The Greatest Oil Man Essay -- essays papers

The Greatest Oil earth The majority of people in the world dislike monopolies. People do not like monopolies because they are allocatively inefficient and because they produce less than consumers want. derriere D. Rockefeller was a good example of a monopolist from 1880 to 1911. Most people in that time period did not like his company, Standard Oil, and wished for an prohibit to it (micheloud).In 1870, J. D. Rockefeller started the Standard Oil Company. Soon after the birth of this company, Rockefeller began to horizontally comprise other refineries into his company. This was not enough for Rockefeller. He wanted cover over the whole industry so he proceeded to vertically integrate other companies including companies having to do with extraction, transport, retail, marketing, and research. Within a relatively short meat of time, Rockefeller obtained all of the components needed not sole(prenominal) for creating the refined vegetable cover except for shipping it as well. The only things that were missing from his giant conglomerate of companies from the oil industry were insignificant considering that now Standard Oil was virtually the only buyer (micheloud). In order to keep his monopoly intact he use the railroads to keep updates on all oil shipped through the railroad companies. In order for the railroads to work for him, they had to give him detailed reports on all oil shipped though them. Standard Oil also made sure they were property these reports correct by placing spies (Michel...