• Florida Virtual School

• HISTORY 1020

18-2: Henry Demarest Lloyd Attacks Monopolies

1. According to Lloyd, what were the consequences of

“bignesses”?

According to Lloyd, humans are poor, and nature is affluent

because people spend most of their time and energy

creating wealth. He believed that mankind had become the

managers of a small group of schemers and progressives,

and that natural monopolies would eventually be taken over

by private individuals. The development of hundreds of

harsh commodities, such as coal, iron, timber, and oil,

increased the wealth of the rich while the poor suffered from

daily hardships. During the 19th century, J.P. Morgan and

other business leaders erected barriers across rivers to

prevent boats from using them without payment.

2. Why did laws and courts fail to control monopolies in the

Gilded Age?

During the Gilded Age, America started to shift toward

industry, with the gross domestic product increasing by

400%. The rise of technological advancements and the

increasing number of workers made the working conditions

of industrial workers riskier. Business leaders wanted to

control the market through these opportunities. During the

Gilded Age, the politics and economy of business were

changing, and the courts and laws were not able to

effectively manage monopolies. This was because the

government believed that its actions would affect the public

interest.

3. Why was “wealth” against “commonwealth” according to

Lloyd? Discuss.

According to Lloyd, monopolies are bad for the general

welfare of the people. He claims that having a monopoly

allows companies to control everything in their firm, which

means they can steal from the riches and retaliate against

those who do.