Changes

Rockefeller became perhaps the wealthiest man in the history of the world.  Predictably, people grew jealous of him, and his competitors sometimes lost their businesses.  Many politicians were determined to break up his huge company, and many critics accused him or his employees of engaging in illegal activities, even bribes, to build his business empire.  But other industries began to follow his example, and large industrial companies formed "trusts" (a type of monopoly) to control sugar, lead, beef and even whiskey.   

Rockefeller became perhaps the wealthiest man in the history of the world.  Predictably, people grew jealous of him, and his competitors sometimes lost their businesses.  Many politicians were determined to break up his huge company, and many critics accused him or his employees of engaging in illegal activities, even bribes, to build his business empire.  But other industries began to follow his example, and large industrial companies formed "trusts" (a type of monopoly) to control sugar, lead, beef and even whiskey.   

Congress ultimately passed the Sherman Antitrust Act to prohibit monopolization and "restraint of trade," or interference with competition, in 1890.  This law was sponsored by Senator John Sherman of Ohio (a candidate for the Republican presidential nomination in 1880 and the brother of General William Sherman).  The Sherman Antitrust Act was not what broke up Rockefeller's oil empire, because in 1895 the Supreme Court weakened the law by upholding a powerful Sugar Trust, in ''U.S. v. Knight Co.''  The Sugar Trust controlled 98% of the sugar market, and the Supreme Court allowed it to continue.  Despite being weakened, the Sherman Antitrust Act remains a very important law that is used frequently today.

Congress ultimately passed the Sherman Act to prohibit monopolization and "restraint of trade" (antitrust violations) in 1890.  This law was sponsored by Senator John Sherman of Ohio (a candidate for the Republican presidential nomination in 1880 and the brother of General William Sherman).  The Sherman Antitrust Act was not what broke up Rockefeller's oil empire, because in 1895 the Supreme Court weakened the law by upholding a powerful Sugar Trust, in ''U.S. v. Knight Co.''  The Sugar Trust controlled 98% of the sugar market, and the Supreme Court allowed it to continue.  Despite being weakened, the Sherman Antitrust Act remains a very important law that is used frequently today.

The controversy about Rockefeller and monopolies divides free enterprise thinkers.  Some insist that the free market itself will cause the breakup of monopolies as appropriate.  Others say that monopolies are an impediment to free market competition and should be broken up by the government.

The controversy about Rockefeller and monopolies divides free enterprise thinkers.  Some insist that the free market itself will cause the breakup of monopolies as appropriate.  Others say that monopolies are an impediment to free market competition and should be broken up by the government.