2.1 Political Corruption and Reform

The Gilded Age saw rampant political corruption, with powerful machines and corporations calling the shots. Bribery, patronage, and scandals like Crédit Mobilier were common. This corruption fueled inequality and sparked calls for change.

Reformers fought back with new laws and investigative journalism. The Pendleton Act created a merit-based civil service, while muckrakers exposed wrongdoing. These efforts laid the groundwork for the Progressive Era's push to clean up politics.

Political Corruption in the Gilded Age

The Nature of Political Corruption

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• The Gilded Age (1870s-1890s) was marked by rapid industrialization, economic growth, and widespread political corruption in the United States
• Political machines, such as Tammany Hall in New York City, wielded significant power and influence by exchanging favors, jobs, and bribes for political support and loyalty
  • Boss Tweed, the leader of Tammany Hall, embezzled millions of dollars from the city through fraudulent contracts and kickbacks
• Patronage, the practice of appointing individuals to government positions based on political connections rather than merit, was a major source of corruption

Corporate Influence and Scandals

• Railroad companies and other large corporations often bribed politicians to secure favorable legislation, land grants, and government subsidies
• The Crédit Mobilier scandal involved Union Pacific Railroad executives siphoning off construction profits and bribing government officials, including members of Congress
• The Whiskey Ring scandal exposed a network of distillers, politicians, and Treasury Department officials who conspired to evade taxes on whiskey production
• Political corruption led to a concentration of wealth and power among a small group of industrialists and politicians, exacerbating social and economic inequality
• The perceived corruption and excess of the Gilded Age fueled the rise of the Progressive Era and calls for political and social reform

Reform Efforts Against Corruption

Legislative Reforms

• The Pendleton Civil Service Reform Act (1883) established the merit-based hiring system for federal government jobs, reducing the influence of patronage and political machines
  • The act created the Civil Service Commission to administer competitive exams and oversee the hiring process for certain federal positions
• The Granger Laws, passed by several Midwestern states in the 1870s, sought to regulate railroad rates and practices to curb the power of railroad companies and protect farmers' interests
• The Interstate Commerce Act (1887) created the Interstate Commerce Commission (ICC) to regulate railroads and prevent discriminatory practices and unfair rates
  • While the ICC's initial effectiveness was limited, it set a precedent for federal regulation of private industry
• The Sherman Antitrust Act (1890) prohibited trusts and monopolies that restrained trade, aiming to promote competition and curb the power of large corporations
  • The act's effectiveness was initially limited due to narrow judicial interpretations and weak enforcement

Constitutional Amendments

• The Seventeenth Amendment, ratified in 1913, provided for the direct election of U.S. Senators by popular vote, reducing the influence of state legislatures and political machines in the Senate
• While these reforms made progress in addressing specific aspects of corruption, the impact was gradual, and political corruption persisted in various forms well into the 20th century

The Press and Political Scandals

Muckraking Journalism

• Investigative journalists, known as muckrakers, played a crucial role in exposing political corruption, social injustices, and corporate abuses during the late 19th and early 20th centuries
• Ida Tarbell's series "The History of the Standard Oil Company," published in McClure's Magazine, exposed the monopolistic practices and ruthless tactics of John D. Rockefeller's Standard Oil Trust
• Lincoln Steffens, in his article "Tweed Days in St. Louis," revealed the corruption of political machines and bosses in urban governments
• Upton Sinclair's novel "The Jungle" exposed unsanitary conditions and labor exploitation in the meatpacking industry, leading to the passage of the Pure Food and Drug Act and the Meat Inspection Act (1906)

Impact of Investigative Reporting

• Thomas Nast's political cartoons in Harper's Weekly helped bring down Boss Tweed and the Tammany Hall political machine in New York City
• The press's role in exposing scandals and corruption raised public awareness, galvanized support for reform, and pressured politicians to enact legislative changes
• Muckraking journalism, however, sometimes sensationalized stories and faced criticism for its tactics and potential invasions of privacy

Civil Service Reform's Impact

The Merit System

• The Pendleton Civil Service Reform Act (1883) introduced the merit-based system for hiring federal employees, replacing the spoils system of patronage
• The merit system required applicants to pass competitive examinations to qualify for certain federal positions, reducing the influence of political connections in the hiring process
• Civil service reform helped professionalize the federal bureaucracy by attracting more qualified and competent individuals to government jobs
• The reform improved the efficiency and effectiveness of government agencies by reducing turnover and ensuring that employees had the necessary skills and knowledge to perform their duties

Implementation and Challenges

• The Civil Service Commission, established by the Pendleton Act, oversaw the implementation of the merit system and helped protect federal employees from political coercion and retaliation
• By 1900, approximately half of all federal positions were covered under the merit system, a significant increase from the mere 10% covered when the Pendleton Act was passed
• Despite the progress made, the merit system faced challenges, such as the use of "pass examinations" that were tailored to pre-selected candidates and the persistence of political influence in some areas of the federal government
• Civil service reform laid the foundation for the development of a more professional, efficient, and responsive federal bureaucracy in the United States