8/7/2019 American Ind Rev

1/15

8/7/2019 American Ind Rev

2/15

The ending of the American Civil War and theprofits it generated (war supplies, inflation andlegislation favorable to businesses) e.g. in iron

manufacturing, productivity increased. Newinnovations occurred, new business created tosupply war needs and banking systems improved.

The civil war also brought about an end toslavery, which created a market and a demandfor industrial goods and machinery to replace

slave labour Abundance of natural resources e.g. iron,

cotton, lumber, coal, people, oil, petroleum,manganese, copper

8/7/2019 American Ind Rev

3/15

Breakthroughs and inventions from the British industrialrevolution was used in the U.S. e.g. steam power,railways, etc

Their government was stable, supported industrializationand put tariffs on imports to encourage local industries.They also put in place banking legislation and judicialprotection of corporations

The social and cultural attitudes of the Americans (theyplaced emphasis on hard work, they were thrifty)

A period of large population growth

Immigration provided cheap labour as well as people withmanagerial and technical skills. It provided a seemingly

inexhaustible supply of cheap labour as well as managerialand technical supply.

Territorial expansion (Manifest Destiny)

Improvements in transportation and communication due tothe introduction of the railway system

8/7/2019 American Ind Rev

4/15

Charles Darwin survival of the fittest

Social Darwin theory evolved:

Society should do as little as possible to interfere with peoples

pursuit of success

8/7/2019 American Ind Rev

5/15

John D. RockefellerJohn D. Rockefeller

8/7/2019 American Ind Rev

6/15

Andrew CarnegieAndrew Carnegie

$ Carnegie started as a telegrapher andby the 1860s had investments in

railroads, railroad sleeping cars,bridges and oil derricks. He builtfurther wealth as a bond salesmanraising money for American enterprisein Europe.

$ In the 1870s, he founded the CarnegieSteel Company, a step whichcemented his name as one of the"Captains of Industry".

$ By the 1890s, the company was thelargest and most profitable industrialenterprise in the world.

$ Carnegie sold it in 1901 for $480million to J.P. Morgan, whocreated U.S. Steel.

$ He is often regarded as the second-richest man in history after John D.

Rockefeller.

$ Carnegie started as a teleg

rapher andby the 1860s had investments in

railroads, railroad sleeping cars,bridges and oil derricks. He builtfurther wealth as a bond salesmanraising money for American enterprisein Europe.

$ In the 1870s, he founded the CarnegieSteel Company, a step whichcemented his name as one of the"Captains of Industry".

$ By the 1890s, the company was thelargest and most profitable industrialenterprise in the world.

$ Carnegie sold it in 1901 for $480million to J.P. Morgan, whocreated U.S. Steel.

$ He is often regarded as the second-richest man in history after John D.

Rockefeller.

8/7/2019 American Ind Rev

7/15

Pooling was an informal agreement between firms to limitoutput or divide market. The failed as they were notlegally binding. By the 1880s they disappeared

Trusts were arrangements whereby stockholders indifferent companies deposited their shares under

agreements with trustees, who had equal unified controlover a number of independent firms. E.g. In 1880, theStandard Oil Company of Ohio created the first trustjoining stockholders of 77 oil companies, producing 90% ofrefined oil. They transferred their stocks to 9 trustees. Ithad been mostly abandoned because of attacks from statecourts

Holding companies have survived until today. Under thesystem, a corporation purchased sufficient stock in to hercompanies eventually gaining control over theircorporation. Eg. Henry O Havemeyer Sugar RefiningCompany (1891) was transferred into a holding company.

8/7/2019 American Ind Rev

8/15

The Changing American

Labor Force

The Changing American

Labor Force

8/7/2019 American Ind Rev

9/15

They sought to represent the consolidation ofworkers to combat the oppressive capitalists

The Trade Unions were mostly developed byimmigrants who had been exposed to it in their

home countries It faced many problems, namely: Not all immigrants were united e.g, language, ethnic,

religious difference Racism also slowed the process (White Americans and

immigrants refused to associate with blacks) Skilled workers did not want to associate with

unskilled workers The employers often exploited this and used labour-

spies, blackmail, blacklists and even armed forces toquell the Trade Unions.

8/7/2019 American Ind Rev

10/15

Knights of LaborKnights of Labor

Terence V. PowderlyTerence V. Powderly

An injury to one is the concern of all!An injury to one is the concern of all!

8/7/2019 American Ind Rev

11/15

Goals of the Knights of LaborGoals of the Knights of Labor

EightEight--hour workday.hour workday.

Abolition of child and prison labor.Abolition of child and prison labor. Equal pay for men and women.Equal pay for men and women.

Safety codes in the workplace.Safety codes in the workplace.

8/7/2019 American Ind Rev

12/15

The American Federation

of Labor: 1886

The American Federation

of Labor: 1886

Samuel GompersSamuel Gompers

8/7/2019 American Ind Rev

13/15

How the AF of L

Would Help the Workers

How the AF of L

Would Help the Workers Catered to the skilled worker.Catered to the skilled worker.

Represented workers in matters of nationalRepresented workers in matters of nationallegislation.legislation.

Maintained a national strike fund.Maintained a national strike fund.

Evangelized the cause of unionism.Evangelized the cause of unionism.

Prevented disputes among the many craftPrevented disputes among the many craft

unions.unions.

Mediated disputes between managementMediated disputes between managementand labor.and labor.

Pushed forPushed for closed shopsclosed shops..

8/7/2019 American Ind Rev

14/15

Peace treaties signed with Britain and France

Expansion of states from 13 in 1776 to 24 by1830

Election of Andrew Jackson and his socialprogress outlook 1828

Population increased to 13 million and asignificant amount of the population wasGerman or Irish immigrants

Brutal plantation slavery

Displacement of the Native Indians

Wide differences between South and Northeconomic development

8/7/2019 American Ind Rev

15/15

Discuss the factors responsible for the rapidgrowth of industry in the US in the late 19th

century