A New Industrial Order 1877-1918 "What is the chief end of man?--to get rich. In what way?-- dishonestly if we can; honestly if we must." -- Mark Twain-1871.

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Presentation transcript:

A New Industrial Order "What is the chief end of man?--to get rich. In what way?-- dishonestly if we can; honestly if we must." -- Mark Twain-1871

Industrial Systems Land (Natural Resources) Labor Investment And Innovation Communications Corporate Organization And Management

Natural Resources and Sectional Division Agricultural Division – South: cotton, tobacco, lumber, timber products, beef, pork – Midwest: lumber, grain, beef, pork, dairy – West: beef, grain, timber Resource Extraction – South: coal – Midwest: coal, copper, iron ore, petroleum – West: copper, silver, iron ore, coal, etc.

The Problem of Labor Why did demand for labor increase from ? What are the different demands on an industrial labor force? Where did the new labor force come from? Rural America Immigration Before/After 1890

Entrepreneurial Invention ( ) Systematic invention and Public Investment – Thomas A. Edison (1879) “Menlo Park” – J.P. Morgan and General Electri Entrepreneurs, Systematic Invention, and Public Investment

Corporate Organization and New Management Corporate Organization – Andrew Carnegie and “vertical integration” – John D. Rockefeller and “horizontal integration” The predominance of corporations ( ) “Managerial Revolution” – Rationalization of labor and “white collar work” – Scientific management Frederick Taylor “Taylorism” Henry Ford’s management style

Communications The American Railroad system Telephone and Telegraph systems

The Role of the State Civil War Government involvement – 1861 Morrill Tariff – 1862 Morrill Land Grant College Act – 1862 Pacific Railroad Act – 1862 Homestead Act – th Amendment to the Constitution Santa Clara County v. Southern Pacific Railroad

Price Stagnation after 1877 Source: David Hackett Fischer

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