Industrial Revolution
What you need to know
• Eli Whitney – 2 major inventions• How Industrial Revolution changed life• NE shift to manufacturing• How cotton gin changed south• American Plan• Canals & roads• 2nd Bank of the US• Era of Good Feeling
The Industrial Revolution
• Period of change in history when:
–Machines replaced hand tools for manufacturing
–Factories grew in size & efficiency
– Society began move from rural to urban
Interchangeable Parts
• Invented by Eli Whitney
• Allow for consistency–Goods manufactured exactly alike
• Factories could manufacture more–Quicker & easier to build
Interchangeable Parts
• Replace part, not entire product
• People accumulate wealth–Don’t have to throw things away;
can fix them easily
The Factory System• Power-driven machines
–Early – water & steam power–Later – electricity
• Division of labor–People do simple tasks quickly–Assembly line
The Factory System• Started in British textile
industry in Manchester
• Factories grow, people move from farms to cities to find jobs
America industrializes
• Embargo of 1807 / War of 1812
–Both stopped international trade–US couldn’t buy foreign goods
–Changed from exporting raw materials to manufacturing
Northeastern Economy
• Mostly shipping & importing• Badly hit by embargo & war
• 1st factories in US were in NE–British-style textile mills
Northeastern Economy
• Agriculture was not as important to NE economy
• Couldn’t grow cash crops–Mostly subsistence farmers
• No demand for slaves–By 1804 most NE states abolished
Northeastern Economy
• Many moved to NE cities for work
• Invested big $ in factories–Investing $ in agriculture was a
waste of time
Northwestern Economy
• Land better for farming
• Grew a couple of cash crops or livestock plus food for family–Corn, wheat, cattle
Northwestern Economy
• Sold crops in city markets to non-farmers
• No need for slaves–Didn’t require much labor–No huge profits
Southern Economy• Farmers in 1700s grew mostly
long-staple cotton–Expensive & difficult to grow
• Only grows along warm coastline–Easy to “clean” – remove seed
–Expensive selling price – luxury item
Long-staple cotton
Southern Economy• Few grew short-staple cotton
–Cheap & easy to grow• Grows anywhere it’s warm
–Hard to clean – fibers are tighter• Too expensive to process by hand
–Not as fancy – cheaper price
Short-staple cotton
The Cotton Gin• Eli Whitney invented – 1793
–Easier to cultivate short-staple
–Feasible to grow all over south
–Cheaper product – must grow lots to make money
Southern Economy• Poor farmers could buy cheap
land in new western states
• Set up new plantations for cheap short-staple cotton
• More and more slaves needed
Southern Economy• King Cotton
–S becomes dependent on cotton
–Rely on exporting to NE & Britain
–No need to industrialize
American System• 3-pt plan for US to grow & unify
–Transportation improvements• Roads, canals, harbors
–Protective tariff• Help US businesses compete
–Bring back Bank of the US• Stabilize & nationalize economy
Henry Clay• Speaker of the
House from KY
• Wanted help for new states to develop
American System• Better transportation helps
goods get from S/W to NE
• Makes everyone better off
• Economic freedom from Europe
Transportation improvements
• Roads–Built by states all over–Paid for mostly by tolls
–National Road – from MD to IL
Transportation improvements
• Canals–Erie Canal connected Great
Lakes to Atlantic Ocean–Took 8 years to build
–Made New York City most important port in US
Tariff of 1816• After War ended Britain flooded
US market with cheap goods–US companies couldn’t compete
• Raised British prices – equalized to US prices
Tariff of 1816• Money made from tariff paid for
internal improvements
• S & W weren’t happy–Weren’t manufacturing anyway–Raised prices for US exports
(cotton)
2nd Bank of the US
• Supported by people nationwide
• Common currency – business easier across regions
“Era of Good Feeling”
• James Monroe elected President in 1816
• Most Americans happy with gov
What you need to know
• Eli Whitney – 2 major inventions• How Industrial Revolution changed life• NE shift to manufacturing• How cotton gin changed south• American Plan• Canals & roads• 2nd Bank of the US• Era of Good Feeling