how did huge industrial trusts develop in industries such as steel oil and banking, what was the effect on the economy?
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Trusts emerged in industries (such as oil and steel) due to competition. Allying with competitors to monopolize markets was also common. People wanted to have more money and be better than their competition, so they would join together (in trusts) and monopolize their rivals.
This effected the economy by skyrocketing prices of products, like steel and oil. They could do this when they were the only provider left, and they did in order to make more money for themselves. Economically, people also lost money buying from them and others lost their jobs to their rivals. It put big business corporations in the center of the economy.
The above answer in incorrect. Eventhough there was monopolies which were created by the govt. through loans, as all monopolies are created, thiis time period was an excellent one for the u.s.a
Trists developed through innovation using the bessemer proccess and vertical and horizontal integration.
The effect on the economy was that it produced a time period in which the well being of the common man elevated to the greatest in history. It also resulted in labor unions to defend the rights of the individual.