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The Industrial Revolution
1850-1900
New Products of the Industrial Revolution
Patents• License to make, use, or sell an invention
1790-1860 36,000 issued
1860-1890 500,000 issued
Life in the 1860s• No indoor electric lights
• No refrigeration
• In 1860, most mail from the East Coast took ten days to reach the Midwest and three weeks to get to the West Coast. A letter from Europe to a person on the frontier could take several months to reach its destination.
Life in the 1900s• Power stations across the country
began providing electricity for lamps, fans, printing presses, and many other appliances.
• Drilling for Oil
• Needed for factories to run efficiently
• Drilling was quicker. cheaper, and created a much larger supply than digging ditches or melting animal fat
Telegraph
• Invented by Samuel F. B. Morse
Telephone
• Invented by Alexander Graham Bell
• By 1900, there were 1.5 million telephones in use all over the country, and Western Union Telegraph was sending roughly 63 million messages.
Thomas A. Edison
• Setup research lab
• Created a system for producing and distributing electrical power
Edison
• Perfected the light bulb
Edison
• Developed the phonograph
Edison
• Developed the motion
picture camera
George Westinghouse
• Helped make electricity safer and less expensive by funding Nikola Tesla (AC Current)
• More effective air brakes for trains
•Developed a way to transmit it long
distances (Transformers)
Other Inventions• Electric sewing
machine
• Cameras
• Refrigerator
Meanwhile on the farm…
• Mechanical Reapers
• Sod busting plows
• Mechanized tractors
The Bessemer Process
• In 1856, Henry Bessemer receives a patent on a process that made steel production easier and less expensive.
• The Bessemer process made possible the mass production of steel.
•The Brooklyn Bridge,
designed with steel
cables suspended from high
towers, was made
possible by mass
production.
John Roebling
• Designed & started building the Brooklyn Bridge- 1st suspension
Elevators
• It took another innovation to
begin the transformation of
cities
Early SkyscrapersStrong steel plus
elevators mean that America’s teeming cities can now grow upwards!
Automobile
• Automobile – Henry Ford made the car more affordable by using the assembly line
• Assembly line – process where each worker does one task in the making of a final product
Division of Labor
•When someone completes one task as part of the job
•Positive: increases productivity for businesses
•Negative: workers no longer take pride in work and removes creativity
Compare The Idea of Making Shoes
He may never work on shoes!
Frederick Winslow Taylor
•Organized and systemized factories
•Goal: to get workers to produce more in less time
Industrial Revolution
Business LeadersBusiness Practices
Business Regulations
1. Business Leaders
• Generally classified as either a
“Robber Baron”
or a
“Captain of Industry”
I. Robber Barons
•Business leaders who made their fortunes by taking advantage of the public
•They drained natural resources and charged high prices
• They persuaded public officials to interpret laws in their favor.
• They ruthlessly drove their competitors to ruin.
• They paid their workers meager wages and forced them to toil under dangerous and unhealthful conditions.
• Adhered to a policy of “Social Darwinism”, as it applied to business practices
Social Darwinismor, Laissez-Faire
• Based on Darwin’s Based on Darwin’s Theory of Theory of EvolutionEvolution (1859) regarding natural (1859) regarding natural selection and the selection and the survival of the fittestsurvival of the fittest
• Businessmen are justified in using Businessmen are justified in using anyany means necessary to become rich means necessary to become rich and powerful, and the government and powerful, and the government should stay out!should stay out!
•Three business practices exemplified the philosophy of Social Darwinism–Monopolies–Cartels–Trusts
•Monopoly (Vertical Consolidation) one company completely controls a product or a service, from the means of production, to manufacturing, to transportation, and sales
Controlling the MarketBob’s Pizza
Bob’s Farm
Bob’s Cheese Factory
Bob’s Trucking Company
• Using Vertical Consolidation, Bob could control the Pizza market in town by controlling many of the costs associated with making his pizza!
• Monopoly
(Horizontal Consolidation)
One company buys out each of their competitors, and therefore owns every outlet for a certain product
Controlling the Market
Bob’s Pizza
Delaware
Pizza
Pizza PizzaHappy Time Pizza
Bob’s Pizza Bob’s Pizza Bob’s Pizza
Bob’s Pizza
• Using Horizontal Consolidation, Bob could control the Pizza market in town by buying the other Pizza shops!
•Cartel – a loose association of businesses in a similar field or that make the same product and agree to limit supply to drive up prices
• Trust
multiple company’s selling the same product agreed that rather than compete with each other over prices and profits, they would agree to set their prices, and then split the profits evenly
II. Captains of Industry
• Still practiced the theory of Social Darwinism to a certain extent to increase their fortunes, but:–They increased the supply of
goods by building factories.–They raised productivity and
expanded markets, further lowering prices
• They created jobs at decent wages and in safe factories that enabled
many Americans to buy new goods and raise their standard of living.
• They also funded museums, libraries,
and universities, many of which still
serve the public today.
Carnegie Hall
III. A Compromise?“The Gospel of Wealth”
•Philosophy that states a person should be able to make as much money as they can, BUT they should also use their wealth to improve society.
Andrew Carnegie
Andrew Carnegie
• Captain of Industry for steel production in Pittsburgh
• Used Bessemer Process to produce stronger steel
• Utilized vertical consolidation for business purposes
• Born in Scotland
Carnegie as a Philanthropist•A Philanthropist uses wealth
to improve society•Carnegie funded the
building of libraries, education facilities, and music/arts facilities
John D. RockefellerFormed Standard
Oil Company
John D. Rockefeller and the Standard Oil Company
• Wealthy individual who saw the oil industry as a way to get richer
• Made illegal deals with railroads to transport oil cheaper, thus weakening other refineries that he would eventually buy
• Utilized horizontal consolidation for business purposes
Business Cycle•The growth and contraction of a
nation’s economy•A new concept in the
mid-late 1800s
• While big business urged the federal government to adopt a Laissez-Faire attitude, many consumers and workers called for a “Social Welfare” policy to be enforced
Social Welfare
• It is the government’s responsibility to control big businesses in order guarantee quality products at fair prices for consumers, and fair pay and decent hours for workers
Sherman Antitrust Act
•Enacted in 1890•Effort by Congress to end trusts
•Ineffective due to lack of enforcement
Survival Guide for Poor Families
•Send children as young as age 6 to work
•Force children to leave school•Ask for aid from a private charity
(church, etc.) because•Government Welfare is non-
existent at this time!
Workday Length
•Typically 12 hours/day, 6 days/week
•After 1868 Government employees were guaranteed an 8 hour day (did not apply to private businesses)
Piecework
•Used by some companies•Paid by how many items you
produce•Faster workers
made more $
Frederick Winslow Taylor
•Organized and systemized factories
•Goal: to get workers to produce more in less time
Jacob Riis
• Illustrated the negative impact of children working in mines and factories
• Published photos of working children in How the Other Half Lives
• Wrote Children of the Poor
Lewis Hine• Traveled around the
country to photograph child workers in factories, mills, mines, and canneries.
• Documented the plight of working children
• Photos were used as evidence (to the public and government) of the need for child labor reform
Ida Tarbell• Journalist who Journalist who investigated and investigated and
exposed misconduct exposed misconduct among political and/or among political and/or
business leadersbusiness leaders
Ida Tarbell
•Focused on Drilling, shipping, refining, and the sale of oil
Ida Tarbell•Ida’s father
was forced out of
business by Standard Oil
•Perhaps this was
revenge???
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