Labor

Review: Causes of Ind. Rev. Large supply of natural resources (forest = lumber, whale blubber = oil/fuel) Large population, increase of immigrants willing to work cheap in cities Entrepreneurs – people with money who invest in ideas Government – protective tariffs to keep imports down Electricity – power & work through the night

Review: How did people live? Wealthy lived very well, the majority… Lived in tenement houses, close together, crowded, no privacy, dirty Forced to work long hours in dangerous conditions – Triangle Shirt Waist Fire Children worked to support the family (how did that keep people in poverty?) Devil in the White City…

Different Economic Systems Capitalism – Private individual OWNS/CONTROLS the means of production, how it is made, who works for him, how much he charges for it. This man then keeps the profits.

Different Economic Systems Socialism – The government plays a role in the economy with some private ownership and some government ownership: Universal Health Care

Different Economic Systems Communism- The government owns and controls the means of production. The government sets the prices, hires the workers, sets the wages, and earns the profit.

Communist Breadline

Business Management Corporation – group ownership of a business. People pool their money together and divide the profit depending on their “shares” of the company Monopoly – a corporation controls an entire market of goods. Why is this good and bad for the consumer?

Business Management Cartel – A small group of businesses join together to control a market and drive out competition by controlling prices, etc.

Business Managment Horizontal Integration – combining many different companies that produce the same product into one (done by buying stock and control of different companies) Trust – the way a corporation tries to get around the law by assigning their stock to a board of trustees who create a new organization, run it and pay themselves from the profits.

Business Management Vertical Integration – Buying up the companies that produce the resources you need to make your product.

Haymarket Riot During the late 1800’s communism, socialism and anarchism became popular concepts. Why do you think they gained influence?

Haymarket Riot May 1886 – Nationwide movement for the 8 hour work day (8 hours for work, 8 hours for rest, 8 hours for what we will) Chicago was a large city and had many German immigrants who were supportive of and promoted anarchism. People were afraid violence would erupt

Haymarket Riot May 1 st the nationwide strike is peaceful May 3 rd Strikers at the McCormick factory harass scabs and are themselves attacked by the police. Rumors fly of a massacre (that didn’t occur) May 4 th a meeting is called at the Haymarket Square to discuss the police issue…

Haymarket Affair It is a peaceful meeting, even the Mayor attended, but left before the last speaker finished. The police ordered the crowd to break up as the last man gave his speech. Someone from the crowd threw a bomb, killing a police man and injuring others.

Haymarket Affair 8 anarchist leaders were arrested and tried for the incident. None of them knew who did it, nor was there any evidence linking them to it. They were found guilty of preaching anarchism and sentenced to death.