1. Industrial Revolution (1700-1890)INSTRUCTOR: MR. MANZOOR AHMADDEPARTMENT OF ECONOMICSUNIVERSITY OF SWABI

2. What is Revolution A Revolution is a rapid, totaland permanent change. It usually refers to thepolitical change. Two well known examples are1. The American Revolution(1775-83), which led theFoundation of USA.2. The French Revolution(1789-99) when Francebecame a republic. 3. Industrial Revolution In 1700, a great revolutionbegan in Great Britain.(Industrial Revolution) It marked the end of peopleliving in rural societies andmaking the things theyneeded by hand. People began creatingmachines to do work. 4. Industrial Revolution Factories were built and Bankswere opened. This time is known asIndustrial revolution. It changed the History of theworld forever. 5. Financial Institution before and After IndustrialRevolutionS.No. Name of Institutions Established1 C. Hoare & Co. 16722 Barclays PLC 16903 Bank of England 16944 Lloyds Banking Group 16955 The Royal Bank of Scotland 17276 Weatherbys 17707 Raphaels Bank 17878 Arbuthnot Latham 18339 Airdrie Savings Bank 1835 6. Industrial Revolution The Phrase IndustrialRevolution covers manydifferent developments whichall took place at the same time. Some historian describes eachof these changes as a revolutionfor example, The CommercialRevolution, The TransportRevolution and so on. 7. Industrial Revolution The movement started inBritain, which why the BritishIndustrial Revolution is oftenreferred as the IndustrialRevolution. By 1850 industrialization wastaking root in parts of WesternEurope and the USA, and bythe end of 19th century it hadspread to Russia and Japan. 8. Industrial RevolutionBy 1830 Britain was anIndustrialized nation.Making most of the moneyFrom manufacturing andCommerce.Main Source of Income:1. Production of Goods2. Trade or Exports of Goods 9. Industrial Revolution According to ThomasAshton, the first IndustrialRevolution began in the 1760sin England.Historian call the secondIndustrial Revolution the timewhen industry spread FromEngland to the US andGermany and then toWesternEurope. 10. Big Changes After Industrial Revolution The Industrial Revolution changed how things wereproduced and people lived. During 1700s and the 1800s, new machines werebeing invented. Before Industrial Revolution, England and Americaboth were agriculture societies. Most of the items that people used everyday likeclothing and furniture, were made by hand. 11. Financial Factors The Industrial Revolution in Britain depended on thefollowing financial factors:1. Private Banking2. Stable Environment3. Capital Investment4. Capitalism 12. Major Development duringIndustrial Revolution The Industrial revolution brought about changes inmany industries including iron, coal, steam,transportation, textile and agriculture. 13. 1. Coal and Iron Essential raw material during IR. Used to build suspension bridges, factory machines,railroads, and steamships.Coal Iron ore 14. 1. Coal and Iron In 1709, English Industrialist Abraham Darbysuccessful used a high carbon, converted form of coal,called coke, to produce iron from iron ore.Abraham Darby Coke 15. 1. Coal and Iron This eliminated the need for charcoal, which wasmore expensive and less efficient.Metal makers began using it to speed up theproduction of raw iron, bar iron, and other metals.Charcoal bar iron 16. 1. Coal and Iron In 1784, Englishman Henry Cort invented a newprocess for making a purer iron and for finishing andshaping iron into desired shapes and sizes. Thisprocess is called Puddling and Rolling. Used in building, heavy machinery and farmimplements. 17. 2. Steam The steam engine was one of the important inventionduring IR. One steam engine could do the work of hundreds ofhorses do.Steam never got tired and its only food was coal, whichwas cheaper than the wheat and oats that horses ate. 18. 2. Steam In 1712, Thomas NewComen invents the stem engine. Interesting pieces of technology. This engine is called Atmosphere Engine. 19. Thomas NewComen Steam Engine 20. Thomas NewComen Steam Engine Animation of a schematic Newcomen steam engine. Steam is shown pink and water is blue. Valves move fromopen (green) to closed (red) 21. 2. Steam Steam Engine was used for providing power inmining, steamboats and railroads. 22. 2. Steam In 1769, a Scottish inventor James Watts , producedan improved steam engine. His steam Engine saved energy and cost and used asystem of gears and cranks to turn a wheel. 23. James Watts Steam Engine 24. 2. Transportation The improvement of transportation greatly increasedthe success of the IR. It became quicker and cheaper to transport people,raw materials, and finished product. Canals and Rail transport were the primary means oftransportation. 25. 2. Transportation Canals were first used in ancient Egypt and China.But demand for coal and iron grew during the IR, hugecanal system were dug in Europe and America.One of the first canals dug in the US was the ErieCanal. This canal opened in 1825. 26. 3. Textile The textile industry is industry most often associatedwith the IR. Before the IR Spinning Yarn and Weaving cloth byhands was the only process for making clothes. This was usually done only 27. 3. Textile Invention of textile machinery replaced the humanlabor that was needed to make cloth. These invention included theFlying shuttleSpinning jennyPower loomCotton ginSewing machine. 28. 3. TextileFlying shuttle 29. 3. TextileSpinning jenny 30. 3. TextilePower loom 31. 3. TextileCotton gin 32. 3. TextileSewing machine 33. 4. Agriculture Agriculture became an important source of rawmaterials for the textile industry as well food providerfor the increasing population of the workers. During IR, many agriculture implements wereinvented . In 1701, Jethro Tull invented the seed drill. It allowed farmers to sow seeds better and more easily. 34. 4. AgricultureJethro Tull Seeds Drill 35. 4. AgricultureIn 1785, Robert Ransome invented the self-sharpeningplow. 36. 4. Agriculture In 1837, John Deere invented the steel plow in the US. 37. 5. Factories Mass productionBefore IR, goods were produced in peoples home or insmall workshop.Factories made possible to manufactured goodsquicker and cheaper than ever before. 38. 6. Power sourceWater was an important source for early industry andmany machines are powered by Waterwheels.Steam power was developed and steam engines wereused to pump water out of mine shafts and to powernew systems.In addition, engines and furnaces were also fueled bycoal.By the 1800s coal was transported to factories by shipor train. 39. 7. Labor UnionsFactory jobs are not easy job.In the 1840s trade unions began organizing in Britainto help improve working conditions in factories and toincrease pay. 40. 7. Labor UnionsThe idea of the trade unions was give workers morepower as a group instead of as individuals.Some of the trade unions efforts were successful andnew laws were passed in Great Britain to protectworkers. 41. 7. Labor UnionsImportance British labor Laws included:1. The Factory Act of 1833: This law limited childrenunder 13 years old to an 8 hour work day, 6 days aweek.2. The Mines Act of 1842: This law prohibited womenand children less than 10 years of age from workingin mines.3. The Ten-Hour Law of 1847: This law reducedworking hours to 10 hours per day. 42. 1. Growth of city1. People moved from rural areas to urban areas towork in factories. 43. 2. Labor Force Factories provided many jobs for people. The nature of work changed and resulted what wascalled division of labor. A division of labor was an idea of dividing a processinto individual tasks and having one worker performone task instead of doing the entire job. 44. 1. The Flying shuttle (1733) Invented by the Englishman John Kay. 45. 2. The Spinning Jenny (1764) Invented by the James Hargreaves. 46. 3. Spinning Water Frame (1769) This invention designed by the English inventorRichard Arkwright. 47. 4. Spinning Mule (1779) Invented by Samuel Crompton of England. 48. 5. Power loom (1785) Invented by English Inventor Edmund Cartwright(used waterpower for weaving) 49. 6. Cotton Gin (1793) Invented by American, Eli Whitney ( Removed seedsfrom cotton.