Which banker purchased Carnegie Steel and renamed it to U.S. Steel?

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Prepare for the Praxis Middle School Social Studies Test. Use flashcards and multiple choice questions with detailed explanations. Get exam-ready today!

The purchase of Carnegie Steel and its renaming to U.S. Steel is attributed to J.P. Morgan, a prominent banker and financier during the early 20th century. Morgan recognized the burgeoning potential of the steel industry, particularly as it was essential for industrialization and infrastructure development in the United States. By acquiring Carnegie Steel in 1901, he consolidated several steel companies, which greatly increased production capacity and efficiency. The formation of U.S. Steel marked a significant moment in American economic history, establishing it as the first billion-dollar corporation and allowing for greater control over the steel market.

The other options represent significant figures in American history but are not directly related to the purchase of Carnegie Steel. Commodore Matthew Perry was a naval officer known for opening Japan to Western trade. Thomas Edison was an inventor and businessman noted for his contributions to electric power and communication. John D. Rockefeller was primarily associated with the oil industry and founded Standard Oil, making him an influential figure but not connected to the steel industry in the same context as J.P. Morgan's acquisition of Carnegie Steel.

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