The Gilded Age, named after Mark Twain and Charles Dudley Warner's book, The Gilded Age: A Tale of Today, critiques American democracy amidst economic changes post-Civil War.
Political system became incredibly corrupt.
Local Politics and Political Machines
Political machines are organizations that aim to win elections to exercise power.
Tammany Hall in New York City was the most notorious political machine, known for its corruption.
George Plunkitt's book, Plunkitt of Tammany Hall, describes how New York City's government operated.
William “Boss” Tweed was a prominent figure in Tammany Hall, known for his corruption.
"Boss" Tweed and the County Courthouse
The construction of a new County Courthouse, initially estimated to cost 250,000, ended up costing 13 million.
Examples of inflated costs include:
180,000 for three tables and forty chairs
1.5 million for lighting fixtures
41,000 for brooms and cleaning supplies
A plasterer received 500,000 for his initial job and then 1 million to repair his shoddy work.
Tammany Hall received two dollars for every one dollar received by the contractor as a kickback.
Services Provided by Machines
Political machines provided services to immigrants and poor people in exchange for votes.
Tammany Hall helped families in need by providing quarters, clothes, and other necessities.
Machines controlled city jobs and contracts.
Corruption and Fraud
Tammany politicians engaged in fraud, such as shaving men to vote multiple times.
Violence and intimidation were also used to suppress the opposition.
National Politics and Scandals
Corruption extended to the United States Congress and the executive branch under President Ulysses Grant.
Credit Mobilier Scandal
Credit Mobilier, the construction company for the Union Pacific Railroad, overcharged the public and bribed Congressmen.
Republican congressmen were implicated, including the Speaker of the House.
Congressman Oakes Ames was found guilty of giving bribes.
Whiskey Ring Scandal
Distillers in St. Louis, aided by Grant administration official John McDonald, evaded excise taxes.
McDonald confessed and was convicted.
Presidential Elections and Political Parties
Distrust in government led to a series of one-term presidents after Grant.
Gilded Age Republicans favored high tariffs, low government spending, paying off national debt, and reducing paper money.
Democrats opposed tariffs and were linked to New York bankers and financiers.
Both parties were pro-business but supported different types of businesses.
National Reform Legislation
Civil Service Act of 1883 created a merit system for 10% of federal employees.
It led to American politicians becoming more dependent on donations from big businesses rather than small donations from grateful political appointees.
Sherman Anti-Trust Act (1890) forbade combinations and practices that restrained trade.
It was difficult to enforce against monopolies and was often used against labor unions.
State and Local Reforms
State governments expanded their responsibility for public health and welfare.
Cities invested in public works like transportation and utilities.
The movement to provide public education continued.
Some northern states passed laws limiting the workday to 8 hours.
The South rolled back Reconstruction and created Jim Crow Laws.
The Grange and Farmers' Alliance Movements
Farmers formed the Grange movement to pressure state governments to establish fair railroad rates and warehouse charges.
The Grange Movement became the Farmer’s Alliance movement, which pushed for economic cooperation to raise prices.
The biggest idea to come out of the Farmers Alliance was the subtreasury plan.
Under this plan, farmers would store grain in government warehouses and get low-rate government loans to buy seed and equipment, using the stored grain as collateral.
The Populist Party
The People’s Party (Populists) emerged from politically motivated farmers and their supporters.
In 1892, they held a convention in Omaha and put forth a reform-minded plan.
The Populist platform included:
The Sub-Treasury Plan
Government Ownership of Railroads (which partially happened, if you count Amtrak)
Graduated Income Tax (16th amendment)
Government Control of the Currency (Federal Reserve System)
Recognition of the Rights of Laborers to Form Unions
Free Coinage of Silver to produce more money
The Populist Party attempted to appeal to the “producing classes,” including miners and industrial workers.
Some western states granted women the right to vote in the 1890s, adding to the Populist’s electoral power.
Populist leaders struggled to unify because of racism.
Their presidential candidate, James Weaver, gained 1 million votes and 22 electoral votes in 1892.
The Election of 1896
William Jennings Bryan, the Democratic nominee, supported free coinage of silver.
The Populists feared their ideas would be reduced to “free silver” but voted for Bryan anyway.
Bryan lost the 1896 election to William McKinley, who received unprecedented funding from business classes (10 million).
McKinley won the electoral college in a landslide 271-176.
Bryan’s defeat effectively ended the Populist Party.
Legacy of the Populist Movement
Populist ideas, such as direct election of senators and a progressive income tax, became mainstream.
Corruption in government continued, and Muckrakers exposed it.
Problems that the Populists were concerned with persisted, as did the scourge of Jim Crow.