According to the research of Hawley, one quarter of the working people had become unemployed as the companies had been made into insolvents (unable to pay the debts) due to their economic meltdown and arrival of the Great Depression. The New Deal did successfully decrease unemployment from thirteen million to eight million but it did not stop it. Some historians have argued that it was World War Two rather than the New Deal which allowed the American economy to recover. The war provided jobs employing Americans in arms factories and the war itself. The New Deal helped millions but was only successful to a certain extent.
In the late 1800’s, J.P Morgan, John Rockefeller, and Andrew Carnegie had a negative impact on society because they were Robber Barons. They treated their workers very poorly in a way that should not have happened. J.P Morgan forced his workers to labor under harsh conditions for long hours and low pay. This is coming from a guy who has made millions of dollars and who has started a 60 million dollar business. Knowing how much money he has and how very little he pays his workers shows how ruthless he is as a business owner.
How did some people during the Gilded Age manage to be wealthy and successful while others struggled to survive and provide their families with the basic needs? The Gilded Age took place during the 19th century and was time of prosperity for the wealthy and a time of severe poverty for the poor. During the Gilded age, some people, in this case the rich, really did benefit from the industrial economy that was created. While the rich benefited, the poor were making less than what they should have and were struggling to keep a decent life. The lifestyle of these two groups of people are significantly different, but also have some aspects in which they are similar.
Economic recession in 1960s to 1980s are still like the yesterday’s nightmare for most people in early twentieth century. During this period, , a big trade deficit was caused because more foreign goods floated into US market than capital floated from the US to developing countries. This phenomenon made the economy inside the US face a hard time. Meanwhile, American citizens began to pursue “one of the country’s most cherished myths, the American Dream-a fantasy of social mobility enabled by America’s putative rejection of the aristoristocratic heirarchy structuring the Old World societies of our ancestors”(Deitchman). Lots of people wanted to go from lower class to upper class in order to escape from the life which was becoming harder and harder.
A Marxist Dystopia The Great Depression is infamous for being the largest economic crash in United States history. People declared bankrupcy, price jumps shocked Americans and companies laid off thousands. The Depression was a time of struggling for many Americans, but it had implications that were greater than simply the economic sense. Scarcity created by the Depression outlined the greater power structures at work in American society. The Great Depression not only harmed people economically, but fostered a situation where land and business owners had complete power over workers and the working class had little if any autonomy.
One way is through money obviously, money to most of America has become scarce and it is not because of the people themselves. It is because there is big gap between the higher class wages and the middle class wages. The higher class seems to be making more and more money while the middle class is not. The money going out to these CEO’s, Executives and all these high positions for established companies is astronomical. They are making so much money that they have no way of spending it all.
Big businesses boomed during this era, however, in business owners efforts to produce more money the working class suffered from unfair wages and working conditions. In Nash’s findings, he reported, “In 1890, the top 1 percent of American families possessed over a quarter of the wealth, and the top 10 percent of American families possessed over a quarter of the wealth, … But wages for the unskilled increased by only 31 percent- a substantial differential that widened as the century drew to a close” (407). Through the economic disparities between classes, it caused unworkable working conditions and unsanitary living conditions. Unskilled workers were often responsible for hard labor jobs, many men worked in coal mines, factories, farms and more. Despite these harsh working conditions workers received minimal wages, resorting themselves and their families to live in tenement houses, crowded, unclean, and disease-ridden housing units.
Lay off workers is a habitual routine in every business and private company, if the economic recessions strike at once. Recent years, In America, the economic recessions have been restored back to the roots, where increase demands and needs of goods and services are standardized. It has distributed equally to the businesses, companies, and families from the local and federal government. So I believe the economic inequality in the U.S. is not frequently practicing because there are times that local government and federal government are giving fair-share services to the American citizens
Globalization is a key theme that has been discussed in almost all of the above articles. Aguilar and Herod’s (2006) article argues that cleaners in the contemporary economy continue to suffer low wages and poor working conditions because of neo-liberalization. Neo-liberalization has resulted in many companies embracing the outsourcing of employees to save up on wages and social security benefits. From Banerjee’s (2007) article, it is clear that neo-liberalization and globalization are the main reasons that have led to an increase in working hours. This has made many companies restructure job designations because they want to maintain the long working hours and low wages.
There was major gap between the rich and the poor which cause conflicts between social classes. The majority of the population were living in poverty, unemployment, and the increase in crimes. The labor leader, George E, McNeil says, “ the railroad president is a railroad king… He can discharge any employee without cause… he can withhold their lawful; wages…. In his rights hand he holds the government; in his left the people” (Doc. A).
In the article, “Do Remote Bosses Cause Inequality?” (Sept. 19, 2015), Froma Harrop claims that “Bosses and their investors are grabbing most of the profits.” The piece details what Harrop says to be a reason for the widening pay gap that’s not exactly economic. The unemployment has fell to a low percentage of 5.1 and productivity gains are present which are supposed to lead to higher wages; lowest wages are essentially falling, although workers are producing and making the needful in the same amount of time. Harrop argues one of the many reasons for the lack of a raise in paychecks: the apparent remoteness of the boss and the employee. Harrop mainly supports her argument through the use of anecdotes and statistics of past and present events
During the Gilded Age many workers were forced to work long hours for little pay while the businessmen make way more in a day than what they would make in a year. Child labor during the Gilded Age was 5% of the workforce and working conditions in factories and mines were terrible. During the Gilded Age anyone became if they tried, also work in factories and mines was a more reliable source of income than work on farmers. Businessmen gave people a more reliable source of income, and that makes them Captains of