The decade following 1897 is marked by the work of Mr. Harriman and his rivals in building up the various railroads into a few great groups, a process that had gone so far that before his death Mr. Harriman was ambitious to concentrate them all under his single control. High finance under the leadership of Mr. Morgan steadily achieved the consolidation of the greater industries into trusts or combinations and effected a community of interests between them and a few dominant banking organizations, with allied insurance companies and trust companies. In New York City have been centered, as never before, the banking reserves of the nation, and here, by the financial management of capital and speculative promotion, there has grown up a unified control over the nation's industrial life. Colossal private fortunes have arisen. No longer is the per capita wealth of the nation a real index to the prosperity of the average man. Labor on the other hand has shown an increasing self-consciousness, is combining and increasing its demands. In a word, the old pioneer individualism is disappearing, while the forces of social combination are manifesting themselves as never before. The self-made man has become, in popular speech, the coal baron, the steel king, the oil king, the cattle king, the railroad magnate, the master of high finance, the monarch of trusts. The world has never before seen such huge fortunes exercising combined control over the economic life of a people, and such luxury as has come out of the individualistic pioneer democracy of America in the course of competitive evolution.

At the same time the masters of industry, who control interests which represent billions of dollars, do not admit that they have broken with pioneer ideals. They regard themselves as pioneers under changed conditions, carrying on the old work of developing the natural resources of the nation, compelled by the constructive fever in their veins, even in ill-health and old age and after the accumulation of wealth beyond their power to enjoy, to seek new avenues of action and of power, to chop new clearings, to find new trails, to expand the horizon of the nation's activity, and to extend the scope of their dominion. "This country," said the late Mr. Harriman in an interview a few years ago, "has been developed by a wonderful people, flush with enthusiasm, imagination and speculative bent. . . . They have been magnificent pioneers. They saw into the future and adapted their work to the possibilities. . . . Stifle that enthusiasm, deaden that imagination and prohibit that speculation by restrictive and cramping conservative law, and you tend to produce a moribund and conservative people and country." This is an appeal to the historic ideals of Americans who viewed the republic as the guardian of individual freedom to compete for the control of the natural resources of the nation.

On the other hand, we have the voice of the insurgent West, recently given utterance in the New Nationalism of ex-President Roosevelt, demanding increase of federal authority to curb the special interests, the powerful industrial organizations, and the monopolies, for the sake of the conservation of our natural resources and the preservation of American democracy.

The past decade has witnessed an extraordinary federal activity in limiting individual and corporate freedom for the benefit of society. To that decade belong the conservation congresses and the effective organization of the Forest Service, and the Reclamation Service. Taken together these developments alone would mark a new era, for over three hundred million acres are, as a result of this policy, reserved from entry and sale, an area more than equal to that of all the states which established the constitution, if we exclude their western claims; and these reserved lands are held for a more beneficial use of their forests, minerals, arid tracts, and water rights, by the nation as a whole. Another example is the extension of the activity of the Department of Agriculture, which seeks the remotest regions of the earth for crops suitable to the areas reclaimed by the government, maps and analyzes the soils, fosters the improvement of seeds and animals, tells the farmer when and how and what to plant, and makes war upon diseases of plants and animals and insect pests. The recent legislation for pure food and meat inspection, and the whole mass of regulative law under the Interstate Commerce clause of the constitution, further illustrates the same tendency.

Two ideals were fundamental in traditional American thought, ideals that developed in the pioneer era. One was that of individual freedom to compete unrestrictedly for the resources of a continent—the squatter ideal. To the pioneer government was an evil. The other was the ideal of a democracy—"government of the people, by the people and for the people." The operation of these ideals took place contemporaneously with the passing into private possession of the free public domain and the natural resources of the United States. But American democracy was based on an abundance of free lands; these were the very conditions that shaped its growth and its fundamental traits. Thus time has revealed that these two ideals of pioneer democracy had elements of mutual hostility and contained the seeds of its dissolution. The present finds itself engaged in the task of readjusting its old ideals to new conditions and is turning increasingly to government to preserve its traditional democracy. It is not surprising that socialism shows noteworthy gains as elections continue; that parties are forming on new lines; that the demand for primary elections, for popular choice of senators, initiative, referendum, and recall, is spreading, and that the regions once the center of pioneer democracy exhibit these tendencies in the most marked degree. They are efforts to find substitutes for that former safeguard of democracy, the disappearing free lands. They are the sequence to the extinction of the frontier.

It is necessary next to notice that in the midst of all this national energy, and contemporaneous with the tendency to turn to the national government for protection to democracy, there is clear evidence of the persistence and the development of sectionalism.[321:1] Whether we observe the grouping of votes in Congress and in general elections, or the organization and utterances of business leaders, or the association of scholars, churches, or other representatives of the things of the spirit, we find that American life is not only increasing in its national intensity but that it is integrating by sections. In part this is due to the factor of great spaces which make sectional rather than national organization the line of least resistance; but, in part, it is also the expression of the separate economic, political, and social interests and the separate spiritual life of the various geographic provinces or sections. The votes on the tariff, and in general the location of the strongholds of the Progressive Republican movement, illustrate this fact. The difficulty of a national adjustment of railway rates to the diverse interests of different sections is another example. Without attempting to enter upon a more extensive discussion of sectionalism, I desire simply to point out that there are evidences that now, as formerly, the separate geographical interests have their leaders and spokesmen, that much Congressional legislation is determined by the contests, triumphs, or compromises between the rival sections, and that the real federal relations of the United States are shaped by the interplay of sectional with national forces rather than by the relation of State and Nation. As time goes on and the nation adjusts itself more durably to the conditions of the differing geographic sections which make it up, they are coming to a new self-consciousness and a revived self-assertion. Our national character is a composite of these sections.[322:1]

Obviously in attempting to indicate even a portion of the significant features of our recent history we have been obliged to take note of a complex of forces. The times are so close at hand that the relations between events and tendencies force themselves upon our attention. We have had to deal with the connections of geography, industrial growth, politics, and government. With these we must take into consideration the changing social composition, the inherited beliefs and habitual attitude of the masses of the people, the psychology of the nation and of the separate sections, as well as of the leaders. We must see how these leaders are shaped partly by their time and section, and how they are in part original, creative, by virtue of their own genius and initiative. We cannot neglect the moral tendencies and the ideals. All are related parts of the same subject and can no more be properly understood in isolation than the movement as a whole can be understood by neglecting some of these important factors, or by the use of a single method of investigation. Whatever be the truth regarding European history, American history is chiefly concerned with social forces, shaping and reshaping under the conditions of a nation changing as it adjusts to its environment. And this environment progressively reveals new aspects of itself, exerts new influences, and calls out new social organs and functions.

I have undertaken this rapid survey of recent history for two purposes. First, because it has seemed fitting to emphasize the significance of American development since the passing of the frontier, and, second, because in the observation of present conditions we may find assistance in our study of the past.

It is a familiar doctrine that each age studies its history anew and with interests determined by the spirit of the time. Each age finds it necessary to reconsider at least some portion of the past, from points of view furnished by new conditions which reveal the influence and significance of forces not adequately known by the historians of the previous generation. Unquestionably each investigator and writer is influenced by the times in which he lives and while this fact exposes the historian to a bias, at the same time it affords him new instruments and new insight for dealing with his subject.

If recent history, then, gives new meaning to past events, if it has to deal with the rise into a commanding position of forces, the origin and growth of which may have been inadequately described or even overlooked by historians of the previous generation, it is important to study the present and the recent past, not only for themselves but also as the source of new hypotheses, new lines of inquiry, new criteria of the perspective of the remoter past. And, moreover, a just public opinion and a statesmanlike treatment of present problems demand that they be seen in their historical relations in order that history may hold the lamp for conservative reform.