Farmers Revolt in the Populist Era

ASU HST 200 (Historical Themes) Politics in the Gilded Age 1870-1900 Farmers Revolt in the Populist Era During the latter quarter of the 1800s, a great deal of difficulty befell American farmers. They struggled with financial difficulties brought on by sharp drops in agricultural prices, unaffordable levies on necessities, and competition from overseas. Their overabundance of items on the market caused the price of their products to drop steadily, which was one of their biggest problems. The westward migration of homestead farms and the introduction of new farming implements brought about by industrialization both contributed to the overproduction of crops. Farmers increased their output every year in the hopes of earning more money to pay off their debts as they became more indebted, whether to the railroads that transported their crops or to the neighborhood businesses where they purchased supplies. Prices decreased in proportion to the amount they produced. The idea that their own overproduction was the main cause of their debt was absolutely alien to a hard-working farmer (Figure 20.12). Apart from the excess production cycle, tariffs were a significant challenge for farmers. Growing tariffs on industrial goods increased the cost of purchases, but they weren't being utilized to artificially maintain high agricultural prices either. Farmers were so paying exorbitant rates but getting little in return. And last, for many farmers, the question of whether gold or silver should be the foundation of US currency was a serious one. To put pressure on inflation, farmers wanted to have more money in circulation, whether it was silver or paper. Farmers would be able to earn more money by raising agricultural prices due to inflationary pressure, which they might then use to purchase the more expensive items in stores. The amount of paper money in circulation was, however, set by federal law in 1878. Additionally, Harrison's Sherman Silver Act, which aimed to increase the amount of silver coinage, proved to be insufficient and had the unintended consequence of depleting the nation's gold reserve. Put simply, farmers sought a large stack of money, either in the form of paper money or silver, to settle their mountain of bills. From an administration more concerned with patronage and extending its tenure in the White House beyond four years, neither was available. American farmers experienced several difficulties during the Gilded Age, which lasted from 1870 to 1900, and these difficulties stoked a rebellion known as the Populist Era. Farmers faced severe economic challenges due to falling agricultural prices, onerous tariffs, and intense competition from foreign markets. A glut of crops flooded the market as a result of industrialization-driven homestead farm expansion toward the West and the introduction of new farming methods. Farmers were thus caught in a vicious cycle of overproduction, whereby the more they produced, the lower the prices became. The farmers' reliance on credit, whether from local businesses where they bought supplies or the railroads that delivered their products, contributed to this vicious cycle of debt buildup. Farmers, for all their hard work, found it difficult to understand that the root cause of their financial problems was their own overproduction. The situation of farmers was made worse by tariffs, as rising duties on industrial items not only made purchases more expensive but also did not help to maintain agricultural prices. As a result, farmers had to bear the dual burden of paying outrageous prices for products and getting nothing in return. Furthermore, the farmers' complaints were further complicated by the ongoing discussion about the monetary system. To ward off deflation and promote inflation, many farmers argued for expanding the use of money, whether it be paper or silver. They felt that higher farm prices would result from an expansion of the money supply, making it possible for them to pay off debt and buy necessities. But since 1878, the quantity of paper money in circulation has been restricted by federal rules, making it more difficult for farmers to ease their financial burdens. The nation's gold reserve was unintentionally reduced by President Harrison's Sherman Silver Act, which was designed to increase the manufacture of silver coins but ultimately proved ineffectual. The farmers' dissatisfaction with the government's unwillingness to solve their financial issues grew as a result of this setback. The administration was more concerned with maintaining its hold on power through political favoritism than it was with providing the farmers with the significant increase in cash, either in paper or silver form, that they were demanding in order to lessen their increasing indebtedness. The Populist movement emerged in response to these difficulties, aiming to challenge the political power of corporate interests and solve the problems of rural populations. Reforms as a progressive income tax, railroad rate regulation, and free silver coinage to increase the money supply were advocated by the populists. Additionally, they promoted increased government involvement in the economy to safeguard the rights of laborers and farmers. In summary, the extreme financial struggles that American farmers encountered during the Populist Era of the Gilded Age led to the Farmers' Revolt. Farmers were facing decreasing prices for their produce, high tariffs, and restricted access to cash. In response, they turned to political involvement and the rise of the Populist movement. Their battle served as a stark reminder of the larger problems with corporate power and economic inequality during this pivotal time in American history.