1. INDUSTRIALIZATION (1865-1901)
CHAPTER 12
INDUSTRIALIZATION
( )

2. THE RISE OF INDUSTRY
America became much more industrialized after the CW as people left farms to work in mines and factories
Late 1800s – U.S. became the world’s leading industrial nation
GDP by 1914 was 8x what it was in 1865

3. NATURAL RESOURCES U.S. benefits from a lot of NRs
Timber, coal, iron…
why/how does this help?
Westward expansion and building of the transcontinental RR speed up industrialization (why?)
Emergence of the oil industry in PA (Edwin Drake, 1859)
History of Petroleum
DRAKE

4. ANSWER
WHAT HAPPENED TO AMERICA’S POPULATION FROM 1860 TO 1910? - it nearly tripled

5. REVIEW QUESTION
LIST 3 EFFECTS THIS HAD ON THE INDUSTRIALIZATION OF AMERICA. THINK ECONOMICALLY AND SOCIALLY/CULTURALLY.

6. REVIEW ANSWER
LIST 3 EFFECTS THIS HAD ON THE INDUSTRIALIZATION OF AMERICA. THINK ECONOMICALLY AND SOCIALLY/CULTURALLY. 1. provided a large labor force 2. created demand for consumer goods 3. changed the ethnic makeup of the nation

7. LARGE WORKFORCE 1860 – 1910: American population triples
Why was it growing so fast?
Effects on industry?

8. NEW INVENTIONS (In addition to natural resources and labor, new inventions/technology were crucial to the industrial process. New technology increased productivity and improved both transportation and communication)
Alexander Graham Bell and the telephone ((1870s)
George Westinghouse: train breaks and electricity (1880s – 1890s)
Thomas Edison and just about everything (1870s – 1880s)

9. IMPACT OF TECHNOLOGY
Everyday life was changed by inventions such as the ice machine and refrigerated RR cars
Clothing industry was changed by standardized sizes and the automatic loom
Trans-Atlantic telegraph cable in 1866
How would your life be without this?

10. 12.2 – THE RAILROADS Explosion of RR from 1865 to 1900
35,000 miles to 200,000 miles of track
Pacific Railway Act (1862)
Spurs growth of RR w/ government land grants

11. TRANSCONTINENTAL RAILROAD
Construction began in 1865 and was finished in 1869
Union Pacific – led by Grenville Dodge
Started from Omaha and worked west
Veterans, Irish labor
Central Pacific
Started by Theodore Judah, sold stock to the “Big 4” (Stanford, Crocker, Hopkins, Huntington)
Started construction on the west coast and worked east
Chinese labor
Leland Stanford

12. TRANSCONTINENTAL RAILROAD – cont.
Final construction finished with the two lines meeting in Utah on May 10,

13. IMPACT OF THE TRANSCONTINENTAL RR
Time Zones
Increased # of markets for goods
Stimulated economy by increased spending on steel, coal, timber…
Created new jobs (such as?)
Connected the nation psychologically
Led to the integration of smaller RR networks (Cornelius Vanderbilt)

14. 12.3 – THE RISE OF BIG BUSINESS
Pre-Civil War – most businesses were small (family owned, one owner…..)
Post- Civil War – large businesses began to dominate the economy
Largely due to the growth of corporations – an organization owned by many people but treated by the law as though it were a person
Owned by stockholders/shareholders
Selling of stock enables Cs to raise a lot of money
This money allows them to spread out the risk and to generate money to invest, research, hire…..
What do you think are the largest American corporations?

15. RISE OF BIG BUSINESS cont.
Economies of Scale – corporations were now able to decrease the cost of manufacturing by producing goods quickly and in large quantities…..big business was getting very efficient
Fixed vs. operating costs?
(see “The Rise of Big Business” worksheet)

16. CONSOLIDATING INDUSTRY
By the 1870s competition had reduced many industries to just a few large corporations
Examples today?
Carnegie, Rockefeller, and Morgan were giants of business at this time

17. TITANS OF INDUSTRY
Andrew Carnegie
J.P.
Morgan
John D. Rockefeller

18. WHAT IS THE POINT OF A UNION?
12.4 – UNIONS
WHAT IS THE POINT OF A UNION?

19. UNIONS cont. Problems for industrial workers in the 19th century:
Unsafe, unclean working conditions
Very long work weeks
Growing gap between wealthy and working classes
Low/unfair wages (in 1900 the average worker was paid 0.22/hr and worked 59 hrs/week)
The issue for workers was that they had little to no power to change these circumstances

20. EARLY UNIONS Craft Workers vs. Common Laborers?
Trade Unions – formed by craft workers as early as the 1830s
more skilled workers, more leverage against management
Industrial Unions – united all workers in a particular industry
Less skilled, less leverage
Which ones were businesses more likely to work with and why?

21. COMPANIES OPPOSE UNIONS
Require workers to sign oaths or sign contracts
Hire detectives to identify union organizers
Blacklist individuals
Lockouts
Hire replacements (scabs)

22. POLITICAL & SOCIAL OPPOSITION TO UNIONS
No laws protecting union workers or union rights
Courts often were against unions (why?)
Fear of Marxism/anarchism/un-Americanism
Karl Marx

23. NEW UNIONS EMERGE
Unions took different approaches to achieve their goals, gave rise to new unions
American Federation of Labor (AFL)
Focused on skilled labor
Samuel Gompers (goals and strategy?)
Largest union by 1900 (who was discriminated against)
Industrial Workers of the World (IWW)
Sought to unite all workers according to industry (regardless of skill level)
Different strategies than AFL (more prone to use strikes)
Never as large as the AFL, seen as more radical

24. WHAT ABOUT WORKING WOMEN?
By 1900 women made up about 18% of the workforce
Only 1/3 were industrial workers
Received unequal pay
Created their own unions
Ex. Int’l Ladies’ Garment Workers Union
Mary Harris Jones – “Mother Mary”