WARM UP. 1 You have 20 minutes to begin working on the study guide for your first test tomorrow

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1 WARM UP 1 You have 20 minutes to begin working on the study guide for your first test tomorrow 2 The study guide gives you an additional 15 points on the test 1 To pass test = study guide and 45 2 To get 100 = study guide and 85 3 All the notes are available online and you may work with a partner When you sound like you don t need any more time we will begin the notes.

2 BIG BUSINESS & LABOR

3 Is Business Too Big??? I. American businesses are growing larger and larger II. Many now have monopolies in certain industries A. One business controls the entire market B. Businesses don t compete which makes prices higher C. Monopolies bad for consumer à unregulated price III. Some believe businesses have too much power A. Too big & unregulated (Laissez-faire)

4 The Rise of Big Business I. The rise in big business can be contributed to an increase in industrial entrepreneurs A. Entrepreneurs- business owners and investors II. Critics of these business leaders called them Robber Barons III. Business leaders instead referred to themselves as Captains of Industry

5 Robber Barons I. Many industrialists gained more wealth than they could ever spend II. They gained wealth by cutting costs in any way possible A. Low wages for workers B. Poor working conditions C. Unethical business practices III. They often became known as Robber Barons because of this

6 Captains of Industry I. Some industrial leaders also were known as Captains of Industry II. Industrialists used much of their wealth to contribute beneficially to society III. They were considered philanthropists (people who give away their money A. Vanderbilt University B. Carnegie Hall C. Rockefeller Center D. Rockefeller donated $450 million before he died E. Carnegie donated enough money for 2,500 libraries to be built

7 The Robber Barons/Captains of Industry I. Businessmen and bankers who amassed huge personal fortunes, by using unfair business practices 1) A. Carnegie - Steel 2) JP Morgan- 3) J. Rockefeller - Banking Oil Henry Ford automobiles 5) C. Vanderbilt Ships, railroad

8 Entrepreneurs Andrew Carnegie I. Scottish Immigrant who began working in a factory at age 12. B. Invested wisely and entered the steel industry at age 38 C. Created Carnegie Steel in Pittsburgh, PA D. Sold his steel company for $250,000,000 in 1901 E. Donated hundreds of millions to charities (libraries) F. Wrote the book: Gospel of Wealth A. i. Duty of the wealthy to donate money to the less fortunate people

9 Entrepreneurs I. John D. Rockefeller A. Entered the oil-refining business during the Civil War. B. Used ruthless business tactics to eliminate his competition. C. His company, Standard Oil Company, controlled 90% of all American oil refining. D. Created the Standard Oil Trust to control all aspects of oil production.

10 Standard Oil Cartoon based on Ida B. Tarbell s book- The History of Standard Oil

11 Entrepreneurs I. J.P Morgan A. Banker who made many loans to up and coming businesses B. Company merged with Chase à JP Morgan/Chase C. Purchased and reorganized bankrupt businesses (profit). D. Bought Carnegie Steel and reorganized it into the United States Steel Corporation (the world s largest).

12 Entrepreneurs! I. Henry Ford A. Created the first cheap automobile for mass production B. Ford Motor Corp (cars) C. Modernized the assembly line and changed industrial manufacturing forever D. Paid laborers a good wage & provided good working conditions

13 CONTROLLING BIG BUSINESS

14 HOLDING BACK BIG BUSINESS I. Big businesses has grown incredibly powerful in the U.S.A. II. Millionaires are making record profits but their business practices are hurting the consumers (people) III. The U.S. government decides to step in to protect the people from the big businesses that have been created during the Gilded Age

15 INTERSATE COMMERCE ACT I. Congress passed the Interstate Commerce Act: A. Created the ICC à Interstate Commerce Commission which regulated railroads and ended unfair business practices B. The U.S. government is beginning to take control of the big businesses

16 Sherman Anti-Trust Act I. Sherman Anti-Trust Act of 1890 A. Law outlawing a combination of companies B. Prevented monopolies C. Forced businesses to compete D. Fair marketplace for consumers E. Allowed the U.S. Government to break up trusts and monopolies Benjamin Harrison What can I do when both Parties insist on kicking

17 Are You With Me?? 1 Argue whether industrial entrepreneurs were robber barons or captains of industry:

18 STUDY GUIDE

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