American Economy HIST 2

J.P Morgan

Extremely powerful banker pre-WWII. Opposed laissez-faire. He started out financing railroads.

U.S. Steel

The result of major steel companies merged by J.P. Morgan into a massively powerful corporation

Standard Oil

Was broken up by the Supreme Court when the “rule of reason” was established to determine if a company was unreasonably restricting other companies. Owned by John D. Rockefeller and controlled much of the oil production in the U.S.

Andrew Carnegie

Led the steel industry in the 19th century.

John D. Rockefeller

Founded Standard Oil.

Dartmouth College v. Woodward 1819

The Supreme Court determined that a state could not interfere with a charter. State governments could not interfere with private entities.

Munn v. Illinois 1877

Allowed businesses to be regulated across state lines. Specified that railroads are common carriers and can be regulated by the federal government for public interest

Interstate Commerce Act 1887

Created the Interstate Commerce Commission to regulate railroads. Was the first regulatory commission not directed by the executive branch

Sherman Antitrust Act 1890

Declared restraints on trade illegal, encouraged companies to get bigger in order to regulate the market

Northern Securities Case 1901

Organized by Hill and Morgan to protect holdings. T. Roosevelt wanted to be seen as a trustbuster and created a case against Northern Securities. Supreme Court decided that NS opposed the Sherman Act. Proved that the federal govt. would regulate corporations.

Standard Oil Co. vs. U.S. 1911

The Supreme Court determined that Standard Oil violated the Sherman Anti-trust Act and broke it into 33 companies

Clayton Antitrust Act 1914

All customers must be charged the same for the same good. Was intended to prevent the formation of monopolies.

Federal Reserve Act 1913

Established the Federal Reserve system to monitor credit and control currency.

Council of National Defense 1916

Made plans for the countries involvement in WWI

Lever Food and Fuel Administration Act 1917

Allocated resources during WWI. Herbert Hoover was the Food administrator and Harry Garfield was the fuel administrator. Created Daylight Savings to reserve fuel.

United States Railroad Administration 1917

Railroads had failed to coordinate traffic with ships waiting to be loaded during WWI. Gave the federal govt. control over the countries railroads.

William McAdoo

Was appointed by Wilson to run the United States Railroad Administration and helped establish the Federal Reserve System.

War Industries Board 1917

Created to coordinate the creation of materials for the U.S. army for WWI

Bernard Baruch

Served as chairman of the War Industries Board during WWI.

Overman Act 1918

Gave Wilson the power to create or reorganize government agencies during WWI.

War Revenue Act 1917

Raised income tax to fund WWI

Pierre DuPont

Was president of General Motors in the early 1920s.

General Motors

Major car corporation formed by William Duran by absorbing other companies. Ended up in financial trouble due to over-expansion.

William Durant

Wanted to dominate the car industry in the early 20th century. Formed General Motors by absorbing car companies.

Alfred Sloan

Applied DuPone’s divisional model of equity to General Motors.

David Sarnoff

Managed the Radio Corporation of America and was greatly influential in the radio’s rise to popularity.

KDKA

The first commercial radio station. It’s popularity promoted the growth of the radio industry, both in radio production and broadcasting.

Radio Corporation of America

Was the largest communications firm in the U.S.

Columbia Phonograph Record Company

Became a major producer of phonographs and similar entertainment items.

William Paley

American broadcaster who created CBS

Parkinson’s Third Law

Expansion leads to complication which leads to decay.