Lewis H. Morgan : biography
As member of the Standing Committee on Railroads, Morgan became embroiled in a major issue of the day and one closer to his interests: monopoly. The New York Central Railroad, under Cornelius Vanderbilt, had attempted a hostile takeover of the Erie Railroad under Jay Gould by buying up its stock. The two railroads competed for the Rochester market. Daniel Drew, Erie’s treasurer, defended successfully by creating new stock, which he had his friends sold short, dropping the value of the stock. Vanderbilt dumped the stock, barely covering the losses. Ordinarily such stock manipulations were illegal. The Railroad Act of 1850, however, allowed railroads to borrow money in exchange for bonds convertible to stocks. Given essentially free stocks, friends of the Erie Railroad grew rich; that is, Drew had found a way to transfer Vanderbilt’s wealth to his own friends. Vanderbilt just escaped ruin. He immediately appealed to the state government.
The Railroad Committee investigated the affair. Gould purchased inaction among the senators, a practice Morgan had seen in the Ogden Land Company Affair. This time he worked to protect his friends from investigation. No action was taken. The Erie Railroad affair tapped Morgan’s deepest ideological beliefs. To him the role of capitalism in creating mobile wealth was essential to the advancement of civilization. A monopoly such as Vanderbilt had been trying to build would choke off the downward flow of wealth. His report of the Railroad Committee attacked both Vanderbilt and Gould. It argued that the system in its "tendency to combination" was broken. He asserted that the people had to use government action to rein in the power of large corporations. For the time being the Erie Railroad was supported, but Morgan noted that its victory was just as dangerous to society as its defeat would have been.
The Grant-Parker policy on native Americans
Despite his new interest in government, which was to come to be expressed in his subsequent works on social systems, Morgan persisted in his major goal in running for office, to be appointed Commissioner of Indian Affairs. The choice was now up to President Grant. Together in The League, Parker and Morgan had determined the policy Grant was to adopt. They thought that, much as Parker had assimilated, American Indians should assimilate into American society; they were not yet considered US citizens. Of the two men responsible for his policy, Grant chose his former adjutant. Terribly disappointed, Morgan never applied for the post again. The two collaborators did not speak to each other during Parker’s tenure, but Morgan stayed on intimate terms with Parker’s family.
The implementation of assimilation policy was more difficult than either man had anticipated. Parker controlled none of the variables. The American Indians were to be moved into reservations, assisted with supplies and food so they could start subsistence farming, and educated at mission schools to be converted to Christianity and American values, until they adopted European-American ways. In theory they would then be able to enter American society at large. The system of appointed Indian agents and traders had long been corrupt; in addition, unscrupulous land agents took the best land and moved American Indians into the desert lands, which did not support small-scale household farms and did not have sufficient game for hunting. Thieves among the agents replaced food and goods intended for the Indians with inedible or no foodstuffs. Faced with these realities, the American Indians refused the reservations or abandoned them, and attempted to return to ancestral lands, now occupied by white settlers. In other cases, they raided white settlements for food or attacked them seeking to repel the invaders. Grant resorted to military solutions and used US soldiers to repress the tribes. This warfare exacerbated the failure of the army to protect the American Indians against depredations and encroachment by white settlers.
In 1871 Congress took action to halt the suppression of the natives. It created a Board of Indian Commissioners and relieved Parker of his main responsibilities. Parker resigned in protest. After suffering years of poverty and attempt to suppress their cultures, American Indians were admitted to citizenship in 1924. The government continued to send their children to Indian boarding schools, started in the late 1870s, where Indian languages and cultures were prohibited. Policies of diversity and limited sovereignty were adopted. The Grant administration is universally regarded as inept in Indian affairs as well as have been rife with corruption. Although Morgan contributed to the ideology of assimilation, he escaped accountability for the results.