The Growing Economic Crisis of the Late Nineteenth Century Essay
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…
Part D. 9. Even though Congress passed antitrust legislation, why did corporate leaders try to retain the concept of the trust? The corporate leaders though that the system of antitrust was beneficial to them because it gave them lots of money and power.
10. How did corporate leaders hope to maintain the essence of trusts? Corporate leaders came from political backgrounds were they were familiar with the systems; they bought stock together, and had many political concerns because of precious jobs.
11. How does the relationship of Board of Trustees to a trust (Document K) differ from the relationship of a Board of Directors to a holding company (Document L)? The Board of Trustees had a house that did own any stock, but was in control and companies vote or have stock. While the Board of Directors had one major company, and let two lower companies that each own two other companies.
12. Research why the Fourteenth Amendment was used to protect a holding company but not a trust. The Fourteenth Amendment protected against holding companies more directly with citizens, it had trust for large companies, and business was treated as a person with rights and views.
Part E. 13. In what respect has the government adopted a broader perspective of economic problems than did J.P. Morgan? The government saw that need for jobs so they wanted more workers and was