2The Nation Changes The railroads changed how we lived Manufacturing increasedTariffs protected U.S. productsThe population grewDemand for more and better products increasedNew discoveries of petroleum (a liquid that is made into fuel), coal, and iron fueled a surge in mfg. Immigrants gave industries an eager labor force.
3Andrew Carnegie A “Captain of Industry” He began building bridges Made his millions in steelBecame a famous philanthropistStrong leaders called entrepreneurs (a person who starts and organizes a business) helped grow American industries. Originally a bridge builder he realized that iron was too brittle, not strong enough, and would rust. While visiting England he heard of a new process for making steel (Bessemer Process) and started making steel for railroad tracks that cost half as much as iron and were much stronger.Philanthropist-a person who seeks to promote the welfare of others, esp. by the generous donation of money to good causes.
4Steel A magical building material Skyscrapers, suspension bridges The Brooklyn BridgePins, nails, washtubs, and barbed wireSuspension bridge- supported by steel wires and cables. Flexible. The wind moves the structures but they bend and won’t break. Brooklyn Bridge- Completed in 1883, it connects the boroughs of Manhattan and Brooklyn by spanning the East River. With a main span of 1,595.5 feet (486.3 m), it was the longest suspension bridge in the world from its opening until 1903, and the first steel-wire suspension bridge.
5Oil Oil Creek - Titusville, PA Edwin Drake- first to drill for oil Black Gold, rock oilOil prospectors: Fortunes were made overnightPipelines carry crude oil to refineries.Oil Creek- black sticky liquid flowed through the town. Nobody know what it was until 1855 when a scientist reported that half of the petroleum or rock oil could be made into a product that could be burned in lamps.
6John D. RockefellerThere’s money in refining oil. Let someone else find it.Standard Oil Co.He moves from refining kerosene to making a fortune in gasolineIn ten yrs. His co. becomes the most powerful co. in the field. It controlled the production and price of oil throughout the country. Kerosene lamps became obsolete with the advent of the electric light. Automobiles running on petroleum (gas refined) made his fortune grow.
7Business Changes Small business- owned by one person Corporations- large, organized companies owned by shareholdersLimited liabilityCapital formation encouragedMonopolies are formed that restrict competitionBefore 1900 most companies were small family owned affairs with local customers. Corporations changed this business model. Shareholders own stock- a stock certificate (also known as certificate of stock or share certificate) is a legal document that certifies ownership of a specific number of shares of stock in a corporation. Monopolies-A monopoly exists when a specific companyis the only supplier of a particular commodity Without competition, from other companies selling the same product, a monopoly can charge higher prices and sell inferior products. Limited liability- investors are protected if the corporation fails. He has limited risk of liability for the company's debts. Capital- money used for investment. A corporation allows thousand of people to invest in their business by buing shares of stock. People who own the stock can make money on their investment if the co. is profitable. Carnegie Steel and Std. Oil raised millions selling stock.
8Companies Become Larger Vertical combinationHorizontal combinationTrust companiesGiant industries change America into an industrial nationCarnegie did not want to rely on other companies to produce his product. He relied on mining and railroad companies. He found a new, simple solution. He bought mining and transportation companies and combined them into one large company. This allowed him to control each step in making steel. (Vertical Combination)Rockefeller decided to get rid of competition by buying other oil refining companies. (horizontal combination) He became the only refiner of petroleum products.Trust companies- a large powerful co. that often is a monopoly. Hide assest from taxation. Limit liability for owners of trust.
9Other Leaders of Industry Philip Armour-meat packingGustavus Swift-meat packingCornelius Vanderbilt- railroadsJames J. Hill-railroadsRailroads helped provide the key to the success of cattle ranching. The ranchers shipped their cattle to large Midwestern cities such as Chicago where the meat packing industry developed. Refrigerated rail cars helped distribute product far and wide. Vanderbilt linked a number of short railroads in the Northeast creating America’s first great railroad system-The New York Central. His system was the first to use steel rails, steel bridges and double tracks. He became a great philanthropist. Hill was known as “the Empire Builder” and built the Great Northern Railway System. He started business schools ans encouraged immigrants to settle in the Northwest.
10The Wizard of Menlo Park Thomas Edison"Genius is one percent inspiration, ninety-nine percent perspiration.”Electric light bulbPhonographMotion picture cameraOne of the first firstinventors to apply the principles of mass production and large-scale teamwork to the process of invention, and because of that, he is often credited with the creation of the first industrial research laboratory. Edison holds 1,093 US patents in his name
11Henry Ford The Ford Motor Co. Mass production using the assembly line The Model T is affordableA new industry creates new jobs for manyLife changes for middle class Americansfounder of the Ford Motor Company, and sponsor of the development of the assembly line technique of mass production. Ford did not invent the automobile, but he developed and manufactured the first automobile that many middle class Americans could afford to buy. His introduction of the Model T automobile revolutionized transportation and American industry.
12Flight Orville and Wilbur Wright invent the first airplane Kitty Hawk, N.C.- site of first flight in 1903two American brothers, inventors, and aviation pioneers who were credited with inventing and building the world's first successful airplane and making the first controlled, powered and sustained heavier-than-air human flight, on December 17, 1903.
13Other Inventors Alexander G. Bell-telephone George Eastman-Kodak Brownie camerasLewis Waterman-fountain penOttmar Mergenthaler- typesettingElisha Otis- elevatorElevators make construction of skyscrappers more appealing. The Brownie popularized low-cost photography and introduced the concept of the snapshot. The first Brownie, introduced in February With its simple controls and initial price of $1, it was intended to be a camera that anyone could afford and use, hence the slogan, "You push the button, we do the rest."
14George Washington Carver African American scientistChanged farming in the South.Developed new products from peanuts, pecans, and sweet potatoesFarmers now had other cash crops besides corn
15Booker T. Washington Son of slaves Teacher Founder of the Tuskegee InstituteLeaderAuthorAdvisor to presidentsBetween 1890 and 1915, Washington was the dominant leader in the African-American community. Washington was of the last generation of black American leaders born into slavery, who became the leading voice of the disfranchised former slaves newly oppressed by the discriminatory laws enacted in the post reconstruction Southern states In 1895 his Atlanta compromise called for avoiding confrontation over segregation and instead putting more reliance on long-term educational and economic advancement in the black community. called for black progress through education and entrepreneurship. His message was that now was not the time to challenge Jim Crow segregation and the disfranchisement of blacks voters in the South. His vision lost out to the school of thought led by W.E.B DuBois who advocated black militiancy