37 pages • 1 hour read
Harold C. LivesayAndrew Carnegie And The Rise Of Big Business
Nonfiction | Biography | Adult | Published in 1975A modern alternative to SparkNotes and CliffsNotes, SuperSummary offers high-quality Study Guides with detailed chapter summaries and analysis of major themes, characters, and more.
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BetaSymbols & Motifs
The Railroad
While Livesay’s biography of Andrew Carnegie does not have symbols in the way a traditional work of literature does, several objects throughout the book become recurring motifs, standing-in for larger historical issues. The railroad is one of the primary motifs throughout the book, appearing in nearly every chapter. In the process, the railroad becomes an emblem of technological progress, modernity, and America’s expansion as a nation.
In Chapter 3, Livesay argues that the railroad is one of the first modern industries in America. In Livesay’s argument, this modernization comes about more due to necessity than plan. Most industries in the mid-19th century are run on a small scale and confined to a single (or handful of) locations. In contrast, the railroad spans across miles and miles of land, with numerous warehouses and facilities, as well as countless employees in differing positions (from train operators to engineers and repairmen). Further, while most industries sell in bulk to only a few buyers, the railroad earns money through hundreds of small-scale ticket purchases. In order for the railroad to be profitable, executives (such as Tom Scott) have to devise a precise accounting system for tracking costs, as well as a corporate organizational system with a clear line of command. Such systems are new innovations in 19th-century America, and Carnegie would help to spread these systems to other industries (such as manufacturing) during his career.
Elsewhere in the book, the railroad becomes closely linked to America’s rapid national expansion. Chapter 4 describes Carnegie’s involvement with the Keystone Bridge Company in the 1860s. As the Civil War comes to a close and the United States repairs its wounds, the country begins rapidly expanding westward. The railroad (and its accompanying bridges built by Carnegie) are a key factor in allowing for America’s growth, as the country can more easily traverse vast distances. The railroad thus becomes closely linked to both industrial progress and America’s national growth.
“The Gospel of Wealth”
In the last few chapters of the book, Carnegie’s article, “The Gospel of Wealth,” becomes an important symbol for discussing the ethical responsibilities of capitalists such as Carnegie. Written in 1889, “The Gospel of Wealth” outlines Carnegie’s belief that the rich have a moral responsibility to donate their riches to society, particularly through the funding of public institutions. For Carnegie, philanthropy is not only a personal desire, but also the only means by which the wealthy “justified their existence” (128). The question of the social responsibility of the wealthy haunts Carnegie throughout his life. While most wealthy American entrepreneurs see no issue with accumulating large fortunes for their own personal use, Carnegie stands apart due to his belief in the necessity of social philanthropy. Livesay argues that such a fixation on social welfare stems from Carnegie’s poor upbringing in Scotland, where his father was a staunch advocate for people’s rights as a member of the Radical political movement. Indeed, “The Gospel of Wealth” could be seen as the final development of Carnegie’s crisis of conscience in the late 1860s, during which Carnegie grows uneasy with his engagement in financial speculation. Crucially, Carnegie follows through on the promise of his article, giving away the $300 million he earns through the sale of his company to J.P. Morgan by the time of his death.
The Homestead Strike
While “The Gospel of Wealth” highlights the beneficial potential of industrial capitalism, the Homestead Strike serves as a reminder of its abuses and exploitations. The Strike is a culmination of several historical developments in the late 1800s. During this time, factory laborers begin to organize into unions, frequently going on strikes and refusing to work in order to win more progressive labor policies from their employers. Carnegie’s companies are no strangers to the unions, and in the 1880s, Carnegie has to deal with several strikes in his factories. Carnegie has an ambivalent approach to the labor unions. Though he sometimes sympathizes with the unions, such as in his objection to employing scab labor, he often engages in tactics to ensure his own desired labor policies prevail. Such ambivalence comes to a head in the 1892 Homestead Strike, when Carnegie leaves the US for Europe, and allows Frick to handle the strike as Frick sees fit. Frick elects to bring in scab labor, forcing a violent conflict that tars Carnegie’s reputation. Livesay depicts Carnegie as haunted by the Homestead Strike for the remainder of his life, referring to it as a “tragedy” for Carnegie. Homestead becomes synonymous throughout the rest of the book with the potential for violent conflict and exploitation lurking within American factories, as well as for Carnegie’s own inability to properly manage conflicts.
