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1870-1896

1870-1896. The Economic, Social, and Political Environment. Major Themes. Economic: Big business v. workers Big business v. farmers Social: Urban growth Anti-immigrant feelings Political: Government favors big business while stating they are “hands off”

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1870-1896

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  1. 1870-1896 The Economic, Social, and Political Environment

  2. Major Themes • Economic: • Big business v. workers • Big business v. farmers • Social: • Urban growth • Anti-immigrant feelings • Political: • Government favors big business while stating they are “hands off” • Farmers organize and help to form populist party

  3. At the close of the 19th century how was life in urban areas changing? • People were moving in large numbers to the city to take advantage of the new jobs in industry • 1900: 3x’s larger than 1870 • 1920: More people lived in urban areas than rural ones • Technology • Indoor plumbing, electricity, skyscrapers, • Immigration increased • However so did discrimination • 2nd wave of immigration – Southern and Eastern Europe • Poverty, corruption, pollution, crime, and congestion

  4. What factors allowed for the rapid economic growth the US achieved at the turn of the century? • The Federal Government supported the growth of business interests • Protective tariffs • Land grants to railroad companies, loans to help them build railroads • Little to no tax on business • Loose immigration policy • More workers, lower pay • Monopolies are able to develop • Regulate production • Set price and wages

  5. What were the arguments made by those who supported little government intervention in the economy? • Land of opportunity • Work hard • Self discipline • Business functions best when not regulated by the government • Wages, supply, and demand work together to regulate the market • Contradiction: • want gov’t intervention when it helps (loans, tariffs, land grants) • Don’t want intervention if it may hurt profits (minimum wage, safer conditions)

  6. How did trade unions attempt to change this situation? • Workers became disgusted by the long hours and low wages that they faced • Strikes • Unsuccessful, government intervened to suppress

  7. How did local reform minded governments attempt to address the needs of workers? Why were they unsuccessful? • Many tried to • Improve health and safety in the workplace • Maximum hours • Minimum wage • Child labor laws * Unsuccessful due to Supreme Court rulings ; court was pro-business at the time

  8. What were the arguments for and against a high protective tariff? Which party supported a high tariff? Which did not? • For • Protecting American business (Republicans) • Wages would fall • Against • High retaliatory tariff (Democrats and Populists) • We wouldn’t be able to sell our products abroad

  9. Who supported an expanded money supply? Why? Who did not? • Supporters: • Too little money would hurt the expanding economy • Not enough gold, need to use other methods to back the dollar • People in debt or who want to take out a loan • Loan payments the same even though the value of the dollar is down, benefits me! • farmers, new business owners, home owners • Opponents: • Too much money would devalue the dollar and make foreign countries less likely invest in the US • Loan payments made to me are the same, but the value of the dollar is down so I am technically not making as much money as I previously did • Bankers, established businesses, creditors, and investors

  10. What led to the growth of agriculture after the Civil War? • Demand for foodstuffs increased • Population more than doubled between 1870 and 1900 • Technological advancements • Increased productivity • Cotton gin improvements • Harvesters, combines, and reapers • Better plows

  11. What problems did farmers face during the Gilded Age? • Specialization • New equipment needed to keep up was expensive • Railroads, grain elevators, and suppliers charged VERY high prices • Overproduction brought the price of crops down

  12. How did the Grange, Farmers’ Alliances, and Populists try to change the interaction between government and big business? • Grange: social connections, education • Fought for fair treatment by big business • Farmers’ alliance helped to shape platform of the Populists • Populists (strongly influenced Progressives of early 1900s) • Gov’t should own utilities to keep costs down • Free silver • Graduated income tax • 8 hour day and collective bargaining • Limit immigration • Direct election of Senators, secret ballot, 1 term presidency, initiative, referendum

  13. Why did the Populist Party and the Democratic Party fuse in the election of 1896? • Ideals and goals were aligned • Both parties voted for William Jennings Bryan • McKinley wins election • Cleveland (dem) was president when recession of 1893 hit

  14. What caused the Populist Party to die out after this election? • Power of monopolies was growing • Racism of Southern Whites made it hard for them to get behind anti-discrimination platform populists wanted to push • Many of their goals were achieved during the Progressive Era under the leadership of both Democrats and Republicans

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