American History Terms :: American History

American History Terms1. Government share in RR building- Congress was impressed by arguments supporting military and postal needs and began to advance liberal money loans to two favored cross- incorrupt companies in 1862 and added enormous donations of land and tracks. Within the routes the RRs were allowed to choose substitute(a) mile- square sections in checkerboard fashion2. Significance of Transcontinental RR- A magnificent engineering feat- most impressive peacetime undertakings. Welded West Coast steadfastly to the Union. Facilitated flourishing trade with Asia. Stimulated growth with the West. Architectural feat- increased nationalism. commodious fortunes, jobs.3. Stock watering - favorite device of the moguls of manipulation. Originally meant the practice of make cattle thirsty by feeding them salt and then having them swell up themselves with water before they weighed in for sale. Using a variation of this, RR hold promoters grossly inflated their claims about a giv en lines assets and profitability and sold stocks and bonds far in excess of the RRs real value.4. Secret Rebates kickbacks given to powerful shippers in return for steady and certified traffic- not given to everyone. Often slashed prices on competing lines, nevertheless to a greater extent often mad up the difference on noncompeting ones5. Wabash Case - 1886 arrogant Court ruled that said individual states had NO power to flummox interstate commerce. This would be done by the federal govt 6. interstate Commerce Act - Prohibited rebates and pools and required the railroads to publish their rates openly. Forbade unlikeness against shippers and outlawed charging more for a short haul than for a foresightful one over the same line. Created Interstate Commerce Commission (ICC) to apply and administer the new legislation. It did not really beat corporate wealth, but it did provide a forum where businesses could resolve their conflicts peaceably.7. Vertical and Horizontal integr ating - vertical integration was combining into one organization all phases of manufacturing from obtaining primitive materials to marketing. It made supplies more reliable, controlled the quality of product at all states of production, and weakened out middlemens fees and was perfected by Carnegie. Horizontal integration was consolidating with competitors to command a given market, used a lot by Rockefeller.8. deposes benefits Gave consumers a superior product at a relatively cheap price. The efficient use of expensive machinery called large-scale production and integrating proved more profitable than ruinous price wars.9. Sherman Anti-Trust Act 1890 forbade combinations in restraint of trade, without any distinction between good and bad trusts.