Presentation on theme: "AP FOCUS What were three factors in bringing on the age of industry that transformed modern America in the late 19 th and early 20 th centuries?"— Presentation transcript:
AP FOCUS What were three factors in bringing on the age of industry that transformed modern America in the late 19 th and early 20 th centuries?
The New American Economy
The Second Industrial Revolution was fueled by 3 industries: railroads, steel, & oil
I. Major Ideas Invention and Innovation in the Industrial Age Accelerated technological innovation, emphasizing new inventions and applied science. In the first decade of the US Patent Office ( ) 276 new inventions were patented, From 1890 to , 000 new devices were patented.
I. Major Ideas
II. Railroad Building
transcontinental 1 st transcontinental railroad connected the west coast to eastern cities in 1869 Chinese workers made up a large percentage of laborers on the western leg Irish workers made up a large percentage of laborers on the eastern section
Rails Across the Continent In 1862, Congress authorized the transcontinental railroad: – Union Pacific worked westward from Nebraska (Irish laborers) – Central Pacific worked eastward from CA (Chinese immigrants) – May 10, 1869 the 2 tracks met at Promontory Point in Utah By 1900, 4 more lines were built to the Pacific
Other Transcontinental Lines Northern Pacific Railroad 1883
Federal Land Grants to Railroads by 1871 The national govt doled $65 million & millions of acres in land grants (received reduced rates for shipping)
Railroad Consolidation and Mechanization In 1870, RR companies developed the 1 st time zones to better schedule the RR system; the US would not adopt time zones until 1918 Pullman cars & refrigeration cars
Significance of Americas RR Networks 1) Spurred Industrialization 2) United Nation (physically) 3) created huge domestic markets for raw mat. & man. Goods 4) Stimulated 3 west. Frontiers (mining, ag., and ranching) 5) RR led to cityward movement of late 19 th cent.
Significance of Americas RR Networks 6) Facilitated large influx of immigrants 7) spurred investment from abroad 8) time zones 9) maker of millionaires, new rr aristocracy emerged 10) N.A. displaced and herded into reservations
Railroad Corruption by Robber Barons
Wrong Doing in Railroading Railroads were not without corruption, as shown by the Credit Mobilier scandal. Jay Gould made millions embezzling stocks from the Erie, Kansas Pacific, the Union Pacific, and the Texas and Pacific railroad companies. One method of cheap moneymaking was called stock watering, in which railroad companies grossly over-inflated the worth of their stock and sold them at huge profits. Financier Jay Gould
The Railroad Industry Americas first big business was the railroad industry: – Railroads stimulated the coal, petroleum, & iron/steel industries – Large companies bought small railroads, standardized gauges & schedules, & pooled cars trunk lines – Small lines in the east acted as tributaries to the 4 great trunk lines into the West Cornelius the Commodore Vanderbilt was the most powerful figure in the railroad industry
William Vanderbilt $ The public be damned!- William $ What do I care about the law? Haint I got the power?- Cornelius $ The public be damned!- William $ What do I care about the law? Haint I got the power?- Cornelius
Government Regulation of Robber Baron RR Tycoons
Govt Regulation of Industry From 1870 to 1900, 28 state commissions were created to regulate industry, especially RRs: Munn v. Illinois – In 1870, Illinois declared RRs to be public highways; this was upheld by Munn v. Illinois (1876) Wabash v. Illinois – But, was overturned in Wabash v. Illinois (1886): only Congress can regulate interstate trade
Tariffs & Trusts Congress responded by creating: Interstate Commerce Commission – The Interstate Commerce Commission (ICC) in 1887 to regulate the railroad industry The ICC became the model for future regulatory agencies This was the 1 st attempt by the federal govt to regulate big business