Robber Barons vs Captains of Industry Pros and

Robber Barons vs. Captains of Industry -Pros and Cons of Industrialists -Treatment of workers -Antitrust Movement

Opposing View Points - copy n Captains of Industry n n n n Created Jobs Increased production Provided cheap products and new technology Gave money back to the community (philanthropy) Assisted to the growth of the American economy and influence in world “Rags to Riches” stories inspired and modeled the American Dream Robber Barons n n Exploited workers while amassing fortunes Corrupted the government and large buyers by offering discounts Greedy, monopolies gouged consumers Destroyed hopes for the “American Dream” for many

Justifications for Industrialists’ Extreme Wealth - copy n n n Gospel of Wealth Laissez faire capitalism – gov’t n Andrew Carnegie should leave business alone n God gave wealth to the most Social Darwinism capable people Herbert Spencer n It is the duty of the wealthy to give n Based on Charles Darwin’s money to help the poor theory of evolution n Carnegie gave millions of dollars n Those who are rich are more away to establish libraries, fit, than those who are poor colleges, and museums n Attempted to use science to explain social classes Horatio Alger- wrote popular fictional books in which the protagonist poor boys became wealthy through their honesty and hard work. Puritan Work Ethic.

John Rockefeller and Standard Oil Trust n To monopolize the oil industry he forms the Standard Oil Trust A trust is an organization of businesses designed to operate like a monopoly n His corporation Standard Oil owned about 88% of the oil industry in the US in 1890 n

John Rockefeller and Standard Oil Made deals with the Recognized the railroads to charge potential of the oil competitors more industry n Lowers prices to force Very hard worker other companies out of Spent all profits from business-then raised prices the company to improve production n Low pay for workers Philanthropy- gaven Sabotaged competitors over $500 million to n Paid government officials charities in the Senate n n n

Other Famous Trusts n n n Andrew Carnegie- US Steel J. P. Morgan- Banking, Railroads, and Insurance Companies Friedrich Weyerhaeuser- Lumber

Working Conditions - copy n n Laborers were immigrants, blacks, women, and children 10 -12 hour days, six days a week Accidents were frequent, deaths occurred Low wages

Anti-Trust Movement - copy n The public began to dislike trusts Prices were high on important products n Trusts were responsible for a corrupt government n n Although Congressmen liked trusts they needed to please the public n Passed the Sherman Antitrust Act Made it illegal to form a trust or monopoly n Act was not effective because the act did not clearly define a trust n

Exit Pass n n -Evaluate if Industrialists should be viewed as captains of industry or as robber barons. -Use details from your notes and your reading to support your answer.