A Level History - America - Practice Exam

What major impact did the Interstate Commerce Act have during the Gilded Age?

1. It increased tariffs on imported goods

2. It was the first federal law aimed at regulating railroads

3. It mandated labor regulations across industries

4. It facilitated the establishment of national parks

The correct answer is: It was the first federal law aimed at regulating railroads

The Interstate Commerce Act, passed in 1887, was significant because it marked the first time the federal government took action to regulate private industry, specifically targeting the railroad industry. Before this act, railroads operated with considerable freedom and could set rates without government oversight, often leading to unfair practices, such as discriminatory pricing against smaller businesses and farmers. The Act aimed to address these issues by establishing the Interstate Commerce Commission (ICC), which was tasked with overseeing railroad rates and ensuring they were "reasonable and just." This was a pivotal development during the Gilded Age, a time characterized by rapid industrialization, economic growth, and increasing public concerns regarding corporate power and its influence on society. The establishment of the ICC represented a crucial step towards greater federal involvement in the economy, laying the groundwork for future regulatory measures in various industries. The other options do not accurately represent the Act's impact; while tariffs, labor regulations, and national park establishment were significant issues of the era, they were not directly related to the primary focus of the Interstate Commerce Act, which was centered on railroad regulation.