The New Colossus The New Colossus

Not like the brazen giant of Greek fame,With conquering limbs astride from land to land;Here at our sea-washed, sunset gates shall standA mighty woman with a torch, whose flameIs the imprisoned lightning, and her nameMother of Exiles. From her beacon-handGlows world-wide welcome; her mild eyescommandThe air-bridged harbor that twin cities frame."Keep ancient lands, your storied pomp!" cries sheWith silent lips. "Give me your tired, your poor,Your huddled masses yearning to breathe free,The wretched refuse of your teeming shore.Send these, the homeless, tempest-tost to me,I lift my lamp beside the golden door!"

Fighting for Profits• What did a business look like before this time?What did a business look like before this time?

– Run by family or one person.– This meant that no business could grow bigger

than one family’s ability to invest in it or run it.– Businesses were local, buying and selling to people

living nearby.

• What did a business look like after this time?What did a business look like after this time?– Railroads provided businesses with access to raw

materials and customers farther away.– Expansion of businesses and the amount of people

responsible for running it.

Corporations• A number of people share A number of people share

the ownership of a the ownership of a businessbusiness– Developed by investors.– If a corp. experiences

economic problems, the investors lose no more that they had originally invested.

– A corp. can buy or sell property, and it could sue.

– If a person leaves a group, the others could buy out what they invested.

– Accessible to large amounts of capital, which allowed them to fund new technology.

– Aided by railroads and telegraph, they could operate in different regions.

Monopoly• Investors maximized profits Investors maximized profits

by:by:– Paying low wages– Paying minimum for raw

materials– Advertising

• MonopolyMonopoly = complete = complete control of a product or control of a product or service.service.– This allows the controller to

set prices.

• CartelCartel = corporations work = corporations work together to eliminate together to eliminate competition.competition.– The allies agree to limit

production and keep prices high.

Monopoly• Cornelius VanderbiltCornelius Vanderbilt

– Railroad tycoon– Got his competitors to

pay him to relocate to minimize competition.

• John D. RockefellerJohn D. Rockefeller– Oil tycoon– Made deals with

railroads.

• TrustTrust = Group of = Group of separate companies separate companies that are placed under that are placed under the control of a single the control of a single managing board in managing board in order to form a order to form a monopoly.monopoly.

Monopoly• Andrew CarnegieAndrew Carnegie

– Steel tycoon– Controlled many different

businesses that made up all phases of a product’s development.

• Consumers, workers, Consumers, workers, and the federal and the federal government believed government believed that systems like trusts, that systems like trusts, cartels, and monopolies cartels, and monopolies were were unfairunfair..– Most small businesses

were bought out or put out of business.

– Consumers hated the high prices.

Monopoly• ““Robber Barons”Robber Barons” = shrewd capitalists who = shrewd capitalists who

took advantage and swindled the poor.took advantage and swindled the poor.• The majority of these men were The majority of these men were

philanthropic,philanthropic, establishing establishing universitiesuniversities, , museumsmuseums, and , and librarieslibraries..

Social Darwinism• Charles Darwin- biologistCharles Darwin- biologist• Believed in survival of the Believed in survival of the fittestfittest..• WealthWealth was a measure of a person’s was a measure of a person’s

inherent inherent valuevalue and those who had it were and those who had it were the ‘most fit’the ‘most fit’..

Regulations• 1887- U.S. Senate created the 1887- U.S. Senate created the Interstate

Commerce Commission (ICC) to oversee (ICC) to oversee railroad operations.operations.

• Set up to monitor business operations.Set up to monitor business operations.• It required the railroads to send their It required the railroads to send their

records to Congress so that it could initiate to Congress so that it could initiate investigations of unfairness.investigations of unfairness.

• 1890- Sherman Antitrust Act1890- Sherman Antitrust Act• Outlawed any trust that operated “in Outlawed any trust that operated “in

restraint of trade or commerce among the of trade or commerce among the several states”.several states”.

The Changing American Labor Force

The Changing American Labor Force

Child LaborChild Labor

Child LaborChild Labor

“Galley Labor”“Galley Labor”

Labor Unrest: 1870-1900Labor Unrest: 1870-1900