Monopolies and Trusts

Question 1

What business practices contributed most to Andrew Carnegie’s ability to form a monopoly?

Revolt · Accepted Answer

combining his companies into one company and controlling all aspect of steel production

Question 2

What was the core business that made Standard Oil a horizontally integrated monopoly?

Revolt · Accepted Answer

refining oil

Question 3

The Cleveland Massacre was

Revolt · Accepted Answer

a takeover by Standard Oil of the refineries in Cleveland.

Question 4

How do monopolies affect the price of goods?

Revolt · Accepted Answer

Monopolies can lower and raise their prices at will.

Question 5

A government is laissez-faire when it

Revolt · Accepted Answer

does not interfere with business affairs and does not regulate its actions.

Question 6

Which company was a monopoly during the Gilded Age?

Revolt · Accepted Answer

Carnegie Steel

Question 7

During the Gilded Age, how did the US Congress act to increase business competition?

Revolt · Accepted Answer

Congress passed laws that would control the growth of monopolies.

Question 8

What is the main reason that the American public turned against monopolies?

Revolt · Accepted Answer

They saw the price of goods rise as their wages decreased.

Question 9

What was the main reason that Carnegie invested in the Frick Coke Company?

Revolt · Accepted Answer

He wanted to make sure he could always get fuel for his steel plant.

Question 10

Which business practice did Rockefeller repeatedly use that helped him succeed in building his oil monopoly?

Revolt · Accepted Answer

In all his businesses, Rockefeller made a profit and used it to expand or buy other businesses.

Monopolies and Trusts Answers