Populism
Unrest in Rural America
• Farmers in the late
1800’s faced an
economic crisis.
• Many were in debt
• Farmers uped supply
which dropped the
price
• Tariffs boosted the
prices of goods the
farmers needed
• Tariff: Import tax
The Money Problem
• To pay for the civil war the government
printed greenbacks.
• These notes could not be exchanged for
gold or silver
• This increase in money without an
increase in goods caused inflation
The Money Problem
• Inflation: A decline in the value of money.
Germany 1923 1=100,000
The Money Problem
• After the Civil War, the Gov. stopped printing
greenback
• Also stopped coining silver
• This caused deflation
• Deflation: the increase in value of money
Deflation and Farmers
• Deflation hit farmers hard
• Farmers took out loans when
money was worth less
(inflation)
• Paid high interest rates
• Now had to pay back large
debt when money was worth
more
• Suffering farmers pushed for
the printing of greenbacks
• Farmers must organize to gain
power
Farmers Alliance
• Farmers Alliance: farmers organize to
push prices up, and give out loans.
• Railroad co. and lack of involvement
ended the alliance
Populist
• Farmers felt that neither
party could help them.
(Democrats/
Republicans)
• Populism: A movement to
increase farmers political
power.
• Farmers from Kansas
formed the Peoples
Party (Populist Party)
Populist Demands
• Coinage of Silver (to cause inflation)
• Government control of railroads
• Direct election of Senators (People should
have the power to choose them)
A Populist for President
• 1892, Populist
nominate James B.
Weaver
• Weaver called for:
•
Federal ownership of R.R
•
Free Coinage of Silver
•
Higher taxes for the rich
• Weaver won 4 states, but
lost to Grover Cleveland
Election of 1896
• Democrats nominated William Jennings Bryan
• Bryan supported the coinage of silver
• Populist decide to support Bryan
• Republicans nominated William McKinley
• McKinley Wins
• America adopts a gold based currency
Silver Coins
Gold Coins