Understanding the Gilded Age Economy (1865–1898) (copy)

Industrial Capitalism

An economic system where private individuals invest capital to build large-scale industries and compete in markets for profit.

Gilded Age

A period post-Civil War marked by rapid industrial growth and significant social issues like poverty and political corruption.

Corporation

A business recognized by law as a separate entity from its owners, facilitating the raising of investment capital.

Economies of Scale

The principle that producing goods in larger quantities reduces the cost per unit.

Horizontal Integration

The strategy of consolidating many firms in the same industry to reduce competition.

Vertical Integration

The practice of controlling multiple stages of production or distribution to stabilize costs and supply.

Trust

A powerful business combination designed to reduce competition and exert market control.

Monopoly

A market structure where one company dominates to the extent that competitors cannot effectively challenge it.

Laissez-Faire

An economic philosophy of minimal government intervention in markets.

Interstate Commerce Act (1887)

A law that created the Interstate Commerce Commission to regulate railroad practices.

Sherman Antitrust Act (1890)

Legislation aimed at curbing business combinations that restrained trade.

Social Darwinism

The belief that competition in society rewards the 'fittest' and serves as justification for wealth and inequality.

Gospel of Wealth

Andrew Carnegie's philosophy that wealthy individuals have a responsibility to use their wealth for the public good.

Transcontinental Railroad

The first continuous rail line connecting the eastern U.S. network to the Pacific coast, completed in 1869.

Bessemer Process

An innovation that made steel production cheaper and more efficient, crucial for industrialization.

Labor Union

An organization formed by workers to protect and advance their interests through collective action.

Knights of Labor

A broad-based labor organization focused on inclusive membership and pushing for worker reforms.

American Federation of Labor (AFL)

A labor organization that focused on skilled workers and emphasized pragmatic goals like higher wages and shorter hours.

Great Railroad Strike of 1877

A nationwide labor uprising triggered by wage cuts in the railroad industry, resulting in violence and government intervention.

Haymarket Affair (1886)

A labor rally in Chicago that turned violent, leading to anti-labor sentiment and fears of radicalism.

Homestead Strike (1892)

A significant labor conflict at a steel plant that symbolized the struggle between industrial management and labor.

Pullman Strike (1894)

A strike that affected rail traffic, leading to federal intervention and emphasizing the government's stance against labor actions.

Deskilled Labor

A work structure where tasks are simplified, allowing employers to hire less-trained and more replaceable workers.

Nativism

The political response and sentiment against immigrants, often blaming them for economic competition and wage suppression.