The Gilded Age Circa 1870-1900 Note: In 1860, there were 300 millionaires in the U.S. By 1900, there were 4000. In 2012… • America had 8.6 million millionaires (down since 2008) and 442 billionaires • Almost 50% of Congressmen are millionaires The Gilded Age Vocabulary 1. 2. 3. 4. 5. 6. 7. 8. 9. Capitalism Socialism Communism Industrial Revolution Gilded Age Monopoly Merge Stocks Captains of Industry 10. Robber barons 11. Laissez-faire 12. Urbanization 13. Social Darwinism 14. Gospel of Wealth 15. Immigration 16. Trust 17. Philanthropist Bonus1: Labor Union Bonus 2: Entrepreneurship Monopoly • Sit in groups with at least one person who knows how to play the game. • Class rules: start playing first time around free parking, monopolies, houses • Noise and clean up • Money and bank • Deeds Cash Distribution by Banker • • • • • • • $1—5 $5—5 $10—5 $20—6 $50—2 $100—2 $500--2 See Quiz • Count cash—see #12 • Count property values (houses and hotels + properties’ mortgage prices) • List properties—see #4 • Clean up! Atlantic City– “America’s Playground” First Miss America Contest, 1921 Miss America “America’s Playground” • • • • • • • • • • Longest Boardwalk in U.S. (7 miles) First Ferris Wheel Salt Water Taffy Rooming Houses, summer houses, hotels, Crime, corruption (“Get out of jail free”) Miss America Contests Show business (Frank Sinatra and others) Economic troubles—1960s and 1970s Gambling and casinos started in 1976 Donald Trump developments—1980s The Gilded Age Circa 1870-1900 Industrialization, Monopolization, Immigration, Urbanization, Unionization (and Political Corruption!) I. Background • What does “gilded” mean? • Who referred to this time period as “The Gilded Age”? • Why is this period called this? “ISMs” • Capitalism—economic practice of private ownership of goods, resources and services—U.S. has this • Socialism—economic practice of private ownership of most goods and services and state ownership of major resources and services— Canada has this • Communism—economic practice of state ownership of all goods, resources and services— Cuba has this So… • The Gilded Age was a time when American capitalism was illustrated in extreme ways • “Gilded Age” implies pretty but cheap—it has a negative connotation (“superficial glitter”) • Our Gilded Age corresponds with England’s Victorian Age circa 1840-1900 II. Consider: Appearance • • • • • • • • vs. Economic success Industrialization Social conscience Political involvement Patriotism “The New American” Urbanization Globalization Note: realism in literature and art is a response to the phoniness in politics and society Reality Industrialization Film: Industrialization and Urbanization 1. What part of the country saw the rise of large cities? (North, South, North East, Southwest?) 2. List three technological advances (new inventions). 3. By 1900, the U.S. produced ___ of the world’s goods (half, one-third, one tenth). 4. The new “captains of industry” exploited what or whom? (exploited means used for own purposes) 5. How did the rise of industries in the U.S. lead to a rise of European immigration? III. Industrialization and Mass Production • 35% of world’s goods were U.S. made • Factories had: Standardization of parts, assembly line, labor-saving machinery, division of labor, piecework • Growth of major eastern cities • As cities became crowded, some middle class people fled to suburbs and commuted to cities by streetcars and trains IV. New Inventions—showcased at the Exposition of 1876 in Philadelphia • • • • Oil well, drill, pump Electric power Light bulb Alternating current and transformers • Telegraphy and transatlantic cable • Telephone • Bessemer Process (steel) • • • • • • • • • Plumbing systems Phonograph Bicycle Typewriter Adding machine Steam engine Linoleum Cameras Elevator Inventors • Bell—telephone • Westinghouse—alternating electrical currents • Edison—phonograph, movie camera, electric light bulb, and many more! • Firestone--tires V. Retailing Techniques • Specialty shops • Chain stores • (A &P, Woolworth) • Department stores • (Marshall Fields) • Mail Order • (Sears and Roebuck, Montgomery Ward) • Advertising and packaging VI. Law of Supply and Demand • High supply + low demand = low price • Low supply + high demand = high price VII. Rise of Millionaires: Captains of Industry or Robber Barons? (Old money) (New money) • • • • • • • • • • • • • • • • • • • • • • • • • • • • • • Astor (really old money) Rockefeller Carnegie Vanderbilt Harriman Mellon Morgan Swift Armour Dupont Duke Forbes Getty Lister Pfizer Colgate Stanford McCormack Heinz Kennedy Hunt Buffet Gates Perot Walton Jobs Winfrey Bush Trump … VIII. Philosophies Gilded Age • Social Darwinism • Gospel of Wealth • Protestant work Ethic • Market economy • Philanthropy • Monopoly • Trusts • Stock market • Laissez-faire Response to Gilded Age • Exploitation? • Regulation? • Populism? • Progressivism? • Unionization? “Taylorism” • System of scientific management developed by Frederick W. Taylor • Development of a disciplined labor force by eliminating wasted motion • Time management techniques used in factories (with assembly line etc.) Vertical Integration • When a company controls both the production and distribution of its product • Used by Carnegie to gain control over U.S. steel industry • Led to monopoly by eliminating the “middle man” Horizontal Integration • When one company gains control over other companies that produce the same product • Used by Rockefeller in the oil refining business • Led to monopoly by eliminating competition Laissez-faire Economics • Philosophy stating that economic activities should be largely free of governmental interference, regulations and restraint. • Laissez-faire economics was supported by leaders who, ironically, also supported protective tariffs Horatio Alger • Wrote “rags to riches” stories • Very popular books on the idealization of the “self-made man” World’s Fair of 1893— Columbian Exposition • Showcased American industrial development and architectural style President Grover Cleveland Hosted the Opening of The World’s Fair New Products • Cream of Wheat and Shredded Wheat cereals • Pabst Blue Ribbon Beer • Aunt Jemima Syrup • Juicy Fruit Gum • Cracker Jacks • Carbonated Sodas • Hamburgers • The Electric Chair Ideas • Walt Disney’s dad worked there and was impressed by the Giant Ferris Wheel • The Pledge of Allegiance was written for the fair • Columbus Day started in honor of 400th anniversary in 1892 • Fair was besieged by bad luck including fatal accidents, storms, fire, and a serial killer in the city of Chicago Industrialization Led to Immigration IX. Immigration • Push Factors: poverty, pogroms, political corruption • Pull Factors: factories, opportunities in West, ideals of freedom • 6 million from S. and E. Europe • 23 million total • Most were Roman Catholic, Jewish, Greek/Russian Orthodox • Most lived and worked in NE cities X. Ellis Island • New York--Immigration Welcome Center— many were quarantined or had a name change • Note: Chinese and other immigrants who entered on the west coast came through Angel Island in San Francisco. XI. Statue of Liberty • New York Harbor • Gift from France, 1886 • Poem, “The New Colossus” by Emma Lazarus “Give me your tired… …your poor, your huddled masses, yearning to breathe free, The wretched refuse from your teeming shore. Send these, the homeless, tempest-tossed to me. I lift my lamp beside the golden door.” Memorize the poem. A quiz will follow. It will be fill-in-the-blank. “Give me your ____, your ____, your huddled masses yearning to ________ free. The wretched ______from your teeming shore. Send these, the _____, tempest tossed to ______. I lift my ______ beside the golden _______.” • • • • • • • • HOMELESS REFUSE TIRED ME LAMP POOR BREATHE DOOR XII. Immigrant Life • Ghetto (ethnic neighborhood) • Tenements (apartments) • Assimilation (more name changes!) • Nativism • Ethnocentrism • Xenophobia (fear of foreigners) (Chinese Exclusion Act of 1882) • “Melting Pot” vs. “Tossed Salad” (assimilation vs. cultural autonomy) Naturalization—process of becoming a U.S. citizen To apply, file Form N-400 A Tenement in New York Industrialization and Immigration Led to Urbanization (growth of cities) New York, Chicago, Philadelphia, Pittsburgh, Boston, Baltimore, Detroit, etc. Railroads connected the Cities! See Film: Filthy Cities, New York http://www.youtube.com/watch?v=DMZxVDio Nbs Industrialization and Immigration also led to Unionization. Why? XIII. Labor—Key Trends • Labor force was much larger due to immigrants, women, children… • Machines increasingly replaced skilled artisans • Large bureaucratic corporations dominated the American economy • National and international markets What is a labor union? • A labor union is an organization of workers who can negotiate with employers over wages, hours, and benefits. • Unions who are unhappy with the terms of a contract can go on strike, which means to stop work, and form a picket line with signs. XIV. Knights of Labor • Led by Terence Powderly—750,000 members by 1886 • Open membership (including women, AfricanAmericans, immigrants) • Semi-skilled and unskilled workers • Idealistic—believed in cooperation between labor and management • Wanted eventual ownership of companies by labor XV. Major Labor Unions (skilled vs. unskilled) • • • • • • Knights of Labor American Federation of Labor Industrial Workers of the World American Railway Union (led by Eugene Debs) United Mine Workers International Ladies Garment Workers Union (later) IWW— “Wobblies” • • • • • • Led by “Mother Jones” Inclusive (anybody could join) “An injury to one is an injury to all” Wanted one big union Encouraged class conflict and violence Pegged as socialist and anarchist American Federation of Labor (AF of L) • Replaced Knights of Labor • Led by Samuel Gompers, leader of Cigar Makers Union • Alliance of skilled workers in craft unions • Focused on “bread and butter” issues: higher wages, shorter hours, better working conditions XVI. Strikes • Haymarket Square Riot—1886--Chicago— McCormick Harvesting Company (blamed on Knights of Labor) • Homestead Steel—1892—Carnegie Steel plant in Pittsburgh—Pinkerton detectives used • Pullman Railway—wages cut due to 1893 depression--led to national strike led by Eugene Debs—1894—halted commerce— Debs arrested when President Cleveland ordered mail delivery Triangle Shirtwaist Factory Fire—1911 (146 people died within 18 minutes) ILGWU promoted their product through commercials in the 1970s. • http://www.youtube.com/watch?v=7Lg4gGk5 3iY • Americans bought American-made products as a patriotic gesture to show support for citizens and union members • Unions prop up high salaries, good benefits, and a strong middle class (but high prices!) XVII. Labor Terms • • • • • • • • • • Union Boycott Closed shop Collective bargaining Fringe benefits Injunction Strike Lockout Mediation Working conditions • • • • • • • • • • • Blacklist Open shop Picket Scab Seniority Union shop Yellow dog contract Sit down strike Arbitration Minimum wage sweatshop XVIII. Socialism • “Reds”—favored ideas of Karl Marx—a “classless society” • Wanted control of businesses in hands of workers • Promoted unions Famous “Reds” • Eugene Debs • Emma Goldman • John Reed XIX. Entertainment • • • • • • • • • • Ragtime music by Scott Joplin Political rallies Nickelodeons Flickers (1903—The Great Train Robbery) Amusement parks (Coney Island) Resorts (Atlantic City) Dance halls Vaudeville Minstrel Sports (baseball, football, boxing, horse races) XX. Politics Republicans Democrats • Northerners • African-Americans • Small business owners favoring government intervention • Rural Protestants • • • • Southern whites Northern political machines Immigrants (naturalized) Big businessmen who favored laissez-faire economic policies What is a political machine? • An unofficial city organization designed to keep a particular party or group in power, and usually headed by a single, powerful boss. • Note: the most famous boss and machine was Boss William Tweed and Tammany Hall in New York City XXI. Political Corruption • • • • • Political machine Spoils system Graft, bribes, favors, money laundering Election fraud Tammany Hall—NYC—Tweed Ring XXII. Issues • Civil Service Reform—Pendleton Act passed after Garfield assassination • Women’s suffrage • Civil rights • Distribution of public lands • Level of government regulation in business— Sherman Anti-trust Act passed but not enforced until after 1901 • The Populist Party appealed to labor and farmers • Exposing injustice and corruption—Thomas Nast (cartoons) and Jacob Riis (journalism), Lewis Hine (photography) View Film on Labor and Answer 1. 2. 3. 4. Name three unions. Why were wages being driven down? List five potential hazards of a job. How many people were killed and injured on the job in 1913? 5. Strikes were justified in that “they were fighting for the ___ of the U.S.” 6. How long did the Homestead Strike last? 7. How did the Railway Strike end? 8. Define Populism. 9. What was the Progressive Movement ? 10.Name one more random fact from the film. The Gilded Age Vocabulary 1. 2. 3. 4. 5. 6. 7. 8. 9. Capitalism Socialism Communism Industrial Revolution Gilded Age Monopoly Merge Stocks Captains of Industry 10. Robber barons 11. Laissez-faire 12. Urbanization 13. Social Darwinism 14. Gospel of Wealth 15. Immigration 16. Trust 17. Philanthropist Extra 1: Labor Union Extra 2: Entrepreneurship The Gilded Age in Pictures Circa 1870-1900 Industrialization, Monopolization, Immigration, Urbanization, & Unionization (and Political Corruption!) Andrew Carnegie and The Age of Steel 1. List three details about Carnegie’s early life. 2. How did the steel industry get started? 3. How did Carnegie gain wealth and the title of Captain of Industry? 4. What was a major setback for The Carnegie Steel industry? 5. What is Carnegie’s legacy as an entrepreneur and philanthropist? Cartoon 37 1. 2. 3. 4. 5. 6. Explain how hyperbole is used. Explain how satire is used. Explain the symbol on the left. Explain the symbol on the right. What does the table represent? Why is the figure on the left blind to the figure on the right? 7. Why does the giant have all of the food? 8. Explain the overall message of the cartoon.