FROM CRISIS TO EMPIREChapter 19

BACKGROUND (HOW DO WE GET TO THE PROGRESSIVE ERA?)

Growing Industrialism

leads to major shifts in population -> Growth of the City/Urbanization

Urbanization

(Pros) Dense population - allows for mixture of cultures, ideas , ethnicity and gender roles. Urban communities also provides safe refuge for immigrants, encouraging further growth and cheap labor supplies. Cities provided autonomy for women and others to break free of traditional roles and norms

(Cons) Dense population - leads to sanitation issues, need for affordable housing, urban poor population (crime spikes), industrial accidents, political corruption

The Farmer's Revolt: The Rise of the Populist PartyBackground

Homestead Act 1862 a. Made available 160 acres to each settler willing to farm it b. Settlers had to live on the land for five years, and improve it. c. Cost was a nominal fee of $30, after which the land belonged to the settler, but during the five-year period, the Land was exempt from attachment for debt. d. From 1862-1900, 500,000 families acquired title to lands in the West under this act, (but it should be noted that 2,500,000 purchased land from Railroad and land companies and from state governments during the same period).e. The limit of 160 acres was not sufficient on the Great Plains as in the Mississippi Valley (1) insufficient water supplies (2) inadequate building materials; few trees. (3) Great Plains was not the traditional type of frontier. (a) Severe droughts and blizzards plagued the area. (b) As many as 2/3 of the settlers abandoned the homesteads, returning East

Changes in Agriculture in the Post-Civil War Era a. Favorable prices of grain led to a concentration in single money crops grown in the Great Plains including wheat or corn. b. Profits were used to buy goods, previously goods made by the farm family. c. Manufactured goods were purchased in town or through mail-order houses including: Sears Roebuck and Montgomery Ward (who established his firm in 1877 in Chicago near railroads) d. Larger, better equipment enabled more acreage to be planted and harvested more rapidly. e. Increasingly, the need for business-like practices arose for success at farming, but many farmers lacked the necessary business skills (and blamed others for their failures: railroad indus, eastern bankers, or the federal government)

ImpactofUrbanizationonfarmers

Farmer Problems

1. Single Money Crop - farmers tied themselves to the production of a single crop (price fluctuation) 2. Lack of Currency - concentration of wealth in N.E. led to a scramble for available currency. Paper notes only printed to mimic gold supply.

3. High Interests Rates - With a short money supply, interest rates went as high as 40% Result was 1/4 of the farms in the Midwest run by tenants rather than owners

4. High Tariffs a. Eastern industry was benefited by the high tariffs of the era and burdened the farmers. b. Low-priced produce was sold in a competitive world market place while high priced manufacture goods were protected in the home markets.

Farmer Problems5. Nature's Rampage (Acts of God) a. Insect infestation destroyed millions of acres of crops - grasshoppers in the Midwest, boll weevils in the South (1874, 1889) b. Flooding and soil erosion followed by cycles of drought in the trans-Mississippi West after l886, and Western Kansas 1887.c. At least l/2 of Western Kansas migrated back to the East by 1891 - "In God We Trusted, In Kansas We Busted."

6. Storage and/or Shipping Fees a. Railroads sometimes charged more in storage and shipping fees than the produce was worth, making it cheaper to burn the grain sometimes as fuel than to ship it to market

7. No National Organization - by 1890 almost one-half of the population was engaged in farming, yet they remained poorly organized, being by nature, individualistic and independent.

Addressing the money supply

Ø“Crime of ’73” à demonetization of silver (govt. stopped coining silver).

ØBland-Allison Act (1878) à limitedsilver coinage to $2-$4 mil. per mo. (based on the 16:1 ratio of silver to gold).

ØSherman Silver Purchase Act (1890)§The US Treasury must purchase

$4.5 mil. oz. of silver a month.§Govt. deposited most silver in the

US Treasury rather than circulation.

National Grange of the Patrons of Husbandry (the Grange) a. Granger Movement was the first widespread attempt by farmers to fight against industrial influence b. Oliver Hudson Kelley founder 1867 (1) By 1871, it was introduced into So. Caro and quickly spread through the South (2) By 1874; it had 858,000 members and peaked at 1.5 million in the mid-West and South

The Grangers

Farmers saw control of the national government pass from their hands into the hands of the industrial class after the Civil War.

They saw the formation of large combinations in industry, whereby industrialists eliminated competitors and maintained a monopolistic price.

They felt economically oppressed by railroads that discriminated against the smaller farmer.

They felt themselves economically injured by the national banking system which favored the industrialists and prevented the free flow of credit to smaller agricultural communities

The GrangersEfforts: (1) They tried to improve the farmer's plight by establishing farmer's co-ops (2) An attempt to manufacture their own harvesting machinery failed because of mismanagement. (3) Succeeded in raising the Department of Agriculture to the cabinet level (4) Obtained rural delivery and parcel post services

They entered the state political arena, having some success in the Upper Mississippi Valley area

Some success at regulating the railroads and grain elevators was achieved at the state level, but the successes were restricted by later Supreme Court decisions.

Granger Decline -- membership eroded by 85% by 1880 (1) The huge, unwieldy mass within the organization led to dissension in the ranks. (2) The connection of the Grange with many political movements led to its decline. (3) The Grange failed to secure permanent and effective railroad regulation (4) the main cause was the failure of the Granger cooperatives, which went to pieces, and left a burden of discredit and indebtedness.

The Alliance Movement a. numerous farmers’ alliances emerged in many states, hoping to unite black and white farmer's facing the same economic issues. b. Southern and Northern Alliances were regionalized with their concerns. c. By 1890, the various farmers’ alliances claimed membership of 1 million d. Stressed the use of co-ops to buy fertilizer and other supplies collectively gaining a cheaper price than individually. e. All alliances agreed that farm prices were too low, transportation costs were too high, and that something was wrong with the financial system of America. f. Unfortunately, these alliances adopted different policies throughout the country, and therefore remained at best only regional in effectiveness. g. Continued sectionalism hampered their unification

Populist Movement: The Platform of Lunacy?

Early attempts at National Unity - Beginning in 1890 a. Agrarian interests in the West and South + labor + Grangers + Greenbacks met in St. Louis in Dec l889. b. People's Party formed in Kansas June 1890 c. Southern Alliance + Farmers' Mutual Benefit Association + Colored Farmers' Alliance met in Ocala Florida to draw up a list of grievances (1) Labor representatives called for the creation of a new party (2) Southern representatives resisted its formation, fearing a rise in Black power.

Those who favored a national effort were frustrated by the failure of agrarian efforts to liberalize the Democratic Party or get Republicans to listen to their demands and were encouraged by successes at the state level when unified, and therefore met to unite in 1892.

Populist Movement: The Platform of Lunacy?

Issues raised a. Regulation and government ownership of railroads, telegraph and telephones b. Free Unlimited Coinage of Silver -- their major issue c. The issuance by the federal government of legal tender notes and the abolition of national banks as banks of currency issue d. A graduated income tax e. A "sub-treasury plan" (Southern innovation) to permit farmers to receive loans against their imperishable produce when prices were low by storing the goods in government warehouses until prices went up and then selling the goods and repaying the loans. f. A parcel post to combat the express companies g. An 8-hour day for wage earners h. Immigration restrictions of undesirables I. Popular election of US Senators j. Electoral innovations such as initiative, referendum and the secret ballot. k. Restricting land ownership to US citizens l. At first calling for full civil rights for all citizens (Black members who could not vote were no good to the party), the People's Party met resistance to this in the South where it was feared that Blacks would gain political power.

Bi-Metallism and William

Jennings Bryan

The Populist Party “Peoples’ party of the US”

• Omaha Platform, 1892 - a clear platform of populist reforms and demands

• Key items included: abolition of the National Bank, “sub-treasuries,” direct election of senators, govt. ownership of RRs, restricted immigration, and re-monitization of silver (inflation)

• While mostly progressive in their ideals, many Populists were openly anti-Semitic, anti-intellectual and anti-urban/eastern.

• Richard Hofstadter thesis: Populist movement was both “soft” and “dark”

• “soft” - over romanticized farm life, unrealistic towards the movement of the nation

• “dark” - racism and prejudice filled its ranks making it no more progressive than the other major political parties

Why Populism Failed

• (1) Southern farmers did not abandon the Democratic Party (2) Nationally, Democrats embraced the key Populist issue, free coinage of silver, which spelled their doom as a serious political party effort (3) Farmers entered into a period of relative prosperity from 1897 - 1920, making money more plentiful and lessening the demands for extreme financial reforms.

Achievements of the Independent Farmers Movement

•(1) Although they failed as a viable third party effort, many of their proposals were adopted over the next two decades, including (a) Initiative and referendum adopted in many states (b) Direct election of Senators - 17th amendment l913 (c) Secret ballot in many states adopted (d) Graduated income tax passed under Cleveland allowed a tax on incomes over $4000, although the Supreme Court struck it down in Pollock vs Farmer's Loan & Trust Co , the 16th amendment 1913 made an income tax constitutional (e) Eight-hour work day a reality today (2) Overall, the Populists greatly liberalized the US political system but failed to reform the financial situation or achieve government ownership of the railroads, telephone or telegraphs

Panic of 1893• Panic of 1893 - the most severe depression in American history up until

the Great Depression of the 1930s

• Defaults on loans by Philadelphia and Reading Railroad led to stock market collapses. Banks that were over invested in stocks soon failed. Within six-months 8,000 businesses, 156 railroads and over 400 banks had failed.

• Rapid over-expansion by the railroads and shrinking markets crippled the economy and led to unemployment of 20%

• Coxey’s Army - April 1894 - Ohio businessman Jacob S. Coxey led a march, known as Coxey's Army, on Washington of about 500 unemployed workers who demanded relief, wanting a federal works program, the move ended with the arrest of the leaders. “hayseed socialists”

• Pullman Strike, Homestead Strike and Coxey’s Army underscored the general instability and rise of the labor (socialist) movement.

Cleveland’s presidency

• “laissez faire” attitude towards the economy

• In a special session of Congress, Cleveland pushed to repeal the Sherman Silver Purchase Act, an issue that split the Democratic party.

• Movement within the democratic party to push for bi-metallism

• Cleveland arranged a $65 million dollar loan from JP Morgan to be made in gold in 1895. Meant to boost US Treasury holdings of gold currency

• Did add a graduated income tax of 2% on incomes over $4000 dollars

• Largely expanded big business interests and failed to address the Panic of 1893

The Silver Question

• Bi-Metallism

• 16 to 1 ratio: coinage of silver to gold

• Crime of ’73

• Symbolism of “Free Silver” - coinage of silver was seen by some as a win for the people

Election of 1896• William Jennings Bryan: The “Great Commoner”

• Revivalist style of oratory similar to Daniel Webster. “speaking like a siege gun”

• Birth of the Modern Campaign - Bryan campaigned vigorously --14 weeks, 29 states and over 13,000 miles with over 600 speeches.

• In contrast, McKinley never left his “front porch” in Canton, Ohio

• Republican’s paint Bryan as an anarchist and supporter of socialism

• Pitted debtor against creditor, West vs. East, farmers vs. industrialists, and silver vs. gold

Bryan’s “Cross of Gold” Speech

“You shall not press down upon the brow of labor this crown of thorns; you shall not crucify mankind upon a cross of gold”

Election of 1896

• Why did Bryan lose?

• His focus on silver undermined efforts to build bridges to urban voters.

• He did not form alliances with other groups. Painted as a radical by Republican party and far too inexperienced.

• McKinley’s campaign was well- organized and highly funded. 16 million to 1 million in campaign funding.

New Manifest Destiny and the Rise of the American Empire

Stirrings of Imperialism• Increasing Importance of Trade - Exports rose from $234

million in 1865 to $2.5 billion in 1914.

• By 1913 manufactured goods surpassed agriculture and the US ranked behind only Britain and Germany in manufactured exports.

Justification for Imperialism

• New Manifest Destiny - the 1890s were a time of revived American pride and nationalism.

• 1876 Centennial celebration paraded American achievements and national unity post Civil War

• Josiah Strong Our Country, 1885 - claimed Anglo-Saxon superiority and duty to spread values and civilization. “As America goes, so goes the world”

• "Americans must now begin to look outward." Senator Henry Cabot Lodge of Massachusetts wrote in a magazine article:

In the interests of our commerce . . . we should build the Nicaragua canal, and for the protection of that canal and for the sake of our commercial supremacy in the Pacific we should control the Hawaiian islands and maintain our influence in Samoa . . . and when the Nicaraguan canal is built, the island of Cuba . . . will become a necessity. . . . The great nations are rapidly absorbing for their future expansion and their present defense all the waste places of the earth. It is a movement which makes for civilization and the advancement of the race. As one of the great nations of the world the United States must not fall out of the line of march.

The New Navy: the Great White Fleet• Alfred T. Mahan -

• “The Influence of Sea Power upon History” Captain that popularized the idea that the US needed to be a world naval power to protect its now booming export economy.

• In addition, Mahan argued that colonies would be needed as naval bases in the Pacific.

• Pan-American Union 1889 - First US effort to assume hemispheric leadership

• Secretary of State James G. Blaine established an international bureau designed to promote commercial and cultural exchanges between the US and Latin America.

• This effort to assume leadership was viewed with suspicion by Latin America.

Hawaii and Samoa

• Hawaii becomes a US protectorate in 1849

• 1875 Treaty of Reciprocity - expanded the sugar trade in HI

• 1883 rights for Pearl Harbor navy base established.

• 1890 - McKinley Tariff

• 1893 - uprising against Queen Liliuokalani supported by American businesses men

• 1894 - Sanford Dole proclaims the Republic of Hawaii

• 1898 - Hawaii is Annexed

Reconcentrado policy in Cuba, 1896

• Spanish Policy - Reconcentrado

• 1896 - Cuban rebels proved effective in guerrilla warfare against Spain's government in Cuba

• Spain sent a new military governor to Cuba, Valeriano Weyler .

• His martial law and reconcentrado policies caused the deaths of many civilians, primarily due to poor sanitation in the concentration camps.

• Such deaths earned the governor the nickname, Butcher Weyler .

• McKinley hesitated to go to war with Spain, seeking a diplomatic solution to the Cuban problem

Circulation Wars 1895-97

• Newspaper Circulation Wars - 1895-97 William Randolph Hearst (New York Journal ) challenged Josef Pulitzer (1847-l911) (New York World ) for readership

• Press war sympathized with Cuban "freedom fighters" rebelling against Spain

• Both engaged in sensationalism or yellow journalism (human interest stories involving scandal, or crimes - sensational exposes)

• Consistent newspaper themes stressed the Spanish contempt for Americans, Spanish brutality against Cubans and the glorious escapades of Cuba's rebels.

Yellow Journalism

• De Lome Letter - Feb 9 - Heart’s New York Journal and SF Examiner published a letter from Spanish minister to the US Enrique de Lome to Spanish editor and politician Jose Canalejas

• (of McKinley) “he is weak and catering to the rabble” “leaves a door open behind himself, while keeping on good terms to the party jingoes”

• TR (who is assistant secretary of the Navy in 1897) comments that McKinley’s backbone is equal to the backbone of a chocolate eclair

• USS Maine arrives in Havana on Jan. 25, 1898 without incident.

=

Newspapers:Warpromoters?

• WhenawarcorrespondenttelegraphedfromCubathatnowarwasimminent,Hearstissaidtohavetelegraphedhimbackwiththismessage:

“Pleaseremain.YoufurnishthepicturesandI'llfurnishthewar.”

WilliamRandolphHearst—ownedTheNewYorkJournalandtheSan

FranciscoExaminer

Spanish-American War

• USS Maine - February 15, 1898 - the U.S. warship Maine was destroyed while lying at anchor in Havana harbor, under circumstances that are still unclear. More than 250 men were killed, and an outburst of indignation, intensified by sensationalized press coverage, swept across the country.

• McKinley is pressured by war hawks in Congress

• April 25, 1898 Congress declared war

• “A Splendid Little War” (John Hay) - lasted four months and resulted in significant territorial gains for the US including the Philippines, Guam, Puerto Rico and Cuba.

Emergence of Theodore Roosevelt

nCuba—Teddy Roosevelt led the Rough Riders - group of US calvary at the Battle of San Juan Hill, 1898

nFirst (universally liked)war hero since Jackson.

nU.S. captured Puerto Rico nTreaty of Paris—what to do with the

Philippines, Guam, Puerto Rico, and Cuba?

Seizing the Philippines

• Commodore George Dewey - Battle of Manila Bay

• Cuba was freed from Spanish rule.

• Spain gave up Puerto Rico and the island of Guam.

• The U. S. paid Spain $20 mil. for thePhilippines.

Imperial Era Expansion

• Cuba, 1898

• Philippines, 1898

• Alaska: Seward’s Folly, 1867

• Hawaii and Samoa

• Guam

• Puerto Rico

• China: Open Door Policy, 1899

• Japan: Treaty of Kanagawa, 1854