One thinks of princes and presidents as some of the most powerful people in the world; however, governments, elected or otherwise, sometimes have had to struggle with the financial powerhouses called tycoons.
One
thinks
of
princes
and
presidents
as
some
of
the
most
powerful
people
in
the
world
;
however
,
governments
,
elected
or
otherwise
,
sometimes
have
had
to
struggle
with
the
financial
powerhouses
called
tycoons
.
The word tycoon is relatively new to the English language.
The
word
tycoon
is
relatively
new
to
the
English
language
.
It is Chinese in origin but was given as a title to some Japanese generals.
It
is
Chinese
in
origin
but
was
given
as
a
title
to
some
Japanese
generals
.
The term was brought to the United States, in the late nineteenth century, where it eventually was used to refer to magnates who acquired immense fortunes from sugar and cattle, coal and oil, rubber and steel, and railroads.
The
term
was
brought
to
the
United
States
,
in
the
late
nineteenth
century
,
where
it
eventually
was
used
to
refer
to
magnates
who
acquired
immense
fortunes
from
sugar
and
cattle
,
coal
and
oil
,
rubber
and
steel
,
and
railroads
.
Some people called these tycoons "capitals of industry" and praised them for their contributions to U.S. wealth and international reputation.
Some
people
called
these
tycoons
``
capitals
of
industry
''
and
praised
them
for
their
contributions
to
U.S.
wealth
and
international
reputation
.
Others criticized them as cruel "robber barons", who would stop at nothing in pursuit of personal wealth.
Others
criticized
them
as
cruel
``
robber
barons
''
,
who
would
stop
at
nothing
in
pursuit
of
personal
wealth
.
The early tycoons built successful businesses, often taking over smaller companies to eliminate competition.
The
early
tycoons
built
successful
businesses
,
often
taking
over
smaller
companies
to
eliminate
competition
.
A single company that came to control an entire market was called a monopoly.
A
single
company
that
came
to
control
an
entire
market
was
called
a
monopoly
.
Monopolies made a few families very wealthy, but they also placed a heavy financial burden on consumers and the economy at large.
Monopolies
made
a
few
families
very
wealthy
,
but
they
also
placed
a
heavy
financial
burden
on
consumers
and
the
economy
at
large
.
As the country expanded and railroads linked the East Coast to the West Coast, local monopolies turned into national corporations called trusts.
As
the
country
expanded
and
railroads
linked
the
East
Coast
to
the
West
Coast
,
local
monopolies
turned
into
national
corporations
called
trusts
.
A trust is a group of companies that join together under the control of a board of trustees.
A
trust
is
a
group
of
companies
that
join
together
under
the
control
of
a
board
of
trustees
.
Railroad trusts are an excellent example.
Railroad
trusts
are
an
excellent
example
.
Railroads were privately owned and operated and often monopolized various routes, setting rates as high as they desired.
Railroads
were
privately
owned
and
operated
and
often
monopolized
various
routes
,
setting
rates
as
high
as
they
desired
.
The financial burden this placed on passengers and businesses increased when railroads formed trusts.
The
financial
burden
this
placed
on
passengers
and
businesses
increased
when
railroads
formed
trusts
.
Farmers, for example, had no choice but to pay, as railroads were the only means they could use to get their grain to buyers.
Farmers
,
for
example
,
had
no
choice
but
to
pay
,
as
railroads
were
the
only
means
they
could
use
to
get
their
grain
to
buyers
.
Exorbitant goods rates put some farmers out of business.
Exorbitant
goods
rates
put
some
farmers
out
of
business
.
There were even accusations that the trusts controlled government itself by buying votes and manipulating elected officials.
There
were
even
accusations
that
the
trusts
controlled
government
itself
by
buying
votes
and
manipulating
elected
officials
.
In 1890 Congress passed the Sherman Antitrust.
In
1890
Congress
passed
the
Sherman
Antitrust
.
Act, legislation aimed at breaking the power of such trusts.
Act
,
legislation
aimed
at
breaking
the
power
of
such
trusts
.
The Sherman Antitrust Act focused on two main issues.
The
Sherman
Antitrust
Act
focused
on
two
main
issues
.
First of all, it made illegal any effort to interfere with the normal conduct of interstate trade.
First
of
all
,
it
made
illegal
any
effort
to
interfere
with
the
normal
conduct
of
interstate
trade
.
It also made it illegal to monopolize any part of business that operates across state lines.
It
also
made
it
illegal
to
monopolize
any
part
of
business
that
operates
across
state
lines
.
Over the next 60 years or so, Congress passed other antitrust laws in an effort to encourage competition and restrict the power of larger corporations.
Over
the
next
60
years
or
so
,
Congress
passed
other
antitrust
laws
in
an
effort
to
encourage
competition
and
restrict
the
power
of
larger
corporations
.
One thinks of princes and presidents as some of the most powerful people in the world; however, governments, elected or otherwise, sometimes have had to struggle with the financial powerhouses called tycoons. The word tycoon is relatively new to the English language. It is Chinese in origin but was given as a title to some Japanese generals. The term was brought to the United States, in the late nineteenth century, where it eventually was used to refer to magnates who acquired immense fortunes from sugar and cattle, coal and oil, rubber and steel, and railroads. Some people called these tycoons "capitals of industry" and praised them for their contributions to U.S. wealth and international reputation. Others criticized them as cruel "robber barons", who would stop at nothing in pursuit of personal wealth.  The early tycoons built successful businesses, often taking over smaller companies to eliminate competition. A single company that came to control an entire market was called a monopoly. Monopolies made a few families very wealthy, but they also placed a heavy financial burden on consumers and the economy at large.  As the country expanded and railroads linked the East Coast to the West Coast, local monopolies turned into national corporations called trusts. A trust is a group of companies that join together under the control of a board of trustees. Railroad trusts are an excellent example. Railroads were privately owned and operated and often monopolized various routes, setting rates as high as they desired. The financial burden this placed on passengers and businesses increased when railroads formed trusts. Farmers, for example, had no choice but to pay, as railroads were the only means they could use to get their grain to buyers. Exorbitant goods rates put some farmers out of business.  There were even accusations that the trusts controlled government itself by buying votes and manipulating elected officials. In 1890 Congress passed the Sherman Antitrust. Act, legislation aimed at breaking the power of such trusts. The Sherman Antitrust Act focused on two main issues. First of all, it made illegal any effort to interfere with the normal conduct of interstate trade. It also made it illegal to monopolize any part of business that operates across state lines.  Over the next 60 years or so, Congress passed other antitrust laws in an effort to encourage competition and restrict the power of larger corporations.