People
What industry did Carnegie make his money in
Steel
What is a competitive advantage?
when one company finds a way to sell more of a product or make a greater profit than competitors
What are stages one and two of cooperation?
Meet and discuss problems, occasional voluntary cooperation
During the 1870s, businesses adopted voluntary agreements that limited competition called:
Pools
What is the Pendleton Act?
•DESIGNED TO LIMIT THE PATRONAGE SYSTEM AND REGULATE HOW GOVERNMENT JOBS WERE TO BE FILLED
•REQUIRED PEOPLE WANTED A FEDERAL JOB TO PASS A WRITTEN TEST
How did Alexander Graham Bell make his money
Telephone/telgram company
What is vertical integration?
when a company controls everything needed to make a product
What is a monopoly?
when one company controls nearly all of one type of product or service.
The __________ made it harder for companies to work together and charge consumers high prices?
Sherman Anti-Trust Act
What are the three LEVELS of government?
Local, state, federal
How did John D. Rockefeller make his money?
Oil
What's a rebate?
a payment given to someone after purchasing the item
When occasional voluntary cooperation failed because companies broke agreements, business began to cooperate regularly with a new type of agreement called a:
a trust
In the late 1800s, big business tried to dominate the government in what three ways?
100 GETTING THEIR SUPPORTERS ELECTED TO OFFICE
100 GETTING THEMSELVES ELECTED TO OFFICE
100 USING BRIBES
What are some issues with the Pendleton Act and the Sherman Anti-Trust Act?
They aren't strong enough to actually get anything done
How did Vanderbilt make his money?
Railroads
Why is competition good for consumers but businesses do not like it?
Because consumers get better products at lower prices, but businesses don't make as much money
Which group of people are most affected by the changes of this era?
People who live in cities
Businessmen influenced government officials to give them which kind of contracts?
high profit--such as public utilities
Name two good things AND two bad things about the big business of this era?
More wealth, jobs, transportation, and products
Higher prices, products weren't better, politicians cared more about business than people
How did J.P. Morgan make his money?
Banker, then bought Carnegie's company and set up US Steel
What must a business do in order to make a better product?
Spend money on research to find out what the consumers want and what they'll pay for it
Name a serious economic challenge that business face in this era?
A depression
What are some the three levels that businessmen tried to influence?
I.LOCAL
•Businessmen influenced government officials to give them high-profit contracts such as public utilities
II.STATE
•Businessmen got government contracts (like at the local level) and did not allow laws to be passed that affected how they did business
III. FEDERAL
•Businessmen influenced congressmen to not pass certain laws, to keep tariffs high, and influenced congress to write weak and confusing laws that were not enforced by the Supreme Court
Who did big business influence to try and help themselves?
Politicians and people in positions of power