The Gilded Age - Summary

The Gilded Age Notes

Industry Marches Forward

• Post-war years saw a massive spike in industrial production and organization.

• New technology emerged: cars, telephones, electric lighting, and moving pictures.

• "Scientific" management like Taylorism sought to increase workers’ efficiency.

Corporations

• Economic model that gained popularity after the war.

• Allowed investors to pool resources with slightly lessened risk.

• Long-term goal: Integrate vertically/horizontally and monopolize.

• Required intervention in government.

Transformation in Economy

• By 1880, most Americans worked in non-farming jobs.

• By 1890, two-thirds of Americans worked for wages.

• By the early 20th century, the U.S. created one-third of the world’s industrial output.

• Government and military opened land for resource extraction, protected patents, provided tax breaks and bonds to support infrastructure, tariffs, etc.

Railroads and Mass Consumption

• Railroads were critical to U.S. development into a superpower.

• Allowed federal government to exert control, spread population, and facilitate mass consumption.

• Railroads became one of the first major businesses.

Rising Inequality

• Middle-class developed, but cities saw more people in severe poverty.

• Top 10% of Americans made up over 90% of the GDP.

"Barons" of Industry

• Cornelius Vanderbilt: Railroads, $185 b$ (adjusted).

• John Rockefeller: Oil, ~$400 b$.

• Andrew Carnegie: Steel, $375 b$.

• J.P. Morgan: Banks, $25-45 b$.

Rise of Unions and Collectives

• Workers attempted to strike for higher wages.

• Knights of Labor: Broad organization for all workers.

• American Federation of Labor: Focused on craft unions.

• Farmers Alliance and Populist Party: Political organization of farm workers.

• Fought for higher wages, 8-hour day, leaving gold standard, nationalizing certain industries, income taxes, and more direct democracy.

Strike Busting

• Haymarket Square Affair (1886) undermined Knights’ public support.

• Battle of Homestead (1892): Pinkertons and state militia put down steel strike.

• Federal troops put down Pullman strike (1894), arrested Eugene Debs.

Election of 1892

• People’s Party had third party viability in the West.

• James Weaver picked up $8.6$% ($1,041,029$) of the vote; D $46$% ($5,556,917$), R $43$% ($5,176,108$).

William Jennings Bryan

• Popular Democrat who tapped into Populist sensibilities.

• Nominated by Democrats over incumbent Grover Cleveland.

• Failed to win election and diluted the Populist party.

Election of 1896

• R $7,112,138$ ($51$%), D $6,510,807$ ($46.7$%), ~$80$% of electorate votes.

Eugene Debs and the Socialists

• International spread of Marxism reached the U.S.

• IWW (“Wobblies”) presented more radical and inclusive option.

• Supplanted Populists as a viable third party.

• Distrusted due to fears of socialism.