The Expansion of American Industry

Chapter 13

How will the ipod change the world?

“What has God wrought? ”

First telegraph message, May 24, 1844By Annie Ellsworth

America Industrializes Three factors

Abundant natural resources Coal, oil, gas, agricultural land

Inventions Steel, electricity, telephone, sewing machine

Urban population Consumers of new goods Source of workers

Industry

Markets

Technology

Power

ResourcesTransportation

Changes in Daily Life Life in the 1860s

No indoor electric lights No refrigeration Slow communication

Life in the 1900s 500,000 patents Power stations began

providing electricity 1900 1.5 million

telephones 63 million telegraph

messages

Inventions Influence Work Electricity

Hours Location Continued specialization

Typewriters Telephone Steel Industry

It is all about efficiency and increasing productivity while reducing costs

Railroads Railroads Unify the Nation

National network – transcontinental railroad – May 10, 1869

Interdependence Speed of travel Railroad time – time zones

Railroads and Farmers Price fixing

Railroads Railroads Unify the Nation

National network Interdependence Speed of travel Railroad time

Railroads and Farmers Price fixing

Railroads Regulation Interstate Commerce Act-1887

States could regulate intrastate railroad rates Interstate Commerce Act authorizes the federal

gov. to regulate interstate trade Ruled unconstitutional

Regulation Fails Resistance from RR Long legal battles Supreme Court

Bessemer Process 1856 – Patent to Henry Bessemer

Faster less expensive method for making steel Mass production of great amounts of steel Weight, strength, durability Building height Railroads Plows

D. H. Burnham: D. H. Burnham: Marshall Fields Dept. Store, Marshall Fields Dept. Store,

19021902

Western Union Bldg,. Western Union Bldg,. NYC - 1875NYC - 1875

DH Burnham: DH Burnham: Railway Exchange, Chicago, 1904Railway Exchange, Chicago, 1904

Grand Central Station, Grand Central Station, 19131913

FlatironFlatironBuilding Building

NYC – NYC – 19021902

D. H. D. H. BurnhamBurnham

Big Business Robber Barons or Captains of Industry Large amounts of capital Methods

Monopoly Oligopoly Cartels Economies of scale Vertical and horizontal consolidation “Principles of Scientific Management”

Sherman Antitrust Act Target monopolies Outlawed efforts to interfere with interstate or

international trade Mostly ineffective

Unclear - makes it difficult to enforce Lacked Supreme Court support

Used against unions

Social Darwinism Biological evolution – Darwinism Social Darwinism

Free competition –laissez faire Survival of the fittest companies

Horatio Alger Series of books/stories Rise from poverty to success Supported the cult of the individual and

work ethic

Unions Workers Form

Strength in numbers Improve pay and working conditions

Limited Success Government support of management Violence Scabs Internal dissent Lack of popular support Concerns about socialism