Big Business Research Paper

In the past, the nation’s government took the “laissez-faire” approach to dealing with the economy and/or free market affairs. The government intervened as little as possible, asserting the belief felt that if left alone, economic problems would be resolved without government interference. However, this approach was not guaranteed, and at times, the government had to put aside the “laissez-faire” approach of the past. The government had no other choice but to intervene in these instances to return balance to the economy and protect its citizens it served. The government changed both its approach and its size through programs initiated by the Industrial Revolution, New Deal programs during and following the Great Depression, and World

In 1907, an economic/political reform cartoon was printed in the Washington Post. It illustrates Teddy Roosevelt holding a rifle while attacking bad trusts. TR was also known as the “trust-buster”. This cartoon demonstrates the bad trusts are a threat to society, and the government must be more powerful than big businesses. In 1914, the Clayton Antitrust Act was developed, “ That it should be unlawful for any person engaged in commerce, in the course of such commerce , either directly or indirectly to discriminate in price..( Document E)” This document price discrimination is unlawful, and monopolies were illegal. It also infers that conflict of interest was an issue as well, and shouldn’t be allowed because it caused greater

Throughout FDR’s New Deal acts, the role of the government regarding economic affairs had expanded greatly. With a previous laissez faire mindset, the Federal Government had never interfered in the economic situation of the American citizens. However, with the New Deal policies, the National Government had become involved in the competition with private businesses, greatly angering business owners (Document 1). These wealthy owners had viewed that the Government should focus its resources on fixing areas such as the South and not restrict the rights of their employees for the benefit of the government. During this time, the government had provided jobs to those in need and a steady cash flow for the American economy, however it had left the country with an astonishing six billion dollar debt (Document 3). The American nation began to feel as if the government was

The Sherman Anti-trust Act in1890 aimed to stop monopolies from their unfair practices: The standard oil company being one of the government’s first attempts to stop. The government’s actions demonstrated their attitude towards monopolies. “ In 1887, congress passed the Interstate Commerce Act, which outlawed railroad rebates and kickbacks and also established the Interstate Commerce Commission to ensure that railroad companies obeyed the new laws” (“Sherman”). Both the Sherman Anti-trust and Interstate Commerce Acts were established to minimize the control monopolies had over the economy.

The author of essay five addressed the second essay prompt in exam 2. The second prompt requires the writer to show that the American government did not truly practice what it preached when it came to laissez-faire economic policy. Prior to the Constitutional Revolution of 1937 the government’s economic policy was a “business tool”; after 1937, the government addressed the needs of the people. In order to effectively argue this position, it is necessary to demonstrate three things; first, that the American government’s economic policy did not reflect laissez-faire doctrine because it used government power to protect business interests, second, an explanation of the Constitutional Revolution of 1937, and third, that the Revolution resulted in

Roosevelt had no intention of completely destroying businesses, but instead wanted to prevent them from negatively dominating the free market competition. He wanted the federal government to control and monitor corporations involved with interstate business. The public began to become aware of the exploitative corporations, which persuaded Roosevelt to create the Sherman Act. This antitrust act attacked the largest railroad trust in the United States and prohibited any anti-competitive activities to occur, such as forming trusts in order to limit the competition in a specific industry. The loose enforcement of the act made ineffective. By the end of Roosevelt’s presidency, he continued to believe that the most effective way to control the trusts was for the federal government to oversee the large corporations. Continuously attempting to attack individual monopolies by filing lawsuits was ineffective and

In the 1920’s, everything was going right for America’s economy. Unemployment was at a high and everyone was making money under Calvin Coolidge and Warren Harding. Business was doing even better under Herbert Hoover, but then eventually the stock market crashed. The thing that all of these presidents had in common was that they practiced Laissez-Faire economics. However, when the economy went downhill under Herbert Hoover’s term, he continued to not intervene in any businesses and let the economy plummet. The government wanted everyone to have money, but the government in the 1930’s was more interested in helping people get it.

Although big businesses had political control in American society, they also impacted the economy through the rise of innovation. As said before, laissez faire played a big part in industries because there was no

Surebuild, Inc. is looking for a jackhammer operator for their company. Mei-Lin is the manager who will be over the hiring. An advertisement was placed stating that the candidates for the job were required to have a high school diploma; however nowhere in the advertisement did it indicate that experience was required. There are four candidates for the job, two meet the requirements of having a high school diploma, and two do not. The first candidate is Eric, he has experience on the jackhammer but does not have a diploma. Another candidate Felipe also has experience, however does not meet the requirements of having a highs school diploma.

During the nineteenth century there was a constant debate on if the government should regulate the businesses and people of America. This debate included many different sides other than the capitalists versus the socialists, throughout America people were placed on a spectrum from socialists to capitalists with millions of different variations and beliefs in between the extremists. Some viewpoints included men like William Graham Sumner or Herbert Spencer that believed in laissez-faire capitalism but differed in exact beliefs of how America should be ran from other capitalists such as Andrew Carnegie and then there were viewpoints from men such as Henry Demarest Lloyd who strongly opposed capitalism. Each perspective had positives and

The fourteenth amendment protected corporations and big new companies were adept at market manipulations. The Populist platforms gave rise to hatred of the corporation and the corporation came to be viewed as alien to American life (Hughes & Cain 2011, p. 371-372). The major players were: J.P. Morgan in banking, Andrew Carnegie in steel, Thomas Edison inventor, just to name a few. Williams Jennings Bryan was the Populist leader and went after industry in a loosing battle. Eventually trusts were busted big government came in, after the era. There were great influencers of the time and these individuals may be thought of as the good, the bad, and the

At the time there was no law preventing the creation of trusts and Roosevelt knew through past experiences of facing new industrial conditions, that if he were to rashly create legislation out of fear of businesses growing too powerful it would be unwise and ineffective3. Therefore, Roosevelt decided that the best course of action was to have the federal government closely monitor the corporations that engaged in interstate commerce. Roosevelt stated that, “The first requisite is knowledge, full and complete—knowledge which may be made public to the world4.” Considering the amount of unknown information regarding the new industrial conditions, Roosevelt’s plan was to strictly monitor the actions of the businesses and to be on the lookout for things that could harm the American population such as large monopolies, but for the time being, no laws or regulations were to be passed restricting business operations for these large corporations. Roosevelt was very wary of the potential wealth to be gained through monopolies. Whether a monopoly was established through running their competitors out of business by utilizing vertical integration as a way to decrease prices to an amount at which the competitors would have to consistently take a loss in order to stay in business, or through horizontal integration by buying out all of the competing business, monopolies gave

There has been much debate among historians about the role of government in big business. Should trusts be allowed to exist? Roosevelt believes that they should get rid of monopolies. He quotes and believes in Van Hise’s article “Concentration and Control”. His article says that the government should get involved in business in order to keep big businessmen in check. He says that unrestrained competition is the biggest of our problems when it comes to big business. The big business men do not feel as if they are doing anything because everyone is doing it. The Sherman anti-trust should just be shut down and there should be a new more enforceable law in order to actually end big business.

“Two world wars [along with Roosevelt’s] “New Deal” had indeed, made government big.” (Moody, 2007, p. 114) Government became “big” because of its controlling interest in business and labor. The reason for this interest is that government was dealing with a failed economy and had two world wars to contend with. These wars required a continual supply of food and supplies to be produced. In order to guarantee supplies to be free of interruption, it required government gaining control over every major industry and labor in order to keep harmony. Along with this harmony, it became instrumental in creating the steady supply of profits for businesses. It also helped in producing wage equality and social services for workers. With

When one night felt like a week, when one person is able to find the pleasantness in such hard and grueling times, they were able to let their human spirit shine through at times like these. During World War II, a dictator who goes by the name of Adolf Hitler, he ordered all European Jews to be persecuted, killed or sent to concentration camps to work long, hard days of labor. Despite the struggle, writers like Etty Hillesum and Anne Frank were able to write about joyous topics and tell stories about the good they had in their lives. The “Big Things” that allowed them to do this and feel this way is love, laughter and nature, those thing play a huge part in letting your spirit triumph.