Monday, January 28, 2008

Big Business and Trusts: Creating New Forms of Corporate Organization

--Entrepreneurs in oil, salt, sugar, tobacco, and meatpacking industries rushed to copy Carnegie's method of lowering costs to drive rivals out of the market
--Edwin L. Drake drilled the first successful oil well in 1859
--Petroleum (crude oil) was refined into Kerosene and used in lamps, replacing animal fat
--John D. Rockefeller (from Cleveland) opened his first refinery in 1863, using Carnegie's cost-cutting techniques, realizing that small changes could save thousands of dollars. He worked toward vertical integration of his firm and forced out competitors. Bye 1879 he controlled 90% of the country's oil businesses.
--Strong as he was, Rockefeller about competition and set up the Standard Oil Trust, which created an umbrella corporation that ran all the oil companies and consolidated them, controlling them horizontally as well as vertically.
--Rockefeller’s trust was copied by many other industries, but legislatures decided they were corrupt, stamping out all competition and making monopolies. The government prosecuted 18 trusts and put those in charge in jail, but the Sherman Act of 1895 was sympathetic to big business and failed to stamp all of them out, so by 1900, these huge firms accounted for 2/5 of the nation’s manufacturing sector.

(my notes on oil and trusts- somewhat incomplete)
Chapter 18

I. The Rise of Industrial America

A. Prominent industrialists and The Alger Hiss Myth

1. John Pierpont Morgan (1837-1813) Began in banking perfected the trust system and holding company corporate structure. His trusts eventually dominated the railroad, electric, steel and agricultural equipment business.
2. Andrew Carnegie (1835-1919)- Scottish immigrant who started his career in railroads. Created the country’s most successful, vertically integrated (where the boss controls every piece of the production- stores, raw materials, etc) steel business (Carnegie Steel), first to use the Bessemer process to produce steel rapidly. Sold his steel business to JP Morgan for nearly $500 million in 1901. Recognized as the US’s foremost philanthropist (giving away $350 million during his lifetime), wrote The Gospel of Wealth, established 2500 free lending libraries and several educational institutions
3. John D Rockefeller (1839- 1937)- Cleveland merchant, son of a snake oil salesman. Entered the oil business soon after oil was first discovered in Pennsylvania. Established the Standard Oil Company, which monopolized the oil industry until its breakup. Credited for originating the trust and holding company corporate structure. Also involved in philanthropy, was worth $5 billion at the time of his death.
4.Gould, Hull, Huntington and Vanderbilt- led the consolidation of the railroad industry in the 1870’s and 1880’s. Standardized railroad equipment, interconnected railroads and fought federal regulation. However, when the industry fell on hard times, it was largely taken over by JP Morgan.
5. Thomas Edison (1847-1931)- Prolific American inventor. First major invention was the stock quote machine. Used capital from the first invention to establish his Menlo Park research facility (NJ). Invention included the phonograph, reliable filament for the light bulb; first full scale standardized electrical system (together with Morgan established GE), mimeograph machine, microphone, motion picture camera and film, and storage battery. Patented 1,093 inventions by 1931!
6. Alexander Graham Bell (1847-1922) Scottish immigrant who invented the telephone in 1876. Responsible for establishing national and international telephone systems

B. Industrial Change in the late 1800s
1. Between 1850-1900, US industrial output increased 5fold. By 1900, the US accounted for 35% of the world’s manufactured goods
2. Factors in US industrial development
a. Development and exploration of new energy sources (coal then oil)
b. Technological innovation
c. Large and exploitable workforce
d. Intense competition led to the creation of large vertically integrated corporations
e. Low prices due to increased productivity led to increased demand
3. Consequences of rapid industrial development
a. Huge increase of consumer goods
b. Labor saving technologies
c. Explosion in urban growth
d. Increased social inequality
e. Widespread suffering among the working class
f. Industrial pollution of air and water

C. Major US Industries
1. Railroads
a. By 1900, the us had 193,000 miles of railroad track
b.Railroad development was subsidized by the government during the Civil War and ongoing though huge land grants in the West
c. Capital intensive nature of the business led railroads to raise money through stock and bond offerings
d. Due to their scale and geographic span, railroads developed innovative management, accounting, recordkeeping and communication techniques.
e. Railroads began to standardize equipment as the industry began to consolidate in the 1870s and 1880s
f. By the 1890s, fierce competition and indebtedness made the railroads vulnerable to take over.
g. The governments also attempted to combat rated differentiation and other monopolistic practices throughout the interstate commerce act of 1887. Railroads successfully fought government regulation in the courts.

2. Steel
a. Carnegie set his sights on the steel industry
b. In the 1970’s he started his own steel mill using the Bessemer process
c. Carnegie’s goal was to make a vertically integrated steel manufacturer that would control costs
d. Carnegie Steel became the world’s largest industrial concern by 1900
e.Industry was consolidated by JP Morgan who brought Carnegie steel and joined it with others to make the first billion dollar business: US steel in 1901

Tuesday, January 22, 2008

Chapter 16 Study Guide

Download it here.

Chapter 17 Notes, continued

Chapter 17, continued Notes

I. Cashing in the Western Frontier


A. The Mining frenzy
1. Beaked between the discovery of gold in California (1849) and the Canadian Klondike strike in 1896 which led to the settlement of Alaska
2. Other major gold and silver discoveries initiated the settlement of Nevada, Colorado, Idaho, Montana, Wyoming, and South Dakota
3. Towns would grow quickly then decline or be completely abandoned once the precious metal was exhausted
4. Mining towns tended to be ethnically diverse; however, men greatly outnumbered women
5. When there was still some “placer gold”, individual prospectors had a chance but, as this ran out, only large mining companies had the resources to build deep mines
6. Miners were paid reasonably well but the work was dangerous
7. Mining operations polluted rivers with excess dirt, mercury, arsenic and cyanide,
8. Millions of ounces of precious metal fueled the American economy and financed accelerated industrialization

B. Cowboy Reality and Legend
1. Driving cheap cattle from Texas to rail depots in Dodge City and Abilene, Kansas, became extremely lucrative in the late 1860s
2. These drives required many cowboys so cattle ranchers began to recruit using the media to glamorize the cowboy lifestyle
3. 35000-55000 poor young men were thus lured into a generally underpaid, boring, dirty and occasionally violent job
4. 1/5 of cowboys were Mexican or African-American
5. A few achieved fame and notoriety (Billy the Kid, Deadwood Dick, Wild Bill Hickcock, etc) giving rise to the cowboy hero of the dime novels (and eventually movies)
6. As more farmers moved in, disputes began to occur culminating in the range wars (farmers vs. cattle’s) Farmers emerged as more powerful politically because they were tied to the land and could vote.
7. The cattle bonanza ended in 1885 when 90% of cattle died as a result of an abnormally cold winter, coupled with a summer drought and an outbreak of Texas Fever (new railroad links also made cattle drives obsolete)

C. Bonanza Farms
1. During the Panic of 1873, many railroads sold off Western land
2. This land was often purchased in huge parcels by investors and converted it into vast bonanza farms
3. Wheat production skyrocketed in the northern plains while in California, there were major fruit operations which at first hurt small farmers and even the bonanza farms by the 1890’s
4. Fruit production, in turn, became more viable with the introduction of the refrigerated train car in 1900

D. Oklahoma: the final American frontier
1. With so much western land controlled but the railroads, cattle ranchers, bonanza farmers and speculators, homesteaders pressured the government to open federal land in Oklahoma to white settlement.
2. Reneging on agreements with the 5 Civilized Tribes, the government opened 2 million acres in central Oklahoma for settlement on a “first come first served” basis
3. On April 22, 1889, thousands of eager homesteaders rushed in to claim the land (some cheated and got there before- nicknamed “Sooners”)
4. This action together with the Dawes Act caused the 5 Civilized Tribes to lose control of their land
5. Poor land management and over-farming led to Oklahoma being the center of the dust bowl in the 1930’s (leading Mandy okes to move again)

Group presentation notes

• Railroads
o Brought new settlers to the plains: Irish, Russians, Germans, Chinese
o Helped in the war against the Indians
o Railroads became the largest landowners in the US
o Laid the bedrock for women’s suffrage

• Farming
o Dry Farming
• Farmers plow deep to keep moisture on plants
o New Tools
• Steel plow- allowed the farmers to plow the hard soil
• Windmills
• Barbed wire: keep cattle in and intruders out
• Mechanical Reaper
o Main Crops: wheat and corn
o Ranchers vs. Farmers
• Ranchers resented encroachment of farmers
• Ranchers “Cattle Kings” cut barbed wire fences so cattle could get in, would buy up land
• Farmers got laws passed that restricted mobility of Ranchers
o Weather conditions
• Very dry, required new plows or irrigation
• Often diverted streams or tapped wells
• Dry spell in the 1870’s- five year drought, many farmers left the region or went bankrupt
o The Great Plains
• 19 million bushels of wheat were produced in the Great Plains
• After climate shift, though, production dropped
• The type of farming was completely unsustainable

• Homesteading
• New Immigrants to the Great Plains
• Homesteading act: for $10, land out west
• 400,000 families took up on the act
• Much of the acreage actually went to railroads and state governments
• Transience vs. sticking it our
• Most of the people who stayed were Germans, because they tended to stick with communities
• Settlers vs. Speculators
• Settlers were mostly immigrants who bought land out west
• 160 acres was rarely enough
• Speculators worked for companies, buying up land and reselling it
• They abused the Homestead act by buying it

• Settlers
• Many poor people moved out there
• Bought desert land for cheaper
• Timber and Stone Act let Settlers buy more land
o How did the Homestead act affect the US
• Promoted people moving to the empty plains
• Bettered economy
• Most land went to speculators and railroads
o Becoming States
• Enabling act- let congress set up boundaries
• Writing state constitution, applying for admission
o Women in the Great Plains
• Short lives
• Few opportunities
• Lived along, often
• Had to work on the farms like the men
• Once they had stayed for a few years, they would decorate houses
o Cooperation
• More explorers
• Wagon trains- traveling together for safety and comfort
• Sometimes things went wrong, though- the Donner Party
• Once they had reached their land, they made provisional governments
o Refining Frontier Life
• Opera houses
• Schools
• Hotels
• Were viewed as provincial and backwards
• Masonic Lodges and other organizations
• Libraries


• The Southwest
o Architecture
• Spanish influence
• Adobe style= cool interior
• Often red-and-white
• Mexican and Spanish Revival movement
o Land
• Americans often kicked out Spanish speakers- forced to move to Barrios
• In NM & AZ, though, the Spanish were wealthier and held onto their land
o Mexicans in New Mexico
• Treaty of Guadalupe-Hidalgo ended war, but some Mexicans remained, so Grant annexed them
• Often, though, whites grabbed Mexican land
o California & Texas
• Californians were brought by gold rush, mixed with Mexicans
• But the Mexicans mostly formed their own communities
• Many worked in gold mines or for Railroad
• In Texas, there was some cooperation

Thursday, January 17, 2008

Chapter 17 Notes

I. Native Americans Beyond the Mississippi

A. Native Americans of the great plains
1. Northern plains- war among the tribes there was common (Lakota Sioux, others)
2. Middle Plains (OK area)- 5 civilized tribes, relocated during Jackson’s presidency
3. Southern Plains- Kiowas, Comanches, Arapahos, Apaches

B. Lifestyles
1. Some agricultural practices
2. Mostly nomadic and followed buffalo
3. Guns and horses in widespread use by mid 1800s
4. Extended family ties and tribal cooperation
5. Lakota religion
a. Emphasizes importance of the community- view community in a series of circles: Family-band-tribe-Sioux Nation
b. Hierarchy of plant and animal spirits whose help could be invoked by the Sun Dance
c. Self-torture to gain spiritual power and strengthen the community
6. Buffalo Culture
a. Northern or High Plains Indians could not practice agriculture due to lack of rainfall
b. Developed nomadic lifestyles that followed the patterns of buffalo migration
c. Supplied everything necessary for living
d. Until the 1850’s numbered as many as 30 million, but were reduced to a few thousand by 1880

C. Reservations and the End of Nomadic life

1. Reduction of buffalo herds created most obvious pressure
2. As whites moved in and gold was discovered in the Rockies, the government (pressured by settlers, developers and the railroads) moved toward a system of tribal reservations
3. Some Native groups who were already agricultural did not resist. More nomadic groups attempted to resist
4. Sand Creek Massacre (1864)- Following Cheyenne and Arapahoe raids on travelers, the Governor of Colorado had issued an order to kill all hostile Indians on site. A peaceful band of Arapahoe Indians near a US Army Fort was slaughtered by a Colorado militia group led by Methodist Minister Chivington
5. Medicine Lodge Treaty of 1867- group of Kiowas, Comanches, Cheyannes, and Arapahoes agree to live on land grant in Oklahoma
6. Fort Laramie Treaty of 1868- some Sioux agree to move to a reservation in western South Dakota
7. Many tribal leaders were dissatisfied with the treaties and opposed to the idea of reservation confinement. They continued to roam the Plains and occasionally raided white settlements
8. US Army units were dispatched to force roving Indians into reservations. George Custer was the most infamous commander in this effort
9. When gold was rumored to exist in South Dakota, Custer was dispatched to confirm its existence and pressure the Sioux to sell this land. The Sioux asked for too high a price so Grant decided to force them off
10. Custer’s Last Stand (Little Bighorn, Montana, 1876)- overconfident Custer attempted a frontal attack on a huge group of Cheyenne and Sioux warriors led by Chief Sitting Bull. Custer and his Seventh Cavalry were destroyed
11. Ft Robinson Massacre (Nebraska 1879)- US army captured 150 Cheyenne who were trying to return to the Dakotas, led by Chief Dull Knife, they escaped but were overrun and slaughtered by the army

D. Reform in Native American Relations
1. Well-meaning reformers, most notably Helen Hunt Jackson, were appalled by the wanton killing of Native Americans
2. They espoused integration of Indians into mainstream society- opposed nomadic lifestyle and reservations
3. DAWES ACT- (1887) culmination of integration movement
a. Emphasized that Indians would be regarded as individuals from a legal standpoint
b. Each head of an Indian family would receive 160 Acres of former reservation land for farming (320 for cattle); land held in trust for first 25 years to prevent sale
c. Indians who accepted land would be declared citizens
d. Reservation land decreased by 65% from 1887 to 1934- most redistributed land was eventually sold to white settlers or too arid to farm

E. The End of Indian Resistance
1. Ghost Dance Movement- originated with prophet Wovoka and spread quickly among Sioux in the Dakotas. Members performed a Ghost Dance, wearing a Ghost Shirt, which they believed protected them from harm (even bullets)
2. To stop the movement’s spread, Major McLaughlin ordered the arrest of Chief Sitting Bull. The Chief and some Indians as well as some soldiers were killed.
3. Wounded Knee Massacre (s. Dakota 1890)- The army rounded up 340 Sioux. When one Indian shot his rifle, the army opened fire with cannons, killing 300 Indians in minutes. This is the last major confrontation between the US Army and Native Americans.

Tuesday, January 15, 2008

Hey everyone

So it looks like word gets around quick...

The only thing is, I'm not sure how kosher this is, but we'll have to see how it goes, ok? Just keep it relatively quiet with respect to teachers, etc.

Hopefully, I should be adding completed chapter guides soon, but we'll see how that works out. Good luck, and happy studying!

-A

P.S. Be sure to check out the links section over there ----------------->
As well as the demon that is infinite campus and the reccomended quizzes from the textbook, there are lots of helpful study guides and other things there. The 1603 Things to Know is pretty cool: one year of APUS condensed into a webpage.

Reconstruction, Part II

The Crop-Lien System

• A way for creditors to bridge the gap between urban merchants and rural planters
• Offered supplies, credit, etc to planters using next years crop as collateral
• Debts skyrocket, loans up to 50% of crop’s value
• Kept southern blacks locked in cycle of poverty and debt

Election of 1868

• Johnson was politically dead as a result of impeachment trials
• Republicans nominate war hero US Grant
• Democrats feebly nominate Horatio Seymour
• Grant wins in landslide
• Next 2 terms tainted by cronyism, corruption and major recession

Grantism

• A naïve politician
• Cabinet employees made up of friends and heads of business
• Scandals:
o Credit Mobilier
o Whisky ring
o Bribery
o Fraud
o Boss Tweed’s Tammany Hall
• Some foreign success:
o Purchase of Alaska
o Settled Alabama Affair
• New splinter group, Liberal Republican Party forms and tries to take election in 1882

(Thomas Nast, famous cartoonist)

Liberal Republicans

• Supported free trade, laissez faire economy and reform of the civil service
• Believed that government corrupment was more important than southern black enfranchisement
• Nominate Horace Greeley (also supported by the Democrats
• Republicans renominate Grant, who wins

Panic of 1873

• Causes
o Rapid postwar industrialization
• Too much building too fast with not enough currency and specie to finance it
o Overspeculation
• Overbuying led to inflation of Railroad and public business stocks
• Led to collapse of the stockmarket, rr companies, national bank, and a decrease in property values
• Greenbacks taken out of circulation because they were not backed by specie
o And furthermore, those who lent the government money during the war (war bonds) were now being repaid in specie.
• Public Credit Act- Government repayment of bonds to the public
• Specie Resumption Act- back on the gold standard
o Both help restore confidence, but many Democrats want a switch to silver standard to have more abundant money supply
• Bland-Allison Act- Coinage based on silver
o Begins the split between the greenbacks and the silverbacks which will resurface in the 1890’s

Reconstruction and the Suprime Court

• Ex Parte Milligan (1866)-civil courts not military courts tried those guilty of crimes against freedmen as long as they were in the district of that court
• Texas Vs White (1869)- is reconstruction and the readmission of southern states even constitutional, since Union never dissolved in first place
• Slaughterhous cases (1873)- 14th amendment weakened on grounds that states have the right to impose limits not only on corporations but also on individuals within their jurisdictions
• Repeal of Civil rights act (1875) KKK Act (1871) and Enforcement act (1870)
• Supreme court felt Congress had overstepped it’s power.

Decline of the Republicans

• People tired of lack of progress in the south
• Radical Republicans died off
• More republicans believed blacks were inferior to whites
• Democrats fight back, winning previously Republican Southern states by 1876
o In south, they hold only SC, LA and FL

Decline of the Republicans

• Planter Aristocracy tries to kick republicans out of south
• The White League (1874) indimidated black voters
• Democrats use political system to further entrench blacks into sharecropping/ crop-lien system
o Some blacks flee north

Election of Hayes ends reconstruction- didn’t really win election but won by promising to remove troops from south

Saturday, January 12, 2008

Reconstruction

Putting the pieces back together
How doe we readmit the South?
-Amnesty? Punishment? A combination of both?

The death of Lincoln and the rise of dissention and confusion

The Freedman Issue
-The 14th, 15,th, 16th Amendments and trying to make this work in the South

The Rise of the Ku Klux Klan and other impediments to the progress of free blacks

Reconstruction abandoned
-Finally realizing that this wouldn’t work yet…

Remember
Impacts of the war on the North
- 360,000 dead
- Economic modernization (keep this in mind…)
- Stronger banking system
- Government power asserted
Impacts of the war on the South
- 260,000 dead
- 60% of wealth lost
- Loss of livelihood (slaves, plantations, etc.)
New concept to Americans: winning a war but terrified of how the victory will play out…

Reconstruction Scenarios
Lincoln’s Initial Southern readmission plan called for a policy of amnesty
- 1863: 10% of southern voters have to pledge allegiance to the Union
- Confederate leaders have to apply for a presidential pardon

Soon to be President Andrew Johnson favors a more militant approach

Radical Republicans (the minority) favor black suffrage

Wade-Davis Bill: each Southern state ruled by a military governor with 50% of voters pledging allegiance to te Union
- Pocket vetoed by Lincoln

Johnson’s Plan
Tennessean Andrew Johnson favors a more millitant plan

Wants to abolish the planter aristocracy of the South

Proposes that all Southerners proclaim allegiance and all of their property would be restored
- States have to proclaim secession illegal ind ratify the 13th Amendment
- Also disqualifies rich whites from this process much like Lincoln disqualified Southern leaders

Hands out 13,000 presidential pardons to the rich and leaders

End 1865: 7 states now restored
- But black suffrage remained untouched

“Black Codes”
Under the 13th Amendment, freedmen guaranteed civil rights, but black codes restricted certain behavior
- Segregation, interracial marriage, court testimonies

Freedmen’s Bureau established to ensure fair entry of freedmen into Southern society

Congressional convention in 1865 refuses to seat ex –Confederate representatives

Thus, Joint Committee on Reconstruction established to oversee this process more efficiently…

Congress vs. Johnson
Radical and Conservative Republicans, Northern Democrats quickly turn their backs on Johnson

Johnson vetoes renewal of the Freedman’s Bureau (which would invalidate the black codes and assist in freedman success but is overidden by Congress)

Also vetoes the Civil Rights Act of 1866 (overridden by Congress)
- Asserts that bills are invalid because ex-Confederates couldn’t vote!

United Republicans move onto the next step: a constitutional amendment that prevents the Supreme Court from invalidating the Civil Rights Act

The 14th Amendment

All people born in the US are citizens- regardless of skin color
- nullifies Dred Scott decision

Also, disqualifies ex- Confederate leaders from pardons, except by a 2/3 vote of Congress

Johnson sets out on his “swing around the circle” to gain popular support

Republicans now firmly in charge of Reconstruction “business”

Reconstruction Act of 1867
Ex Confederate States (besides TN) divided into 5 military districts (temporarily…)

All states must elect a delegation to write a new state constitutions that includes black suffrage

After Congressional approval of constitution, state may be readmitted

Johnson thwarts bill (as best as he can…) by replacing “radical” Union generals with more conservative ones…
-Tenure of Office Act passed to limit this action…