U.S. History 2 AP
Mr. Melvin
Unit 2, Lesson 3

September 1901 – McKinley assassinated
Buffalo, NY by Leon Czolgosz (anarchist)
Died from wounds on September 14, 1901
3 rd president killed in less than 40 years!

Youngest President in history
Harvard graduate
Rancher
Police commissioner
Ornithologist
Historian
Assemblyman
Civil Service commissioner
Asst. Secretary of Navy
Volunteer colonel
Governor of New York

Chose the Republican party because it gave him the best chance of success
Was nominated to be McKinley’s Vice
President to get him out of New York politics
Thomas Platt feared TR’s “reform ventures

Saw political office as method of doing what’s best for the people
Define great national problems and win people over to his solutions
Infuse presidency with an efficient administration and his ability to enforce the laws

Surround himself with best possible minds

Did use party patronage to fill lesser offices
Caused Marc Hanna to lose control of party by 1904
Because of this, able to rely on state conventions to pass his reforms
Achieved balance
– Satisfied reformers but didn’t offend Old
Guard

Focused on the 3 C’s:
– Corporation Control
– Consumer Protection
– Conservation

TR was a gradualist
– Accept advice from Old Guard on tariff and money matters
– Would keep them happy
– Was more concerned with industrial consolidation
Can government control corporations?
Supreme Court said “No” in 1895 U.S vs. E.C.
Knight

1902 – TR ordered government to sue The
Northern Securities Company (Violation of the Sherman Antitrust Act)
– Was holding company for series of railroads
– Formed to stop Wall Street Panic in 1901
– Consolidation worried farmers
Less railroad competition = high rate prices
How can they afford to ship their goods to market?

Main targets of suits were J.P Morgan and
James J. Hill (Too much power!!)
 NY Banker
RR Tycoon 

Morgan was arrogant
Tried to have lawyer settle issue out of court = FAILED
1903 – Federal Court ordered trust dissolved
Upheld by Supreme Court in 1904
Symbolized shifting of power to
Washington and away from strong NYC
Bankers

44 more during terms
Beef Trust (1902)
American Tobacco Co
(1906)
DuPont Corp (1906)
New Haven RR
(1907)
Standard Oil (1907)

Not really true – More of a “Trust
Regulator”
Only break up if misbehavior exists
TR had no issues with corporations that benefitted consumer
Proved government, not industry in power

Implemented in December 1901
TR believed:
– Expert management rather that popular views
– Reforms that punish bad corporations
– Reforms that still assist in growing industry
– Better the lives of all U.S. citizens

1903 – law that expedited anti-trust prosecutions
Elkins Act – forbade giving and receiving railroad rebates
Department of Commerce and Labor
– Bureau of Corporations:
Investigated bad business practices
Gave government the evidence to prosecute
Original opposition from Nelson Rockefeller
– Passed Congress soon after revelation

Lasted from May through October
Workers wanted:
– Union recognition
– 8 hour workday
– Pay Increase
Mine owners refused to negotiate with Labor
Union (United Mine Workers)

Winter loomed and coal shortages
TR wasn’t sure if he can legally get involved
Brought both to White
House
Union agreed to arbitrate;
Owners refused
Owners wanted army to take over mines
– TR: Threatened to use army against owners!

The Solution
No Union recognition
Owners can raise coal prices 10%
Workers – 10% pay increase and 9 hour workday
1st president to threaten to nationalize private industry
1st to have labor and management accept commission arbitration

TR and Charles
Fairbanks elected by large margin
Stole reform banner from Democrats
Beat Alton Parker
Electoral Votes – 336-
140

Hepburn Act (1906) - gave Interstate
Commerce Commission power to prescribe substitute railroad rates upon complaint
Employer Liability Act (1908) – protects and compensated RR workers injured on job

1906 Pure Food and
Drug Act
Federal prevention of altering, mislabeling, and selling bad foods
1906 Meat Inspection
Act
Because of Sinclair’s
The Jungle
Now subject to federal regulations and inspections for sanitary conditions

TR believed it very important to protect natural resources for future generations
1902 Newlands Act – funded irrigation projects for 17 Western States
– Laws limiting miner entry into certain coal mines
– Laws limiting amount that cattlemen can use prairie land
– Angered many Western Senators and
Representatives

Product of Newlands Act is the Roosevelt
Dam in Arizona

Roosevelt and Pinchot also assisted in creating many National Parks and
Monuments
Crater Lake National Park
Devil’s Tower National
Monument

Who Can Forget about the Grand
Canyon? (1908)

1907 – Western Reps. attached a rider to appropriations bill to create new reserves
Rider limited amount of reserves
TR signed it – needed $ anyway
– Attached more acres to reserves to compensate

1908 – TR and Pinchot formed the
National Conservation Congress
Composed of governors and conservation experts
– Congress hostile to it; ignored all recommendations
– TR continued to battle Congress over conservation for remainder of presidency

Businessmen blamed Roosevelt – “Too much meddling!”
Causes:
– Industrial production expanded beyond consumption
– Bankers engaged in speculative behaviors
Giving out easy and bad loans

Solution:
– TR was forced to rely on J.P. Morgan and other bankers
– Morgan would use his money to create trust to stabilize market
Would need approval from TR that he wouldn’t get
“busted” for forming monopoly
TR secretly agreed
Panic soon subsided

TR called for financial reforms (1908)
– Federal incorporation and regulation of all interstate business
– Federal regulation of stock market
– Limitation of labor injunctions
– Investigation of labor disputes
– 8 hour work days for all employees
– Income and inheritance taxes
Created Aldrich/Vreeland
Act (1908)
– National Bank can issue emergency currency backed by collateral in cases of financial panic
– Established National
Monetary Commission
Studied European Banks
How can US Banks become more efficient?
Studies eventually used for Federal Reserve Act of 1913

He Must Have Done
Something Good, right?
That’s not too shabby of company!

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