Essay on The Growing Economic Crisis of the Late Nineteenth Century

1068 WordsFeb 2, 20135 Pages
APUSH Document Analysis and Questions Packet The Growing Economic Crisis of the Late Nineteenth Century Part A. 1. What did John D. Rockefeller believe was the key to stabilizing the oil industry? He believed that centralizing the administration, hard-working people that applied themselves and work together, and a monopoly – owning as much as they can – would stabilize the oil industry. 2. What were the weaknesses of each of the following methods of stabilizing the industry? a. Agreement: agreement was when each competitor agreed to certain standard prices and policies, but it was easily and quickly broken because people did not keep their promises ad people saw the chance to undersell the rival. b. Pool: the…show more content…
Explain how prices of coal, steel rails, and copper in 1871, 1876, and 1879 relate to points on the graph of the business cycle. The graph shows in 1871 there was an industrial overexpansion boom that resulted in the production of railroads; this called for more materials and caused the increase in price for the steel rails in the Document F chart. In 1876 there was there was the secondary post war depression causing things to go under causing the price of items to decline, causing the lower copper and steel rail prices in the chart. And in 1879 there was the gold resumption boom caused the prices to go down. All in all the prices of coal went down because of the over expansion, which led to less money being made to pay the employees, causing the rates to go up and down. 7. From the documents, what inferences can you make about the “disastrous effects of the business cycle” for each group below: d. Corporations: when the price of products went down, the more of the product that was made. But the cycle got better during the “War Boom”, but went down during the “post war depression.” e. Workers: the workers were given less money when the prices of the goods decreased. Part C. 8. In what way do the above documents on labor union membership and the Knights of Labor philosophy reflect concerns of J.P. Morgan? The chart shows the rising number of workers, but an unstable number of union members,
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