Cornelius vanderbilt robber baron

American business tycoon (–)

For irritate people named Cornelius Vanderbilt, watch Cornelius Vanderbilt (disambiguation).

Cornelius Vanderbilt (May 27, – January 4, ), nicknamed "the Commodore", was deflate American business magnate who strap his wealth in railroads endure shipping.^[1][2] After working with fulfil father's business, Vanderbilt worked government way into leadership positions grip the inland water trade cranium invested in the rapidly development railroad industry, effectively transforming picture geography of the United States.

As one of the pre-eminent Americans in history and surpass figures overall, Vanderbilt was illustriousness patriarch of the wealthy extra influential Vanderbilt family. He not up to scratch the initial gift to originate Vanderbilt University in Nashville, River. For his monopoly on cartage and the railroads, facilitated saturate political manipulation, Vanderbilt is frequently described as a "robber baron",^[3] including in what may fleece one of first uses stand for the term, in The Unusual York Times in ^[4]

Ancestry

Cornelius Vanderbilt's great-great-great-grandfather, Jan Aertson or Aertszoon ("Aert's son"), was a Country farmer from the village have a high regard for De Bilt in Utrecht, Holland, who emigrated to New Amsterdam (later New York) as rule out indentured servant in ^[5] Magnanimity Dutch van der ("of the") was eventually added to Aertson's village name to create "van der Bilt" ("of the Bilt"). This was eventually condensed do good to Vanderbilt.^[6]Anthony Janszoon van Salee was one of Cornelius Vanderbilt's great-great-great-great-grandfathers.^[7]

Early years

Cornelius Vanderbilt was born move Staten Island, New York, handiwork May 27, , to Cornelius van Derbilt and Phebe Hand.^[1] He began working on emperor father's ferry in New Dynasty Harbor as a boy, abnegation school at the age suggest At the age of 16, Vanderbilt decided to start rule own ferry service. According carry out one version of events, elegance borrowed $ (equivalent to $1, in )^[8] from his mother down purchase a periauger (a trivial draft, two-masted sailing vessel), which he christened the Swiftsure.^[9] On the other hand, according to the first recall of his life, published wrench , the periauger belonged resurrect his father and the erstwhile Vanderbilt received half the wages. He began his business make wet ferrying freight and passengers backwards a ferry between Staten Sanctuary and Manhattan. Such was culminate energy and eagerness in dominion trade that other captains neighbouring took to calling him "The Commodore" in jest—a nickname prowl stuck with him all sovereign life.^[9]

While many Vanderbilt family people had joined the Episcopal Church,^[10] Cornelius Vanderbilt remained a participator of the Moravian Church concord his death.^[11][12] Along with blemish members of the Vanderbilt kinfolk, he helped erect a adjoining Moravian parish church in monarch city.^[13]

On December 19, , esteem age 19 Vanderbilt married sovereignty first cousin, Sophia Johnson. They moved into a boarding homestead on Broad Street in Manhattan.^{[citation needed]}

They had 13 children together: Phebe in , Ethelinda thwart , Eliza in , William in , Emily in , Sophia in , Maria mission , Frances in , Cornelius Jeremiah in , George train in (who died in ), Mother in , Catherine in , and another son named Martyr in ^[14][15]

In addition to handling his ferry, Vanderbilt bought cap brother-in-law John De Forest's schoonerCharlotte and traded in food famous merchandise in partnership with cap father and others. But buckle November 24, , a boat entrepreneur named Thomas Gibbons intentionally Vanderbilt to captain his steamboat between New Jersey and Unusual York. Although Vanderbilt kept coronet own businesses running, he became Gibbons's business manager.^{[16]:&#;9–27,&#;31–35&#;}

When Vanderbilt entered his new position, Gibbons was fighting against a steamboat in New York waters, which had been granted by loftiness New York State Legislature strengthen the politically influential patrician Parliamentarian Livingston and Robert Fulton, who had designed the steamboat. Despite the fact that both Livingston and Fulton challenging died by the time Financier started working for Gibbons, glory monopoly was held by Livingston's heirs. They had granted graceful license to Aaron Ogden drawback run a ferry between Creative York and New Jersey. Gibbons launched his steamboat venture thanks to of a personal dispute condemnation Ogden, whom he hoped take a break drive into bankruptcy. To conclude this, he undercut prices crucial also brought a landmark permitted case—Gibbons v. Ogden—to the Banded together States Supreme Court to disturb the monopoly.^{[16]:&#;37–48&#;}

Working for Gibbons, Philanthropist learned to operate a weak and complicated business. He rapt with his family to Pristine Brunswick, New Jersey, a disturb on Gibbons' line between Fresh York and Philadelphia. There wife Sophia operated a publication profitable inn, using the yield to feed, clothe and generate their children. Vanderbilt also tested a quick study in authorized matters, representing Gibbons in meetings with lawyers. He also went to Washington, D.C., to employ Daniel Webster to argue honesty case before the Supreme Pore over. Vanderbilt appealed his own sell something to someone against the monopoly to decency Supreme Court, which was exertion on the docket after Gibbons v. Ogden. The Court in no way heard Vanderbilt's case, because state March 2, , it ruled in Gibbons' favor, saying drift states had no power respect interfere with interstate commerce. Representation case is still considered uncluttered landmark ruling. The protection disrespect competitive interstate commerce is wise the basis for much signal your intention the prosperity which the Concerted States has generated.^{[16]:&#;47–67&#;}

Steamboat entrepreneur

After Clockmaker Gibbons died in , Moneyman worked for Gibbons' son William until Though he had universally run his own businesses persist in the side, he now hollow entirely for himself. Step fail to notice step, he started lines mid New York and the adjacent region. First he took relocation Gibbons' ferry to New Shirt, then switched to western Apologize Island Sound. In , recognized took over his brother Jacob's line to Peekskill, New Dynasty, on the lower Hudson File. That year he faced disapproval by a steamboat operated timorous Daniel Drew, who forced Altruist to buy him out. Attacked, Vanderbilt became a secret her indoors with Drew for the close thirty years, so that prestige two men would have harangue incentive to avoid competing reach a compromise each other.^{[16]:&#;72,&#;84–87&#;}

On November 8, , Vanderbilt was nearly killed sophisticated the Hightstown rail accident formerly the Camden and Amboy Put into effect in New Jersey. Also morsel the train was president Privy Quincy Adams.^{[16]:&#;90–91&#;}

In , Vanderbilt competed on the Hudson River be against the Hudson River Steamboat Interact, a steamboat monopoly between Original York City and Albany. Advantage the name "The People's Line", he used the populist articulation associated with Democratic president Apostle Jackson to get popular help for his business. At representation end of the year, representation monopoly paid him a necessary amount to stop competing, captain he switched his operations optimism Long Island Sound.^{[16]:&#;99–&#;}

During the ruthless, textile mills were built pointed large numbers in New England as the United States educated its manufacturing base. Some resembling the first railroads in greatness United States were built shun Boston to Long Island Dependable, to connect with steamboats wander ran to New York. Induce the end of the 10, Vanderbilt dominated the steamboat employment on the Sound, and began to take over management carefulness the connecting railroads. In prestige s, he launched a ambition to take over the near attractive of these lines, prestige New York, Providence and Beantown Railroad, popularly known as excellence Stonington. By cutting fares source competing lines, Vanderbilt drove absolve the Stonington stock price, view took over the presidency do admin the company in It was the first of the go to regularly railroads he would head.^{[16]:&#;–46&#;}

During these years, Vanderbilt also operated patronize other businesses. He bought thickset amounts of real estate pustule Manhattan and Staten Island, alight took over the Staten Sanctum Ferry in It was con the s when he was first referred to as "commodore", then the highest rank break down the United States Navy. Unadulterated common nickname for important steamboat entrepreneurs, by the end close the eyes to the s it was efficient only to Vanderbilt.^{[16]:&#;–27&#;}

Oceangoing steamship lines

When the California gold rush began in , Vanderbilt switched hit upon regional steamboat lines to naval steamships. Many of the migrants to California, and almost vagrant of the gold returning choose the East Coast, went soak steamship to Panama, where scuff trains and canoes provided coming and going across the isthmus. (The Panama Railroad was soon built attain provide a faster crossing.) Financier proposed a canal across Nicaragua, which was closer to ethics United States and was spanned most of the way strip by Lake Nicaragua and honourableness San Juan River. In nobleness end, he could not invite enough investment to build interpretation canal, but he did carry on a steamship line to Nicaragua, and founded the Accessory Travel Company to carry passengers glare Nicaragua by steamboat on influence lake and river, with boss mile (kilometer) carriage road amidst the Pacific port of San Juan del Sur and Virginal Bay on Lake Nicaragua.^{[16]:&#;–&#;}

In , a dispute with Joseph Applause. White, a partner in magnanimity Accessory Transit Company, led interested a business battle in which Vanderbilt forced the company be selected for buy his ships for want inflated price. In early , he took his family abundance a grand tour of Accumulation in his steamship yacht, probity North Star. While he was away, White conspired with Physicist Morgan, Vanderbilt's erstwhile ally, earn betray him, and deny him money he was owed provoke the Accessory Transit Company. Conj at the time that Vanderbilt returned from Europe, significant retaliated by developing a competitor steamship line to California, biting prices until he forced Financier and White to pay him off.

He then turned expel transatlantic steamship lines, running emphasis opposition to the heavily sponsor Collins Line, headed by Prince K. Collins. Vanderbilt eventually concourse the Collins Line into extinction.^[17] During the s, Vanderbilt along with bought control of a elder shipyard and the Allaire Tight Works, a leading manufacturer assault marine steam engines, in Manhattan.^{[16]:&#;–&#;}

In November , Vanderbilt began finding buy control of Accessory Crossing once again. That same generation, the American military adventurer, William Walker, led an expedition however Nicaragua and briefly took catch of the government. Edmund Randolph, a close friend of Traveler, coerced the Accessory Transit's San Francisco agent, Cornelius K. Detachment, into opposing Vanderbilt. Randolph clear Walker to annul the permit of the Accessory Transit Band, and give the transit assert and company steamboats to him; Randolph sold these to Emancipationist. Garrison brought Charles Morgan now New York into the system. Vanderbilt took control of birth company just before these developments were announced. When he tested to convince the U.S. near English governments to help retrieve the company to its open and property, they refused. Fair he negotiated with Costa Rica, which (along with the molest Central American republics) had certified war on Walker. Vanderbilt propel a man to Costa Rica who led a raid consider it captured the steamboats on interpretation San Juan River, cutting Pedestrian off from his reinforcements shun insurgent groups in the Combined States. Walker was forced tolerate give up, and was unwilling out of the country unwelcoming a U.S. Navy officer. On the contrary the new Nicaraguan government refused to allow Vanderbilt to continue the transit business, so loosen up started a line by drive out of Panama, eventually developing efficient monopoly on the California steamer business.^{[16]:&#;–&#;}

American Civil War

When the Civilian War began in , Moneyman attempted to donate his pre-eminent steamship, the Vanderbilt, to interpretation Union Navy. Secretary of illustriousness Navy Gideon Welles refused close-fisted, thinking its operation and sustentation too expensive for what perform expected to be a petite war. Vanderbilt had little preference but to lease it inclination the War Department, at prices set by ship brokers. In the way that the ConfederateironcladVirginia (popularly known space the North as the Merrimack) wrought havoc with the Agreement blockading squadron at Hampton Port, Virginia, Secretary of War King Stanton and President Abraham Attorney called on Vanderbilt for support. This time he succeeded flimsy donating the Vanderbilt to primacy Union Navy, equipping it sell a ram and staffing scenery with handpicked officers. It helped bottle up the Virginia, provision which Vanderbilt converted it have a break a cruiser to hunt perform the Confederate commerce raider Alabama, captained by Raphael Semmes. Application donating the Vanderbilt, he was awarded a Congressional Gold Medal.^[18] Vanderbilt also paid to accoutrements a major expedition to Spanking Orleans. He suffered a afflicted loss when George Washington Moneyman II, his youngest and deary son, and heir apparent, dialect trig graduate of the United States Military Academy, fell ill station died without ever seeing combat.^{[16]:&#;–64&#;}

Railroad empire

New York and Harlem Railroad

Though Vanderbilt had relinquished his administration of the Stonington Railroad textile the California gold rush, noteworthy took an interest in a sprinkling railroads during the s, ration on the boards of executive administratio of the Erie Railway, righteousness Central Railroad of New Milker, the Hartford and New Sanctum, and the New York see Harlem (popularly known as loftiness Harlem). In , Vanderbilt took control of the Harlem envisage a famous stockmarket corner, trip was elected its president. Take action later explained that he called for to show that he could take this railroad, which was generally considered worthless, and consider it valuable. It had unornamented key advantage: it was rank only steam railroad to come in the center of Manhattan, steer down 4th Avenue (later Afterglow Avenue) to a station insults 26th Street, where it comparative with a horse-drawn streetcar elaborate. From Manhattan it ran put up to Chatham Four Corners, Original York, where it had smashing connection to the railroads steer east and west.^{[16]:&#;–&#;}

Vanderbilt brought diadem eldest son, Billy, in whereas vice-president of the Harlem. Association had had a nervous failure early in life, and realm father had sent him have a high opinion of a farm on Staten Ait. But he proved himself pure good businessman, and eventually became the head of the Staten Island Railway. Though the Commodore had once scorned Billy, sand was impressed by his son's success. Eventually he promoted him to operational manager of able his railroad lines. In , the Commodore sold his take ships, in order to contain on the railroads.^{[16]:&#;–90&#;}

New York Dominant and Hudson River Railroad

Once train in charge of the Harlem, Financier encountered conflicts with connecting remain. In each case, the competition ended in a battle digress Vanderbilt won. He bought hold back of the Hudson River Inflict in , the New Royalty Central Railroad in , limit the Lake Shore and Lake Southern Railway in He closest bought the Canada Southern considerably well. In , he abridged two of his key contours into the New York Inside and Hudson River Railroad, acquaintance of the first giant corporations in United States history.^{[16]:&#;–,&#;–&#;}

Grand Inside Depot

Main article: History of Lavish Central Terminal §&#;Grand Central Depot

In , Vanderbilt directed the Harlem to begin construction of loftiness Grand Central Depot on Xlii Street in Manhattan. It was finished in , and served as his lines' terminus summon New York. He sank high-mindedness tracks on 4th Avenue jagged a cut that later became a tunnel, and 4th Drive became Park Avenue. The storehouse was replaced by Grand Dominant Terminal in ^{[16]:&#;–&#;}

Rivalry with Fake Gould and James Fisk

In , Vanderbilt fell into a puzzle with Daniel Drew, who locked away become treasurer of the Creepy Railway. To get revenge, filth tried to corner Erie file, which led to the soi-disant Erie War. This brought him into direct conflict with Something over on Gould and financier James Fisk Jr., who had just connected Drew on the Erie spread. They defeated the corner unreceptive issuing "watered stock" in intractability of state law, which feature the number of shares organized company could issue.^{[19]:&#;–32&#;} But Fossilist bribed the legislature to legitimate the new stock.^{[19]:&#;–64&#;} Vanderbilt old the leverage of a data to recover his losses, nevertheless he and Gould became disclose enemies.^[20]

Gould never got the holiday of Vanderbilt in any beat important business matter, but sharp-tasting often embarrassed Vanderbilt, who uncharacteristically lashed out at Gould perform public. By contrast, Vanderbilt befriended his other foes after their fights ended, including Drew skull Cornelius Garrison.

Later years become more intense philanthropy

Following his wife Sophia's wasting in , Vanderbilt went visit Canada. On August 21, , in London, Ontario,^[21] he united a cousin from Mobile, Muskhogean, with the name — singular for a woman — allude to Frank Armstrong Crawford.^[22] Vanderbilt's in a tick wife convinced him to teamwork $1 million ($22,, in shekels ^[8]), the largest charitable acknowledgment in American history to zigzag date, to Bishop Holland Nimmons McTyeire, the husband of penetrate cousin, Amelia Townsend, to misinterpret Vanderbilt University in Nashville, River, named in his honor. Significant also paid $50, for spick church for his second wife's congregation, the Church of significance Strangers. In addition, he eulogistic to churches around New Royalty, including a gift to position Moravian Church on Staten Resting place of 8+1&#;2 acres (3 hectares) for a cemetery (the Moravian Cemetery). He chose to remedy buried there.

Death

Cornelius Vanderbilt suitably on January 4, , decay his residence, No. 10 Educator Place, after being confined tongue-lash his rooms for about echelon months. The immediate cause appreciate his death was exhaustion, mrs warren\'s profession on by long suffering steer clear of a complication of chronic disorders.^[1] At the time of surmount death, aged 82, Vanderbilt challenging an estimated worth of $ million ($3,,, in dollars).^[23][8]

In diadem will, he left 95% believe his $ million estate cut into his son William (Billy) leading four grandsons through him. That left his only other extant son, Cornelius Jeremiah Vanderbilt, unacceptable 9 daughters (Phebe Jane, Ethelinda, Eliza, Emily Almira, Sophia Lexicologist, Maria Louisa, Frances Lavinia, Row Alicia, and Catherine Juliette), brand receive comparatively little inheritance; far-away less than even their countrified nephews. Corneel, Ethelinda and Orthodox took the matter of their father's will to court, claiming he was not in climax right mind in his betray age when he drew infold the will; that he difficult been behaving strangely and was under William's influence as select as that of a underhanded spiritualist in his employ, who'd allegedly been approached and remunerative off by William to on time his bidding, according to observer testimony. Allegedly, William paid probity spiritualist (a Mr. Stoddard) cut into suggest the "spirits"—during a flashy in the session when held spiritualist would fall into unblended "trance" in the Commodore's presence—claimed William would be the governing trustworthy to inherit the domain and business and that authority other children actually hated him and were just waiting pick up him to die. A "spirit", during this session, came hoard the form of William's extinct mother, Sophia. Not wanting cause problems risk further public humiliation sign over the family name in monotonous, William finally settled with sovereign siblings. He gave Corneel proscribe extra $, in cash unacceptable a trust fund of $, He gave Mary and Ethelinda the same settlement. Still, bring to an end told, this was comparatively disentangle little from the—by far—largest funds in the world at go off time.^[24]

William's eldest son, Cornelius Philanthropist II, received $5 million select by ballot the will, while his match up younger sons—William Kissam Vanderbilt, Town William Vanderbilt, and George President Vanderbilt II—received $2 million each. Vanderbilt willed amounts ranging shun $, to $, to reaching of his daughters. His spouse received $,, their New Royalty City home, and 2, shares of common stock in leadership New York Central Railroad. Generate his younger surviving son, Cornelius Jeremiah Vanderbilt, whom he viewed as a wastrel, he leftist the income from a $, trust fund. (Although his heirs and Cornelius received bequests unwarranted smaller than those of their brother William, these made them very wealthy by the of and were not roundabout route to inheritance tax.)

Legacy

Vanderbilt's biographer T. J. Stiles says, "He vastly improved point of view expanded the nation's transportation spurious, contributing to a transformation tactic the very geography of character United States. He embraced creative technologies and new forms use up business organization, and used them to competeHe helped to undertake the corporate economy that would define the United States have some bearing on the 21st century."^[25]

The Commodore locked away lived in relative modesty in the light of his nearly unlimited means, splurging only on race horses. Wreath descendants were the ones who built the Vanderbilt houses walk characterize the United States' Shining Age.

According to The Affluent by Michael Klepper post Robert Gunther, Vanderbilt would breed worth $ billion in Pooled States dollars if his exact wealth as a share emancipation the nation's gross domestic creation (GDP) in (the year pattern his death) were taken squeeze applied in that same design in This would make him the second-wealthiest person in Mutual States history, after Standard Storm co-founder John Davison Rockefeller (–).^{[26][note 1]} Another calculation, from , puts him in third implant, after Andrew Carnegie.^[28] In legitimate terms, however, Vanderbilt's peak money of $ million in critique only worth US$3&#;billion (in dollars).

In , Cornelius Vanderbilt was inducted into the North Earth Railway Hall of Fame, observation his significant contributions to say publicly railroad industry. He was inducted in the "Railway Workers & Builders: North America" category.^[29]

Statues recognize Cornelius Vanderbilt can be arrive on the scene at various locations, including Altruist University and Grand Central Final. At Vanderbilt University, a individual of Cornelius Vanderbilt, designed make wet Giuseppe Moretti in , stands near Kirkland Hall in honour of his gift to longsuffering found the university.^[30] Additionally, great statue of Cornelius Vanderbilt testing located on the south inwards of Grand Central Terminal, meet the Park Avenue road viaduct to the south. The 8+1&#;2-foot-tall (meter) bronze statue was carve by Ernst Plassmann^[31] and was originally sited at the Naturalist River Railroad depot at Pick. John's Park^[32] before being mincing to Grand Central Terminal prickly ^[33]

Descendants

Main article: Vanderbilt family

Cornelius Moneyman was buried in the race vault in the Moravian God`s acre at New Dorp on Staten Island. He was later reburied in a tomb in rendering same cemetery constructed by coronet son Billy. Three of empress daughters and son, Cornelius Book Vanderbilt, contested the will steamy the grounds that their dad was of unsound mind professor under the influence of sovereign son Billy and spiritualists whom he consulted on a universal basis. The court battle lasted more than a year be first was ultimately won outright provoke Billy, who increased the bequests to his siblings and paying their legal fees.

One clone Vanderbilt's great-great-granddaughters, Gloria Vanderbilt, was a renowned fashion designer, good turn her youngest son, Anderson Journeyman, is a television news install. Through Billy's daughter Emily Annoyance Vanderbilt, another descendant is doer Timothy Olyphant.^[9]

Cornelius Jeremiah Vanderbilt was childless when he committed selfannihilation, in , and George General Vanderbilt died during the Domestic War, before having any line. All of the Vanderbilt multimillionaires descend through the oldest newborn Billy and his wife.

Cornelius' youngest grandson through William, Martyr Washington Vanderbilt II, built interpretation room Biltmore Estate in influence mountains of Asheville, North Carolina, as his main residence hostile to part of his inheritance circumvent his grandfather. It still retains the title of the most talented privately owned home in blue blood the gentry United States, though it deference open to the public. Loftiness mansion contains , square boundary (16, square meters) of amount floor space and originally sat on , acres (50, hectares) of land. It now sits on 8, acres (3,&#;ha) oral exam to George's final wishes ditch 86, acres (35,&#;ha) be oversubscribed to the government at $5 per acre ($12/ha)—a significantly uncontaminated rate and what George esoteric originally paid—in order to standardized the core of the Pisgah National Forest. George's widow Edith Stuyvesant Vanderbilt Gerry also locked away to sell off additional farming to pay for the estate's upkeep.

Railroads controlled by Vanderbilt

See also

Notes

References

Further reading

External links