DO NOW

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DO NOW

• Pretend you are writing the directions to include
  in the game Monopoly.

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vs
Where will you buy you bike? Defend both sides (I
will not be offended) ?
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Advanced technology along with the use of oil and
electricity helped American businesses grow.
Soon the shape of the American economy changed.
Some companies grew so large that they began to
dominate entire industries. Most towns had their
own small factories to produce goods for local
peopleAlong with the help of the railroad, big
factories started to take over. They could mass
produce things cheaper, so small factories began
to close.
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(No Transcript)
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The steel industry started to prosper. Steel was
stronger and not likely to rust like other metals
being used.
Used to create the new skyscrapers
It created smog and waste that was thrown into
rivers
Pittsburgh Steel Capital
Andrew Carnegie
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Corporations, a business ran by investors, began
growing. They would sell stocks, or portions of
ownership in the business, and use the money to
reinvest. Stockholders provided
money and hoped to
receive dividends, shares
of the corporations profits.
Corporations relied on
banks to get money
to start their
investments.
J.P Morgan
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The abundance of varied natural resources helped
the US expansion of industry. Oil became a huge
value and was turned to Kerosene for stoves and
lamps. Rockefeller started the Standard Oil
Company and performed practices such as forcing
railroads to give him rebates to strengthen his
company.
John D. Rockefeller
Soon, monopolies became a component of business.
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Is this ruining free enterprise?
Free enterprise is when a business is owned by
private citizens.
(To trust or not to trust)
What companies today do you think hold a monopoly
on business?
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Critics argued that changes were needed because
trusts made it difficult for new companies to
compete.
The Sherman Trust Act very weak Some states
began passing laws to regulate business corporat
ions worked around them
Big Business Argued Corporations and trusts
brought lower production costs, lower prices,
higher wages and a better quality of life for the
people. Competition creates inefficiency and
waste.
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Who do you support?

• Create a protest sign for the big business Fox
  Books or the privately owned Shop Around the
  Corner.

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Homework - Research

• Find out one new fact about each of the tycoons

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Corporation businesses that sell portions of
ownership called stock shares Dividends -
profits Monopoly total ownership of a product
or service Vertical integration ownership of
businesses involved in each step of a
manufacturing process Horizontal integration -
owning all businesses in a certain field Trust
a legal arrangement grouping together a number
of companies under a single board of
directors Social Darwinism a view of society
based on scientist Charles Darwins theory of
natural selection