John D. Rockefeller, in full John Davison Rockefeller, (born July 8, 1839, Richford, New York, U.S.died May 23, 1937, Ormond Beach, Florida), American industrialist and philanthropist, founder of the Standard Oil Company, which dominated the oil industry and was the first great U.S. business trust. [110] The foundation helped in World War I war relief,[122] and it employed William Lyon Mackenzie King of Canada to study industrial relations. Webrmond Beach, Fla., May 23.--John D. Rockefeller Sr., who wanted to live until July 9, 1939, when he would have rounded out a century of life, died at 4:05 A.M. here today at The Casements, his Winter home, a little more than two years and a month from his cherished goal. From the different reports and the different historians opinions, I feel that Rockefeller and his business negatively impacted society. 187072 [7][pageneeded][8][b], Rockefeller spent much of the last 40 years of his life in retirement at Kykuit, his estate in Westchester County, New York, defining the structure of modern philanthropy, along with other key industrialists such as steel magnate Andrew Carnegie. In 1870 Rockefeller established the Standard Oil Company. Biography Reference Center, EBSCO, United States Department of Labor: Bureau of Labor Statistics historical inflation calculator, United States Commission on Industrial Relations, Carnegie Foundation for the Advancement of Teaching, Johns Hopkins School of Hygiene and Public Health, "John D. Rockefeller: The Richest Man in the World", http://www.usstuckonstupid.com/sos_charts.php#gdp, "Giving It Away, Then and Now The New York Times", Weekly Centralian Link (June 15, 2018) CPU holds Faculty and Staff Conference 2018, "The Philanthropists: John D. Rockefeller Tim Challies", "John D. Rockefeller | Biography, Facts, & Death", "People & Events: John D. Rockefeller Senior, 18391937", "Proceedings of the Special Committee on Railroads, Appointed under a resolution of the Assembly to investigate alleged abuses in the Management of Railroads chartered by the State of New York (Vol. The companies' combined net worth rose fivefold and Rockefeller's personal wealth jumped to $900million. And God was good to me everyday. Between John and William Jr.'s births, Bill and Nancy had another daughter Cornelia. The Supreme Court ruled in 1911 that Standard Oil must be dismantled for violation of federal antitrust laws. WebIn the 1860s John D. Rockefeller took note of the expansion of oil production in western Pennsylvania and built an oil refinery near Cleveland, Ohio, in 1863. Critics found his writing to be sanitized and disingenuous and thought that statements such as "the underlying, essential element of success in business are to follow the established laws of high-class dealing" seemed to be at odds with his true business methods. In 1870 Rockefeller established the Standard Oil Company. [69] The "trust" was a corporation of corporations, and the entity's size and wealth drew much attention. "But it was simply out of the question. John D. Rockefeller is reported to be the wealthiest man in America with about $150,000,000 and an income of $25,000 per day. The family relocated to Strongsville, a town near Cleveland, Ohio, in 1853, and six years laterafter attending and later dropping out of Clevelands Central High School, taking a single business class at Folsom Mercantile College, and working as a bookkeeperRockefeller established his first enterprise, a commission business dealing in hay, grain, meats, and other goods. Rockefeller founded the Standard Oil Company in 1870. There was no one to take my place. After the war, he donated land for the United Nations headquarters, a gift that figured prominently in the decision to Tarbell's father had been driven out of the oil business during the "South Improvement Company" affair. He quickly found success as it became the largest refinery in the area, and By the time he was twenty, his charity exceeded ten percent of his income. Standard Oil had gained an aura of invincibility, always prevailing against competitors, critics, and political enemies. [86] The court ruled that the trust originated in illegal monopoly practices and ordered it to be broken up into 34 new companies. By 1901 he began wearing toupes and by 1902, his mustache disappeared. Consequently, Rockefeller became the country's first billionaire, with a fortune worth nearly 2% of the national economy. Public hostility toward monopolies, of which Standard was the best known, caused some countries to enact anti-monopoly laws. After the war, he donated land for the United Nations headquarters, a gift that figured prominently in the decision to [126], Rockefeller became well known in his later life for the practice of giving dimes to adults and nickels to children wherever he went. For with the measure you use, it will be measured to you. [1] According to some methods of wealth calculation, Rockefeller's net worth over the last decades of his life would easily place him as the wealthiest known person in recent history. He said later, "Her judgment was always better than mine. Rockefeller had entered the raucous oil business during the Civil War, when oil often sold for a dollar a gallon. John D. Rockefeller was remembered for his wealth and for the aggressive competitive practices of the Standard Oil Company. American industrialist John D. Rockefeller built his first oil refinery near Cleveland and in 1870 incorporated the Standard Oil Company. American industrialist John D. Rockefeller built his first oil refinery near Cleveland and in 1870 incorporated the Standard Oil Company. But they had never played fair, and that ruined their greatness for me." He truly believed in the biblical principle found in Luke 6:38, "Give, and it will be given to you. In 1862, a barrel (42 gallons) of oil dropped in value from $4.00 to 35 cents. These certificates became traded by speculators, thus creating the first oil-futures market which effectively set spot market prices from then on. He wrote in a letter to Nicholas Murray Butler on June 6, 1932, that his neither Rockefeller nor his parents or his father's father and mother's mother drank alcohol. August 2, 1896 An article documents Rockefellers life and his rise to wealth, from poverty to possessing millions of dollars. The strike was fought vigorously by the coal mine operators association and its steering committee, which included Welborn, president of CF&I, a spokesman for the coal operators. In 1901, U.S. Steel, then controlled by J. Pierpont Morgan, having bought Andrew Carnegie's steel assets, offered to buy Standard's iron interests as well. He and Carnegie gave form and impetus through their charities to the work of Abraham Flexner, who in his essay "Medical Education in America" emphatically endowed empiricism as the basis for the US medical system of the 20th century. Rockefeller prevailed and the railroad sold its oil interests to Standard. John D. Rockefeller is reported to be the wealthiest man in America with about $150,000,000 and an income of $25,000 per day. Later in life he turned his attention to charity. [75] Additional fields were discovered in Burma and Java. [77] In 1887, Congress created the Interstate Commerce Commission which was tasked with enforcing equal rates for all railroad freight, but by then Standard depended more on pipeline transport. John D. Rockefeller was an American business magnate and philanthropist. He made possible the founding of the University of Chicago in 1892, and by the time of his deathfrom a heart attack in 1937, shortly before his 98th birthdayhe had given it some $35 million. In the end it turned out that the individual segments of the company were worth more than the entire company was when it was one entitythe sum of the parts were worth more than the wholeas shares of these doubled and tripled in value in their early years. They thus established the first major U.S. trust and set a pattern of organization for other monopolies. With the help of funds from the Rockefeller Foundation, relief programs were organized by the Colorado Committee on Unemployment and Relief. But it is the assertion that the Standard magnates gained their wealth by appropriating "the property of others" that most challenges our attention. [31] He was a well-behaved, serious, and studious boy despite his father's absences and frequent family moves. In the aftermath of that battle, the Commonwealth of Pennsylvania indicted Rockefeller in 1879 on charges of monopolizing the oil trade, starting an avalanche of similar court proceedings in other states and making a national issue of Standard Oil's business practices. [71], The company's vast American empire included 20,000 domestic wells, 4,000 miles of pipeline, 5,000 tank cars, and over 100,000 employees. A devout Baptist, Rockefeller turned his attention increasingly during the 1890s to charities and benevolence; after 1897 he devoted himself completely to philanthropy. In association with his son, John D. Rockefeller, Jr., he created major philanthropic institutions, including the Rockefeller Institute for Medical Research (renamed Rockefeller University) in New York City (1901), the General Education Board (1902), and the Rockefeller Foundation (1913). Our editors will review what youve submitted and determine whether to revise the article. [115] In keeping with the historic missions of the Baptists, it was especially active in supporting black schools in the South. While most refiners dumped oil byproducts into nearby rivers, Rockefeller wisely hired research-and-development men to produce waxes, paving materials, and detergents from the seemingly unmarketable sludge that was discarded. [125] Through this, he supported work in the social studies; this was later absorbed into the Rockefeller Foundation. [18] Religion was a guiding force throughout his life and he believed it to be the source of his success. WebJohn D. Rockefeller was the richest man of his time but, used his wealth to improve our country. While traveling the South, he would donate large sums of money to churches belonging to the Southern Baptist Convention, various Black churches, as well as other Christian denominations. 186365 Rockefeller builds his first oil refinery, near Cleveland. I want to make 'em sharp." To critics Rockefeller replied, "In a business so large as ours some things are likely to be done which we cannot approve. It was not meteor-like, but accomplished over a quarter of a century by courageous venturing in a field so risky that most large capitalists avoided it, by arduous labors, and by more sagacious and farsighted planning than had been applied to any other American industry. Articles from Britannica Encyclopedias for elementary and high school students. Learn the history behind Byron Benson's building the world's first oil pipeline (1879), defeating John D. Rockefeller and the Standard Oil Company, This article was most recently revised and updated by, https://www.britannica.com/biography/John-D-Rockefeller, PBS - American Experience - Biography of John D. Rockefeller, Senior, Ohio History Central - Biography of John D. Rockefeller, United States History - Biography of John D. Rockefeller. Even more critical, the invention of the light bulb gradually began to erode the dominance of kerosene for illumination. The University of Chicago has long accorded John D. Rockefeller the official designation of "Founder," and that accolade may offer some historical compensation to Rockefeller's more conventional and hostile sobriquet of "robber baron." After the war, he donated land for the United Nations headquarters, a gift that figured prominently in the decision to Billionaire John D. Rockefeller (July 8, 1839 to May 23, 1937) continues to rank as one of the richest men in modern times. [120] He gave $182million to the foundation,[107] which focused on public health, medical training, and the arts. On April 20, 1914, a general fire-fight occurred between strikers and troops, which was antagonized by the troops and mine guards. [88] He and all of the other stockholders received proportionate shares in each of the 34 companies. [90] Analysis of the company's operations by John D. Rockefeller, Jr. showed a need for substantially more funds which were provided in exchange for acquisition of CF&I's subsidiaries such as the Colorado and Wyoming Railway Company, the Crystal River Railroad Company, and possibly the Rocky Mountain Coal and Iron Company. Burton Folsom Jr. has noted: [H]e sometimes gave tens of thousands of dollars to Christian groups, while, at the same time, he was trying to borrow over a million dollars to expand his business. [72] Despite the formation of the trust and its perceived immunity from all competition, by the 1880s Standard Oil had passed its peak of power over the world oil market. It had become the richest, biggest, most feared business in the world, seemingly immune to the boom and bust of the business cycle, consistently making profits year after year. WebTwo things about the oil industry, however, bothered Rockefeller right from the start: the appalling waste and the fluctuating prices. [66], The firm was attacked by journalists and politicians throughout its existence, in part for these monopolistic methods, giving momentum to the antitrust movement. [73], Although 85% of world crude production was still coming from Pennsylvania in the 1880s, oil from wells drilled in Russia and Asia began to reach the world market. Furthermore, Rockefeller gained enormous influence over the railroad industry which transported his oil around the country. [98][99], The name Rockenfeller refers to the now-abandoned village of Rockenfeld in the district of Neuwied. While most refiners dumped oil byproducts into nearby rivers, Rockefeller wisely hired research-and-development men to produce waxes, paving materials, and detergents from the seemingly unmarketable sludge that was discarded. WebIn 1973 Rockefeller founded the Trilateral Commission, a private international organization designed to confront the challenges posed by globalization and to encourage greater cooperation between the United States and its principal allies (Canada, Japan, and the countries of western Europe). Early in his life, he regularly went with his siblings and mother Eliza to the local Baptist churchthe Erie Street Baptist Church (later the Euclid Avenue Baptist Church)an independent Baptist church which eventually came to associate with the Northern Baptist Convention (19071950; modern American Baptist Churches USA). His personal wealth was 900million in 1913 worth 23.5 billion dollars adjusted for inflation in 2020. [44] Likewise, Rockefeller's refineries hired their own plumbers, cutting the cost of pipe-laying in half. [3][4] Rockefeller was born into a large family in Upstate New York that moved several times before eventually settling in Cleveland. John D. Rockefeller founded the Standard Oil Company, which dominated the oil industry and was the first great U.S. business trust. He has been widely considered the wealthiest American of all time[1][2] and the richest person in modern history. Rockefellers benefactions during his lifetime totaled more than $500 million. Then he took a ten-week business course at Folsom's Commercial College, where he studied bookkeeping. John Jr.'s youngest son David Rockefeller was a leading New York banker, serving for over 20 years as CEO of Chase Manhattan (now part of JPMorgan Chase). [62] The railroad, seeing Standard's incursion into the transportation and pipeline fields, struck back and formed a subsidiary to buy and build oil refineries and pipelines. I was willing that they should combine and grow as big and wealthy as they could, but only by legitimate means. Please refer to the appropriate style manual or other sources if you have any questions. Due to be drafted to serve the Union in the Civil War in 1863, the 23-year-old Rockefeller did what many men of means had done: He paid for someone to serve in his place. Born in upstate New York, Rockefeller entered the oil business by investing in a Cleveland, Ohio refinery in 1863. Standard Oils questionable ethics were also taken to task by American journalist Ida Tarbell in her 19-part expos and commentary called The History of the Standard Oil Company, which was released in installments by McClures Magazine between 1902 and 1904. Rockefeller entered the fledgling Oil industry in 1863, by investing in a factory in Cleveland, Ohio. It drew masses to various Protestant churchesespecially Baptist onesand urged believers to follow such ideals as hard work, prayer, and good deeds to build "the Kingdom of God on Earth." [9] His fortune was mainly used to create the modern systematic approach of targeted philanthropy through the creation of foundations that had a major effect on medicine, education, and scientific research. John D. Rockefeller was an American business magnate and philanthropist. That is, two years after the dissolution of Standard Oil. In the same letter, Rockefeller writes that he has "always stood for whatever measure seemed at the time to give promise of promoting temperance." Standard Oil was the first great business trust in the United States. Nine trustees, including Rockefeller, ran the 41 companies in the trust. Mr. Rockefeller financed the construction of museums in Mesa Verde, Grand Canyon, and Yellowstone national parks. Many people were impacted in a negative way and his business tactics were not always ethical. Within two years it is the largest refinery in the area. 186365 Rockefeller builds his first oil refinery, near Cleveland. He was advised primarily by Frederick Taylor Gates[103] after 1891,[104] and, after 1897, also by his son. Whale oil had become too expensive for the masses, and a cheaper, general-purpose lighting fuel was needed. August 2, 1896 An article documents Rockefellers life and his rise to wealth, from poverty to possessing millions of dollars. Grandson Laurance Spelman Rockefeller became a conservationist. Learn about John D. Rockefeller's historic-preservation of early American history at Williamsburg. He instinctively realized that orderliness would only proceed from centralized control of large aggregations of plant and capital, with the one aim of an orderly flow of products from the producer to the consumer. [129][130] It would be Rockefeller's winter home during the latter part of his life. [14][15][16] He was a devout Northern Baptist and supported many church-based institutions. I was early taught to work as well as play, [140], Rockefeller is largely remembered simply for the raw size of his wealth. [29] He later stated, "From the beginning, I was trained to work, to save, and to give. He was buried in Lake View Cemetery in Cleveland.[136]. Rockefeller had a long and controversial career in the oil industry followed by a long career in philanthropy. That fact enabled the company to negotiate with railroads for favoured rates on its shipments of oil. [citation needed] The study, an excerpt of which was published in The Atlantic,[13] had been undertaken by the Carnegie Foundation for the Advancement of Teaching. Today known as Spelman College, the school is an all women Historically Black College or University in Atlanta, Georgia, named after Laura's family. The University of Chicago has long accorded John D. Rockefeller the official designation of "Founder," and that accolade may offer some historical compensation to Rockefeller's more conventional and hostile sobriquet of "robber baron." He followed his father's advice to "trade dishes for platters" and always get the better part of any deal. Due to be drafted to serve the Union in the Civil War in 1863, the 23-year-old Rockefeller did what many men of means had done: He paid for someone to serve in his place. WebThe Rockefeller family (/ r k f l r /) is an American industrial, political, and banking family that owns one of the world's largest fortunes.The fortune was made in the American petroleum industry during the late 19th and early 20th centuries by brothers John D. Rockefeller and William A. Rockefeller Jr., primarily through Standard Oil (the Seldom has history produced such a contradictory figure. [86], In 1902, facing cash flow problems, John Cleveland Osgood turned to George Jay Gould, a principal stockholder of the Denver and Rio Grande, for a loan. WebJohn D. Rockefeller. Although it always had hundreds of competitors, Standard Oil gradually gained dominance of oil refining and sales as market share in the United States through horizontal integration, ending up with about 90% of the US market. WebRockefeller revolutionized the petroleum industry and, through corporate and technological innovations, was instrumental in both widely disseminating and drastically reducing the production cost of oil. In 1867, Henry Morrison Flagler became a partner, and the firm of Rockefeller, Andrews & Flagler was established. His hair never grew back, but other health complaints subsided as he lightened his workload. WebHow did John Rockefeller gain his wealth? The daily management of the trust was turned over to John Dustin Archbold and Rockefeller bought a new estate, Pocantico Hills, north of New York City, turning more time to leisure activities including the new sports of bicycling and golf. It acquired pipelines and terminal facilities, purchased competing refineries in other cities, and vigorously sought to expand its markets in the United States and abroad. Standard Oil adapted by developing a European presence, expanding into natural gas production in the U.S., and then producing gasoline for automobiles, which until then had been considered a waste product. In the aftermath, Rockefeller's control over the oil industry was somewhat reduced, but over the next 10 years the breakup proved immensely profitable for him. He bought a residence in 1884 on 54th Street near the mansions of other magnates such as William Henry Vanderbilt. Due to be drafted to serve the Union in the Civil War in 1863, the 23-year-old Rockefeller did what many men of means had done: He paid for someone to serve in his place. From the different reports and the different historians opinions, I feel that Rockefeller and his business negatively impacted society. Within two years it is the largest refinery in the area. Rockefeller was also considered a supporter of capitalism based on a perspective of social Darwinism, and he was quoted often as saying, "The growth of a large business is merely a survival of the fittest". He had an elder sister named Lucy and four younger siblings: William Jr., Mary, and twins Franklin (Frank) and Frances. Rockefeller was the eldest son and second of six children born to traveling physician and snake-oil salesman William (Big Bill) Avery Rockefeller and Eliza Davison Rockefeller. Mr. Rockefeller financed the construction of museums in Mesa Verde, Grand Canyon, and Yellowstone national parks. A deal brokered by Henry Clay Frick exchanged Standard's iron interests for U.S. Steel stock and gave Rockefeller and his son membership on the company's board of directors. [44] In the kerosene industry, the company replaced the old distribution system with its own vertical system. [70] The public and the press were immediately suspicious of this new legal entity, and other businesses seized upon the idea and emulated it, further inflaming public sentiment. WebThe Rockefeller family (/ r k f l r /) is an American industrial, political, and banking family that owns one of the world's largest fortunes.The fortune was made in the American petroleum industry during the late 19th and early 20th centuries by brothers John D. Rockefeller and William A. Rockefeller Jr., primarily through Standard Oil (the Rockefeller then ordered the issuance of certificates against oil stored in its pipelines. The oil fortunes of 1894 were not larger than steel fortunes, banking fortunes, and railroad fortunes made in similar periods. Sensing the commercial potential of the expanding oil production in western Pennsylvania in the early 1860s, he built his first oil refinery, near Cleveland, in 1863. "[101], Rockefeller would support Baptist missionary activity, fund universities, and heavily engage in religious activities at his Cleveland, Ohio, church. "I wanted to go in the army and do my part," Rockefeller said. His father was of English and German descent, while his mother was of Ulster Scot descent. Mr. Rockefeller financed the construction of museums in Mesa Verde, Grand Canyon, and Yellowstone national parks. It kept oil prices low to stave off competitors, made its products affordable to the average household, and, to increase market penetration, sometimes sold below cost. His contemporaries described him as reserved, earnest, religious, methodical, and discreet. [117] He founded the Rockefeller Sanitary Commission in 1909,[114] an organization that eventually eradicated the hookworm disease,[118] which had long plagued rural areas of the American South. [83] Billionaire John D. Rockefeller (July 8, 1839 to May 23, 1937) continues to rank as one of the richest men in modern times. On this day in 1870, Rockefeller incorporated the company that would make him almost inconceivably rich and, in many ways, begin the modern age of oil. ", Rockefeller was an abolitionist who voted for President Abraham Lincoln and supported the then-new Republican Party. The overproducing of oil and the developing of new markets caused the price of oil to fluctuate wildly. Let us know if you have suggestions to improve this article (requires login). WebAfter dropping out of high school, taking one business class at Folsom Mercantile College, and working as a bookkeeper, Rockefeller establishes his first business, which supplies goods such as hay, grain, and meats. WebBy 1858, Rockefeller had more responsibilities at Hewitt & Tuttle. Instead of using his father's method of presence to collect debts, Rockefeller relied on a persistent pestering approach. We were in a new business, and if I had not stayed it must have stoppedand with so many dependent on it.