History Test 5/8 Industrialization

Railroads

Nation's first big business - Had the largest impact on American economic life.

Railroad Effect

Allowed for market goods nationwide, mass production & consumption. Time zones are created. Led to the creation of the stockholder corporation.

Cornelius Vanderbuilt

Wealthy steamboat tycoon - Established the New York Central Railroad. Monopolies were created.

Monopoly

No competition=they can charge whatever they like and offer poor service or products.

Andrew Carnegie

Scottish man. Used his salesment talents to become king of the steel industry. Used Vertical integration. Good man and donated lots of his money.

J.P. Morgan

Bought Carnegie's company and renamed it "U.S. Steel." Became the first billion dollar company

John D. Rockefeller

Created the Standard Oil Company in 1863 - Dominated the market. Used Horizontal Integration and drove out and bought all of his competitors.

Vertical Integration

Own every step of the way for your company.

Horizontal Integration

Own one step of the process and force companies to have to use you, that way you can control the market.

Sherman Trust Act

Antitrust and monopoly law. Poorly worded and had many loopholes. Didn't work well

Wealth Disparity

The top 10% of the country of 90% of the countries wealth.

White Collar Workers

Growth of large corporations called for large numbers of these (aka office workers)

Low Wages

Root cause of ____ was due to the excess amount of workers available

Working Women

Young and Single. Mostly worked in garment or food processing factories. Poor wages.

Owner Techniques to block up Unions

Lock out, Blacklist, Unfair Contracts, Private Guards

Lock out

Closing the factory to break up labor movements before workers could organize.

Unfair Contracts

In order to get the job, employees must sign a contract prohibiting joining a Union.

Blacklist

employers circulate names of pro-union workers and refuse to hire them.

Private Guards

using hired thugs to put down strikes

Railroad strikes of 1877

Shut down by President R.B. Hayes sent troops to end these strikes and violence.

Homestead Strike

Homestead steel plant owners cut wages by %20. Huge defeat for unions after the workers fought for 5 months.

Pullman Strike

Company owners cut wages and fired the worker representatives who came to negotiate. President G. Cleveland called for the military to break it up.

2: President Grover Cleveland and President R.B. Hayes

How many president(s) called for the military to break up worker strikes, and who were they?