Capital City: New York City and the Men Behind America's Rise to Economic Dominance, 1860-1900 - Softcover

Kessner, Thomas

Softcover

ISBN 10: 0743257537 ISBN 13: 9780743257534

Publisher: Simon & Schuster, 2004

Synopsis

At the beginning of the nineteenth century, New York City was an undistinguished town, competing with Philadelphia and Boston to be America's dominant port city. Just two generations later, it had built itself into the country's powerhouse center of trade and finance, rivaled only by London as financial capital of the world. In Capital City, Thomas Kessner tells the story of this remarkable transformation.
With the advantages of its famous harbor and the opening of the Erie Canal in 1825, New York became the chief commercial center for the growing nation. As the shipping industry prospered, capital accumulated, and a growing banking center emerged, New York went on to finance the Union cause during the Civil War, open the West to development, and consolidate the national railroad system. The city's energy and opportunity attracted ambitious men from all over the country whose names became synonymous with big business: Vanderbilt, Carnegie, Rockefeller, and Morgan. New York's banks set the interest rates for the nation, its stock exchange fixed the price of securities, its investors transformed American business from family-owned enterprises into modern corporations, and its growing political clout catapulted public figures, such as Samuel Tilden and Teddy Roosevelt, onto the national stage.
Combining political and urban history with a colorful cast of characters, Capital City chronicles how Gotham's Gilded Age reshaped the metropolis and the nation as it molded our present-day economy.

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Review

The epicenter of the American economy since the Civil War and the birthplace of modern capitalism, New York City played a significant role in transforming "a small nation of scattered farms into the world's leading economic power," writes Thomas Kessner. Focusing on the four decades between 1860 and 1900, Kessner engagingly illustrates how Gotham City, in addition to funding the Union victory and financing the railroads heading west, also became the nation's busiest port and the center of banking, information, and manufacturing by attracting the most driven, energetic, competitive, and innovative people in the world. Woven into his narrative are detailed portraits of legendary individuals such as John D. Rockefeller, Jay Gould, Cornelius Vanderbuilt, Andrew Carnegie, and J.P. Morgan, all of whom defined the Gilded Age and ushered in the American century. Possessing the right stuff at precisely the right moment in history, these men took full advantage of the permissive, even chaotic, business climate of New York to create colossal wealth for themselves as well as the nation, rewriting the rules of commerce and investing the process: "No succeeding generation enjoyed the economic power, the open political atmosphere, and the shaping influence available to this group of capitalists," Kessner writes. This remarkable boom (and occasional bust) period also triggered an ethical shift in which "business decisions came to turn less on what was right or good, than on what was strictly legal." Greed and corruption were rampant during this time as many unscrupulous speculators hurried to cash in before regulations closed loopholes and laws imposed rigid rules of conduct.

Kessner does an excellent job of capturing the excitement of this era in which the American economy was transformed from a vast network of many small businesses to a relatively few number of large corporations. In presenting this rich story, the author makes clear that the city's greatest asset was the equal opportunity it offered—a claim that still holds true today, making the allure of New York as strong as ever. --Shawn Carkonen

About the Author

Thomas Kessner is professor of history at the Graduate School of the City University of New York. He is the author of Fiorello H. LaGuardia and the Making of Modern New York, and the recipient of many awards and prizes for research and teaching. He lives with his family in Brooklyn, New York.

About this edition

• Publisher: Simon & Schuster
• Publication date: 2004
• ISBN 10: 0743257537
• ISBN 13: 9780743257534
• Binding: Paperback
• Number of pages: 416