Transcript Slide 1

LAISSEZ-FAIRE
4th Period AP US History, Bonnecarre
Assess the validity of this statement.
“Although the economic growth of the
United States between 1860 and 1900 has
been attributed to a governmental policy
of laissez-faire, it was in fact encouraged
and sustained by direct governmental
intervention.”
A New Policy

In the United States during the 1860 to 1900 the
government promoted and supported the idea of laissezfaire. This is the idea that the government would not
interfere with the economic affairs of the people. This
statement is valid, in the sense that the government
helped the people maintain the policy of laissez-faire.
The United States government helped out in a few ways.
They proved military to put down the many riots that
broke out, they helped build the transcontinental
railroad, they provided cheap land to buy, and lastly they
came up with new policies.
Strikes

Between 1860 and 1900, several unions were formed.
Many of these unions ended up starting strikes and riots
during the late 1800s.These unions wanted better
working conditions, and more money. Where the US
government helped sustained the laissez-faire was first
in 1877 in the first nation wide strike. 100,000 workers
went on strike and refused to continue to build the
railroad until they received more money. The
government intervened and put the riot down. This
allowed the railroad to be finished which connected the
farthest points of the US.
Native American Land

The government also helped maintain laissez-fair by providing
cheap land to buy. The government had moved most of the Native
American out of the Great Plains by the mid to late 1800s. They
then moved the Native Americans to reservations in Oklahoma.
This left about 90 million acres for the government to sell for almost
nothing, which provided the people of America with a way of
starting over and making a living. People could now make their own
money and work for themselves. This had a domino effect, because
the people on the plains now produced food and live stock that
could be transported to Chicago. This created many jobs in
America, all because the government removed the Native
Americans.
Railroad

Also in the later half of the 19th century the US
government helped support laissez-faire by supporting
the building of the railroad. Even during the civil war
President Lincoln would not let the railroad companies
stop building the railroads, mainly the transcontinental
railroad. This connected the east and the west. The US
government also gave railroad companies 170 million
acres on which to build and expand their railroads.
Overall this new technology created jobs, helped spread
news, new ideas, and people.
Business

Lastly the government put in place new policies that
allowed large businesses to grow. In the last half of the
1800s large businesses were the backbone of laissezfaire. First the government put a tariff on foreign goods
to promote American made goods. Also the government
allowed a large influx of immigrants to provide cheep
labor for the large companies. This allowed large
businesses to grow and prosper.
Conclusion

Overall the United States government help promote
laissez-faire from 1860 to 1900, by providing military to
put down the many riots that broke out, helping build
the large railroad system, providing cheap land to buy,
and lastly they put in place new governmental
policies. A combination of these allowed the United
States government to support the policy of laissez-faire
between 1860 to 1900.