WESTWARD EXPANSION INDUSTRIALIZATION URBANIZATION 1870 1900
AMERICAN INDUSTRY DEVELOPMENT IN THE GILDED AGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Panic of 1893
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Great Depression of 1893
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Panic of 1896
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Panic of 1894
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Detailed explanation-1: -As farmers fell deeper into debt, whether it be to the local stores where they bought supplies or to the railroads that shipped their produce, their response was to increase crop production each year in the hope of earning more money with which to pay back their debt. The more they produced, the lower prices dropped.
Detailed explanation-2: -Why did many farmers go into debt in the late 1800s? They took out loans on the value of their farms to pay the increased costs for new machines and other supplies.
Detailed explanation-3: -At the end of the 19th century, about a third of Americans worked in agriculture, compared to only about four percent today. After the Civil War, drought, plagues of grasshoppers, boll weevils, rising costs, falling prices, and high interest rates made it increasingly difficult to make a living as a farmer.
Detailed explanation-4: -To meet these problems they began to form organizations such as the Farmers’ Alliance. Besides facing such neutral problems as drought, farmers experienced low commodity prices, high freight rates, high interest rates, and other difficulties. They were very critical of the larger corporations, especially the railroads.