Ch. 6.3:
-Tell me about Andrew Carnegie.
Born in Scotland, moved to the US in 1848. He invested in the stock market. He was one of the first industry moguls to make his own fortune. His steel business, Carnegie Steel Company, manufactured more steel than all of the factories in Great Britain.
-Tell me about John D. Rockefeller.
Established the Standard Oil Company in Ohio, he paid his employees extremely low wages, and sold his oil for less than it cost to make it, driving competitors out of business.
-What was Social Darwinism and how did it apply to business?
Theory that only the well suited people will survive, and the less suited will not. The individuals capable of running a business will succeed and the business will make a fortune.
-Explain how companies formed monopolies(vertical/horizontal integration, trusts).
Vertical integration- buying out the suppliers of the company. Horizontal integration- Buy out the companies that produce similar products. Trusts- competing companies joining with an agreement. They give their stocks to a group of trustees who manage each company as one corporation.
-How did the government try to regulate business?
The Sherman Antitrust Act: Made it illegal to form a trust that interfered with free trade between states or with other countries
-What are labor unions and what is their purpose?
Groups of laborers that worked together to try and improve their work environment.
-Were labor unions successful in achieving their goals? Explain/Give examples.
At first, yes, but legal limititations made it harder and harder to be effective.
Comments