1 / 12

Eliminating Competition with Railroads

Eliminating Competition with Railroads. Small, independent lines were $$ to run, many began to consolidate consolidate : ______________________ ( larger buys smaller OR forces them out of business). Eliminating Competition with Railroads. Large r&r companies offered rebates

ozzy
Download Presentation

Eliminating Competition with Railroads

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Eliminating Competition with Railroads • Small, independent lines were $$ to run, many began to consolidate • consolidate: ______________________ • (larger buys smaller OR forces them out of business)

  2. Eliminating Competition with Railroads • Large r&r companies offered rebates • rebates: __________________________________________________________________________ • forced many smaller companies out of business • hurt small shippers (farmers)

  3. Eliminating Competition with Railroads • Large r&r companies try to help each other out by • Eliminating the small companies • Creating pools • pools: ________________________________________________________________________________________________________________________________________________

  4. Pools - This hurts farmers as it keeps shipping prices high • Sometimes farmers burned crops for fuel to drive • Populist party re-emerges & calls for gov’t regulation of rail rates • R&R companies simply bribed politicians to avoid changing rules

  5. Railroads Fuel the Economy • Creates thousands of jobs • ________________ turn iron to steel for tracks/ engines • _________________ make railroad ties • ________________ use coal to fuel engines • R&R companies employ workers – laid track, built trestles, carved tunnels, built stations

  6. Railroads Fuel the Economy • New ways of managing business • Create special departments for shipping/ accounting/ servicing equipment • Expert managers followed by ______________________________ (trickle down) RAILROADS OPEN THE COUNTRY TO GROWTH • Brings people in the expanded West together • Allows new businesses to boom • Allows towns to spread • Creates a network for the country

  7. Growth of Steel Industry Growth of railroads spark growth of steel industry • Early trains – ___________ rails (wore out quickly) • _____________– much stronger/ not likely to rust • Problem: expensive/ difficult to make

  8. Bessemer Process • 1850s • __________________________________________________________________________ • Railroads: steel rails • Builder: nails, screws, needles • Architects: steel supports for skyscrapers Steel mills pop up all over the country & bring pollution

  9. Carnegie’s Empire Now controlled all phases of the steel industry - ____________– iron ore - ____________– create the steel - Railroads – laying iron track & shipping finished product - _________________– shipping finished product

  10. ___________________________ a single manufacturer controls all of the steps used to change raw materials into finished products Horizontal Integration “___________________” – consolidating companies to monopolize an industry

  11. Monopoly a single owner or company COMPLETELY controls the ________________of a product/ industry

  12. Carnegie • Believed that the rich had a duty to help the poor & improve society • This idea: “The Gospel of wealth” (gives millions $$ to charities) • Sells steel empire in 1901 & spends rest of time/$$ helping people

More Related