Appendix I : The Carnegie Company’s 1900 Earnings
Except as noted below, all the material here is developed from the records in ACLC. For the early citations of the $40 million, see James Howard Bridge, The Inside History of the Carnegie Steel Company, A Romance of Millions (New York: Aldine, 1903), p. 295; Andrew Carnegie, The Autobiography of Andrew Carnegie (Boston: Northeastern University Press edition, 1986), p. 245; and Stanley Committee, I:161–62. In terms of subsequent citations, I have found no historian who, if he/she mentions a number, uses other than $40 million for Carnegie Co.’s 1900 profit totals. Steel pricing data are from Iron Age’s contemporary pricing reports; I used the weekly prices closest to the month end. Annual growth data are from the Appendix tables in Peter Temin, Iron and Steel in Nineteenth-Century America: An Economic Inquiry (Cambridge, Mass.: The MIT Press, 1964), “Appendix C: Statistics of Iron and Steel,” pp. 264–85. The nineteenth-century error in depreciation accounting was apparently first noted by the historian Richard Brief in the 1960s, and is cited in Naomi Lamoreaux, The Great Merger Movement in American Business, 1895–1904 (New York: Cambridge University Press, 1985), pp. 53–54.
Appendix II: Standard Oil Earnings
The table is from the breakup trial discovery data, as reported by Allan Nevins, John D. Rockefeller: The Heroic Age of American Enterprise (New York: Charles Scribner’s Sons 1940, 2 vols.), II:719. The “book equity” in this table appears to be properly accounted for, although I don’t have access to the detail. (See notes to chapter 3 for state of the Standard’s archives.) The Rockefeller personal accounts are in RAC, Series F, “Trial Balances, 1890–1915.”
Index
Entries in italics refer to illustrations.
Abernathy, William, 318
Adams, Brook, 240
Adams, Charles Francis, Jr., 240–43, 254
Adams, Comfort, 308–9
Adams, Henry, 20–21, 71, 74, 160, 240, 294, 297
advertising, 175, 177–78
agrarian reform impulse, 216
agriculture and farming, 5–6, 67, 216
“bonanza” and factory, 29, 109–12, 111, 115–16, 273n, 278
crisis of 1873 and, 101
houses, 169–70
mechanization and, 40n, 55
occupational mobility and, 165–66
New England vs. New York, 38
productivity and, 272n–73n
protests and, 99, 115–17
U.S. vs. British, 278
women and, 162–63
Alger, Horatio, 173
Amalgamated Copper, 252
Amalgamated Iron and Steel Workers, 196, 199, 202
American Federation of Labor (AFL), 196, 251
American Sheet Steel Co., 253
American Society of Mechanical Engineers (ASME), 127, 169, 299, 301, 305, 307
American Sociological Society, 296
American Steel Hoop, 253, 259
American Steel & Wire, 194, 253, 254, 259
American Telephone & Telegraph (AT&T), 191, 226, 239, 251
American Tin Plate, 194, 253
American Union, 146–47
America (yacht), 30, 31, 32
Ames, Fisher, 40
Ames, Nathan, 48, 50, 53, 59
Ames, Oakes, 137–39, 240
Ames, Oliver, 137, 139
Anderson, John, 53–54
Andrews, Sam, 18–19
antitrust law, 89. See also Sherman Act; trusts; and specific companies and cases
Archbold, John, 85, 151–53, 160, 193, 221, 224–25, 331
Armory practice, 34–37, 48–50, 53–55
consumer products and, 180–83
Ford follows, 311
Armour, Philip, 114–15, 117
Atlantic & Great Western Railroad, 68, 85
Atlantic & Pacific telegraph, 146
Atlantic Refining, 151
Atlantic Transport, 267–69
Autobiography (Carnegie), 262, 319
automobile manufacturing, 182, 311–12
Ayer, N. S., 177
Bacon, Robert, 258, 262
Baker, George F., 157, 250
Baker, Ray Stannard, 306–7
Baltimore & Ohio (B&O) Railroad, 2, 123, 134, 142, 146–47, 152, 154, 240
Bankers’ Trust, 250
Bank of England, 235, 247, 250, 266, 290
banks and banking, 4, 231, 233
failures of, 99–101, 104, 250
financing of business and, 192
mergers and, 252
Morgan as image of, 266–67
U.S. vs. Britain, 273n
Banque de France, 250
Barings bank, 26, 92, 100, 233, 235, 241, 290
Barksdale, Hamilton, 312
Barnard, George, 64, 78
Beard, Charles and Mary, 10
“bear raid,” 21, 139n, 146–47
Beecher, Henry Ward, 183–84
Bee Line Railroad, 145
Belden, Henry, 74
Bell, Alexander Graham, 110, 119
Bellamy, Edward, 295, 311
Benson, Byron, 156–57
Berkman, Alexander, 201
Bernhardt, Sarah, 115
Bessemer, Henry, 125, 127
Bessemer process, 91, 96, 122–23, 125–29, 126, 273–74, 190
Bessemer Steel Association, 128, 131–32, 189, 287
Bethlehem Iron Company, 133
Bethlehem Steel, 128, 228–29, 287, 302–4
bicycle industry, 180–82, 277
big companies, xiii, 251–55, 295–97
Birmingham, England, steel works, 96
Bischoffheimer & Goldschmidt, 76–77
Bismarck, Otto von, 101, 279, 281
Black Friday, 74–75
Blaine, James G., 140
Blanc, Honoré, 39
Blanchard, Thomas, 33–36, 40, 42, 48, 180
gun-stocking lathe, 34–36, 39, 52, 57–59
Bloomingdale’s, 162, 174, 176
Blumin, Stuart, 164, 172
Boer War, xi, 266, 271
Bomford, George, 39, 44, 45n, 46–47
Bonsack, James, 179
boom, post–Civil War, 11, 28, 75, 115–16
Bostwick, Jabez, 84
Boucicault, Aristide, 161
Bradford, PA, oil strikes, 156n
Brandeis, Louis D., 89, 266–67, 269, 305–8, 311
brands, 177–79, 182
Bridge, James, 207, 319
bridge industry, 192, 265
British Corn Laws, repeal (1846), 278
Brooklyn Bridge, 92, 95, 104, 169
Browne and Sharpe company, 48, 181
Bryan, William Jennings, 217, 248
Bryce, Lord, 20
Buckland, Cyrus, 37, 48, 59
Bureau of Corporations, 225
Burn, D. L., 281
Burr, Aaron, 25
Burton, James H., 53
Butterfield, Daniel, 71, 73
Cabot, Samuel, 40
Cadillac automobile, 276
Calhoun, John, 44, 46
Cambria Steel Works, 128–34, 287
Camden and Amboy Railroad, 6
canning factories, 312
Carey, Henry, 8
Carnegie, Andrew, 25, 212, 252, 232, 293
bond sales and, 192
Carnegie Co. created by, 206–15
character and background of, xii, 12–16, 19, 28–29, 61, 205
early career of, 91–96
ET works built by, 122–23
Frick breaks with, 211–13
Homestead strike and, 15, 196–203, 205–6, 247n
law-breaking by, under Sherman Act, 227–29
management style of, 135–36, 159
mechanization and, 298
Morgan buys out Allegheny line of, 230–32, 237
Pennsylvania Railroad and, 14, 79
pools and, 143
protective tariffs and, 282, 283, 285–87
Scott as mentor of, 13–14
Scott break with, 130–31
steel industry dominated by, 88n, 108, 120, 128–36, 190
St. Louis Bridge and, 92–94, 95
telegraph companies and, 146
U. S. Steel merger and buyout by Morgan, 16, 256–64
wealth of, 14–15, 130, 151n, 323–24
Carnegie, Mrs. Andrew, 16, 209, 262
Carnegie, Lucy (wife of Tom), 128n
Carnegie, Margaret (mother), 13
Carnegie, Tom, 93, 128n, 129, 130, 198, 212
Carnegie Bros., 134
Carnegie Co.
creation of, 206–16
earnings of, 214–15, 262–63, 319–30
U. S. Steel buyout of, 16, 255–56, 260–66
Carnegie “Handbook,” 190
Carnegie, McCandless & Company, 129, 131
Carnegie Steel, 256, 275
consolidates properties, 132–33
costs and productivity of, 202–3
creation of, 199
earnings of, 213–15, 286, 320–30
financial systems of, 194
Homestead strike and, 196
integrated structure of, 207
labor skills and, 195
paperwork and, 188–89
partners attempt to buy out, 209–10
rebates and, 227–28
ship armor contracts, 228–29
structural steel and, 190
U. S. Steel buyout and, 259
world market and, 279
cartels, 238, 240–43, 253, 287
Cartwright, Samuel, 38
Cass, George, 109, 110
Cassatt, A. J., 154, 156, 227
Cass-Cheney farm, 109–10
“Cast Iron Palace,” 161–62
cattle industry, 63, 112–14, 139, 144
“Center firms,” 239, 315
Central Branch Union Pacific Railroad, 145
Central of New Jersey Railroad, 145
Central Pacific Railroad, 137, 140
Chandler, Alfred, 239, 254–55, 311, 314–18
“Chapters of Erie” (Adams), 240
chemical industries, 223, 278, 280
Cheney, George, 109, 110
Chernow, Ron, 20, 221
Chicago, 6, 67, 87, 111
architectural school, 187–88
Exposition of 1893, 174, 178, 180, 182
fire of 1871, 105, 187–88
meat industry and, 114, 115
strike of 1877, 99
Chicago and Alton Railroad, 221, 222, 224
children
education, 171–72
mortality rates, 185
number of, per family, 184–85
China, xiii, 186, 290
Churchill, Winston, 280–81
Civil War, xii, 8, 10–11, 14, 42, 54, 77, 100, 112, 137, 279
Clark, Horace, 138
Clark, James, 18–19, 83
Clark, John Bates, 217
Clark, Maurice, 17, 18–19, 83
Clark, Silas, 139
Clark, Payne oil refinery, 83–84, 90
Clay, Henry, 7
Cleveland, 5, 182
railroads and, 79–80, 87–88
oil refineries and, 12, 18, 79–80, 82, 83–86, 89–91, 150–52, 158
Cleveland, Grover, 201, 246–48
coal, 5, 67, 68, 99, 104, 120, 132, 163, 192, 285
labor and, 99, 203n
Cobden, Richard, 278
coke, 102, 123, 132
Coleman, William, 129
Colfax, Schuyler, 138
Colgate, 163
Colt, Samuel, 31, 41–42, 49–51
Columbia safety bicycles, 175, 181–82
Columbus and Indianapolis Railroad, 6
Commercial and Financial Chronicle, 99, 100, 104–7
common law, 88–89, 218
Compaq corporation, 253n
“comparative advantage,” 281n
Compromise of 1877, 140
Confidence Man, The (Melville), 184
Confidence Men and Painted Women (Halttunen), 184
Conneaut tube plant, 259–61, 265–66
Connecticut Valley, 38–41, 48–50 53, 127, 182, 292
consumer products and mass consumption, 5, 49–50
anxiety and, 183–86
Armory standards and, 180–83
growth and, 102, 115, 289–91
infrastructure and, 182
kerosene as first global, 81
middle class and, 173–80
supply shock and, 108
contraception, 185–86
Cooke, Jay, 99–100, 105, 109, 244
“Copperhead” Democracy, 4
Corbin, Abel, 70–72, 73, 74
Cordiner, Ralph, 158
Corliss, George, 119, 120
Corliss engine, 121, 295
Corsair agreement, 230–31, 233, 237, 259
Coster, Charles, 237, 255n, 258
cost tracking, 133–34, 189, 194, 298
cotton, 6, 25, 40–41, 54, 104
Cotton Oil Trust, 194
Crash of 1873, 96, 99–106, 120, 129–31, 136, 150, 192, 235–36
Crash of 1883, 236
Crash of 1893–95, 194, 235–36, 238, 246–49
Crash of 1907, 249–51, 265n, 290
Crash of 1929, 270
“creative destruction,” xii 28, 289
Crédit Mobilier scandal, 137–39, 141
Crocker, Charles, 144
Crozier, William, 310n
Crystal Palace Exhibition, 30–32, 32, 35n, 37, 40n, 48, 50, 54, 56, 119, 181, 276, 289
Cunningham, William, 312–13
Dabney, Charles, 27
Dabney, Morgan & Co., 27
Dalrymple, Oliver H., 110–11, 115
Damascus Steel, 124
Darwin, Charles, 294
DeBeers Diamond Co., 271
Delaware, Lackawanna & Western Railroad, 145
Democrats, 201, 213, 246–47
Denver Pacific Railroad, 144
Denver & Rio Grande Railroad, 144–45
Denver & South Park Railroad, 144
department stores, 161–64, 163, 166–68, 298
DePew, Chauncey, 230, 232
Devereaux, J. H., 82
Dewey, John, 297, 311
Dillon, Sidney, 139, 145, 240
Dingel tariff (1897), 280
Dix, Dorothy, 180
Dodd, Samuel C. T., 193–94
Dodge, Grenville, 138n
Dodge, James, 304–5, 307n
Douglas, Stephen, 7, 9–10
Dow Jones Industrial Index, 194, 249
Draft Riots (1863), 4
Drake, Col. Edwin, 17, 150
Drew, Danniel, 21, 62–66
Drexel, Anthony “Tony,” 27, 230, 233, 238
Drexel, Morgan & Co., 27, 101, 145–46, 233
Drucker, Peter, 293
Dudley, Charles, 190
Duke, James, 179
Duncan, William, 76
Duncan, Sherman & Co., 26–27, 76
Dunne, Peter Finley, 265
DuPont, 255, 312, 316
Duquesne Works, 201–2
Dwight, Edmund, 40
Eads, Capt. James, 93, 128, 129
Eastern Illinois Railroad, 222
Eastern Rate case (1910), 305, 312
Eastern Traffic Association, 217
Eastern Trunkline Association, 143
Eastman, George, 180
East St. Louis & Carondelet Railroad, 145
economies of scale, 107, 129, 257, 258
Economist, 290
Edgar Thomson Steel Works (ET), 122–23, 128–35, 192, 274, 285–86, 323
Homestead strike and, 198–206
Edison, Thomas, 119, 179, 238, 255
Edison Electric, 255n
education, 9–10, 55–56, 172–73, 184, 191
Education of Henry Adams, The, 294
Edwards, Jonathan, 25
efficiency, 255, 257, 261–62, 329–30
election of 1892, 247
election of 1896, 248
> electricity, 170, 182, 255n, 278
Eliot, S. A., 40
Ellerman, John, 268
Ely, Richard, 217
Emerson, Harrington, 305, 307, 312–13
Emery, Lewis, 220–21
Empire Transportation Co., 153–56
employment, 103–5, 115, 117–18, 167, 172
Enfield, England, Armory, 53–54, 276
entertainment industry, 179–80
EOQ (Economic Order Quantity), 316–17
Erie Railroad, 81, 84, 87–88, 153, 154
Gould ousted from, 75–79, 78, 136, 138
Gould takeover of, 141, 144–45
“Wars,” 61–67, 70, 82, 95, 101, 136, 240
Europe, xi, 76, 101, 113, 225–26, 235, 249, 288, 290. See also specific countries
Evans, Oliver, 57, 58
Excelsior Oil Works, 18, 19
exports, 103, 104, 248, 279, 290. See also trade
Farrar, Gaspard, 290
Federal Reserve, 250, 251
Morgan takes role of, 246, 251
Federal Steel, 228, 255–58, 265, 329–30
Ferguson, Charles, 225
Ferguson, Niall, 271–72
Ferris wheel, 178, 180
Field, Cyrus, 70, 145, 231
Field, David Dudley, 78
Fink, Albert, 88n, 142–43, 217–19, 240
firearms, 31–32, 34–40, 36, 42–55
First National Bank, 157, 250
Fisk, Jim, Jr., 60–61, 63–66, 65, 68, 70, 72–74, 76
Fitch, John, 43
Flagler, Henry, 80–85, 160n, 194
Fogel, Robert, 138n
food industry, 67, 102–3, 108–9, 115–16, 120, 177–79. See also agriculture
Ford, Henry, 115, 182, 293, 311–12
France, 39, 272
Franco-Prussian war, 101
Frasch, Herman, 223
Frémont, Gen. John C., 27
Freud, Sigmund, 294
Frick, Henry, 15–16, 102, 134, 159, 250n, 255, 256, 259, 261, 264
buyout attempt and break with Carnegie, 206–15, 319n
Homestead strike and, 197–203, 205, 206
Frick Coke Co. (FCCo), 132, 198, 211–14, 227n, 320, 321, 324–26
Fritz, George and John, 128, 287
Gallman, Robert, 102
The Tycoons: How Andrew Carnegie, John D. Rockefeller, Jay Gould, and J. P. Morgan Invented the American Supercompany Page 49