Conspiracy Theories and Conspiracies in Industrial America

5 December 2000

I. Background: The Industrial Revolution

Rise of Heavy Industry and Giant Corporations: did not dominate until after CW

Railroads as the first big businesses & modern corporations.

 Expansion: 30,000 miles of track in 1860 to 193,000 in 1900.

 Pioneered in areas such selling of stock, estimation of costs, corporate organization.

 RR expansion stimulated growth of other industries such as steel, and new transportation network facilitated the growth of others.

 Achieved national scope & immense size: RRs bigger than governments.

 Pioneer industrialists such as Andrew Carnegie (steel) & John D. Rockefeller (oil) copied RR methods & acquired near monopolies, 10,000s of employees.

 Believed competition was inefficient & employed highly conspiratorial methods, including bribes, kickbacks, price-fixing, predatory pricing.

 Created huge “trusts” & then (once corporation law was changed) used mergers.

 Origins of success: government support (often bought & often violent), technology, mass production techniques, and extremely low labor costs. Prices, wages declined.

Balance sheet: more & cheaper products for middle-class consumers, greater national wealth & power, incredible pollution, horrific exploitation of workers, worst inequalities of wealth in US history.

II. Background: The New Immigration(s)

From Civil War to  1920s, wave after wave of immigrants from cultures ever more “foreign” to WASP Americans.  Contrasts:

Most intense period: 1890-1914, 16.5 million immigrants.

 Except for Japanese, none worked on farms.

 Most went to cities & lived in ethnic neighborhoods near their own people.

 Except for Jews, most planned to return home, roughly half really did.

 Most very poor. Retained much of their own culture & helped each other.

 Almost all non-Protestant, many non-Christian, considered crime-prone unassimilable, unfit to exercise rights as independent citizens of a republic.

As more experienced immigrant group, Irish Catholics became political leaders of cities, dominating political machines & city agencies like the police.  Provided services in exchange for votes.

Sources of the New Immigration

Asians to West: Chinese, 1860s-1880s; Japanese, 1890s & early 1900s.

 Southern & Eastern Europe, 1890s-1910s, to cities in Northeast & Midwest:

 Russian & Polish Jews, 1.6 million: objects of most paranoia

 Italians (mostly from Southern Italy), 4.5 million

 Polish Catholics, 4.5 million

 Plus other Slavs & Greeks

Native-born Americans saw new immigrants as savages, unfair competitors, and (potentially) traitorous conspirators.  “Dual loyalty” idea.

III. Workers & Unions in Late 19th-Century America

Conditions for workers during the late 19th-century Industrial Revolution

 Larger, more impersonal workplaces, less skilled, more monotonous jobs.

 Regular booms & busts (1873, 1893) with no “safety net” at all. 

 40% of industrial workers lived below the $500 a year poverty line.

Long hours & low wages that were often cut; regular seasonal unemployment.

Low wages made child labor necessary for families to survive.

 Incredibly dangerous workplaces & terrible living conditions.

Labor Movement after the Civil War: took off during 1873 depression

American Federation of Labor: a coalition of brotherhoods for skilled tradesman, accepted capitalism, but wanted more $, better treatment for workers.

Knights of Labor:  fraternal order/union open to all workers that hoped to replace wage labor with a cooperative, worker-controlled economy.

 Working-Class Radicalism

 Molly Maguires (1870s): Irish miners who assassinated company officials in eastern PA.

 Anarchism: movement for end to all coercive authority, by governments or employers. Then a just society would be free to develop according to man’s natural inclination to sociability. In essence, extreme libertarianism combined with anti-capitalism.

Believed private property was theft, crime was a by-product of  property & authority.
Developed by French, English, Russian thinkers, a rival to Marxism, which differed in looking to take over the authority of the state and create a workers’ dictatorship.
 Some anarchists believed violence was necessary to achieve goals. “Propaganda of the deed” would show weakness of existing order, inspire revolution. Role of new technology: dynamite.
 Worldwide wave of bombings and assassinations, 1880s to early 1900s.
Radical form came to America with German & E. European immigrants. Two leaders: Emma Goldman, Russian Jewish radical & feminist; & her lover, Alexander Berkman.
 Not that many anarchists in US, but useful for CTs, often blamed for troubles.

 Workers and the Law of Conspiracy: employers’ methods denied to workers

Common law doctrine of criminal conspiracy transferred to US. Conspiracy defined as “agreement between two or more individuals to effect some unlawful purpose.”

 In Philadelphia Cordwainers’ Case (1806) etc., labor unions were held to be criminal conspiracies to steal wages & liberty from other workers. “Closed shop” issue.

 Courts generally agreed that unions were legal after the 1840s, but beginning with 1877 railway strikes, began to issue injunctions against the unions’ most effective tactics, such as secondary boycotts (“vast conspiracies”) & sympathy strikes.

Injunctions against “conspiracy in restraint of trade” or to prevent delivery of  the mail permitted massive use of violence against unions, including US troops.

 Aimed especially at any effort to get whole working class involved.

Courts undercut pro-labor legislation with rulings that constitution guaranteed “freedom of contract” & thus legalized anything employers could force on workers.

The Labor Wars of the Late 19th-Century

 36,757 strikes, 1881-1905: Much violence on both sides, but most deaths occurred as part of government and company efforts to end strikes, suppress working-class movements.

 Great Strike of 1877:

A general strike against all nation’s railways began when B&O Railroad announced 10% dividend for stockholders & 10% pay cut for workers. Began in WV & spread.

 Trains stopped, property destroyed, 100+ lives lost as federal & state troops were sent in.

 Severe elite backlash led to “reform” & reorganization of militias, building of armories.

 Pullman Strike, 1894, against train-car maker whose workers lived in company town:

After 1893 panic, Pullman cut wages by 33%, with no cut in rent or store prices.

 Eugene Debs and American Railway Union led national boycott of trains with Pullman cars.

 RRs decided to wipe ARU out, hired strikebreakers. US Att Gen got injunction against union, Pres. Cleveland sent 12,000 troops to Chicago, leading to massive violence.

 Impact: Few unions survived. US labor movement narrowed into “bread-and-butter” unionism, concerned with $ & conditions not social justice or power of workers.

  IV. The Assassination of William McKinley in Context

Background: The Election of 1896 and the Consolidation of Capitalist Power

 Amid massive worker & farmer unrest cause by economic depression, radical Populist Party joined Democrats in nominating William Jennings Bryan.

Republicans nominated Wm. McKinley of Ohio, governor & former congressman best known for 1890 McKinley tariff, among highest in history.  Reliable tool of industry.

 McKinley candidacy managed by Cleveland industrialist Marcus A. Hanna, who raised millions & mounted first advertising-based campaign in US history.

 Extolled prosperity, progress, & patriotism. 

 Won support of many native-born Democrats who did not identify with new immigrants.

 McKinley’s victory sealed large Republican/capitalist majority until 1932.

The McKinley Years

 Infamous for naked imperialism, such conquest of Cuba, Puerto Rico, & Philippines in Spanish-American War, annexation of Hawaii on behalf of American sugar growers.

 Lots of happy talk from White House, but same unequal conditions for workers.

 Continued repression of workers, such as Lattimer Mines Massacre, 1897:

 Peaceful protest march by E. European miners fired on by sheriff & deputies near Hazelton, PA, killing 19 & wounding 39. May have influenced McKinley’s assassin.

 6 Sept. 1901: Assassination of McKinley by anarchist worker Leon Czolgosz, at Pan-American Exposition in Buffalo, NY. A forgotten turning point.

 Made Theodore Roosevelt president, who helped usher in “Progressive Era” when business was curbed some (by anti-trust laws) & worker conditions slightly improved.

McKinley’s Assassin: Leon Czolgosz

u      American-born, 1873, of new Czech immigrants.

u      Worked beginning at age 6, in factories (glass & wire) from age 12. 

u      Avid reader of anarchist literature, attended meetings & met Emma Goldman in Chicago.

     Picked up “propaganda of the deed” idea. Interested in 1900 assassination of King Humbert I of Italy.

     Some anarchists thought he was a spy.

u      Bought a gun & moved to Buffalo a few days before Pan-American Exposition.

u      Shot McKinley twice point-blank in a receiving line at the Temple of Music. (McK died of gangrene.)

u      Barely survived beating by guards & mob.

u      At arrest & trial, calmly admitted & stated political reasons for what he done.

u      Quickly executed, but was later declared “insane or degenerate” for holding his anarchist beliefs & believing McKinley was enemy of working people.

u      Anarchists blamed, laws passed against them, Emma Goldman deported.