After the conclusion of the American Civil War, the United States Economy began to grow at an exponential rate. From the year 1865 to 1900 the United States government violated the principles of Laissez faire, an economic doctrine that opposes government regulation of inference in commerce. These principles state the “the government who governs least, governs best” Government intervention at this time was inevitable, but it went too far. I’m going to talk you about the three major reasons why this government violates the principles.
The first area of policy that was target by the government during that time was the urban explosion. Introducing the railroads contributed significantly to the rise of powerful political machines. As displayed in a United states government source, a total acreage of 131. 5 million and 10% of total long area of the states involved were dedicated to the land grants railroads. In addition with all that land the got, those new railroads receiving generous land and money loan from the federal, state, and local government.
Railroad development boomed as trains moved good from the resource rich West to the East. Another principles that the government violated during this difficulties were the excessive amount of land grants as a result this became an enormous amounts of monopolist ha would being to form. These problems required governmental action forcing the violation of Laissez-fair in an attempt to regulate the price discriminations and pooling of traffic or revenues that existed whit developing monopolies.
One of the captains of industry of 19th America century was, Andrew Carnegie. He helps build the formidable American steel industry, a process that turned a poor young man into one of the richest entrepreneurs of his age. Also another big business man who built a big monopoly and was the founder of standard Oil Company and Trust had become arguably the most successful business concern in history. Evident in a report from a committee and interstate commerce, unhappiness and dispute developed among the small farmers who felt the government was giving the large dealer an unfair advantage over the small reader? “the government should only interpose when necessary in order that great abuses may be prevented and justice administered among the people”?
Finally, in order to prevent a handful of monopolies and trust from controlling the economy, Congress passes the Sherman anti-trust Act of 1890. This act primary target existing competition or prevent the rise of future competitors.
The Sherman Anti-trust Act is the standard used for determining trade misconduct and violates. The Sherman Act was supposed to restore competition. If business men joined together to “restrain’ (monolopolize) trade in a particular field, they should be punished and their deeds undone. With th government playing a prominent role with the Sherman anti-trust Act and labor unions, it indicates the thee government was clearly not following the principles of laissez-faire throughout the late nineteenth century.
After the conclusion of the American Civil War the United States, between 1865 to 1900 the American government violated the principles of Laissez-faire, specifically when observing Railroad, Loans Grants Monopolies, and Anti-trust activities. Although the actions of the government during the late 19th century were against the principles of Laissez-faire, the action were done with the support of many Americans in an attempt to ultimately improve and enhance the United States.