Daniel Coit Gilman
Daniel Coit Gilman was an American educator and academic. Gilman was instrumental in founding the Sheffield Scientific School at Yale College, subsequently served as the third president of the University of California, as the first president of Johns Hopkins University, as founding president of the Carnegie Institution, he was co-founder of the Russell Trust Association, which administers the business affairs of Yale's Skull and Bones society. Gilman served for twenty five years as president of Johns Hopkins. S." Born in Norwich, the son of Eliza and mill owner William Charles Gilman, a descendant of Edward Gilman, one of the first settlers of Exeter, New Hampshire, of Thomas Dudley, Governor of the Massachusetts Bay Colony and one of the founders of Harvard College, of Thomas Adgate, one of the founders of Norwich in 1659. Daniel Coit Gilman graduated from Yale College in 1852 with a degree in geography. At Yale he was a classmate of Andrew Dickson White, who would serve as first president of Cornell University.
The two were members of the Skull and Bones secret society, traveled to Europe together after graduation and remained lifelong friends. Gilman was a member of the Alpha Delta Phi Fraternity. Gilman would co-found the Russell Trust Association, the foundation behind Skull and Bones. After serving as attaché of the United States legation at St. Petersburg, Russia from 1853 to 1855, he returned to Yale and was active in planning and raising funds for the founding of Sheffield Scientific School. Gilman contemplated going into the ministry, took out a license to preach, but settled on a career in education. From 1856 to 1865 Gilman served as librarian of Yale College, was concerned with improving the New Haven public school system; when the Civil War broke out, Gilman became the recruiting sergeant for the Norton Cadets, a group of Yale graduates and faculty who drilled on the New Haven Green under the oversight of Yale professor William Augustus Norton. In 1863, Gilman was appointed professor of geography at the Sheffield Scientific School, became secretary and librarian as well in 1866.
Having been passed over for the presidency of Yale, for which post Gilman was said to have been the favorite of the younger faculty, he resigned these posts in 1872 to become the third president of the newly organized University of California. His work there was hampered by the state legislature, in 1875 Gilman accepted the offer to establish and become first president of Johns Hopkins University. Before being formally installed as president in 1876, he spent a year studying university organization and selecting an outstanding staff of teachers and scholars, his formal inauguration, on 22 February 1876, has become Hopkins' Commemoration Day, the day on which many university presidents have chosen to be installed in office. Among the legendary educators he assembled to teach at Johns Hopkins were classicist Basil Lanneau Gildersleeve, mathematician James Joseph Sylvester, historian Herbert Baxter Adams and chemist Ira Remsen. Gilman's primary interest was in fostering advanced instruction and research, as president he developed the first American graduate university in the German tradition.
The aim of the modern research university, said Gilman, was to "extend by minute accretions, the realm of knowledge" At his inaugural address at Hopkins, Gilman asked: "What are we aiming at?" The answer, he said, was "the encouragement of research and the advancement of individual scholars, who by their excellence will advance the sciences they pursue, the society where they dwell." In 1884, Gilman was elected a member of the American Antiquarian Society. Gilman was active in founding Johns Hopkins Hospital and Johns Hopkins Medical School, he founded and was for many years president of the Charity Organization of Baltimore, in 1897 he served on the commission to draft a new charter for Baltimore. From 1896 to 1897, he was a member of the commission to settle the boundary line between Venezuela and British Guiana. Gilman served as a trustee of the John F. Slater and Peabody education funds and as a member of John D. Rockefeller's General Education Board. In this capacity, he became active in the promotion of education in the southern United States.
He was president of the National Civil Service Reform League and the American Oriental Society, vice president of the Archaeological Institute of America, executive officer of the Maryland Geological Survey. He retired from Johns Hopkins in 1901, but accepted the presidency of the newly founded Carnegie Institution of Washington, his books include biographies of James Monroe and James Dwight Dana, a collection of addresses entitled University Problems, The Launching of a University. Gilman married twice, his first wife was daughter of Tredwell Ketcham of New York. They married on December 4, 1861, had two daughters: Alice, who married Everett Wheeler. Mary Ketcham Gilman died in 1869, Daniel Coit Gilman married his second wife, Elizabeth Dwight Woolsey, daughter of John M. Woolsey of Cleveland and niece of Yale president Theodore Dwight Woolsey, in 1877. Daniel Gilman's brother Dr. Edward Whiting Gilman was married to Julia Silliman, daughter of Yale Professor and chemist Benjamin Silliman. Daniel Coit Gilman died in Connecticut.
The original academic building on the Homewood campus of the Johns Hopkins University
Bank of France
The Bank of France known in French as the Banque de France, headquartered in Paris, is the central bank of France. It is an independent institution, member of the Eurosystem since 1999, its three main missions, as defined by its statuses, are to drive the French monetary strategy, ensure financial stability and provide services to households and medium businesses and the French state. It is a member of the European System of Central Banks, which consists of the European Central Bank, the national central banks of all European Union members; the Kingdom of France's first experiment with a central bank was the Banque générale, set up by John Law at the behest of the Duke of Orléans after the death of Louis XIV. It was meant to stimulate France's stagnant economy and pay down its staggering national debt acquired from Louis XIV's wars, including the War of the Spanish Succession, it was nationalized in December 1718 at Law's request and formally renamed the Banque royale a month later. It saw great initial success, increasing industry 60% in two years, but Law's mercantilist policies saw him seek to establish large monopolies, leading to the Mississippi Bubble.
The collapse of the Mississippi Company and the Banque Royale tarnished the word banque so much that France abandoned central banking for a century precipitating Louis XVI's economic crisis and the French Revolution. Successors like la Caisse d'escompte and la Caisse d'escompte du commerce used the word "caisse" instead, until Napoleon retook the term with la Banque de France in 1800. In 1800, financial power in France was in the hands of about ten to fifteen banking houses whose founders, in most cases, came from Switzerland in the second half of the eighteenth century; these bankers were involved in the agitations leading up to the French Revolution. When the revolutionary violence got out of hand, they orchestrated the rise of Napoleon, whom they regarded as the restorer of order; as a reward for their support, Napoleon, in 1800, gave the bankers a monopoly over French finance by giving them control of the new Bank of France. Banker Claude Périer drafted Emmanuel Crétet was the first governor.
For the first fifteen years it was the sole issuer of bank notes in Paris, this privilege was extended to other financially important cities and the rest of the country by 1848. The Bank was instrumental in the creation of the Latin Monetary Union in 1865; the countries of France, Belgium and the Swiss Confederation established the LMU franc as a common bimetallic currency. In World War I, the Bank of France sold short-term Treasury bonds abroad to help pay for wartime expenditures. France abandoned the gold standard shortly after the outbreak of war. Debts amounted to 42 billion francs by 1919. Following the war, the Bank sought to re-establish the gold standard and acquired capital from a number of American and British banking syndicates to defend the franc from exchange-rate fluctuations; the Bank began to hoard gold reserves and, at its peak, held 28.3 percent of the world's gold stock. Some scholars have asserted that this gold accumulation was a contributing factor to the Great Depression.
Under Émile Moreau, Governor from 1926 to 1930, the Bank consolidated gold reserves created a stabilization insurance fund, tested new monetary policies in the wake of a global depression. Jean-Claude Trichet, Governor from 1993 to 2003, was the final Governor of the Bank until the establishment of the European Central Bank in June 1998. Today, the ECB sets monetary policy and oversees price stability for all countries in the Eurozone, including France. 1800 Creation of the Bank of France by Napoleon Bonaparte 14 April 1803, the new Bank received its first official charter granting it the exclusive right to issue paper money in Paris for fifteen years. 22 April 1806, a new law replaced the Central Committee with two Deputy Governors. All three were appointed by the Emperor. Decree dated 16 January 1808 set out the "Basic Statutes", which were to govern the Bank's operations until 1936. Decree on 6 March 1808 authorized the Bank to purchase the former mansion of the Count of Toulouse in the rue de la Vrillière in Paris for its headquarters.
1808–1936 The Bank's notes became legal tender. This reform cleared the path for the European monetary union. 1998 Entered into the European System of Central Banks 2002 Implementation of the Euro bank notes and coins in France 2003 Christian Noyer becomes governor of the Bank of France 2008 Implements quantitative easing to manage the financial crisis 2015 François Villeroy de Galhau replaces Christian Noyer. The Bank distributes dividends to the French state of 4.5 billion euros in 2016 and 5.0 billion euros in 2017. The Bank of France is responsible for three missions: monetary strategy, financial steadiness and services to the economy; the Bank of France contributes to the design of the monetary policy of the euro zone and implements it in France. It is the guardian of currency: it prints euro bank notes and manages the circulation of bank notes and coins, it participates in the fight against counterfeit money, by training bank employees, police, etc. The Bank of France establishes France
In economics, a depression is a sustained, long-term downturn in economic activity in one or more economies. It is a more severe economic downturn than a recession, a slowdown in economic activity over the course of a normal business cycle. A depression is an extreme form of recession. Depressions are characterized by their length, by abnormally large increases in unemployment, falls in the availability of credit, shrinking output as buyers dry up and suppliers cut back on production and investment, large number of bankruptcies including sovereign debt defaults reduced amounts of trade and commerce, as well as volatile relative currency value fluctuations. Price deflation, financial crises and bank failures are common elements of a depression that do not occur during a recession. In the United States the National Bureau of Economic Research determines contractions and expansions in the business cycle, but does not declare depressions. Periods labeled depressions are marked by a substantial and sustained shortfall of the ability to purchase goods relative to the amount that could be produced using current resources and technology.
Another proposed definition of depression includes two general rules: a decline in real GDP exceeding 10%, or a recession lasting 2 or more years. There are differences in the duration of depression across definitions; some economists refer only to the period. The more common use, however encompasses the time until economic activity has returned close to normal levels. A recession is defined as a period of declining economic activity spread across the economy. Under the first definition, each depression will always coincide with a recession, since the difference between a depression and a recession is the severity of the fall in economic activity. In other words, each depression is always a recession, sharing the same starting and ending dates and having the same duration. Under the second definition and recessions will always be distinct events however, having the same starting dates; this definition of depression implies that a recession and a depression will have different ending dates and thus distinct durations.
Under this definition, the length of a depression will always be longer than that of the recession starting the same date. A useful example is the difference in the chronology of the Great Depression in the U. S. under the view of alternative definitions. Using the second definition of depression, most economists refer to the Great Depression, as the period between 1929 and 1941. On the other hand, using the first definition, the depression that started in August 1929 lasted until March 1933. Note that NBER, which publishes the recession dates for the U. S. economy, has identified two recessions during that period. The first between August 1929 and March 1933 and the second starting in May 1937 and ending in June 1938. Today the term "depression" is most associated with the Great Depression of the 1930s, but the term had been in use long before then. Indeed, an early major American economic crisis, the Panic of 1819, was described by then-president James Monroe as "a depression", the economic crisis preceding the 1930s depression, the Depression of 1920–21, was referred to as a "depression" by president Calvin Coolidge.
However, in the 19th and early 20th centuries, financial crises were traditionally referred to as "panics", e.g. the'major' Panic of 1907, the'minor' Panic of 1910–1911, though the 1929 crisis was more called "The Crash", the term "panic" has since fallen out of use. At the time of the Great Depression, the phrase "The Great Depression" had been used to refer to the period 1873–96, or more narrowly 1873–79, which has since been renamed the Long Depression. Common use of the phrase "The Great Depression" for the 1930s crisis is most attributed to British economist Lionel Robbins, whose 1934 book The Great Depression is credited with'formalizing' the phrase, though US president Herbert Hoover is credited with having'popularized' the term/phrase, informally referring to the downturn as a "depression", with such uses as "Economic depression cannot be cured by legislative action or executive pronouncement", "I need not recount to you that the world is passing through a great depression". Give any country's households one-million dollars each, sixty years you will find gross inequality - consistently.
This is how successful capitalism is designed to work and monetary systems require governance or rebalancing as they mature (see Mature Capitalism, to ensure cost-of-living and incomes stay in balance as is needed to support a minimum Social Contract. In history, these cycles, their associated debt corrections, are recorded thirty-times; the Torah and Bible document them in circa 760 BCE, as does the Code of Hammurabi in 1763 BCE. Due to the lack of an agreed definition and the strong negative associations, the characterization of any period as a "depression" is contentious; the term was used for regional crises from the early 19th century until the 1930s, for the more widespread crises of the 1870s and 1930s, but economic crises since 1945 have been referred to as "recessions", with the 1970s global crisis referred to as "stagflation", but not a depression. The only two eras referred to at the current time as "depressions" are the 1870s and 1930s. To some degree this
Encyclopedia Americana is one of the largest general encyclopedias in the English language. Following the acquisition of Grolier in 2000, the encyclopedia has been produced by Scholastic; the encyclopedia has more than 45,000 articles, most of them more than 500 words and many running to considerable length. The work's coverage of American and Canadian geography and history has been a traditional strength. Written by 6,500 contributors, the Encyclopedia Americana includes over 9,000 bibliographies, 150,000 cross-references, 1,000+ tables, 1,200 maps, 4,500 black-and-white line art and color images, it has 680 factboxes. Most articles are signed by their contributors. Long available as a 30-volume print set, the Encyclopedia Americana is now marketed as an online encyclopedia requiring a subscription. In March 2008, Scholastic said that print sales remained good but that the company was still deciding on the future of the print edition; the company did not produce an edition in 2007, a change from its previous approach of releasing a revised print edition each year.
The most recent print edition of the Encyclopedia Americana was published in 2006. The online version of the Encyclopedia Americana, first introduced in 1997, continues to be updated and sold; this work, like the print set from which it is derived, is designed for high school and first-year college students along with public library users. It is available to libraries as one of the options in the Grolier Online reference service, which includes the Grolier Multimedia Encyclopedia, intended for middle and high school students, The New Book of Knowledge, an encyclopedia for elementary and middle school students. Grolier Online is not available to individual subscribers. There have been three separate works using the title Encyclopedia Americana; the first began publishing in the 1820s by the German exile Francis Lieber. The 13 volumes of the first edition were completed in 1833, other editions and printings followed in 1835, 1836, 1847-1848, 1849 and 1858. Lieber's work was based upon and was in no small part a translation of the 7th edition of the well established Konversations-Lexikon of Brockhaus.
Some material from this set was carried over into the modern version, as well as the Brockhaus short article method. A separate Encyclopedia Americana was published by J. M. Stoddart between 1883 and 1889, as a supplement to American reprintings of the 9th edition of the Encyclopædia Britannica, it was four quarto volumes meant to "extend and complete the articles in Britannica". Stoddart's work, however, is not connected to the earlier work by Lieber. In 1902 a new version in 16 volumes was published under the title Encyclopedia Americana, under the editorial supervision of Scientific American magazine; the magazine's editor, Frederick Converse Beach, was editor-in-chief, was said to be assisted by hundreds of eminent scholars and authorities who served as consulting editors or authors. The first publisher was R. S. Peale & Co; the relationship with Scientific American was terminated in 1911. From 1907 to 1912, the work was published as The Americana. A major new edition appeared with George Edwin Rines as editor-in-chief.
An Annual or Yearbook was published each year beginning in 1923 and continuing until 2000. The encyclopedia was purchased by Grolier in 1945. By the 1960s, sales of the Americana and its sister publications under Grolier—The Book of Knowledge, the Book of Popular Science, Lands and Peoples—were strong enough to support the company's occupancy of a large building in Midtown Manhattan, at 575 Lexington Avenue. Sales during this period were accomplished through mail-order and door-to-door operations. Telemarketing and third-party distribution through their Lexicon division added to sales volumes in the 1970s. By the late 1970s, Grolier had moved its operations to Connecticut. In 1988 Grolier was purchased by the French media company Hachette, which owned a well-known French-language encyclopedia, the Hachette Encyclopedia. Hachette was absorbed by the French conglomerate the Lagardère Group. A CD-ROM version of the encyclopedia was published in 1995. Although the text and images were stored on separate disks, it was in keeping with standards current at the time.
More the work had been digitized, allowing for release of an online version in 1997. Over the next few years the product was augmented with additional features, supplementary references, Internet links, current events journal. A redesigned interface and reengineered product, featuring enhanced search capabilities and a first-ever ADA-compliant, text-only version for users with disabilities, was presented in 2002; the acquisition of Grolier by Scholastic for US$400 million, took place in 2000. The new owners projected a 30% increase in operating income, although Grolier had experienced earnings of 7% to 8% on income. Staff reductions as a means of controlling costs followed soon thereafter while an effort was made to augment the sales force. Cuts occurred every year between 2000 and 2007, leaving a much-depleted work force to carry out the duties of maintaining a large encyclopedia database. Today, Encyclopedia Americana lives on as an integral database within the Grolier Online product. Frederick Converse Beach, 1902–1917.
Engineer and editor of Scientific American magazine. George Edwin Rines, 1917–1920. Author and editor. A. H. McDannald, 1920–1948. Reporter and author
New American Cyclopædia
The New American Cyclopædia was an encyclopedia created and published by D. Appleton & Company of New York in 16 volumes, which appeared between 1858 and 1863, its primary editors were Charles Anderson Dana. The New American Cyclopædia was revised and republished as the American Cyclopædia in 1873; the New American Cyclopædia was a general encyclopedia with a special focus on subjects related to the United States. As it was created over the years spanning the American Civil War, the focus and tone of articles could change drastically; as was traditional, the entire set was re-issued with the publication in 1863 of the 16th volume. The whole Cyclopædia was again re-issued in 1864. A notable contributor was Karl Marx a European correspondent for the New York Tribune, appeared as the writer, while most of those articles were written by Friedrich Engels the articles on military affairs, which belonged in Engels' domain in the division of labor between the two friends; because of his deep knowledge of all things military, Engels had earned the nickname "General".
Marx wrote a unsympathetic biographical article on Simon Bolivar. Other prominent contributors to the first edition included An associated yearbook, Appletons' Annual cyclopaedia and register of important events of the year, was published from 1861 to 1875 and on to 1901; the cyclopaedia was revived under the title American Cyclopædia in 1873-6. A final edition was issued in 1883-4. Two analytical indexes were published separately in 1878 and 1884. Carl Burnham. "The New American Cyclopedia, 1857 – 1866: A Time Capsule of the 19th century". Rare Book Monthly. Retrieved 2018-01-28. Lists of encyclopedias Links to digitized volumes of the American Cyclopædia George Ripley; the American Cyclopaedia. New York: D. Appleton and Company
Crédit Mobilier scandal
The Crédit Mobilier scandal of 1867, which came to public attention in 1872, involved the Union Pacific Railroad and the Crédit Mobilier of America construction company in the building of the eastern portion of the First Transcontinental Railroad. The scandal was in two parts; the construction company charged the railroad far higher rates than usual, cash and $9 million in discounted stock were given as bribes to 15 powerful Washington politicians, including the Vice-President, the Secretary of the Treasury, four senators, the Speaker and other members of the House. The scandal's origins dated back to 1864 when the Union Pacific Rail Road was chartered by Congress and the associated Crédit Mobilier was established; this company had no relation to the French bank of the same name, which at the time was one of the major financial institutions in the world. In 1867, Congressman Oakes Ames distributed cash bribes and discounted shares of Crédit Mobilier stock to other congressmen in exchange for votes and actions favorable to the Union Pacific.
The story was broken by the New York newspaper, The Sun, during the 1872 presidential campaign, when Ulysses S. Grant was running for re-election. Included in the group of legislators named as having received cash or discounted shares of stock were former Representative Schuyler Colfax serving as Grant's Vice President; the scandal caused widespread public distrust of Congress and the federal government during the Gilded Age. The federal government in 1864–1868 had authorized and chartered the Union Pacific Railroad and provided it with capital of $100 million to complete a transcontinental line west from the Missouri River to the Pacific coast; the federal government offered to assist the railroad with a loan of $16,000 to $48,000 per mile, according to location, for a total of more than $60 million in all, a land grant of 20,000,000 acres, worth $50 to $100 million. The offer attracted no subscribers for additional financing, as the conditions were financially daunting; the railroad would have to be built for 1,750 miles through desert and mountain, which would mean high freight costs for supplies.
In addition, there was the risk of armed conflict with hostile tribes of Indians, who occupied many territories in the interior, no probable early business to pay dividends. Moreover, more at the time there was no demand for railroad freight or passenger traffic for the entire right-of-way from the Missouri River to the California coast. Nor were there any branch lines running either north or south of the proposed ROW that would have been able to expand their traffic by connection with other future transcontinental railways, and contrary to fiscal reality, the entire railroad scheme was being proposed as a "going concern". S. government capital, realizing the retirement of its debt to the U. S. government. Private capital recognized that the realization of the objectives and economic projections of this proposed model were impossible. There was not a foreseeable demand for freight or passenger service capable of generating sufficient revenues; as a result, private investors refused to invest. George Francis Train and Thomas C.
Durant, at the time the vice president of the Union Pacific Rail Road, formed the Crédit Mobilier in 1864. The original company, Pennsylvania Fiscal Agency, was a loan and contract company chartered in 1859; the creation of Crédit Mobilier of America was a deliberate attempt to present, both to the government of the United States and to the general public the appearance that a corporate enterprise, independent of the Union Pacific Rail Road and its principal officers, had been impartially chosen by the Union Pacific Railroad's officers and directors to be the principal construction contractor and construction management firm for the Union Pacific Rail Road project. It was created by the officers of the Union Pacific to shield the companies's shareholders and management from the common charge that they were using the construction phase of the Union Pacific project, as opposed to the operating phase of carrying passengers and freight, to line their pockets with profits; as the fraudsters believed that profits could not be generated from the operation of the railroad, they created a sham company to charge the U.
S. government extortionate expenses during construction of the line. In simplified terms, the Crédit Mobilier scheme worked in the following manner: The Union Pacific made contracts with Crédit Mobilier to build the Union Pacific railway at rates above cost; these construction contracts brought high profits to the Crédit Mobilier, owned by Durant and the Union Pacific's other directors and principal stockholders, which divided the outsize profits with the Union Pacific stockholders. The directors of the Union Pacific were able to circumvent rules requiring them to rec
A joint-stock company is a business entity in which shares of the company's stock can be bought and sold by shareholders. Each shareholder owns company stock in proportion, evidenced by their shares. Shareholders are able to transfer their shares to others without any effects to the continued existence of the company. In modern-day corporate law, the existence of a joint-stock company is synonymous with incorporation and limited liability. Therefore, joint-stock companies are known as corporations or limited companies; some jurisdictions still provide the possibility of registering joint-stock companies without limited liability. In the United Kingdom and other countries that have adopted its model of company law, they are known as unlimited companies. In the United States, they are known as joint-stock companies. Ownership refers to a large number of privileges; the company is managed on behalf of the shareholders by a board of directors, elected at an annual general meeting. The shareholders vote to accept or reject an annual report and audited set of accounts.
Individual shareholders can sometimes stand for directorships within the company if a vacancy occurs, but, uncommon. The shareholders are liable for any of the company debts that extend beyond the company's ability to pay up to the amount of them. Finding the earliest joint-stock company is a matter of definition; the earliest records of joint stock company can be found in China during the Song Dynasty. Around 1250 in France at Toulouse, 96 shares of the Société des Moulins du Bazacle, or Bazacle Milling Company were traded at a value that depended on the profitability of the mills the society owned, making it the first company of its kind in history; the Swedish company Stora has documented a stock transfer for an eighth of the company as early as 1288. In more recent history, the earliest joint-stock company recognized in England was the Company of Merchant Adventurers to New Lands, chartered in 1553 with 250 shareholders. Muscovy Company, which had a monopoly on trade between Moscow and London, was chartered soon after in 1555.
The much more famous and powerful English East India Company was granted an English Royal Charter by Elizabeth I on December 31, 1600, with the intention of favouring trade privileges in India. The Royal Charter gave the newly created Honourable East India Company a 15-year monopoly on all trade in the East Indies; the Company transformed from a commercial trading venture to one that ruled India and exploited its resources, as it acquired auxiliary governmental and military functions, until its dissolution. Soon afterwards, in 1602, the Dutch East India Company issued shares that were made tradable on the Amsterdam Stock Exchange; that invention enhanced the ability of joint-stock companies to attract capital from investors, as they could now dispose their shares. In 1612, it became the first'corporation' in intercontinental trade with'locked in' capital and limited liability. During the period of colonialism, Europeans the British, trading with the Near East for goods and calico for example, enjoyed spreading the risk of trade over multiple sea voyages.
The joint-stock company became a more viable financial structure than previous guilds or state-regulated companies. The first joint-stock companies to be implemented in the Americas were The London Company and The Plymouth Company. Transferable shares earned positive returns on equity, evidenced by investment in companies like the British East India Company, which used the financing model to manage trade in India. Joint-stock companies paid out divisions to their shareholders by dividing up the profits of the voyage in the proportion of shares held. Divisions were cash, but when working capital was low and detrimental to the survival of the company, divisions were either postponed or paid out in remaining cargo, which could be sold by shareholders for profit. However, in general, incorporation was possible by royal charter or private act, it was limited because of the government's jealous protection of the privileges and advantages thereby granted; as a result of the rapid expansion of capital-intensive enterprises in the course of the Industrial Revolution in Britain, many businesses came to be operated as unincorporated associations or extended partnerships, with large numbers of members.
Membership of such associations was for a short term so their nature was changing. Registration and incorporation of companies, without specific legislation, was introduced by the Joint Stock Companies Act 1844. Companies incorporated under this Act did not have limited liability, but it became common for companies to include a limited liability clause in their internal rules. In the case of Hallett v Dowdall, the English Court of the Exchequer held that such clauses bound people who have notice of them. Four years the Joint Stock Companies Act 1856 provided for limited liability for all joint-stock companies provided, among other things, that they included the word "limited" in their company name; the landmark case of Salomon v A Salomon & Co Ltd established that a company with legal liability, not being a partnership, had a distinct legal personality, separate from that of its individual shareholders. The existence of a corporation requires a special legal framework and body of law that grants the corporation legal personality, it ty