Warm Up 1/25What technology was needed to clear the

snow this weekend?If we couldn’t clear it, how would the

economy have been affected?

What are Titans of Industry?

Get out your textbook• Read p. 574-577 • I will assign you a number that will correspond

to a group in American society• Take notes on how your person would view the

developments of the railroad industry

1. Titan of Industry2. Farmer3. Small Railroad Owner

You will be put in a group of three

• Tell your partners how the group that you focused on would view the development of the railroad industry

• Complete your organizer by the end of your group discussion!

Warm Up 1/26

• You have undertaken to cheat me. I won't sue you, for the law is too slow. I'll ruin you.—Cornelius Vanderbilt

• What does this quote say about Cornelius Vanderbilt?

Control of the Railroads• Many smaller companies consolidated (combined) to form larger

companies• Larger companies bought out smaller companies/forced them out

of business

Unfair Business Practices:1. Offered rebates (discounts) to their largest customers2. Created pools—larger companies divided up the business in an

area and set their prices at a high rate

• Handful of wealthy, powerful men—controlled all RR business in America

CORNELIUS VANDERBILT

Case Study:Cornelius Vanderbilt

• Powerful NY railroad tycoon—competitive in his business practices

• Wanted to buy the NY Central RR—owners refused to sell

• Announced that NY Central passengers could not transfer to his trains

• Business began to decline for NY Central—owners reluctantly sold to Vanderbilt

• Went on to control the largest RR empire in the US

“The Commodore passed away in January of 1877 at the age of 82 amassing a fortune of nearly $100 million, which would be worth more than $143 billion in today's dollars making him one of the richest Americans in history. In his will Vanderbilt left $95 million of his fortune directly to his son William with his eight daughters receiving between $250,000 and $500,000 each. Unlike James Hill and a number of the other famed railroad tycoons Vanderbilt was not much of a philanthropist, endowing only $1 million of his fortune to the greater good, which went to the Central University in Nashville, Tennessee that became Vanderbilt University. “ –American-Rails.com

What is a Robber Baron?

• Robber Baron-the term applied to businessmen who used exploitative practices to amass their wealth

• A derogatory term for a wealthy and powerful businessman

Robber Baron or Captain of Industry?

• Complete the chart based on what you have learned about Vanderbilt

• The last column is an opinion, based on the information you have gathered

Andrew Carnegie-4th Richest Man of all time

Stations!• You will go to six different

stations with short readings• You will complete your

handout EXCEPT for the last row

• Work together as a group• DO NOT ROTATE UNTIL THE

TIMER IS UP!