Economic Growth In America After The 1880s

After the 1880s, the United States faced economic growth and an increase in global engagement. During this time there were more advancements like industrialization, foreign investments, foreign trade and others. Economic growth and global engagement both have their effects on each other. If the economy began to grow, the U.S. would have/see more global engagement and vice versa. Even so, there was still instability in America but recovered quickly. Economic factors influenced a lot of the U.S.’s involvement with the rest of the world.

In the early 1880s, steel production and oil skyrocketed. Steel was cheap and began to sell in bigger quantities while John D. Rockfeller began the Standard Oil Company. The production of steel helped with many things in America like
economy seemed fine, the Panic of 1893 began. The Panic of 1893 began with failing banks and money struggles. The U.S. fell into an economic depression. America was desperate for new goods and began to reduce tariffs on trade agreements with Latin America countries. Tariffs are taxes established by a country on produce from another country. The over expansion of the railroads caused debt due to revenues and with this stock market began to decline and banks began to fail. Banks failed due to railroads and individuals started to take out their money, which caused a quicker decline. President Grover Cleveland centered on bringing back confidence into the U.S. and stabilizing the economy. Cleveland rejected the idea of silver inflation and repealed the Sherman Silver Purchase Act, which had the government buy big amounts of silver. This means silver will start to lose its value. America recovered by implementing new economic ideas, market strategies and government enforcement. The market began to stabilize and businesses began to adapt. The government made efforts to keep gold valuable/reserved. This is what Cleveland believed would be better for the later-on economy of the United