Chapter Section 25 Section 1 2 Chapter 16 Section 2 Political and Economic Challenges The Political Cold War and Begins Economic Challenges Chapter Section 25 Section 1 2 Focus Question Why did the political structure change during the Gilded Age? Congress passed few laws between 1877 and 1900, in an era marked by inaction and political corruption. The Gilded Age raised questions about whether or not democracy could succeed. The Political Cold War and Begins Economic Challenges Chapter Section Political Parties are Equal 25 Section 1 2 Between 1877 and 1897, party loyalties were evenly divided. • Neither political party achieved control of both the White House and Congress for more than two years in a row. • Presidents during the Gilded Age were elected only by slim margins. The Political Cold War and Begins Economic Challenges Chapter Section 25 Section 1 2 Corruption Corruption plagued national politics as many officials accepted bribes. The Political Cold War and Begins Economic Challenges Chapter Section 25 Section 1 2 Corruption Writers, such as Mark Twain, expressed concerns over the corruption. The spoils system, in which party supporters received government jobs regardless of their qualifications, shifted power to a few. The Political Cold War and Begins Economic Challenges This system made the political parties extremely powerful. Chapter Section Civil Service Reform 25 Section 1 2 A movement arose to promote civil service reform. Ending the spoils system was difficult. Change finally happened, in part, because President James Garfield was assassinated by a man who believed the Republican Party owed him a job. The Political Cold War and Begins Economic Challenges Chapter Section Civil Service Reform 25 Section 1 2 Chester A. Arthur became President and supported civil service reform. In 1883, he signed into law the Pendleton Civil Service Act, which established a merit-based system for government employment. The Political Cold War and Begins Economic Challenges Tariffs and Monetary Policy Chapter Section 25 Section 1 2 The economic issues of tariffs and monetary policy caused debate during the Gilded Age. Tariffs taxed imported goods, which supported American industry but increased consumer prices. Monetary policy disputes concerned the gold standard, where gold became the basis of the nation’s currency. The Political Cold War and Begins Economic Challenges Chapter Section Coinage Act of 1873 25 Section 1 2 Monetary policy centered on a debate over the Coinage Act of 1873. Some people wanted to use only gold as money. Some wanted to use both gold and silver. Bankers were worried silver would undermine the economy. Farmers favored it to create inflation and raise their income. The Political Cold War and Begins Economic Challenges