Name
Date
REVIEW
CALIFORNIA CONTENT
STANDARD 8.12.4
Leaders in Industry
Specific Objective: Discuss entrepreneurs, industrialists, and bankers in politics,
commerce, and industry.
Read the summary and table below to answer questions on the next page.
Magnates and Philanthropists
The end of the 18th century and beginning of the 19th century saw the age of the
magnate. A magnate is a powerful leader in industry. Some of these men used
questionable business practices and were known as robber barons. At the same time,
most were also philanthropists, people who give large sums of money to charities.
Early Life
Business Dealings
Philanthropy
• 1873 the Carnegie Company
• Controlled steel industry; made
best and cheapest product.
• Cuts in workers wages led to
violent Homestead strike of 1892
• Gospel of Wealth: duty to use
money to help others
• Donated about $350 million,
especially to universities and
libraries
• Built his first oil refinery in 1863
• Formed monopoly, Standard Oil
Trust in 1882; controlled 95% of
oil refining in U.S.
• Reputation as a robber baron
• Gave away $500 million to worthy
causes
• One of Big Four entrepreneurs
(a person who assumes risk for
questionable business deals);
built the Central Pacific Railroad
• Eighth governor of California
• Founded Stanford University in
honor of his young son, who had
died of typhoid fever
• J. P. Morgan & Co. powerful
banking house
• Financed U.S. Steel, which
bought out Carnegie Steel;
worlds first billion-dollar company
• Gave money to museums and
Harvard University
Andrew Carnegie (1835–1919)
• From Scotland; worked in textile
mill at 13
Copyright © McDougal Littell/Houghton Mifflin Company
John D. Rockefeller (1839–1937)
• Born to poor family in upstate
New York
Leland Stanford (1824–1893)
• Born to wealthy family New York
• Trained as lawyer
John Pierpont Morgan (1837–1913)
• Born to wealth in Connecticut
CSS Specific Objective 8.12.4: Review 185
Name
Date
PRACTICE
CALIFORNIA CONTENT
STANDARD 8.12.4
Leaders in Industry
Cartoon appearing in Puck magazine, January 23, 1889
1
According to the cartoon, people like
John D. Rockefeller
A
have too much influence on
government.
3 John D. Rockefeller formed the
Standard Oil Trust. The purpose of a
trust was to
A
control a particular industry.
B
should only work in the oil industry.
B
avoid paying taxes.
C
should run for Congress.
C
promote small businesses.
D
have too much interest in business.
D
earn money for lawyers.
2 Andrew Carnegie, John D.
Rockefeller, Leland Stanford, and
J.P. Morgan were all
A
successful politicians.
B
involved in the banking industry.
C
powerful magnates.
D
military officers.
186 CSS Specific Objective 8.12.4: Practice
4 Leland Stanford was one of the “Big
Four” who built
A
Standard Oil Trust.
B
the California state capitol.
C
Hearst Castle.
D
the Central Pacific Railroad.
Copyright © McDougal Littell/Houghton Mifflin Company
Directions: Choose the letter of the best answer.