Post on 16-Jan-2016
transcript
Chapter 13: The Rise of Industry & Labor
(1850 – 1900)
I. Foundations for Industrial Growth
A. A Technological Revolution: Sheet & ChartsB. Railroads: Effects
1. Faster Means of Transporting Goods2. Lower Costs of Production3. Creation of National Markets4. A Model for Big Business5. Stimulation of Other Industries6. Settled the Frontier7. Standard Time System
I. Foundations… (cont)
C. The Growth of Corporations1. Definition
* Capital… Dividend… Limited Liability… economies of scale (HW)
* Disconnect… Division of Labor (HW)
2. Eliminating the Competition* Monopoly… Pool… Trust…
I. Foundations… (cont)D. Philosophy of the Era
1. Laissez-Faire2. Social Darwinism
* Darwin… Spencer… “Survival of the Fittest”
II. Foundations (cont)
E. Resources1. Vast natural resources: timber, coal, oil, copper2. Companies could obtain cheap and not import resources3. Petroleum
* American oil industry built on demand for kerosene
*1859: first oil field in PA*1900: Spread from PA to TX
4. Population growth: family size and immigrants
II. The Great Entrepreneurs: Robber Barons or Captains of Industry?
A. Definition: org f of p; risks v. profitsB. Entrepreneurs of the Period
1. Andrew Carnegie: Steel; Bess P; “VI”; G of W2. John D. Rockefeller: Standard Oil; “HI” (trusts) 3. J.Pierpont Morgan: Bank: US Steel
II. The Great Entrepreneurs
B. Entrepreneurs (cont)4. Henry Ford: Cars; assembly line; wages5. Philip Armour: meat 6. Cornelius Vanderbilt: railroads
II. The Great Entrepreneurs (cont)C. Robber Barons or Captains of Industry?
1. Robber Barons* Elimination of Competition: Price Wars* Power Over the Consumer: Price, Quality* Exploitation of Workers: Wages,
Conditions* Influence over the Government: Bribery* “Conspicuous
Consumption”
II. The Great Entrepreneurs (cont)
C. Robber Barons or Captains of Industry?2. Captains of Industry
* Mass Production: assembly line, standardization of parts, division of labor, inventions… lower prices, quantity
* Wide Distribution: RR, Dept, Catalogs: nationwide; improve quality of life
* Efficient Manage’t: research, develop’t
* Philanthropy
III. Government Policies Toward Business*** See Sheet
A. Steps Towards Regulation: Why?1. Downturns in the Economy2. Growing Criticisms of Big Business3. Increasing grassroots pressure: Populist
III. Government Policies (cont)
B. Supreme Court Decisions1. Issues: RR, rebates, “Granger Laws”2.Munn v. Illinois (1877): upheld Police Power
3.Wabash v. Illinois (1886): Interstate C4. The 14th Amendment
*Limited interpretation: ag fed/state*Corporations: “people”* Can’t deprive of property w/o “due process”
III. Government Policies (cont)
C. Interstate Commerce Act/ Commission (1887)
Regulations1. Post RR rates publicly2. Rates are to be “just”3. Outlaw pools and rebates4. Prohibit charging more for “short hauls”
than for “long hauls”** 1st attempt to regulate
business...precedent
III. Government Policies (cont)D. Sherman Antitrust Act (1890)
* Any combination “in restraint of trade or commerce…”
* Rarely enforced* Big Business: use against labor* Precedent: more important than
act itself* Later: “Trustbuster” Teddy
Roosevelt
IV. The Rise of Organized Labor
A. The Growth of Unions1.Problems and Goals2. Tactics
* strikes, closed shops, injunctions3. Business Strikes Back!
* Strike breakers, yellow dog contract, blacklisting, court injunctions, company unions
IV. The Rise of Organized Labor (cont)
B. Workers Seek a National Voice1. Knights of Labor2. American Federation of Labor3. Int’l Ladies Garment../ Triangle
Shirtwaist Factory Fire4. Industrial Workers… “Wobbies”/
Lawrence Textile Strike
IV. The Rise of Organized Labor: Labor Conflicts
Great Railway Strike Haymarket Riot
IV. Organized Labor… Labor Conflicts
Homestead Strike Pullman Strike