Industrialism and Daily Life USH&G

The Rise of Industrialism Why Industrial Growth? Why Industrial Growth? Lots of natural resources Lots of natural resources Better transportation Better transportation People move to cities People move to cities Provided lots of workers for the factories Provided lots of workers for the factories Included lots of immigrants! Included lots of immigrants! Government support Government support Gov’t loans/support Gov’t loans/support Laissez Faire attitude Laissez Faire attitude Little &/no regulation Little &/no regulation No taxes (personal or business) No taxes (personal or business) No environmental controls No environmental controls Seamstresses in a textile factory

Invention & Innovation Spirit of Innovation Spirit of Innovation US issues 676,000+ patents US issues 676,000+ patents Inventors improve lives + receive fame & fortune Inventors improve lives + receive fame & fortune Steel is King Steel is King Replaces iron on RRs, skyscrapers, bridges… Replaces iron on RRs, skyscrapers, bridges… Electricity → widespread Electricity → widespread Telegraph & telephone, elevators Telegraph & telephone, elevators Machines ↑ production Machines ↑ production Mass production Mass production Assembly lines… Assembly lines… New York City Skyscraper, 1901

The Assembly Line Reading: The Assembly Line Reading: The Assembly Line Video: I Love Lucy, assembly line Video: I Love Lucy, assembly line Ford Automobile factory assembly line

Industrialism Leads to Big Business Industrial Giants… Industrial Giants… –Rockefeller –Carnegie –Vanderbilt –Pullman –Westinghouse Called the “Gilded Age” Called the “Gilded Age” Criticisms of Big Business Criticisms of Big Business –Gap between “haves” and “have nots” –So few had so much Defense of Big Business Defense of Big Business –Risk takers deserve the profits –“Gospel of Wealth”… Far right: John D. Rockefeller, founder of the Standard Oil Company; Center below: Andrew Carnegie and other business leaders

Others, like Andrew Carnegie followed the “Gospel of Wealth” “This then, is held to be he duty of the man of Wealth; First, to set an example of modest, unostentatious living, shunning display or extravagance; to provide moderately for the legitimate wants of those dependent upon him; and after doing so to consider all surplus revenues which come to him simply as trust funds, which he is called upon to administer, and strictly bound as a matter of duty to administer in the manner which, in his judgment, is best calculated to produce the most beneficial results for the community—the man of wealth thus becoming the mere agent and trustee for his poorer brethren, bringing to their service his superior wisdom, experience, and ability to administer, doing for them better than they would or could do for themselves….” “This then, is held to be he duty of the man of Wealth; First, to set an example of modest, unostentatious living, shunning display or extravagance; to provide moderately for the legitimate wants of those dependent upon him; and after doing so to consider all surplus revenues which come to him simply as trust funds, which he is called upon to administer, and strictly bound as a matter of duty to administer in the manner which, in his judgment, is best calculated to produce the most beneficial results for the community—the man of wealth thus becoming the mere agent and trustee for his poorer brethren, bringing to their service his superior wisdom, experience, and ability to administer, doing for them better than they would or could do for themselves….” Andrew Carnegie, 1913 Andrew Carnegie, “Wealth,” North American Review, CXLVIII (June 1889), pp

Good intentions, poor follow- through at times? The GOW is a little bit like: “I’m better than you…” The GOW is a little bit like: “I’m better than you…” The top industrialists were pretty ruthless getting to the top… The top industrialists were pretty ruthless getting to the top… Worked employees hard Worked employees hard Kept wages as low as possible Kept wages as low as possible But, once at the top, many of them started giving their money away… But, once at the top, many of them started giving their money away… The Homestead Strike, 1892

$350 million for Libraries, Concert halls, Universities Left: Seattle Public “Carnegie” Library, 1919 (Seattle has a total of 7 Carnegie libraries) The Gospel of Wealth. Cartoon from Judge, New York Public Library Carnegie Hall was built in 1891 & is one of the most prestigious venues in the world for classical & popular music

Rockefeller’s Charities Rockefeller gave his money away, too. He gave over $500 million, from his one-time peak of over $900 million. This made him WAY MORE wealthy than Bill Gates ($43 billion in 2010). According to Forbes Magazine, in 2008 dollars, John D. Rockefeller was worth $318.3 billion. Rockefeller gave his money away, too. He gave over $500 million, from his one-time peak of over $900 million. This made him WAY MORE wealthy than Bill Gates ($43 billion in 2010). According to Forbes Magazine, in 2008 dollars, John D. Rockefeller was worth $318.3 billion. He gave money to Rockefeller University (NYC research university) & the Rockefeller Foundation He gave money to Rockefeller University (NYC research university) & the Rockefeller Foundation Rockefeller Center is not just the ice skating rink seen in all romantic comedies set in NYC in the winter, it’s actually a 19 building office complex (money maker). Rockefeller Center is not just the ice skating rink seen in all romantic comedies set in NYC in the winter, it’s actually a 19 building office complex (money maker).

Other “Robber Barons” (or should we call them “Captains of Industry”?) John Jacob Astor (real estate, fur) – New York City John Jacob Astor (real estate, fur) – New York City Jay Cooke (finance) – Philadelphia, PA Jay Cooke (finance) – Philadelphia, PA Charles Crocker (railroads) - California Charles Crocker (railroads) - California Daniel Drew (finance) – New York state Daniel Drew (finance) – New York state James Buchanan Duke (tobacco) – near Durham, NC James Buchanan Duke (tobacco) – near Durham, NC James Fisk (finance) – New York state James Fisk (finance) – New York state Henry Morrison Flagler (RRs, Standard Oil – NYC & Palm Beach Henry Morrison Flagler (RRs, Standard Oil – NYC & Palm Beach Henry Clay Frick (steel) – Pittsburgh and New York City Henry Clay Frick (steel) – Pittsburgh and New York City John Warne Gates (steel) John Warne Gates (steel) Jay Gould (railroads) Jay Gould (railroads) Edward Henry Harriman (railroads) – New York state[6] Edward Henry Harriman (railroads) – New York state[6] Milton S. Hershey (Chocolate) Milton S. Hershey (Chocolate) Mark Hopkins (railroads) - California Mark Hopkins (railroads) - California J. P. Morgan (banking, finance, steel, industrial consolidation) New York City J. P. Morgan (banking, finance, steel, industrial consolidation) New York City Henry B. Plant (railroads) – Florida Henry B. Plant (railroads) – Florida Leland Stanford (railroads) – Sacramento, California and San Francisco, California Leland Stanford (railroads) – Sacramento, California and San Francisco, California Cornelius Vanderbilt (railroads) Cornelius Vanderbilt (railroads) This list is from Wikipedia.com; the graph is from Robber Barons, J. Bradford DeLong, University of California at Berkeley, January 1, 1998

Trusts & Government Corruption Industrial Trusts ↑ Monopolies squeeze out competition Trusts influence gov’t affairs Laissez Faire City Gov’t Corruptions “Machines” & “bosses” Political Cartoon, “Bosses of the Senate,” Puck Magazine

Organized Labor Responds Labor Unions Emerge Labor Unions Emerge 2 million members by million members by 1904 Knights of Labor Knights of Labor American Federation of Labor American Federation of Labor Wobblies Wobblies Business Response to Labor Business Response to Labor Gov’t regulated unions Gov’t regulated unions Fear of communism Fear of communism Textile mill strike in Lawrence, MA Strikes and Violence Strikes and Violence Railway workers strike Railway workers strike Pullman strike Pullman strike Union Victories Union Victories By 1912, 38 states had minimum-wage laws & health standards By 1912, 38 states had minimum-wage laws & health standards

Impact on Daily Life Benefits for the Middle Class Benefits for the Middle Class Able to afford new inventions Able to afford new inventions Life for Average Americans Life for Average Americans Drudgery & hardship Drudgery & hardship Industrial Working Conditions Industrial Working Conditions Horrible working conditions Horrible working conditions Low Pay & Reasons to Stay Low Pay & Reasons to Stay Any job was good enough… Any job was good enough… New Workers New Workers Women Women Child Labor Child Labor Minority & Immigrant Laborers Minority & Immigrant Laborers Above: Carnegie steel mill at Homestead, PA; Below: Young Pennsylvania coal miners