List of forms of government
107-510: List of forms of government A plutocracy (from Ancient Greek πλοῦτος ( ploûtos ) 'wealth' and κράτος ( krátos ) 'power') or plutarchy is a society that is ruled or controlled by people of great wealth or income . The first known use of the term in English dates from 1631. Unlike most political systems, plutocracy is not rooted in any established political philosophy . The term plutocracy
214-575: A dictatorship or it may be a group, as in a one-party state . The word despotism means to "rule in the fashion of despots" and is often used to describe autocracy. Historical examples of autocracy include the Roman Empire , North Korea , the Islamic Emirate of Afghanistan , Eritrea and Nazi Germany . Regardless of the form of government, the actual governance may be influenced by sectors with political power which are not part of
321-432: A Liberal , economist Paul Krugman says plutocracy took hold because of three factors: at that time, the poorest quarter of American residents (African-Americans and non-naturalized immigrants) were ineligible to vote, the wealthy funded the campaigns of politicians they preferred, and vote buying was "feasible, easy and widespread", as were other forms of electoral fraud such as ballot-box stuffing and intimidation of
428-510: A designated period in American history. The term was adopted by literary and cultural critics as well as historians, including Van Wyck Brooks , Lewis Mumford , Charles Austin Beard , Mary Ritter Beard , Vernon Louis Parrington , and Matthew Josephson . For them, Gilded Age was a pejorative term for a time of materialistic excesses and widespread political corruption. The early half of
535-437: A form of government in which the people, or some significant portion of them, have supreme control over the government and where offices of state are elected or chosen by elected people. A common simplified definition of a republic is a government where the head of state is not a monarch. Montesquieu included both democracies , where all the people have a share in rule, and aristocracies or oligarchies , where only some of
642-463: A gain of 48%. Economic historian Clarence D. Long estimates that (in terms of constant 1914 dollars), the average annual incomes of all American non-farm employees rose from $ 375 in 1870 to $ 395 in 1880, $ 519 in 1890 and $ 573 in 1900, a gain of 53% in 30 years. Australian historian Peter Shergold found that the standard of living for industrial workers was higher than in Europe. He compared wages and
749-564: A great communications network. Elisha Otis developed the elevator, allowing the construction of skyscrapers and the concentration of ever greater populations in urban centers. Thomas Edison , in addition to inventing hundreds of devices, established the first electrical lighting utility, basing it on direct current and an efficient incandescent lamp . Electric power delivery spread rapidly across Gilded Age cities. The streets were lit at night, and electric streetcars allowed for faster commuting to work and easier shopping. Petroleum launched
856-541: A historical state of human society, especially before the concentration of power afforded by agriculture. It has been presented as a viable long-term choice by individuals known as anarchists who oppose the state and other forms of coercive hierarchies. These systems are often highly organized, and include institutional or cultural systems to prevent the concentration of power. Anarchism typically advocates for social organization in non-hierarchical, voluntary associations where people voluntarily help each other . There are
963-415: A lifetime career for young men; women were rarely hired. A typical career path would see a young man hired at age 18 as a shop laborer and promoted to skilled mechanic at age 24, brakeman at 25, freight conductor at 27, and passenger conductor at age 57. White-collar career paths likewise were delineated. Educated young men started in clerical or statistical work and moved up to station agents or bureaucrats at
1070-628: A long-distance outlet for wheat, cattle and hogs that reached all the way to Europe. Rural America became one giant market, as wholesalers bought the consumer products produced by the factories in the East and shipped them to local merchants in small stores nationwide. Shipping live animals was slow and expensive. It was more efficient to slaughter them in major packing centers such as Chicago, Kansas City, St. Louis, Milwaukee, and Cincinnati, and then ship dressed meat out in refrigerated freight cars. The cars were cooled by slabs of ice that had been harvested from
1177-586: A minimum of land, wealth and status. Some critics of capitalism and/or representative democracy think of the United States and the United Kingdom as oligarchies . These categories are not exclusive. Autocracies are ruled by a single entity with absolute power, whose decisions are subject to neither external legal restraints nor regular mechanisms of popular control (except perhaps for implicit threat). That entity may be an individual, as in
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#17327811039991284-431: A minimum of wealth and status. Social democracy rejects the "either/or" phobiocratic/polarization interpretation of capitalism versus socialism. Social democracy argues that all citizens should be legally entitled to certain social rights. These are made up of universal access to public services such as: education, health care, workers' compensation, public transportation, and other services including child care and care for
1391-485: A new industry beginning with the Pennsylvania oil fields in the 1860s. The United States dominated the global industry into the 1950s. Kerosene replaced whale oil and candles for lighting homes. John D. Rockefeller founded Standard Oil Company and monopolized the oil industry. It mostly produced kerosene before the automobile created a demand for gasoline in the 20th century. According to historian Henry Adams
1498-508: A new middle class was rapidly growing, especially in northern cities. The nation became a world leader in applied technology. From 1860 to 1890, 500,000 patents were issued for new inventions—over ten times the number granted in the previous seventy years. George Westinghouse invented air brakes for trains (making them both safer and faster). Theodore Vail established the American Telephone & Telegraph Company and built
1605-577: A number of small, wealthy, trade-based city-states embraced republican ideals, notably across Italy and the Baltic. In general, these mercantile republics arose in regions of Europe where feudal control by an absolutist monarchy was minimal or absent completely. In these mercantile republics, the leaders were elected by the citizenry with the primary duty of increasing the city-state's collective wealth. Many political systems can be described as socioeconomic ideologies. Experience with those movements in power and
1712-761: A peak membership in 1919. This period saw several financial crises and economic recessions—called "panics", notably the Panic of 1873 and the Panic of 1893 . They lasted several years, with high urban unemployment, low incomes for farmers, low profits for business, slow overall growth, and reduced immigration. They generated political unrest. Gilded Age politics, called the Third Party System, featured intense competition between two major parties, with minor parties coming and going, especially on issues of concern to prohibitionists, to labor unions and to farmers. The Democrats and Republicans (the latter nicknamed
1819-429: A single, vastly powerful corporation deposes a weak government, over time or in a coup d'état . Some political scientists have also considered state socialist nations to be forms of corporate republics, with the state assuming full control of all economic and political life and establishing a monopoly on everything within national boundaries – effectively making the state itself amount to a giant corporation. Probably
1926-683: A standalone entity or as a hybrid system of the main three. Scholars generally refer to a dictatorship as either a form of authoritarianism or totalitarianism. The ancient Greek philosopher Plato discusses in the Republic five types of regimes: aristocracy , timocracy , oligarchy , democracy, and tyranny . The question raised by Plato in the Republic : What kind of state is best? Generational changes informed by new political and cultural beliefs, technological progress, values and morality over millenniums have resulted in considerable shifts in
2033-560: A time of materialistic excesses marked by widespread political corruption. It was a time of rapid economic growth, especially in the Northern and Western United States. As American wages grew much higher than those in Europe, especially for skilled workers, and industrialization demanded an increasingly skilled labor force, the period saw an influx of millions of European immigrants. The rapid expansion of industrialization led to real wage growth of 40% from 1860 to 1890 and spread across
2140-481: A unique electoral system for its local administration , separate from the rest of London. More than two-thirds of voters are not residents, but rather representatives of businesses and other bodies that occupy premises in the City, with votes distributed according to their numbers of employees. The principal justification for this arrangement is that most of the services provided by the City of London Corporation are used by
2247-570: A variety of forms of anarchy that attempt to discourage the use of coercion, violence, force and authority, while still producing a productive and desirable society. More generally, random selection of decision makers from a larger group is known as sortition (from the Latin base for lottery). The Athenian democracy made much use of sortition, with nearly all government offices filled by lottery (of full citizens) rather than by election. Candidates were almost always male, Greek, educated citizens holding
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#17327811039992354-555: A year, which kept them mired in poverty. Workers had to put in roughly 60 hours a week to earn this much. Wage labor was widely condemned as 'wage slavery' in the working class press, and labor leaders almost always used the phrase in their speeches. As the shift towards wage labor gained momentum, working class organizations became more militant in their efforts to "strike down the whole system of wages for labor." In 1886, economist and New York Mayoral candidate Henry George , author of Progress and Poverty , stated "Chattel slavery
2461-401: Is appointed by the president or elected by the parliament and handles daily administration. The term semi-presidential distinguishes this system from presidential and parliamentary systems. A directorial republic is a government system with power divided among a college of several people who jointly exercise the powers of a head of state and/or a head of government. In the early Renaissance,
2568-512: Is dead, but industrial slavery remains." The unequal distribution of wealth remained high during this period. From 1860 to 1900, the wealthiest 2% of American households owned more than a third of the nation's wealth, while the top 10% owned roughly three-quarters of it. The bottom 40% had no wealth at all. In terms of property, the wealthiest 1% owned 51%, while the bottom 44% claimed 1.1%. Historian Howard Zinn argues that this disparity along with precarious working and living conditions for
2675-492: Is defined more broadly. For example, a 2010 International Alert publication defined anocracies as "countries that are neither autocratic nor democratic, most of which are making the risky transition between autocracy and democracy". Alert noted that the number of anocracies had increased substantially since the end of the Cold War. Anocracy is not surprisingly the least resilient political system to short-term shocks: it creates
2782-493: Is experiencing rapid economic growth, income inequality will tend to increase as the rate of return on innovation increases. In other scenarios, plutocracy may develop when a country is collapsing due to resource depletion as the elites attempt to hoard the diminishing wealth or expand debts to maintain stability, which will tend to enrich creditors and financiers . Economists have also suggested that free market economies tend to drift into monopolies and oligopolies because of
2889-542: Is generally given as the beginning of the Progressive Era in the 1890s (sometimes the United States presidential election of 1896 ). The Gilded Age was a period of economic growth as the United States jumped to the lead in industrialization ahead of Britain. The nation was rapidly expanding its economy into new areas, especially heavy industry like factories, railroads , and coal mining . In 1869,
2996-427: Is generally used as a pejorative to describe or warn against an undesirable condition. Throughout history, political thinkers and philosophers have condemned plutocrats for ignoring their social responsibilities , using their power to serve their own purposes and thereby increasing poverty and nurturing class conflict and corrupting societies with greed and hedonism . " Dollarocracy ", an anglicised adaptation of
3103-411: Is in the interests of everybody else. So you persuade yourself that, actually, government services, things like spending on education, which is what created that social mobility in the first place, need to be cut so that the deficit will shrink, so that your tax bill doesn't go up. And what I really worry about is, there is so much money and so much power at the very top, and the gap between those people at
3210-670: Is portrayed primarily in science fiction settings. Examples from popular culture include Gaia in Appleseed Gilded Age In United States history , the Gilded Age is described as the period from about the late 1870s to the late 1890s, which occurred between the Reconstruction Era and the Progressive Era . It was named by 1920s historians after an 1873 Mark Twain novel . Historians saw late 19th-century economic expansion as
3317-708: The American Civil War ; the region's economy became increasingly tied to commodities like food and building materials, cotton for thread and fabrics, and tobacco production, all of which suffered from low prices. With the end of the Reconstruction era in 1877 and the rise of Jim Crow laws , African American (more generally termed Black, referring to darker skin color) people in the South were stripped of political power and voting rights, and were left severely economically disadvantaged. The political landscape
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3424-611: The economic depression of the 1870s and became known as the Great Railroad Strike of 1877 , which was, according to historian Jack Beatty , "the largest strike anywhere in the world in the 19th century." This strike did not involve labor unions, but rather uncoordinated outbursts in numerous cities. The strike and associated riots lasted 45 days and resulted in the deaths of several hundred participants (no police or soldiers were killed), several hundred more injuries, and millions in damages to railroad property. The unrest
3531-472: The eight-hour working day , and the abolition of child labor ; middle-class reformers demanded civil service reform, prohibition of liquor and beer, and women's suffrage . Local governments across the North and West built public schools chiefly at the elementary level; public high schools started to emerge. The numerous religious denominations were growing in membership and wealth, with Catholicism becoming
3638-468: The first transcontinental railroad opened up the far-west mining and ranching regions. Travel from New York to San Francisco then took six days instead of six months. Railroad track mileage tripled from 1860 to 1880, and then doubled again by 1920. The new track linked formerly isolated areas with larger markets and allowed for the rise of commercial farming, ranching, and mining, creating a truly national marketplace. American steel production rose to surpass
3745-438: The military , and the police force , would be privatised . The social welfare function carried out by the state is instead carried out by corporations in the form of benefits to employees. Although corporate republics do not exist officially in the modern world, they are often used in works of fiction or political commentary as a warning of the perceived dangers of unbridled capitalism . In such works, they usually arise when
3852-440: The "Grand Old Party", GOP) fought over control of offices, which were the rewards for party activists, as well as over major economic issues. Very high voter turnout typically exceeded 80% or even 90% in some Northern states as the parties ran strong campaigns. Turnout in the South was lower. Average presidential turnout 1872 to 1900 was 83% in the North and 62% in the South. Competition was intense and elections were very close. In
3959-478: The "rich class", is waging class warfare on the rest of society. In 2005 Buffet said to CNN: "It's class warfare, my class is winning, but they shouldn't be." In a November 2006 interview in The New York Times , Buffett stated that "[t]here's class warfare all right, but it's my class, the rich class, that's making war, and we're winning." Reasons why a plutocracy develops are complex. In a nation that
4066-467: The American public actually have little influence over the policies our government adopts". Gilens and Page do not characterize the U.S. as an "oligarchy" or "plutocracy" per se; however, they do apply the concept of "civil oligarchy" as used by Jeffrey A. Winters with respect to the U.S. The investor, billionaire , and philanthropist Warren Buffett , one of the wealthiest people in the world, voiced in 2005 and once more in 2006 his view that his class,
4173-518: The Civil War. Money, according to contemporary progressive and journalist Walter Weyl , was "the mortar of this edifice", with ideological differences among politicians fading and the political realm becoming " a mere branch in a still larger, integrated business. The state, which through the party formally sold favors to the large corporations, became one of their departments." In "The Politics of Plutocracy" section of his book, The Conscience of
4280-521: The Democrats and Republicans. Gilded age politicians are somewhat infamous among historians for having few actual policies and doing very little of importance in office. Gilded age presidents are frequently called the "forgotten presidents" because of their mediocre presidencies where they did very little. The major metropolitan centers underwent rapid population growth and as a result had many lucrative contracts and jobs to award. To take advantage of
4387-687: The Gilded Age roughly coincided with the middle portion of the Victorian Era in Britain and the Belle Époque in France. With respect to eras of American history, historical views vary as to when the Gilded Age began, ranging from starting right after the Civil War ended in 1865, or 1873, or as the Reconstruction Era ended in 1877. The date marking the end of the Gilded Age also varies. The ending
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4494-503: The Knights claimed 700,000 members. By 1890, membership had plummeted to fewer than 100,000, then faded away. Strikes organized by labor unions became routine events by the 1880s as the gap between the rich and the poor widened. There were 37,000 strikes from 1881 to 1905. By far the largest number were in the building trades, followed far behind by coal miners. The main goal was control of working conditions and settling which rival union
4601-621: The U.S. may be drifting towards a form of oligarchy , as individual citizens have less impact than economic elites and organized interest groups upon public policy. In the U.S. Congress itself, more than half of all members are millionaires. A study conducted by political scientists Martin Gilens of Princeton University and Benjamin Page of Northwestern University , which was released in April 2014, stated that their "analyses suggest that majorities of
4708-430: The United States is a plutocracy in which there is a "fusion of money and government." Chrystia Freeland , author of Plutocrats , says that the present trend towards plutocracy occurs because the rich feel that their interests are shared by society: You don't do this in a kind of chortling, smoking your cigar, conspiratorial thinking way. You do it by persuading yourself that what is in your own personal self-interest
4815-410: The United States led the world. Kennedy reports that "U.S. national income, in absolute figures in per capita, was so far above everybody else's by 1914." Per capita income in the United States was $ 377 in 1914 compared to Britain in second place at $ 244, Germany at $ 184, France at $ 153, and Italy at $ 108, while Russia and Japan trailed far behind at $ 41 and $ 36. London remained the financial center of
4922-554: The agricultural and technical ("Ag & Tech") fields. Railroads, which had previously invented railroad time to standardize time zones, production, and lifestyles, created modern management, with clear chains of command, statistical reporting, and complex bureaucratic systems. They systematized the roles of middle managers and set up explicit career tracks for both skilled blue-collar jobs and for white-collar managers. These advances spread from railroads into finance, manufacturing, and trade. Together with rapid growth of small business,
5029-447: The behest of the sultan and generally only required a tax from the lower classes, instead of military service and/or manual labour like in the feudal system. Governments can also be categorized based on their size and scope of influence: Certain major characteristics are defining of certain types; others are historically associated with certain types of government. This list focuses on differing approaches that political systems take to
5136-453: The belief about the origination of political authority, who may participate in matters of state, how people might participate, the determination of what is just, and so forth. Index of Forms of Government. Systems resembling anarchism can be a natural, temporary result of civil war in a country, when an established state has been destroyed and the region is in a transitional period without definitive leadership. It has also been proposed as
5243-514: The book, whereby an increasingly complex set of rules dictated to everyone exactly what should be done in every circumstance, and exactly what their rank and pay would be. By the 1880s the career railroaders were retiring, and pension systems were invented to provide for them. America developed a love-hate relationship with railroads. Boosters in every city worked feverishly to make sure the railroad came through, knowing their urban dreams depended upon it. The mechanical size, scope, and efficiency of
5350-489: The businesses in the City. Around 450,000 non-residents constitute the city's day-time population, far outnumbering the City's 7,000 residents. In the political jargon and propaganda of Fascist Italy , Nazi Germany and the Communist International , Western democratic states were referred to as plutocracies, with the implication being that a small number of extremely wealthy individuals were controlling
5457-626: The chance to change things. An oligarchy does not have to be hereditary or monarchic. An oligarchy does not have one clear ruler but several rulers. ( Ancient Greek ὀλιγαρχία (oligarkhía) literally meant rule by few") Some historical examples of oligarchy include the Roman Republic , in which only males of the nobility could run for office and only wealthy males could vote, and the Athenian democracy , which used sortition to elect candidates, almost always male, Greek, educated citizens holding
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#17327811039995564-519: The class, for the first time, as "a tiny group – just one-quarter of 1 percent of the population – and it is not representative of the rest of the nation. But its money buys plenty of access." In modern times, the term is sometimes used pejoratively to refer to societies rooted in state-corporate capitalism or which prioritize the accumulation of wealth over other interests. According to Kevin Phillips , author and political strategist to Richard Nixon ,
5671-568: The combined totals of Britain, Germany, and France. Investors in London and Paris poured money into the railroads through the American financial market centered in Wall Street . By 1900, the process of economic concentration had extended into most branches of industry—a few large corporations, called " trusts ", dominated in steel, oil, sugar, meat, and farm machinery. Through vertical integration these trusts were able to control each aspect of
5778-437: The competitive sectors. Increased mechanization of industry is a major mark of the Gilded Age's search for cheaper ways to create more product. Frederick Winslow Taylor observed that worker efficiency in steel could be improved through the use of very close observations with a stop watch to eliminate wasted effort. Mechanization made some factories an assemblage of unskilled laborers performing simple and repetitive tasks under
5885-493: The countries and holding them to ransom. Plutocracy replaced democracy and capitalism as the principal fascist term for the U.S. and Great Britain during World War II. In Nazi Germany , it was often used as a dog whistle term for Jewish people in their antisemitic propaganda . Joseph Goebbels , the Reich Minister of Propaganda , found the term to be particularly favorable, describing it as "the main concept at which
5992-486: The direction of skilled foremen and engineers. Machine shops grew rapidly, and they comprised highly skilled workers and engineers. Both the number of unskilled and skilled workers increased, as their wage rates grew. Engineering colleges were established to feed the enormous demand for expertise, many through the Federal government sponsored Morrill Land-Grant Acts passed to stimulate public education, particularly in
6099-407: The distribution of sovereignty , and the autonomy of regions within the state. These have no conclusive historical or current examples outside of speculation and scholarly debate. While retaining some semblance of republican government, a corporate republic would be run primarily like a business , involving a board of directors and executives . Utilities , including hospitals , schools ,
6206-404: The divisional or central headquarters. At each level they had more and more knowledge, experience, and human capital . They were very hard to replace and were virtually guaranteed permanent jobs and provided with insurance and medical care. Hiring, firing, and wage rates were set not by foremen, but by central administrators, to minimize favoritism and personality conflicts. Everything was done by
6313-428: The elderly. Social democracy is connected with the trade union labour movement and supports collective bargaining rights for workers. Contemporary social democracy advocates freedom from discrimination based on differences of: ability/disability, age, ethnicity, sex, language, religion, and social class. Oligarchies are societies controlled and organised by a small class of privileged people, with no intervention from
6420-424: The era by 1920s historians who took the term from one of Mark Twain 's lesser-known novels, The Gilded Age: A Tale of Today (1873). The book (co-written with Charles Dudley Warner ) satirized the promised " golden age " after the Civil War, portrayed as an era of serious social problems masked by a thin gold gilding of economic expansion. In the 1920s, and 1930s, the metaphor "Gilded Age" began to be applied to
6527-463: The era, the bottom 25% owned 0.32% of the wealth while the top 0.1% owned 9.4%, which would mean the period had the lowest wealth gap in recorded history. He attributes this to the lack of government interference. There was a significant human cost attached to this period of economic growth, as American industry had the highest rate of accidents in the world. In 1889, railroads employed 704,000 men, of whom 20,000 were injured and 1,972 were killed on
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#17327811039996634-880: The expense of the working class, by chicanery and a betrayal of democracy. Their admirers argued that they were "Captains of Industry" who built the core America industrial economy and also the non-profit sector through acts of philanthropy. For instance, Andrew Carnegie donated over 90% of his wealth and said that philanthropy was their duty—the " Gospel of Wealth ". Private money endowed thousands of colleges, hospitals, museums, academies, schools, opera houses, public libraries, and charities. John D. Rockefeller donated over $ 500 million to various charities, slightly over half his entire net worth. Reflecting this, many business leaders were influenced by Herbert Spencer 's theory of social Darwinism , which justified laissez-faire capitalism, competition and social stratification . This emerging industrial economy quickly expanded to meet
6741-407: The formal government. These are terms that highlight certain actions of the governors, such as corruption , demagoguery , or fear mongering that may disrupt the intended way of working of the government if they are widespread enough. The Polity IV dataset recognizes anocracy as a category. In that dataset, anocracies are exactly in the middle between autocracies and democracies. Often the word
6848-607: The greater efficiency of larger businesses (see economies of scale ). Other nations may become plutocratic through kleptocracy or rent-seeking . List of forms of government This article lists forms of government and political systems , which are not mutually exclusive , and often have much overlap. According to Yale professor Juan José Linz there are three main types of political systems today: democracies , totalitarian regimes and, sitting between these two, authoritarian regimes with hybrid regimes . Another modern classification system includes monarchies as
6955-587: The ideological struggle will be aimed". Some modern historians, politicians, and economists argue that the U.S. was effectively plutocratic for at least part of the Gilded Age and Progressive Era periods between the end of the Civil War until the beginning of the Great Depression . President Theodore Roosevelt became known as the "trust-buster" for his aggressive use of antitrust law , through which he managed to break up such major combinations as
7062-467: The increasing labor force. The average annual wage per industrial worker (including men, women, and children) rose from $ 380 in 1880 ($ 11,998 in 2023 dollars ) to $ 584 in 1890 ($ 19,126 in 2023 dollars ), a gain of 59%. The Gilded Age was also an era of poverty, especially in the South, and growing inequality, as millions of immigrants poured into the United States, and the high concentration of wealth became more visible and contentious. Railroads were
7169-741: The job. The U.S. was also the only industrial power to have no workman's compensation program in place to support injured workers. Craft-oriented labor unions, such as carpenters, printers, shoemakers and cigar makers, grew steadily in the industrial cities after 1870. These unions used frequent short strikes as a method to attain control over the labor market and fight off competing unions. They generally blocked women, blacks, and Chinese from union membership, but welcomed most European immigrants. The railroads had their own separate unions. An especially large episode of unrest (estimated at eighty thousand railroad workers and several hundred thousand other Americans, both employed and unemployed) broke out during
7276-411: The largest railroad and Standard Oil , the largest oil company. According to historian David Burton, "When it came to domestic political concerns, TR's bête noire was the plutocracy." In his autobiographical account of taking on monopolistic corporations as president, Roosevelt recounted: ...we had come to the stage where for our people what was needed was a real democracy; and of all forms of tyranny
7383-399: The largest. They all expanded their missionary activity to the world arena. Catholics, Lutherans , and Episcopalians set up religious schools, and the largest of those schools set up numerous colleges, hospitals, and charities. Many of the problems faced by society, especially the poor, gave rise to attempted reforms in the subsequent Progressive Era . The term Gilded Age was applied to
7490-461: The least attractive and the most vulgar is the tyranny of mere wealth, the tyranny of a plutocracy. The Sherman Antitrust Act had been enacted in 1890, when large industries reaching monopolistic or near-monopolistic levels of market concentration and financial capital increasingly integrating corporations and a handful of very wealthy heads of large corporations began to exert increasing influence over industry, public opinion and politics after
7597-689: The local factory owner who could patrol every part of his own factory in a matter of hours. Civil engineers became the senior management of railroads. The leading innovators were the Western Railroad of Massachusetts and the Baltimore and Ohio Railroad in the 1840s, the Erie in the 1850s, and the Pennsylvania in the 1860s. The railroads invented the career path in the private sector for both blue- and white-collar workers. Railroading became
7704-634: The major growth industry, with the factory system, oil, mining, and finance increasing in importance. Immigration from Europe and the Eastern United States led to the rapid growth of the West based on farming, ranching, and mining. Labor unions became increasingly important in the rapidly growing industrial cities. Two major nationwide depressions—the Panic of 1873 and the Panic of 1893 —interrupted growth and caused social and political upheavals. The South remained economically devastated after
7811-609: The modern United States resembles a plutocracy though with democratic forms. Paul Volcker , a former chair of the Federal Reserve , also believed the U.S. to be developing into a plutocracy. One modern, formal example of a plutocracy, according to some critics, is the City of London . The City (also called the Square Mile of ancient London , corresponding to the modern financial district, an area of about 2.5 km) has
7918-403: The monarch, who mostly rule kingdoms. The actual role of the monarch and other members of royalty varies from purely symbolical ( crowned republic ) to partial and restricted ( constitutional monarchy ) to completely despotic ( absolute monarchy ). Traditionally and in most cases, the post of the monarch is inherited , but there are also elective monarchies where the monarch is elected. Rule by
8025-559: The most hated railroad men in the country was Collis P. Huntington (1821–1900), the president of the Southern Pacific Railroad , who dominated California's economy and politics. One textbook argues: "Huntington came to symbolize the greed and corruption of late-nineteenth-century business. Business rivals and political reformers accused him of every conceivable evil. Journalists and cartoonists made their reputations by pillorying him.... Historians have cast Huntington as
8132-694: The most infamous secret society is the Illuminati , who had in their general statutes, "The order of the day is to put an end to the machinations of the purveyors of injustice, to control them without dominating them." Secret societies are illegal in several countries, including Italy and Poland , who ban secret political parties and political organizations in their constitutions. Secret societies are often portrayed in fiction settings. Some examples from popular culture include: Magocracies are portrayed primarily in fiction and fantasy settings. Some examples from popular culture include: Synthetic technocracy
8239-437: The most part of society; this small elite is defined as sharing some common trait. De jure democratic governments with a de facto oligarchy are ruled by a small group of segregated, powerful or influential people who usually share similar interests or family relations. These people may spread power and elect candidates equally or not equally. An oligarchy is different from a true democracy because very few people are given
8346-502: The natural resources and virgin lands that were available in America acted as a safety valve for poorer workers, hence, employers had to pay higher wages to hire labor. According to Shergold the American advantage grew over time from 1890 to 1914, and the perceived higher American wage led to a heavy steady flow of skilled workers from Britain to industrial America. According to historian Steve Fraser, workers generally earned less than $ 800
8453-560: The new market demands. From 1869 to 1879, the U.S. economy grew at a rate of 6.8% for NNP (GDP minus capital depreciation) and 4.5% for NNP per capita. The economy repeated this period of growth in the 1880s, in which the wealth of the nation grew at an annual rate of 3.8%, while the GDP was also doubled. Libertarian economist Milton Friedman states that for the 1880s, "The highest decadal rate [of growth of real reproducible, tangible wealth per head from 1805 to 1950] for periods of about ten years
8560-399: The northern lakes in wintertime and stored for summer and fall usage. Chicago, the main railroad center, benefited enormously, with Kansas City a distant second. Historian William Cronon concludes: During the 1870s and 1880s, the U.S. economy rose at the fastest rate in its history, with real wages, wealth, GDP, and capital formation all increasing rapidly. For example, from 1865 to 1898,
8667-495: The other party's voters . The U.S. instituted progressive taxation in 1913, but according to Shamus Khan , in the 1970s, elites used their increasing political power to lower their taxes, and today successfully employ what political scientist Jeffrey Winters calls "the income defense industry" to greatly reduce their taxes. In 1998, Bob Herbert of The New York Times referred to modern American plutocrats as "The Donor Class " (list of top (political party) donors) and defined
8774-413: The output of wheat increased by 256%, corn by 222%, coal by 800%, and miles of railway track by 567%. Thick national networks for transportation and communication were created. The corporation became the dominant form of business organization, and a scientific management revolution transformed business operations. By the beginning of the 20th century, gross domestic product and industrial production in
8881-414: The people rule, as republican forms of government. These categories are not exclusive. A semi-presidential republic is a government system with power divided between a president as head of state and a prime minister as head of government, used in countries like France , Portugal , and Ukraine . The president, elected by the people, symbolizes national unity and foreign policy while the prime minister
8988-405: The policemen dispersing a meeting. Police then randomly fired into the crowd, killing and wounding a number of people, including other police, and arbitrarily rounded up anarchists, including leaders of the movement. Seven anarchists went on trial; four were hanged even though no evidence directly linked them to the bombing. One had in his possession a Knights of Labor membership card. At its peak,
9095-427: The production of a specific good, ensuring that the profits made on the finished product were maximized and prices minimized, and by controlling access to the raw materials, prevented other companies from being able to compete in the marketplace. Several monopolies—most famously Standard Oil —came to dominate their markets by keeping prices low when competitors appeared; they grew at a rate four times faster than that of
9202-438: The promise but not yet the actuality of an inclusive and effective political economy, and threatens members of the established elite; and is therefore very vulnerable to disruption and armed violence. Countries with monarchy attributes are those where a family or group of families (rarely another type of group), called the royalty , represents national identity, with power traditionally assigned to one of its individuals, called
9309-403: The railroads made a profound impression; people dressed in their Sunday best to go down to the terminal to watch the train come in. Travel became much easier, cheaper, and more common. Shoppers from small towns could make day trips to big city stores. Hotels, resorts, and tourist attractions were built to accommodate the demand. The realization that anyone could buy a ticket for a thousand-mile trip
9416-491: The solution. The AFL was a coalition of unions, each based on strong local chapters; the AFL coordinated their work in cities and prevented jurisdictional battles. Gompers repudiated socialism and abandoned the violent nature of the earlier unions. The AFL worked to control the local labor market, thereby empowering its locals to obtain higher wages and more control over hiring. As a result, the AFL unions spread to most cities, reaching
9523-498: The southern states, lingering resentment over the Civil War remained and meant that much of the South would vote Democratic. After the end of Reconstruction in 1877, competition in the South took place mainly inside the Democratic Party. Nationwide, turnout fell sharply after 1900. Despite the high voter turnout, aggressive political campaigning, and frequently nasty elections, there were few real policy differences between
9630-546: The standard of living in Pittsburgh with Birmingham, England, one of the richest industrial cities of Europe. After taking account of the cost of living (which was 65% higher in the U.S.), he found the standard of living of unskilled workers was about the same in the two cities, while skilled workers in Pittsburgh had about 50% to 100% higher standard of living as those in Birmingham, England. Warren B. Catlin proposed that
9737-418: The state's most despicable villain." However Huntington defended himself: "The motives back of my actions have been honest ones and the results have redounded far more to the benefit of California than they have to my own." The growth of railroads from 1850s to 1880s made commercial farming much more feasible and profitable. Millions of acres were opened to settlement once the railroad was nearby, and provided
9844-464: The strong ties they may have to particular forms of government can cause them to be considered as forms of government in themselves. These categories are not exclusive. A similar system is the Iqta‘ , used by medieval Islamic societies of the middle east and north Africa. This functioned much like the feudal system but generally had titles that weren't granted to a family dynasty but to individuals at
9951-448: The system of railroads needed: The impact can be examined through five aspects: shipping, finance, management, careers, and popular reaction. Railroads provided a highly efficient network for shipping freight and passengers throughout the U.S., spurring the evolution of a large national market. This had a transformative impact on most sectors of the economy including manufacturing, retail and wholesale, agriculture, and finance. The result
10058-469: The very top and everybody else is so great, that we are going to see social mobility choked off and society transformed. When the Nobel Prize–winning economist Joseph Stiglitz wrote the 2011 Vanity Fair magazine article entitled "Of the 1%, by the 1%, for the 1%", the title and content supported Stiglitz's claim that the U.S. is increasingly ruled by the wealthiest 1%. Some researchers have said
10165-614: The word "plutocracy", may refer to "a specifically American version of plutocracy". Historic examples of plutocracies include the Roman Empire ; some city-states in Ancient Greece ; the civilization of Carthage ; the Italian merchant city-states of Venice , Florence and Genoa ; the Dutch Republic ; and the pre- World War II Empire of Japan (the zaibatsu ). According to Noam Chomsky and Jimmy Carter ,
10272-451: The working classes prompted the rise of populist , anarchist , and socialist movements. French economist Thomas Piketty notes that economists during this time, such as Willford I. King , were concerned that the United States was becoming increasingly inegalitarian to the point of becoming like old Europe, and "further and further away from its original pioneering ideal." According to economist Richard Sutch in an alternative view of
10379-935: The world until 1914, yet the United States' growth caused foreigners to ask, as British author W. T. Stead wrote in 1901, "What is the secret of American success?" The businessmen of the Second Industrial Revolution created industrial towns and cities in the Northeast with new factories, and hired an ethnically diverse industrial working class, many of them new immigrants from Europe. Wealthy industrialists and financiers such as John D. Rockefeller , Jay Gould , Henry Clay Frick , Andrew Mellon , Andrew Carnegie , Henry Flagler , Henry Huttleston Rogers , J. P. Morgan , Leland Stanford , Meyer Guggenheim , Jacob Schiff , Charles Crocker , and Cornelius Vanderbilt would sometimes be labeled " robber barons " by their critics, who argue their fortunes were made at
10486-489: Was $ 1.8 billion; 1897, it reached $ 10.6 billion (compared to a total national debt of $ 1.2 billion). Funding came primarily from private finance throughout the Northeast, and from Europe, especially Britain, with about 10 percent coming from the Federal government, especially in the form of land grants that could be realized when a certain amount of trackage was opened. The emerging American financial system
10593-486: Was also a dark side. By the 1870s railroads were vilified by Western farmers who absorbed the Granger movement theme that monopolistic carriers controlled too much pricing power, and that the state legislatures had to regulate maximum prices. Local merchants and shippers supported the demand and got some " Granger Laws " passed. Anti-railroad complaints were loudly repeated in late 19th century political rhetoric. One of
10700-406: Was an integrated market practically the size of Europe's, with no internal barriers, tariffs, or language barriers to hamper it, and a common financial and legal system to support it. Railroad financing provided the basis for a dramatic expansion of the private financial system. Construction of railroads was far more expensive than factories. In 1860, the combined total of railroad stocks and bonds
10807-511: Was apparently reached in the eighties with approximately 3.8 percent." The rapid expansion of industrialization led to real wage growth of 60% from 1860 to 1890, spread across the increasing labor force. Real wages (adjusting for inflation) rose steadily, with the exact percentage increase depending on the dates and the specific work force. The Census Bureau reported in 1892, that the average annual wage per industrial worker (including men, women, and children) rose from $ 380 in 1880 to $ 564 in 1890,
10914-454: Was based on railroad bonds. By 1860, New York was the dominant financial market. The British invested heavily in railroads around the world, but nowhere more so than the United States; The total came to about $ 3 billion by 1914. In 1914–1917, they liquidated their American assets to pay for war supplies. Railroad management designed complex systems that could handle far more complicated simultaneous relationships than could be dreamed of by
11021-713: Was deemed severe enough by the government that President Rutherford B. Hayes intervened with federal troops. Starting in the mid-1880s a new group, the Knights of Labor , grew too rapidly, and it spun out of control and failed to handle the Great Southwest Railroad Strike of 1886 . The Knights avoided violence, but their reputation collapsed in the wake of the Haymarket Square Riot in Chicago in 1886 , when anarchists allegedly bombed
11128-696: Was empowering. Historians Gary Cross and Rick Szostak argue: The civil and mechanical engineers became model citizens, bringing their can-do spirit and their systematic work effort to all phases of the economy as well as local and national government. By 1910, major cities were building magnificent palatial railroad stations, such as the Pennsylvania Station in New York City, and the Union Station in Washington, D.C. But there
11235-420: Was in control. Most were of very short duration. In times of depression strikes were more violent but less successful, because the company was losing money anyway. They were successful in times of prosperity when the company was losing profits and wanted to settle quickly. The largest and most dramatic strike was the 1894 Pullman Strike , a coordinated effort to shut down the national railroad system. The strike
11342-438: Was led by the upstart American Railway Union led by Eugene V. Debs and was not supported by the established brotherhoods. The union defied federal court orders to stop blocking the mail trains, so President Cleveland used the U.S. Army to get the trains moving again. The ARU vanished and the traditional railroad brotherhoods survived but avoided strikes. The new American Federation of Labor , headed by Samuel Gompers , found
11449-600: Was notable in that despite rampant corruption, election turnout was comparatively high among all classes (though the extent of the franchise was generally limited to men), and national elections featured two similarly sized parties. The dominant issues were cultural (especially regarding prohibition , education, and ethnic or racial groups) and economic (tariffs and money supply). Urban politics were tied to rapidly growing industrial cities, which increasingly fell under control of political machines . In business, powerful nationwide trusts formed in some industries. Unions crusaded for
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