“biography.” NAM was organized not to combat labor, but rather to respond to the economic
panic in 1893-4 following the passage of the tariff-for-revenue-only legislation. After this ill-
fated move, “Trade was languishing in every mart and shop” and a “handful of industrial
organizations” were “confined to a few trades or territories.”
Thus, the initial view held by business managers organizing NAM was rather corporatist
– one of business, labor and government working together. Shoemaker points out that
stereotypes of Hanna often ignore his conciliatory stance toward labor, most apparent in his work
in the National Civic Federation after McKinley’s death. In the words of his close associate,
Joseph Bristow, Hanna had the idea “of bringing about an alliance between labor and capital, and
thereby establishing a political organization that would be invincible.”
manufacturers who played a big role in the creation of NAM were intrigued by Bismarck and the
German model.
The NAM founders designed the organization as a corporatist intermediary
between business and government, and the initial structure of the organization reflected these
corporatist ambitions. Only associations (but all types of sectoral and regional business
associations) were permitted originally to belong to the group: individual members were required
to represent their associations. Thus, the executive committee decided to encourage attendees to
form state manufacturing groups at home, describing the purpose of NAM as follows:
to consolidate into one great powerful representative body the total force and influence of
American industry, so that when any question of any large national industry shall present
itself, American manufacturers will speak and act with a positive assumption that they
will be heard and heeded...
At present the power of manufacturers is diffused through many minor organizations...
We urgently request that you will present this project to the association to which you
belong.
Finally let us consider the impact of state structure and agency on NAM’s development.
The Republicans’ ambitions for the national political economy were impeded by the lack of a
national administrative state.
The Democrats opposed these national economic goals, largely