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America Chapter 8 sections 1-3

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Innovations and Investment section 1: pages 272-279 This is a loom at Slaters Mill, the first textile mill of its kind in the U.S.

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Main Idea/Key Definition Industrial Revolution: A change in the major economic activity of the U.S. and European nations from agriculture to manufacturing in the late 1700s & early 1800s The U.S. economy expanded rapidly in the early 1800s because of: The growth of industry & manufacturing The rise of banking New advances & investment in transportation

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Birth of Industry in the U.S. British guarded their industrial secrets, even passing laws preventing workers from leaving the country, but Samuel Slater managed to make it to the U.S. in 1789 In 1790 he aided in the recreation of British machinery for textile manufacturing from memory! 1793 Opened the 1 st water powered textile factory in the U.S. in Pawtucket, Rhode Island

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Rapid Growth By 1814 there were around 240 textile mills in the United States Pennsylvania New York New England states SLATER MILL, PAWTUCKET R.I.

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The Contributions of Eli Whitney Interchangeable Parts: system of manufacturing where all parts of a product are made to an exact standard allowing for an efficient assembly process and easy repairs Cotton Gin: a machine that removed the seeds from raw cotton increasing the production of an individual worker from 1 lb. of cotton cleaned by hand to 1,000 lbs. per day!!! Patent: (not Whitneys idea, but he received a patent for the cotton gin in 1794) a license from the govt giving an inventor the sole right to make, use, & sell an invention for a certain period of time

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Effects of the Cotton Gin Price per pound of cotton went up More cotton was planted by U.S. farmers Exports increased 6,000% from 1790-1815 Southern planters began to rely on cotton as their main crop Those with $$ bought large pieces of land in Alabama, Miss., etc. to grow cotton To keep pace with demand planters bought more slaves Pop. Doubled b/t 1790-1820

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Development of Transportation Transportation was also in the midst of a revolution Stronger, more durable roads were built Steamboats forever changed the use of rivers Canal building expanded to connect waterways all over the country Railroads provided the most efficient means of transporting raw materials, goods, and people

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River Travel Rivers were early Americas main transportation routes Goods from the Midwest were shipped down the Miss. River, to the port of New Orleans, then up the Atlantic Coast This was a one way route b/c flatboats could not travel against the current Robert Fulton solved the problem with the introduction of his steamboat Clermont in 1807

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Canals Canals are man made waterways reaching places natural waterways did not By 1840 the U.S. had 3,000 miles of canals Erie Canal, 1825, linked the Great Lakes with the Atlantic Ocean through the port of New York City

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Railroads The Baltimore & Ohio RR was the first major railway in the U.S. Construction began in 1828 By 1840 the U.S. had over 3,000 miles of track, most in the world Continued development in the following decades put most canals out of business

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The Expanding U.S. Economy Market Revolution: A change in the way Americans made, bought, and sold goods; and circulated money Manufacturing: Using machinery to make products Centralized Factory: One where all tasks involved in manufacturing a product are housed in one CENTRAL location Free Enterprise System: An economic system where private companies compete for profit. Also called capitalism, it encourages innovation, the creation of new industries, and the creation of jobs

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The Expanding U.S. Economy Most early U.S. manufacturing was located in New England b/c of the fast flowing rivers coming down from the mountains 1 st centralized textile factory was built by Francis Cabot Lowell in Massachusetts in 1813 Between 1820-1840 industry spread across the Northeast and into the Ohio River Valley

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Changes in Daily Life Going to work shifted its meaning from working around the home or on the farm to working in a factory for a fixed number of hours a day for a fixed wage. Much factory labor was SPECIALIZED: Each worker performing one task in the production process over and over As more products were manufactured and more Americans worked outside of the home for cash salaries, more Americans began to shop!

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The Role of Banks By the 1830s hundreds of private banks had opened up in the U.S. Private investors used their money and that of the banks depositors to make loans They made money on the interest charged for the loan Investment Capital: Money spent with the hopes of earning bigger profits in the future. Ex. Using a loan to buy new machines. The govt did not restrict the banks lending Banks often lent money to people who could not (or did not) pay them back If depositors wanted their money, but the bank didnt have it, financial panics and depressions ensued

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Bank Notes Most common form of money in the early U.S. Pieces of paper that promised to pay specie (gold or silver coins) on demand. Banks just printed more of them when they needed money, whether they were backed by specie or not, so their value was unpredictable Ex. A $100 banknote could be worth anywhere from $50- 200 depending on when and where it was cashed in

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The Northern Section Section 2: pages 280-284 Workers in an early factory

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Divisions within America The Northern & Southern parts of America each had a unique cultural and economic identity The Northern section could also be divided into 2 Northeast New England & the Middle Colonies (NY, NJ, PA) Old Northwest The land that is now Ohio, IND, ILL, MICH, WI, MINN

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Innovation in the Old Northwest The fertile soil in these areas were ideal for growing corn, wheat, and other crops New inventions like John Deeres steel plow and the mechanical reaper made planting and harvesting grains less labor intensive & more profitable Specialized businesses developed to handle the processing, transportation, and selling farm products Slaughterhouses, distilleries, shipping companies, etc. These industries that were tied to agriculture & livestock fueled the growth of Midwestern cities

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The Industrial Northeast In the early 1800s, more and more people were leaving their rural homes and moving to urban areas to work in factories Rural: areas made up of farms and unsettled countryside Urban: cities Industrialization: The development of industry New industries developed for ALL KINDS of products Guns, furniture, clocks, glass, tin products, ship building, train building, iron, leather, bricks, shoes, carpet, textiles, coal mining, iron mining

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Urbanization: the growth of cities Opportunities for work in farming were limited in the Northeast as new practices made the work less labor intensive & the population continued to expand Thousands flocked to the urban centers of the Northeast throughout the 1800s

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Urban Life in Industrial America As workers spent more time in factories, the strength and unity of families was strained Tenements: Crowded apartments of the industrial poor with poor standards of sanitation, safety, and comfort Cities couldnt handle the massive population increase Limited police service Limited fire service Lack of/limited sewers Lack of/limited clean water

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Labor Issues in Early Factories The goal of factory owners was to make as much money as possible, even at the expense of the workers Employees were paid very little Employers didnt try to provide a healthy environment As workers saw the owners getting rich they wanted a piece of the action for their hard work! THREE MAIN ISSUES IN EARLY LABOR DISPUTES: Wages Hours Working conditions The only weapon the workers had was the STRIKE: work stoppage. If there were no workers to operate the machines, there would be no profits for the owners

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The Infancy of Organized Labor Labor Union: An organization of workers designed to protect the interests of its members While early unions had more than 300,000 members, they soon failed and died out because factory owners were able to get favorable rulings from the courts outlawing labor organizing Though organized labor failed at first, the early movement showed some workers were willing to stand up to their powerful employers to fight for the conditions of their employment. The groundwork was laid for the Progressive Era

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The Southern Section Section 3: pages 285-289 Workers in a cotton field in Mississippi

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King Cotton The economy of the Southern states in the 1800s was dominated by cotton planters The ever increasing demand for raw cotton from the developing industrial Northeast and Great Britain drove southern farmers to plant more &more of it Check out the data on the expansion of cotton production: 1820: 160 million pounds of raw cotton 1830: 320 million + pounds of raw cotton 1850: 1 billion + pounds of raw cotton 1860: cotton accounted for 66% of all U.S. exports

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The Economy of the South What states make up the South in the early U.S.? Six of the original 13 colonies: Delaware, Maryland, Virginia, NC, SC, Georgia New states added to the Union by 1850: Kentucky, Tennessee, Alabama, Miss., Louisiana, Arkansas, Texas, Florida Cotton Belt: A band of states from South Carolina to Texas where planting cotton was the major economic activity The South remained largely rural because its geography made farming highly profitable Fertile soil Plentiful rain Long growing season

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Industry in the South Because of the profitability of farming and planting cash crops, the South industrialized slowly Southern farmers often had to rely on banks in the North or in Great Britain for loans They also relied on the textile mills in those two places to process their raw cotton Few southerners looked to industry as a career path instead even professionals had dreams of being a plantation owner

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Farming in the South About 15,000 families owned plantations: Large farms that used great numbers of enslaved workers to produce cash crops Hundreds of thousands of families owned either a few slaves or none, and raised all of their own crops With the invention of the cotton gin many small farmers moved west into new lands to develop for cotton production Many plantation owners bought out their smaller neighbors, acquiring huge tracts of land Other crops in the South: tobacco, sugar cane, rice

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Labor in the South: the Slavery System 1808: Congress banned all further importation of slaves to the United States Even with this restriction, the slave population grew: Children born to slaves became slaves themselves 1820: 1.5 million slaves in the south 1850: 3 million slaves in the south 1860: slaved accounted for more than 50% of the total population of Mississippi and South Carolina; and more than 40% of the total pop. of FLA, GA, ALA, and Louisiana!!

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