Westward Expansion: Economic Development [APUSH Review Unit 6 Topic 2] Period 6: 1865-1898

Overview of Westward Expansion (1865-1898)

• Focus: Causes and effects of Western settlement from 1877 to 1898

• Transition from Northern and Southern focus to Western frontier life

Mechanization of Agriculture

• Shift from manual labor to machines in farming

  • Key machines: Mechanical reaper, combine harvester

• Effects of mechanization:

  • Increased Crop Production: Corn and wheat production doubled from 1870 to 1900.

  • Decline of Small Farmers: Small farmers unable to compete with industrialized farms, leading to widespread farm failures and buyouts by larger farmers.

Economic Challenges for Farmers

• Market Impact: Overproduction decreased crop prices.

  • Farmers struggled to make a living due to low prices for their goods.

• Reliance on Manufactured Goods: Farmers needed to buy goods made by industrial trusts, facing high prices that cut into their income.

• Railroad Issues: High transportation costs imposed by railroad companies worsened farmers' economic conditions.

Farmer Resistance: The National Grange Movement

• Founded in 1868 to connect isolated farmers for social and educational purposes.

• Political activism developed:

  • Supported state laws regulating railroad rates (Granger Laws).

  • Resulted in significant legislation:

    • Commerce Act of 1886: Established fair freight rates, creating the Interstate Commerce Commission (ICC).

Government Support for Westward Migration

• Pacific Railroads Acts: Provided land grants to railroad companies to build transcontinental railroads.

  • Significant in facilitating westward settlement.

  • Golden Spike in 1869: Marked the completion of the first transcontinental railroad at Promontory Summit.

• Homestead Act of 1862: Granted 160 acres of land for farming to settlers, expanded to encourage migration.

  • Reality: 160 acres often insufficient for sustainable farming, leading to failure.

Precious Metals and Migration

• Continued search for gold and silver spurred migration.

  • Gold discovered in Pike’s Peak area in 1869 led to significant settlement.

• Boomtowns emerged due to migration:

  • Example: Denver City and Boulder City in Pike's Peak region.

  • Diverse populations in boomtowns reflected a mix of ethnicities similar to Eastern cities.

Conclusion

• Westward expansion was marked by significant economic transformation, challenges for farmers, emerging social movements, and government initiatives to facilitate migration.

• The period saw both opportunities and hardships as settlers sought new lives in the West.

Pacific Railroads Acts

• Overview: A series of laws passed by the U.S. Congress in the mid-19th century to promote the construction of a transcontinental railroad.

• Key Legislation: Two primary acts, in 1862 and 1864, were crucial in providing land grants and facilitating railroad development.

• Objectives:

  • Enhance trade and settlement in the western territories.

  • Improve transportation methods, connecting the Eastern U.S. with the West.

  • Stimulate the economy and promote westward expansion.

• Land Grants:

  • The acts provided extensive land grants to railroad companies, allowing them to obtain vast tracts of public land.

  • For every mile of track completed, companies received land—typically up to a 20-mile-wide corridor of land on either side of the route.

• Incentives for Railroad Companies:

  • Companies could sell the land to settlers and businesses, generating funding for further construction.

  • More tracks meant more land grants and, subsequently, more profits through land sales.

• Major Railroads Established:

  • The Central Pacific Railway and the Union Pacific Railroad were the two main companies involved in building the first transcontinental railroad.

  • The Union Pacific started from the east and the Central Pacific from the west.

• Challenges faced:

  • Difficult terrain including mountains, deserts, and rivers increased construction costs and times.

  • Labor shortages led to reliance on immigrant workers, such as the Chinese for the Central Pacific and Irish for the Union Pacific.

• Completion of the Railroad:

  • The two railroads met at Promontory Summit, Utah, on May 10, 1869, where the “Golden Spike” was driven, symbolizing the completion of the first transcontinental railroad.

• Impact on Westward Expansion:

  • Facilitated the movement of people, goods, and services between the East and West.

  • Encouraged settlement in the West as it provided easier access and transportation for settlers.

• Long-term Effects:

  • The railway opened up the West for economic development, mining, agriculture, and trade

  • It also led to conflicts with Native American tribes as settlers moved onto their lands.

• Conclusion: The Pacific Railroads Acts were fundamental in shaping the U.S. by promoting economic growth, facilitating westward migration, and altering the landscape of the nation, both economically and socially.

Pacific Railroads Acts

• Overview: A series of laws passed by the U.S. Congress in the mid-19th century to promote the construction of a transcontinental railroad.

• Key Legislation: Two primary acts, in 1862 and 1864, were crucial in providing land grants and facilitating railroad development.

• Objectives:

  • Enhance trade and settlement in the western territories.

  • Improve transportation methods, connecting the Eastern U.S. with the West.

  • Stimulate the economy and promote westward expansion.

• Land Grants:

  • The acts provided extensive land grants to railroad companies, allowing them to obtain vast tracts of public land.

  • For every mile of track completed, companies received land—typically up to a 20-mile-wide corridor of land on either side of the route.

• Incentives for Railroad Companies:

  • Companies could sell the land to settlers and businesses, generating funding for further construction.

  • More tracks meant more land grants and, subsequently, more profits through land sales.

• Major Railroads Established:

  • The Central Pacific Railway and the Union Pacific Railroad were the two main companies involved in building the first transcontinental railroad.

  • The Union Pacific started from the east and the Central Pacific from the west.

• Challenges faced:

  • Difficult terrain including mountains, deserts, and rivers increased construction costs and times.

  • Labor shortages led to reliance on immigrant workers, such as the Chinese for the Central Pacific and Irish for the Union Pacific.

• Completion of the Railroad:

  • The two railroads met at Promontory Summit, Utah, on May 10, 1869, where the “Golden Spike” was driven, symbolizing the completion of the first transcontinental railroad.

• Impact on Westward Expansion:

  • Facilitated the movement of people, goods, and services between the East and West.

  • Encouraged settlement in the West as it provided easier access and transportation for settlers.

• Long-term Effects:

  • The railway opened up the West for economic development, mining, agriculture, and trade

  • It also led to conflicts with Native American tribes as settlers moved onto their lands.

• Conclusion: The Pacific Railroads Acts were fundamental in shaping the U.S. by promoting economic growth, facilitating westward migration, and altering the landscape of the nation, both economically and socially.

The Granger Laws

Overview:The Granger Laws were a series of legislative reforms advocated by the National Grange of the Order of Patrons of Husbandry (commonly known as the Grange) in the late 19th century. The Grange was a fraternal organization founded in 1867 that sought to promote the social and economic needs of farmers. It emerged in response to the difficulties that agricultural communities faced, particularly in the areas of transportation and market access.

Background:Farmers during this period were often at the mercy of large railroad companies, which monopolized transportation in rural areas. High freight rates imposed by railroads led to inflated prices for goods, making it increasingly difficult for small farmers to compete. The Grange sought to address these inequities through political activism and grassroots mobilization.

Key Features of Granger Laws:

1. Regulation of Railroad Rates:

   • One of the primary goals of the Granger movement was to establish reasonable railroad rates and practices to help farmers transport their goods more affordably.

   • State governments, influenced by Granger political actions, began passing laws aimed at regulating transportation companies. These laws typically included provisions for maximum freight rates and standards for service.

2. Establishment of State Commissions:

   • Many states created regulatory commissions empowered to oversee railway operations and enforce the Granger Laws.

   • The establishment of such commissions helped ensure that railroads followed the rules set forth in the Granger laws and provided a platform for farmers to voice grievances.

3. Prohibition of Discriminatory Practices:

   • Granger Laws prohibited unjust practices such as price discrimination against small shippers, ensuring that farmers received fair treatment irrespective of the volume of goods they transported.

   • The goal was to prevent large agribusiness from monopolizing rates and suppressing smallscale farmers.

Legislative Impact:

• The Granger Laws led to substantial state legislation, particularly in states like Minnesota, Wisconsin, and Illinois, where many of these reforms originated. These laws established regulations that actively sought to create a more equitable transportation market for farmers.

• One significant outcome was the passage of the Interstate Commerce Act of 1887, which aimed to regulate railroad rates nationwide, largely influenced by the advocacy of the Grange and similar organizations. The act established the Interstate Commerce Commission (ICC), the first federal regulatory agency, marking a pivotal shift in government oversight of private industry.

Challenges and Limitations:

• Despite the initial successes of the Granger Laws, their impact was limited. Numerous Supreme Court rulings in the late 19th century significantly weakened the regulatory framework they established.

• In cases such as Wabash, St. Louis & Pacific Railway Co. v. Illinois, the Court ruled that states could not regulate interstate commerce, leading to the need for federal intervention to manage the issues concerning railroad transportation.

Conclusion:The Granger Laws represented a significant turning point in U.S. agricultural policy and the relationship between farmers and the railroad industry. They highlighted the growing tension between agricultural interests and large-scale corporations, ultimately paving the way for increased governmental regulation of commerce in the subsequent years. The Granger movement fostered a spirit of cooperation among farmers and sparked a broader push for reforms that addressed the economic challenges faced by agricultural communities.