The Industrial RevolutionOverview Rap

Objective: What made the Second Industrial Revolution possible?

When was the First IR and how was it different from the second?

• The First Industrial Revolution

• Early to mid 1800s

• Focused on the shift from hand production methods to the use of machines

• Focused on improving agricultural production

• Made possible by the use of steam power and coal

• The Second Industrial Revolution

• Late 1800s to early 1900s

• Focused on the shift to mass production techniques

• Focused on improving industry

• Made possible by the use of steel and oil

Reason 1: New advancements/innovations

Bravo Mr. Bessemer!!

• Method of steelmaking that burned off the impurities in molten iron with a blast of hot air.

• This method could produce more steel in one day than the older techniques could turn out in one week.

• The increased availability of steel in the late 1800s resulted in its widespread use in many industries

• Railroad industry replaced iron rails with stronger steel ones.

• Builders used steel to construct bridges and buildings.

• Ideal material for everyday items such as nails and wire because of its resistance to rust

The Bessemer Process

Oil• Around this time, a process to refine oil was also developed

that affected industrial practices

• Refined oil could be turned into kerosene which could be burned in lamps to produce light or used as fuel.

• Before kerosene, people burned whale oil in lamps, which was much more expensive and difficult to obtain.

• Oil also proved useful in the early 1900s with the development of automobiles.

Revolutions in Technology and Transportation

• Communication

• Telegraph

• Telephone

• Typewriter

• Lightbulb/Electricity

• Transportation

• Railroads

• Airplanes

• Gasoline-burning internal combustion engine

Reason 2: Mechanized Mass Production

Mechanization Takes Command

• Most important factor of second IR was the application of new technologies to increase the productivity of labor and the volume of goods

• Higher productivity depended not only on machinery and technology but on economies of scale and speed, reorganization of factory labor and business management, and huge growth of a market for goods of all kinds

• New systems of mass production replaced wasteful and often chaotic practices and speeded up delivery of finished goods

• Example: 1860s-meatpackers set up one of the earliest production lines

• Converting livestock to meat began with live animal-a chain around the hind leg whirled the body to an overhead rail, which carried it to slaughter, then hair and bristles were removed by scraping machine, carcass shifted to conveyor belt where chest was split and organs removed, and body placed in cooler. Only took about one minute total

Reason 3: New Business Structures

The Corporation• New form of business organization

• Businesses raise money by selling shares of stock (certificates of ownership) in the company.

• Stockholders (people who buy the shares) receive a percentage of the corporation’s profits, known as dividends.

• Advantages:

• Corporations can raise large sums of money by selling stock to many people.

• Stockholders not responsible for corporation’s debt.

• Much more stable because it is not dependent on a specific owner for its existence.

Reason 4: Expanded Market for Goods

Mass Marketing!

• To distribute growing volume of goods and to create dependable market, businesses demanded new techniques of merchandising on national and international scale

• Manufacturers of mass produced goods launched massive advertising campaigns to induce consumers to buy their brands

• Founding of marketing/advertising agencies

• Mail-order magazines allowed people in remote locations access to the same goods as people in the cities (Ex= Sears)

• Chain stores sprung up (Ex= A&P)

• Department stores: raised retailing to new heights (Ex=Macy’s)

Objective: Explain how big businesses were organized during the IR that

allowed them to gain so much control and make so much money.

Capitalism• U.S. operated under economic system known as capitalism

• Private businesses run most industries and competition determines how much goods cost and workers are paid

• At this time, entrepreneurs (risk-taking businesspeople) set out to get rich by building industries that utilized the new technological advances. With the rapid increase in business ventures and wealth, new ideas emerged that transformed traditional business practices

• Business leaders at this time believed in individualism and attributed their success to their work ethic.

• Many leaders supported laissez-faire (let people do as they choose) capitalism

• Calls for no government intervention in the economy

• Free-enterprise: businesses allowed to compete in free market where supply, demand and profit determine what and how much businesses produce.

Critics of Capitalism

• Critics argued that rapid industrialization of factory life was harmful and unjust to the working class.

• Karl Marx proposed a new economic system that would remove the inequalities of wealth.

• Developed political theory known as Marxism that called for overthrow of capitalist system.

Marxism• Marx argued that capitalism allowed the bourgeoisie (the people who own the means of production, such as factory owners) to take advantage of the proletariat (the workers).

• Suggested an alternative to capitalism known as communism

• This economic theory proposes that individual ownership of property should not be allowed.

• Property and the means of production are owned by everyone in the community, and the community provides for the needs of all the people equally without regard to social rank.

And you thought board games weren’t educational!!!

• Trust: group of companies turn control of their stock over to a common board of trustees, who run all of the companies as a single business. This limits over-production and other inefficient business practices by reducing competition.

• Monopoly: when a trust gains exclusive control of an entire industry. This takes away competition and gives them complete control over price and quality of a product.

Integration, Combination, and Merger

• From source of raw materials to organization of production, from conditions of labor to climate of public opinion, business leaders acted shrewdly

• Economic cycles of late 1800s promoted big business

• Major economic recessions in 1873 and 1893 wiped out weaker competitors, allowing strongest firms to rebound swiftly and expand their sales during recovery period

• Businesses grew in two distinct, overlapping ways1. Vertical integration

2. Horizontal combination

Vertical Integration• Firm gained control of production at

every step of the way, from raw materials through processing, to the transporting and merchandising of the finished items

• Example: 1899, United Fruit Company began to build network of wholesale houses in U.S. Within 2 years it had opened distribution centers in 21 major cities. Eventually it controlled an elaborate system of Central American plantations and temperature controlled shipping and storage facilities for its highly perishable bananas.

• Firm became one of the nation’s largest corporations

Horizontal Combination• Gaining control of the market

for a single product

• Creating a monopoly in that industry

• Most famous case = Standard Oil Company, founded by John D. Rockefeller in 1870

• Rockefeller secured preferential rates from railroads eager to have a steady supply of oil, then convinced or coerced other local oil operators to sell their stock to him

• The Standard Oil Trust, established in 1882, controlled more than 90 percent of the nation’s oil-refining industry

The Govt. tries to control the trusts…EPIC FAIL

• 1890: Congress passes Sherman Antitrust Act

• Goal was to restore competition by encouraging small business and outlawing “every combination in restraint of trade or commerce”

• Courts interpret law in ways that inhibited unions from organizing and actually helped the consolidation of business

• More than 2,600 firms vanished between 1898 and 1902 alone

Social Darwinism• Term coined in late 19th century to describe idea that humans,

like animals and plants, compete in struggle for existence in which natural selection determines survival of the fittest.

• Believed hard work and perseverance led to wealth

• Implied that poverty was a character flaw

• Therefore, government should not help the poor

• Advocated laissez-faire: hands off policy by government

• Social Darwinists use this argument to develop theories that supported capitalism, overseas expansion/colonization (imperialism), and racism

• Ex: Eugenics and the Nazis

The Gospel of Wealth• Idea of Andrew Carnegie: 1889

• Describes how new, upper class self-made rich are responsible for giving back

• Best way of dealing with new wealth inequality was for wealthy to redistribute surplus means in a responsible and thoughtful manner to the greatest benefit of society

• Argued against wasteful use of capital

• No extravagance, irresponsible spending, self-indulgence

• Disapproved of charitable giving that maintained poor in their impoverished state

• Encouraged new mode of giving which would create opportunities for beneficiaries of the gift to better themselves

• Carnegie put Gospel of Wealth into practice by funding public libraries throughout the entire English speaking world

Robber Barons • Became a derogatory term applied to wealthy and powerful 19th-century American businessmen

• The term combines the sense of criminal ("robber") and illegitimate aristocracy (a baron is an illegitimate role in a republic)

• Term was typically applied to businessmen who used what were considered to be exploitative practices to amass their wealth.

• Practices included exerting control over national resources

• Accruing high levels of government influence

• Paying extremely low wages

• Squashing competition by acquiring competitors in order to create monopolies and eventually raise prices

• Schemes to sell stock at inflated prices to unsuspecting investors in a manner which would eventually destroy the company for which the stock was issued and impoverish investors

Famous Robber Barons1. John Jacob Astor

2.Andrew Carnegie

3. James Fisk

4. Jay Gould

5.Andrew W. Mellon

6. J.P. Morgan

7. John D. Rockefeller

8.Leland Stanford

9.Cornelius Vanderbilt

Captains of Industry or Robber Barons?

• Go to the following website for your assignment. Create a fact sheet for each individual by visiting the websites they provide. And then use that to answer the prompt in a well-developed 5 paragraph essay.

• Captains of Industry or Robber Barons?

Objective: Evaluate what life was like for different classes of people in the cities during the Industrial

Revolution

The Urban Frontier• Cities grew in vast quantities in the post-Civil War years

• Cities encouraged creation of beautiful and useful structures, but did little to improve conditions of majority of the population

• Rich lived in new mansions and townhouses

• Majority of population worked in dingy factories and lived in tenements

•Designed to maximize use of space

•Typical tenement sat on 25 by 100 foot lot and rose five stories

•Four families on a floor, each with three rooms

•By 1890, NYC Lower East Side packed more than 700 people per acre into buildings

• Streets followed gridiron pattern

• Industrial jobs drew country folks off farms and into cities

• City Beautiful Movement: led to creation of new sports ampitheatres, schools, courthouses, capitols, hospitals, musuems, art galleries, and concert halls

Urban Frontier Continued• Mass transportation allowed metropolitan region to grow dramatically

• Creation of suburbs

• Created new safety hazards

• During 1890s, 600 people killed by Chicago’s trains

• Waste disposal became new issue in urban age

• Criminals flourished like lice

• Sanitary facilities could not keep up with population explosion

• Impure water, uncollected garbage, unwashed bodies, and droppings from draft animals enveloped cities in satanic stench

• Breeding ground for tuberculosis, smallpox, and scarlet fever

• Unrestricted burning of coal to fuel railroads and heat factories/homes intensified urban air pollution

• Noise levels continued to rise

• Worst were human pigsties known as slums

• Grew more and more crowded and filthy especially after the production of the dumbbell tenement

The New immigration• Immigration reached new high by 1880s

• More than 5 million immigrants came to U.S.

• Until 1880s “Old Immigrants” had come from British Isles and western Europe, chiefly Germany and Scandinavia

• Boasted comparatively high literacy rate and accustomed to some kind of representative government

• Fitted relatively easily into American society

• Most took up farming

• In 1880s, “New Immigrants” came from southern and eastern Europe, most of them Italians, Croats, Greeks, and Poles

• Came from countries with little history of democratic government, where opportunities for advancement were low, they were largely illiterate and impoverished

• Preferred to seek industrial jobs in jam-packed cities

• Americans feared that these New Immigrants would not or could not assimilate to life in their new land

Southern Europe Uprooted• Why were so many immigrants coming to New World?

• Population of Old World growing, and many people in Europe uprooted and moved

• “America fever”: U.S. painted as land of fabulous opportunity, blessed with freedom from military conscription and institutionalized religious persecution

• Industrialists wanted low-wage labor, railroads wanted buyers for land grants, states wanted more population, and steamship lines wanted more human cargo

• Savage persecutions of minorities in Europe drove many to America

• 1880s: Russians turned on their own Jews, chiefly in Polish areas

• These refugees made their way to seaboard cities such as New York

Reactions to New Immigration• Federal govt. did virtually nothing to ease assimilation of immigrants into American society

• Business of ministering to the immigrants’ needs fell to unofficial “governments” of urban political machines

• Traded jobs and services for votes

• Boss provided jobs on city’s payroll, found housing for new arrivals, gave gifts of food and clothing to needy, helped get schools, parks, and hospitals built in immigrant neighborhoods

• Claimed loyalty of thousands of followers

• Nation’s social conscience awakened to plight of immigrants

• Established settlement houses: offered instruction in english, counselors to help adjust to city life, child-care services, and cultural activities for neighborhood residents

• Jane Addams: established Hull House (most prominent American settlement house)

• Became centers of women’s activism and social reform

• Florence Kelley: one of the most outspoken female social activists

• Antiforeignism (nativism): viewed eastern and southern Europeans with disdain

• Looked down on them because of their high birthrate; feared that they would quickly outbreed and outvote the original Anglo-Saxons

• Laws against immigrants

• 1882: first federal restriction on immigration; prohibited paupers, criminals, convicts from being admitted into the U.S.

• 1882: law completely barred the Chinese

• 1885: prohibited importation of foreign workers under contract

The Rise of Consumer Society

• Growth of industry and spread of cities had huge impact on all regions of US

• Standard of living increased, more and cheaper products within reach of all but very poor

• Food from farms became more abundant and varied

• Explosion of consumer goods and services promoted huge changes in behavior and beliefs

• Leisure, play, and consumption became part of new ideal and measure of success

Conspicuous Consumption• “Gilded Age”: group united in pursuit of money and leisure

• Business leaders often served simultaneously on boards of several corporations

• Intertwined interests by joining same religious, charitable, athletic, and professional societies

• Wives and children vacationed in seashore and mountain resorts while they made deals in exclusive social clubs and golf courses of suburban country clubs

• Rich created new style of conspicuous consumption

• Highly visible displays of wealth and consumption

• Mansions with staircases trimmed in gold, butler’s pantries equipped with faucets not only for hot and cold water, but for iced champagne

• Women served as measures of their husbands’ status by wearing jewels, furs, dresses of latest Paris fashion

Conspicuous Consumption Cont.• New York: wealthy families hosted dinner parties for dogs or pet monkeys, dressing animals in fancy outfits for the occasion

• Summer homes of Newport, Rhode Island

• Enjoyed polo, rowing, tennis, yachting, golf tournaments

• Tour of the Mansions

• Late nineteenth century, public dimension added to high life

• NY’s Waldorf-Astoria Hotel’s corridors and restaurants were visible to public through huge windows

• New custom to welcome New Year: opened curtains of Fifth Ave. mansions so passersby could marvel at the elegant décor

• Wealthy provided bulk of funds for new symphonies, operas, ballet companies

Self-Improvement and the Middle Class• New middle class formed during last half of century

• Older middle class composed of owners of small businesses, doctors, lawyers, teachers, ministers

• New middle class included these but also growing number of salaried employees

• Managers, technicians, clerks, engineers

• Long hours of labor earned their families modest status and sufficient income to live securely in style and comfort, and to separate work and home

• Middle class families lived in suburbs: men commuted to work

• Women devoted large part of day to caring for home

• New technological innovations expanded work

• Took charge of household budget purchased goods, usually in department stores that catered to them

Middle class

• WASP: White, Anglo-Saxon, Protestant

• Embraced culture as a means of self-improvement

• Leisure activities for physical and mental discipline

• Leisure became province for middle-class childhood

• Removed from factories and shops, free from chores, enjoyed creative play

• Summer camps

• Toy stores

• Children’s literature

• Ex: Little Women, Black Beauty

Life in the Streets• Made up of minority groups, immigrants concentrated in districts marked off by racial/ethic

lines

• Chinatown, Little Italy

• Allowed them to maintain Old World customs

• Working-class home involved women and children in routines of household labor without aid of mechanical devices

• Used domestic space for work that provided small income

• Paid for sewing garments by the piece, wrapping cigars, stringing beads, painting vases

• Cooked and cleaned for boarders whose rent supplemented family income

• Bought shoddy replicas of products sold to upper classes

• Developers realized “wholesome fun” for the masses paid better than upper-class leisure

• Transformed Coney Island into magnificent seaside park filled with amusements like water slides, mechanized horse races, carousels, roller coasters, fun houses

• Exotic performers, make-believe trips to faraway places

• Allowed millions working-class people to enjoy cheap thrills that offset hardships of working lives

• Coney Island

Do Now and Objective

• Do Now:

• Grab a textbook/get your textbook

• On a new sheet of paper, copy this OBJECTIVE for today down in your notes:

• Compare and contrast what life was like in different regions of the country during the IR.

• Underneath the Objective, create a chart for the different regions of the United States during the Industrial Revolution (3 regions = Northeast, West, and South) Fill in all of the important points about what life was like in the NE and West during the IR: what industries did they have, what type of people lived there, what was life like, etc. Leave the South blank for now.

Exit Ticket and Homework…• Fill in your chart for what life was like in the South

during the IR.

• For homework: Finish information Scavenger Hunt and chart if you did not do so in class

• Type answers into a Google Doc with your group

• Create an Edmodo.com account and join my class (Directions will be posted as a Homework Assignment on my website). One person from your group should upload your group’s document with the answers to the scavenger hunt onto Edmodo. (Be sure the document has the names of everyone in the group on it)

Do Now:

•Summarize what you read yesterday about the changes that took place during the Industrial Revolution to wage labor, and how the South was affected by the IR

The Wage System• Growth of industry and mechanization of production

• Changed employer-employee relations

• Created new categories of workers

• Fostered competition among workers

• Created conditions hazardous to health

• Skilled workers replaced with “green hands”

• Immigrants with little training who could operate machines at cheaper rates of pay

• Garment industry

• Employed many young immigrant women in factories

• Utilized outwork system: families worked in their homes

• Companies relied on “sweating” system fostered extreme competition between groups by increasing daily production quotas

• Both groups paid by the piece

Wage System Cont.

• Largest portion of workers came from Europe or Asia

• Industrial expansion offered new opportunities for women to work outside home

• English-speaking white women: clerical work

• Black women: domestic work

• Black men: excluded from most fields, replaced by immigrant workers

• Discrimination fell hardest on Chinese

• 1882: Chinese Exclusion Act passes: suspended Chinese immigration

Unhealthy, Dangerous Workplace• Meatpacking

• Damp, sharp blades, noxious odors

• Factories

• Owners failed to mark high-voltage wires, locked fire doors, allowed emission of toxic fumes, fast machines caused people serious injuries that put them out of work

• Mines

• Air could turn poisonous, cave-ins deadly

• Tedious: performing repetitive tasks for hours each day (10-12 hours)

• Less than 3% of the workforce formed unions to combat this

Knights of Labor• Led by Terence V. Powderly

• Largest labor organization in 19th century

• Included skilled and unskilled workers, male and female, all ethnicities

• Except Chinese

• Reform measures:

• Restriction child labor, graduated income tax, more land set aside for homesteading, abolition of contract labor, monetary reform, 8-hour league

• Promoted producers’ cooperatives as alternative to wage system

• Workers collectively made all decisions on prices and wages and shared all profits

• Knights of Labor crushed by Haymarket Square Bombing

American Federation of Labor• Led by president Samuel Gompers

• Included only skilled workers

• Disregarded unskilled workers, racial minorities, and immigrants

• Accepted wage system

• Bargained with employers for better working conditions, higher wages, shorter hours

• In return, offered compliant firms benefit of good day-to-day relations

• Provided support for strikers, gathered votes for prolabor political candidates, sponsored social activities, published weekly newspapers

• By end of century represented 10% of working Americans

The New South• Southern economy held back by

• Dependence on northern finance capital

• Continued reliance on cotton production

• Legacy of slavery

• Some southerners envisioned “New South”

• Modern textile mills operated efficiently and profitably, close to sources of raw goods, expansive fields of cotton, plentiful and cheap supply of labor, unrestricted by unions or legal limitations on employment of children

• Promoted industrial development and welcomed northern investors

• South became internal colony to North

• Railroad companies in north controlled track in south, northerners protected investments from southern competition, controlled cotton crop

• South used for iron, steel, and textiles

• Remained extractive and rural: produced raw materials for consumption/use in north, perpetuating economic imbalance between sections

• New South reinforced, rather than diminished region’s status as nation’s internal colony

Southern Labor• Blacks: made up more than 1/3 of South’s population

• Limited to unskilled, low-paying jobs

• Segregated in factories

• Refused membership in trade unions

• Men earned at or below poverty line of $300 per year

• Women rarely earned more than $120

• Wages low for both black and white in south

• Southern mill workers earned as little as 12 cents per hour

• White women: $220 per year

• Lowest paid workers were children

• Mainstay of southern labor

• System of convict labor also thrived in south

Transformation of Piedmont Communities

• Impact of New South greatest in Piedmont

• Region extending from southern Virginia and central Carolinas into northern Alabama and Georgia

• After 1870, long established farms and plantations gave way to railroads, textile factories, mill villages

• Worked in mill towns

• Northern employer/manufacturer controlled everything

• People paid in paper money that was only good in company stores

• Poverty/health hazards/disease flourished

• Strengthening community ties through intermarriage

• Customs of incorporation: complex of intimate economic, family, community ties of mill communities