Two-Party 1. A Two-Party StalemateStalemate

Two-Party “Balance”Two-Party “Balance”

2. 2. Intense Intense

Voter Voter Loyalty Loyalty to theto the

Two MajorTwo MajorPolitical Political PartiesParties

3. Well-Defined Voting 3. Well-Defined Voting BlocsBlocs

DemocraticBloc

DemocraticBloc

White southerners(preservation ofwhite supremacy)

Catholics Recent

immigrants(esp. Jews)

Urban working poor (pro-labor)

Most farmers

RepublicanBloc

Northern whites(pro-business)

African Americans

Northern Protestants

Old WASPs (supportfor anti-immigrant laws)

Most of the middleclass

4. Very Laissez Faire 4. Very Laissez Faire Federal Govt.Federal Govt. From 1870-1900 Govt. did

verylittle domestically.

Main duties of the federal govt.: Deliver the mail. Maintain a national military. Collect taxes & tariffs. Conduct a foreign policy.

Exception administer the annual Civil War veterans’ pension.

5. The Presidency as 5. The Presidency as a Symbolic Officea Symbolic Office

Party bosses ruled. Presidents should

avoid offending anyfactions within theirown party.

The President justdoled out federal jobs.

1865 53,000 people worked for the federal govt.

1890 166,000 “ “ “ “ “ “

Senator Roscoe Conkling

3. 3. Business and GovernmentBusiness and Government During the late 1800s, big business received support During the late 1800s, big business received support

from the United States Government.from the United States Government.

1)1) What did the alliance of big business and government What did the alliance of big business and government lead to?lead to?

Many people thought that society and government Many people thought that society and government were not what they appeared to be on the surface.were not what they appeared to be on the surface.

The American writer, Mark Twain, called the late The American writer, Mark Twain, called the late 1800s, the Gilded Age. He pointed out that underneath 1800s, the Gilded Age. He pointed out that underneath the surface was corruption. the surface was corruption.

Attempts were made at reforming the system.Attempts were made at reforming the system.

3.1 3.1 Presidents During the Gilded Presidents During the Gilded AgeAge

The Presidents of the late 1800s, were not The Presidents of the late 1800s, were not active leaders.active leaders.

One reason was due to the delicate One reason was due to the delicate balance between the Republicans and the balance between the Republicans and the Democrats.Democrats.

Although the Republicans were in control Although the Republicans were in control of the presidency, they did not have of the presidency, they did not have enough power to control things completelyenough power to control things completely

Rutherford Hayes (1877-1881)Rutherford Hayes (1877-1881)a) Became president in disputed Election of 1876.a) Became president in disputed Election of 1876.b) Turned his efforts to civil service reform. Passed laws which gave b) Turned his efforts to civil service reform. Passed laws which gave jobs based on merit and were designed to prevent corrupt officials in jobs based on merit and were designed to prevent corrupt officials in government.government.c) Had to address issues regarding currency reform.c) Had to address issues regarding currency reform.1. Paper money used to be backed by gold and silver.1. Paper money used to be backed by gold and silver.2. Silver coins dropped out of use, so the United States went on the 2. Silver coins dropped out of use, so the United States went on the gold standard.gold standard.3. Hayes soon passes the Resumption Act, which was designed to 3. Hayes soon passes the Resumption Act, which was designed to reduce the number of greenbacks in circulation and they would be reduce the number of greenbacks in circulation and they would be redeemed for gold.redeemed for gold.4. During Hayes’ administration, large deposits of silver were found in 4. During Hayes’ administration, large deposits of silver were found in the western United States. Congressmen from these states believed the western United States. Congressmen from these states believed that silver could be used to back money because it was cheaper than that silver could be used to back money because it was cheaper than gold in pricegold in price5. Congress passes the Bland-Allison Act which is vetoed by Hayes. 5. Congress passes the Bland-Allison Act which is vetoed by Hayes. However, the Congress overrides the veto.However, the Congress overrides the veto.

1)1) What had backed paper money since the What had backed paper money since the beginning of the United States?beginning of the United States?

2)2) What does it mean when the United What does it mean when the United States went on the gold standard?States went on the gold standard?

3)3) What was the purpose of the Bland-What was the purpose of the Bland-Allison Bill?Allison Bill?

Election of 1876: Rutherford Election of 1876: Rutherford HayesHayes

Rutherford Hayes (1877-1881)Rutherford Hayes (1877-1881)

The Election of 1880The Election of 18801.1. The Republicans were deeply divided on who should The Republicans were deeply divided on who should

run for President in 1880.run for President in 1880.2.2. Hayes refused a second term. The Republicans were Hayes refused a second term. The Republicans were

divided amongst the Stalwarts and Half-Breeds.divided amongst the Stalwarts and Half-Breeds.3.3. Ulysses S. Grant and James G. Blaine become the Ulysses S. Grant and James G. Blaine become the

leading candidates, however, the Republicans turn to leading candidates, however, the Republicans turn to James Garfield and Chester Arthur for the nomination.James Garfield and Chester Arthur for the nomination.

4.4. The Democrats turn to Winfield Scott and run on a The Democrats turn to Winfield Scott and run on a platform of civil service reform and a lower tariff.platform of civil service reform and a lower tariff.

5.5. The Election of 1880 was close. Garfield received 214 The Election of 1880 was close. Garfield received 214 electoral votes, Scott received 155.electoral votes, Scott received 155.

4) Who were the Half-Breeds? the 4) Who were the Half-Breeds? the Stalwarts?Stalwarts?

5) Who did the Republicans nominate for 5) Who did the Republicans nominate for President in 1880?President in 1880?

6) If he was nominated and elected, Ulysses 6) If he was nominated and elected, Ulysses Grant would have been elected for a third Grant would have been elected for a third term. Why would this occur without a term. Why would this occur without a problem?problem?

1880 1880 Presidential Presidential

Election: Election: RepublicansRepublicansHalf Breeds Stalwarts

Sen. James G. Blaine Sen. Roscoe Conkling (Maine) (New York)

compromise

James A. Garfield Chester A. Arthur (VP)

Stalwart-Thomas PlattStalwart-Thomas Platt

Stalwart-Roscoe ConklingStalwart-Roscoe Conkling

1880 Presidential 1880 Presidential Election: DemocratsElection: Democrats

Election of 1880Election of 1880

James Garfield (1881)James Garfield (1881)

1881: Garfield 1881: Garfield Assassinated!Assassinated!

Charles Guiteau:I Am a Stalwart, and Arthur is President now!

Chester A. Arthur (1881-1885)Chester A. Arthur (1881-1885)

James Garfield and Chester ArthurJames Garfield and Chester Arthur 1-They are elected in 1880.1-They are elected in 1880. 2-When they are inaugurated in 1881, they appointed Half-2-When they are inaugurated in 1881, they appointed Half-

Breeds to many of the best jobs in the government.Breeds to many of the best jobs in the government. 3-This annoys the Stalwarts. As a result, the Stalwarts 3-This annoys the Stalwarts. As a result, the Stalwarts

attacked him.attacked him. 4-Four months into his first term, Garfield is shot and killed 4-Four months into his first term, Garfield is shot and killed

by a disappointed office seeker named Charles Guiteau.by a disappointed office seeker named Charles Guiteau. 5-Chester Arthur replaced James Garfield. As president, he 5-Chester Arthur replaced James Garfield. As president, he

refused to let the Stalwarts take the spoils of office. Arthur refused to let the Stalwarts take the spoils of office. Arthur passed the Pendleton Act, which now made it mandatory passed the Pendleton Act, which now made it mandatory for all government workers to take examinations for their for all government workers to take examinations for their jobs.jobs.

Pendleton Act (1883)Pendleton Act (1883) Civil Service Act. The “Magna Carta”

of civil service reform.

1883 14,000 out of117,000 federal govt.jobs became civilservice exam positions.

1900 100,000 out of 200,000 civil service federal govt. jobs.

3.2 The Return of the 3.2 The Return of the DemocratsDemocrats

In the Election of 1884, the Republican Party again In the Election of 1884, the Republican Party again was divided.was divided.

The policies of Chester Arthur found favor with most The policies of Chester Arthur found favor with most Americans. However, these actions do not impress Americans. However, these actions do not impress the Republicans. The Stalwarts chose James Blaine the Republicans. The Stalwarts chose James Blaine as their candidate even though he was corrupt.as their candidate even though he was corrupt.

The problem was that the reformers of the The problem was that the reformers of the Republican Party called muguwumps, refused to Republican Party called muguwumps, refused to support him. They supported the Democratic support him. They supported the Democratic candidate Grover Cleveland, who is the first candidate Grover Cleveland, who is the first Democratic President elected since James Democratic President elected since James Buchanan.Buchanan.

Republican Republican “Mugwumps”“Mugwumps” Reformers who wouldn’t re-

nominateChester A. Arthur.

Reform to them create a disinterested, impartial govt. run by an educated elite like themselves.

Social Darwinists. Laissez faire government to them:

Favoritism & the spoils system seen as govt. intervention in society.

Their target was political corruption, not social or economic reform!

TheTheMugwuMugwu

mpsmpsMen may come and men may go, but the work of reform shall go on forever.

Will support Cleveland in the1884 election.

Henry Adams-MuguwumpHenry Adams-Muguwump

1884 Presidential 1884 Presidential ElectionElection

Grover Cleveland James Blaine * (DEM) (REP)

A Dirty A Dirty CampaignCampaign

Ma, Ma…where’s my pa?He’s going to the White House, ha… ha… ha…!

Little Lost Little Lost MugwumpMugwump

Blaine in 1884

Election of 1884Election of 1884

Grover Cleveland (1885-1889/1893-Grover Cleveland (1885-1889/1893-1897)1897)

Cleveland’s First Cleveland’s First TermTerm

The “Veto Governor” from New York.

First Democratic elected since 1856.

A public office is a public trust! His laissez-faire presidency:

Opposed bills to assist the poor aswell as the rich.

Vetoed over 200 special pension billsfor Civil War veterans!

Grover Cleveland (1885-1889;1893-1897)Grover Cleveland (1885-1889;1893-1897)1.1. He is the 22He is the 22ndnd and 24 and 24thth president. president.2.2. When he became President, Cleveland made changes.When he became President, Cleveland made changes.

a. He added more jobs to the Pendleton Act.a. He added more jobs to the Pendleton Act.b. He reduced federal spending.b. He reduced federal spending.c. He put 80,000,000 acres of land back under government c. He put 80,000,000 acres of land back under government control.control.d. He tried to get the tariff lowered.d. He tried to get the tariff lowered.e. In 1887, he passed the Interstate Commerce Act, which e. In 1887, he passed the Interstate Commerce Act, which established railroad regulations.established railroad regulations.f. He passed the Hatch Actf. He passed the Hatch Act

7) What did the Hatch Act provide?7) What did the Hatch Act provide?

Cleveland’s policies drew criticism from both Cleveland’s policies drew criticism from both Democrats and Republicans.Democrats and Republicans.1. Republicans believed he was limiting the 1. Republicans believed he was limiting the power of the free enterprise system.power of the free enterprise system.2. Democrats believed he was passing too many 2. Democrats believed he was passing too many reforms, while others believed he was not reforms, while others believed he was not passing enough reforms.passing enough reforms.

Cleveland was nominated in 1888, but he lost in Cleveland was nominated in 1888, but he lost in the general election to Benjamin Harrison.the general election to Benjamin Harrison.

Cleveland would win re-election in 1892.Cleveland would win re-election in 1892.

3.3 3.3 The Political PendulumThe Political Pendulum When Harrison defeated Cleveland in 1888, the When Harrison defeated Cleveland in 1888, the

political pendulum swung back to the Republicans.political pendulum swung back to the Republicans. The Republicans ended many of Cleveland’s The Republicans ended many of Cleveland’s

policies.policies. Republicans gave political supporters jobs.Republicans gave political supporters jobs. The Republicans voted for pensions for Civil War The Republicans voted for pensions for Civil War

veterans which Cleveland did not want.veterans which Cleveland did not want. The Republicans pass the McKinley Tariff which The Republicans pass the McKinley Tariff which

raised the tariff to an all-time level high.raised the tariff to an all-time level high. Voters were angered by the Republicans and re-Voters were angered by the Republicans and re-

elected Cleveland.elected Cleveland. Voters also gave the Congress back to the Voters also gave the Congress back to the

Democrats.Democrats.

1888 Presidential 1888 Presidential ElectionElection

Grover Cleveland Benjamin Harrison (DEM) * (REP)

Coming Out for Coming Out for HarrisonHarrison

The Election of 1888

Benjamin Harrison (1889-1893)Benjamin Harrison (1889-1893)

Election of 1892Election of 1892

Cleveland did not have much time to enjoy Cleveland did not have much time to enjoy his victory and the Democrats did not have his victory and the Democrats did not have any time to enjoy their popularity.any time to enjoy their popularity.

8) What happened to interfere with 8) What happened to interfere with Cleveland’s popularity?Cleveland’s popularity?

The only President to serve two non-consecutive terms.

Blamed for the 1893 Panic. Defended the gold standard. Used federal troops in the 1894

Pullman strike. Refused to sign the Wilson-

GormanTariff of 1894.

Repealed the Sherman Silver Purchase Act.

Cleveland Loses Cleveland Loses Support Fast!Support Fast!

Panic of 1893Panic of 1893

What Do You Know?What Do You Know? The Gilded Age refers to a time period when all of The Gilded Age refers to a time period when all of

the following were true EXCEPT:the following were true EXCEPT:a)a) America experienced a period of great economic America experienced a period of great economic

growth.growth.b)b) Population grew in big cities with people in search Population grew in big cities with people in search

of work and as immigrants entered the country.of work and as immigrants entered the country.c)c) The income gap between the rich and poor The income gap between the rich and poor

greatly increased.greatly increased.d)d) All serious problems in business were resolved.All serious problems in business were resolved.

Although presidential elections were widely popular, Although presidential elections were widely popular, presidents during the later half of the 19presidents during the later half of the 19thth Century were Century were seen as:seen as:

a)a) Weak, as Congress took the lead in establishing policy.Weak, as Congress took the lead in establishing policy.b)b) Pro-business, favoring a limited role for government in Pro-business, favoring a limited role for government in

regulating business.regulating business.c)c) Mainly Republican, but often working with a Democratic Mainly Republican, but often working with a Democratic

Congress.Congress.d)d) All of the above are correct.All of the above are correct.

Right after winning the presidential election in Right after winning the presidential election in 1892, President Cleveland:1892, President Cleveland:

a)a) Reached out for support from his opponents.Reached out for support from his opponents.b)b) Switched political parties.Switched political parties.c)c) Was faced with a severe economic depression Was faced with a severe economic depression

which affected his administration.which affected his administration.d)d) Pursued an agenda of compromise with the Pursued an agenda of compromise with the

Republicans.Republicans.

After the Panic of 1893 began:After the Panic of 1893 began:a)a) Numerous businesses failed in all American Numerous businesses failed in all American

industries.industries.b)b) Unemployment increased.Unemployment increased.c)c) Several railroads were forced into bankruptcy.Several railroads were forced into bankruptcy.d)d) A, B and CA, B and C