The Captains of Industry

1. The Captains of Industry Cornelius Vanderbilt Andrew Carnegie John Rockefeller J.P. Morgan Henry Ford

2. Terms to Know? • Philanthropy • 1:goodwill to fellowmen; especially: active effort to promote human welfare • 2a: a philanthropic act or gift • b: an organization distributing or supported by philanthropic funds • Robber Baron • The term may now relate to any businessman or banker who used questionable business practices to become powerful or wealthy. • May use political means to achieve their ends • Captains of Industry • describing a business leader whose means of amassing a personal fortune contributes positively to the country in some way. • May be through increased productivity, expansion of markets, providing more jobs, or acts of philanthropy

3. Cornelius Vanderbilt = Railroads • Started with steamboats in competition with Fulton. Then built the New York Central Railroad system and then the Grand Central Railroad. • “I have been insane on the subject of moneymaking all my life” • “You have undertaken to cheat me. I won't sue you, for the law is too slow. I'll ruin you.” • “What do I care about law? Ain'tI got the power?”

4. Cornelius Vanderbilt = Railroads • How he acquired his wealth: • Ferry service; shipping; railroads; The Central Railroad • How he (or his related industries) treated workers: • Building the Grand Central Terminal helped employ thousands. Workers were paid very little and worked long hours. • How he spent his money: • Miserly; Built a yacht and toured Europe; Staten Island mansion; Biltmore Estate • How he donated his money: • Largest endowment to a University; wife’s church; left 95% of estate to eldest son • Robber Baron or Captain of Industry?

5. Andrew Carnegie = steel • He was born in Scotland and worked as a bobbin boy and a telegraph operator. He then worked for the Pennsylvania Railroad. • “You cannot push anyone up the ladder unless he is willing to climb.” • “The first man gets the oyster, the second man gets the shell.” • “Mr. Morgan buys his partners; I grow my own. “

6. Andrew Carnegie = steel • How he acquired his wealth: • Gained control of every step of the steel making process; Carnegie Steel Company • How he (or his related industries) treated workers: • Ruthless; Supported a plant manager who locked out workers and hired thugs to intimidate strikers. Many were killed • How he spent his money: • Although basic and private, he enjoyed books, music, and the fine arts • How he donated his money: • “Gospel of Wealth” (rich had a duty to improve society); helped others to help themselves; Libraries • Robber Baron or Captain of Industry?

7. John D. Rockefeller = oil • He started out being a bookkeeper and then went into the grain business. He then invested in oil. (Standard Oil) He had a monopoly on the oil business by owning 85% of the oil in the U.S.! Rockefeller gave away about $550 million to charities! Colonial Williamsburg was restored thanks to him! • “Every right implies a responsibility; Every opportunity, an obligation, Every possession, a duty. “ • “I have ways of making money that you know nothing of. “ • “Competition is a sin. “

8. John D. Rockefeller = oil • How he acquired his wealth: • Invested in oil refinery; bought out oil companies; owned and controlled much of the oil refining and shipping process • How he (or his related industries) treated workers: • Bought out competition; Outwitted partners; price slashing; crush competition; ruthless; relentless • How he spent his money: • Simple and frugal personal life • How he donated his money: • Universities; organization to set up free high schools • Robber Baron or Captain of Industry?

9. J.P. Morgan = steel & banking • He was a wealthy banker that bought U.S. Steel. He had so much money, he loaned money to the U.S. government! He spent money on art, yachts, and fine champagne! Titanic near-miss! He willed his art to the Metropolitan Museum of Art in NY City! • “Go as far as you can see; when you get there, you'll be able to see farther.” • “A man always has two reasons for doing anything--a good reason and the real reason.”

10. J.P. Morgan = steel & banking • How he acquired his wealth: • Accounting and banking; used trusts to control American industry • How he (or his related industries) treated workers: • Coldly rational; used aggressive tactics to root out troublemakers • How he spent his money: • Art and books; cigars; first house in NY to have electric; yachts; gems • How he donated his money: • Libraries; Art museums • Robber Baron or Captain of Industry?

11. Henry Ford = automobiles He was born in 1863 near Detroit, Michigan. At the age of 16 he got a job with a machinist because he had always been fascinated with machines “A business that makes nothing but money is a poor business” “Capital punishment is as fundamentally wrong as a cure for crime as charity is wrong as a cure for poverty.” “Don't find fault, find a remedy. “

12. Henry Ford = automobiles • How he acquired his wealth: • Automobile; assembly line; Ford Motor Company • How he (or his related industries) treated workers: • High wages for workers; 40-hour work week; resulted in the best mechanics; offered benefits to “Socially Moral” employees • How he spent his money: • Racecars; • How he donated his money: • Created a museum; Paid children’s hospital bills; Donated to Ford Motor Co. • Robber Baron or Captain of Industry?