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Characteristics of this Great Transformation
New sources of energy. New labor-saving technologies. Increased standard of living. New patterns of work. New social patterns. Urbanization.
The “Traditional” Economy
Economic life dominated by “toil”Goal to secure food, warmth, and shelterAdvancements made it “easier” but…Every activity was labor intensivePower…human capitalFrench women and soil—terracing8 out of 10 farmed and did soil with their own
power
Traditional Economy and Manufacturing
Small textile industry sprung up in the countrysides of Europe.
Spend hours and hours spinning wool. They were paid by the “piece” (piece meal)
Rural workers paid less than urban workers, more desirable. Merchants sought them out as they would profit more from them. (no guild restrictions as well)
Life was dependent on human capital and the uncontrollable forces of nature.
“one of the great turning points in human history”
England in 1750-70% of people worked in agriculture.
By 1850-15%. Today 1.5%.Economies were growing confident they
could produce vast surplus.What do surpluses do again?Europe’s industrial transformation was a by
product of massive changes in agriculture.These dual changes created the greatest
change in the world since the Neolithic age.
Agricultural Revolution II
Transfer from agriculture as a “communal occupation” to an individual one. People fought for new lands that became available.they competed.
When agriculture was governed by the government or lords…potato example.
More land was made available by deforestation, swamp drainage, and conquest.
As many families gained more and more land…others did not and were forced into “cottage” industries.
Putting Out System
Mobilized the resources of the rural work force that wasn’t farming as much as it needed.
Raw materials purchased by powerful men and “put out” to rural workers which were then finished and sold for more materials to start again…rural industrialization.
It required little skill and and few tools
Back to Agriculture…
Enclosure…wealthy families began consolidating their lands into larger farms. Common land was “consolidated”
In the wake of a more “industrial” style farming run by those with the capital to make improvements. Lower middle and lower class farmers were left landless or with so little land they couldn’t earn a living.
Result?
Agricultural Innovations
Scientific Farming: Clover and TurnipFertilization using manureMeadow floatingAnimal husbandry
Growth of Farming
England: 1700: one farmer could produce enough food
for 1.6 people.1800: one farmer could produce enough food
for 2.7 people.
Factors fueling Industrialization
Factors promoting Industrialization DemographicsEconomicTechnological
Causes of the British Industrial Revolution? Why England?
Stable GovernmentMiddle and Business ClassesStable Banking SystemsIsland (preservation)GeographyColonies Agricultural StabilityAbundant waterAbundant coal
Demographic Factors
Population Growth in England: Population was doubling every 25 years!
Average was 3% per year.
Economic Factors
Agricultural: the second Agricultural Revolution in the 17th century. Necessity?
Capital: money for investment, stock sales. Necessity?
Technological Factors
Power: power that can be controlled, outside of geography. Watermills are only useful near water.
Thought Question
What innovations led to a revolution in power?
Why was power the key to the Industrial Revolution? Who had the early lead?
Movable Power: The Steam Engine
Initially developed in ‘theory’ by the Greeks.
Refined by James Watt:
Boil water until it expands and vaporizes use the expansion to push a turbine.
The Iron Horse
First stage of the Industrial Revolution in England was driven by a demand for consumer goods in textiles. The second by transportation—the rail.
Canals were effective…but inefficient.Coal was the primary item in need of movement.
It was done by pulling it with horses on temporary tracks.
George Stephenson changed the world with his prize winning invention: the Rocket. A locomotive that pulled 3x its weight at 30 mph!
Continental Europe Catches Up!
Continental Europe changed after the Congress of Vienna in 1815.
Great Britain had kept their technology under lock and key—Cockerill and Slater
Responding to Industrialization
British goods creating a global dilemma as their ability to flood markets with cheap goods made it imperative for nations to “catch up”!
Continental Europe changes after 1815
Continental Industrialization
Three advantages: Rich tradition of small time (putting
out/cottage) industry
Skilled urban workers
Motivated political systems eager to erase the industrial gap
•Agents of Industrialization
1. British exports
Talented Entrepenuers: Fritz Harkort
Governmental support and initiative (tariff production and industrial subsidies
Support and growth of powerful banking interests in Europe
•Spread of Industrialization
China: departs from Industrialization after the 1100’s?
Islamic world-Ottoman industrialization thwarted by Europe and the capitulations
Indian industrialization thwarted by European imperialism.
African industrialization-non existent.Latin American industrialization-minimal
Only part of the picture…
While India was not on the verge of an industrial revolution when the British arrived. Their contributions were great.
Indian contributions to English industry:Shipbuilding “Forty years ago they had the
largest ships in the World” British captain.Textiles/patterns “We have destroyed the
manufactures of India” British textile merchant
Indian contributions
British rockets were derived from Indian examples. Indian rockets could fire from 1 KM away.
Metallurgy (Brass) “They produced the finest brass I have ever seen” Englishman John Wellesley
Chinese contributions
Ploughs and farm implements taken by the Swedes.
Bridge technologyChain technology
Status of Global Industrialization
Prior to 1890 no industrial revolution occurred outside European society.
Insular societies such as the Ottoman state resisted Industry—importing their first printing press in the late 19th century.
Unique case of Muhammad Ali
Muhammed Ali
Goal to make Egypt into a free, industrial power.
Siezed it from Ottomans (for whom he worked)
Reforms: new tax system, new schools, government sponsored agricultural reform, imported Western technology
Late Ottoman reforms
Inspired by Muhammed Ali, later Sultans of the Ottoman state began the process of westernization.
Established a postal system in 1834, a telegraph system in 1855, and steamships and rail in 1855-1866.
Result? Made it easier for Europe to place Ottomans under “capitulations”.
To conclude
“By the 1850’s a number of governments were clearly beginning to realize that some policy response to the industrial revolution was absolutely essential, lest Western influence become still more overwhelming. On balance, however, the principal results of very limited imitation tended to heighten the economic imbalance with Western Europe, a disparity that made it easier to focus on non- industrial exports.” Peter S. Stearns. Historian
Japanese industrialization 1865-1905
Part of the Meiji Restoration and reformsRealized necessity of programUsed China as an example of what “may” happen.State run factories with large scale production
(Zaibatsu)Intensive government regulationGovernment supported innovation and hired
foreign experts when needed.High tariffs and tight restrictions of products
entering Japan.
Russian Industrialization
Witte System:Railway construction to stimulate other
industriesRemodel the state financial system, use
tariffs and secure foreign loans and technology
Heavy industry grew dramaticallyTrans-Siberian Railroad.
The Impacts of Global Industrialization
The use of mechanized equipment to increase output and decrease labor costs of production
The creation of the factory systemMass production and standardizationA workplace that emphasized production with
assembly linesFinancing that often included shareholders and
stock companies.An expanded labor force that included, women,
immigrants, and children.A growing gap in economic prosperity between
Europe and the rest of the world.
Philosophy of the Industrial Revolution
New philosophical movements: Socialism-Karl MarxOwenism-Robert OwenFriedrich Nietzsche UtilitarianismExistentialism: Soren Kierkagaard
Philosophy and the Philosopher
Karl Marx (see video)Evolution of IndustrializationBuilt on the model of dialectic change as put
forward by Georg Hegel.Socialism and Communism the results.
Robert Owen
Benevolent factory owner.What happens when wages are increased,
hours shortened, and benefits are offered?Interesting!
Utopian Socialism
Charles Fourier and the model community based on principle of equality.
Stressed cooperative control of industry, education for all.
Darwin changes the world
His resilience saw his ideas on Natural Selection and Evolution put to print. They immediately were the subject of a global firestorm.
New Philosophies in Economics
Thomas Malthus: impacts of population and food production.
David Ricardo: The Iron Law of Wages