Laissez Faire Monopoly

Oil, or “black gold” as it was also called, was definitely a huge moneymaker for those in the Middle East. However, it was not until the mid to late 1800s that oil production began here in the United States. Different products like kerosene, gasoline, and diesel were being produced thanks to a fracturing process to refine crude oils was discovered. These products were able to be produced and marketed for different purposes, which, in turn, made profits go up. A combustion engine was also being put to use that required gasoline, which once again increased profits, and demand for petroleum products. John D. Rockefeller took very questionable actions, most of which angered others, to create this monopoly of the oil industry in the United States. …show more content…
Laissez faire capitalism is basically the idea that a business will make as much of a profit as they possibly can, and to completely eliminate the competition. When a business is able to eliminate its competition, it becomes a monopoly. Stockholders of competing corporations would turn in their stock to trustees. At this point, they would receive a trust certificate which entitled them to a dividend. Trusts had a huge impact on American economy, and made people extremely wary of new businessmen and the methods they would use. They were able to accommodate the prices and quality of products to fit the needs of the businessmen, without worrying about laws of supply and demand. Trusts became a huge political force as well, and some even accused trusts of buying votes. Trusts became extremely powerful and wealthy, and made people question the morality of it more and