HIST-H 106 Lecture 1: Ch. 18 Class Discussions (Jan. 13-14)
Document Summary
Railroads, later other big industries, followed military reform policies of madisonian platform: everyone accountable to person ranked above them. Horizontal integration- large company buys every possible competing company: destroys and absorbs competitors, greater chance of monopoly than vertical integration, reduce competition, maximize profits, low wages, low costs, control prices of items, increase production efficiency. Robber baron (-)/captain of industry (+: big business owners, differing opinions of them- different phrase connotations. Trust- central business runs branches/manages very large enterprise: control amount of revenue coming in, independent subordinate companies, public and gov"t begin to dislike trusts- associate them with monopolies, gov"t began to pass legislation against trusts. Holding company- owns at least 51% of other companies" stocks: legally controls other companies, companies retain name, operate as its own company, just owned by holding company. People used to burn natural gas- was waste product: light bulb meant safe light source (significant)
