Tuesday, October 29, 2013

The Industrialists

Hi fellow students,

On this post, I would like to create a conversation about the industrialists we learned about in class on Monday and how you view them (as "captains of industry" or "robber barons").  To start, I will post the notes that I took on each of them in class.


The Vanderbilts

"Captain of Industry" (positive):
  • created the Staten Island Ferry
  • worked longer hours than anyone else
  • legacy was a country linked by rail
  • one of the first railroad owners to envision a railroad network
  • donated $1,000,000 to now Vanderbilt University
"Robber Baron" (negative):
  • often used his fists to break into business
  • put competitors out of business by undercutting his rivals


Andrew Carnegie

"Captain of Industry" (positive):
  • could decipher Morse code by ear, a very rare skill
  • created libraries
  • after selling Carnegie Steel, he devoted all of his time to giving away his fortune
"Robber Baron" (negative):
  • used insider information to amass his wealth
  • built a steel plant because of his insider information
  • chose money over the rights of his workers


J. Pierpont Morgan

"Captain of Industry" (positive):
  • his word was good
  • he would always make a profit for his investors
  • Morgan averted economic collapse by rounding up investors to buy government bonds
"Robber Baron" (negative):
  • he had a stranglehold on the American economy
  • he took a hefty commission on the bond sale



Please feel free to post what you thought about these industrial titans.



-Kenneth Moussavian

7 comments:

  1. Of the three, I feel like Carnegie was possibly the least "robber baron" like of the major industrialist leaders of the time. His insider information was not the least bit illegal in those times and to be honest I can see why he would feel he did nothing wrong. If you know people who know what will help you make good investments, then it makes sense to allow them to help you. We talked about how he did not have good condition in his factories for workers, but considering that this was the norm, I still think there is something to be said that he had any support at all for workers rights. Most company owners probably felt something closer to malice than sympathy, even if he did not appear to give his beliefs substance through his actions. He did give a lot of his money away in the end too so that it pretty nice as well.

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  2. While reading about these industrialists and watching the video, it seemed to me as though a lot of what they did would place them firmly in the "robber baron" category. By today's standards, many of their practices would be illegal. Even though they weren't illegal then, there is still the question of morality.
    At the same time, it is difficult to imagine what the country would be like today without the practices (or malpractices?) of the Gilded Age. For example, Kenneth, you brought up the valid point that Vanderbilt helped link the country together via railroads. Would this have happened as quickly without him? I'm not defending their questionable practices and poor treatment of employees, but at the same time, we have to admit that they were very successful in achieving their goals; so successful that we can still see their influences today (Carnegie Hall, JP Morgan bank, etc).

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  3. Kenneth, great coverage of both sides to the argument! In my opinion, I would say that industrialists affected the country positively much more than they did negatively. Looking back, we accuse them of fraud and malpractice, but at that time, there was no such concept of fraud since there were no effective regulating laws. These "captains of industry" took the U.S. economy to the next level by taking advantage of the country's unused resources and expanding to new markets. Without, their driving of the economy, we would not be the global power we are today. For example, Vanderbilt's consolidation of railroads led to efficiency that fostered transportation of goods and resources, creating the first truly national market. This is a link to a few short videos profiling the major industrialists and inventors in the late 1800's and their lasting impact on us today: http://www.biography.com/people/groups/captains-of-industry

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  4. I agree with Michelle. Although they did have some moments where it could be considered negative and "robber-baron-ish", they did end up helping the country positively. They helped transform America and even at times helped build up the economy. Vanderbilt revolutionized transportation, Carnegie and Rockefeller changed in the game in "monopolies", and JP Morgan brought banking and power to new level. I believe without these people, the US would not be what it is right now: one of the most powerful countries.

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  5. Thanks Kenneth, this is a great review of the wealthiest and most powerful individuals during the Gilded Age! One of the pieces of information that you might have missed is the origin of each of the individuals you analyzed. I think it is really important to consider their beginnings when it comes to distinguishing them from the slanderous "Robber Barons" and Captains of Industry. I happened to take note of where each of the individuals lived before becoming powerful, wealthy, and influential.
    Cornelius Vanderbilt: Grew up on a farm near a dock in Staten Island. That he was brought up in such an American society could be seen as a positive quality, supporting Rebecca's argument about the wealthiest individuals in America at the time being preeminent examples of the "rags to riches" mentality.
    Andrew Carnegie(who I believe is the leas Robber Baron of them all because of his generous donations toward education): Grew up in a small, Scottish village before industry put his family out of business. Carnegie had first hand experience of the destruction that the Industrial age could cause; perhaps this is why he made generous donations.
    J.P. Morgan: Grew up in a wealthy family in America showing his ignorance to the destruction that his "profit" mentality caused.
    Rockefeller: His father was a conman and he defied his father's work even at a young age. Rockefeller, supposedly, opposed Robber Barons, yet he is the founder of one of the most Robber Baron-esque companies during that time period: Standard Oil Company.

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    Replies
    1. Rebecca's point about "rags to riches" was in another post:
      http://ushaplahs2013.blogspot.com/2013/10/hi-guys-today-in-class-ayn-rands.html

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