Mr. Hammill

Essential Question How did the changes in technology and business impact the economic, political, and social life of the United States?

Causes of Industrial Growth 1.Steam Revolution of the 1830s-1850s 2. The Railroad fueled the growing US economy:  First big business in the US.  The key to opening the West.  Took advantage of mid-west farmers  Responsible for creation of Interstate Commerce Act (1887)  Aided the development of other industries.  Reason for standardized time zones (1918) 1.Steam Revolution of the 1830s-1850s 2. The Railroad fueled the growing US economy:  First big business in the US.  The key to opening the West.  Took advantage of mid-west farmers  Responsible for creation of Interstate Commerce Act (1887)  Aided the development of other industries.  Reason for standardized time zones (1918)

Causes of Rapid Industrialization 3. Technological innovations.  Edwin L. Drake steam engine  drill for oil  Bessemer Process  making steel by injecting air into iron  Thomas Edison o Light bulb o Phonograph o motion pictures. 3. Technological innovations.  Edwin L. Drake steam engine  drill for oil  Bessemer Process  making steel by injecting air into iron  Thomas Edison o Light bulb o Phonograph o motion pictures.

Edwin L. Drake 1 st Oil Producing Well (1859)

Thomas Alva Edison “Wizard of Menlo Park”

The Light Bulb (1879)

The Phonograph (1877)

The Motion Picture Camera

Video Clip: Thomas Edison

Alexander Graham Bell Telephone (1876)

The Airplane Wilbur Wright Orville Wright Kitty Hawk, NC – December 7, 1903

Model T Automobile Henry Ford I want to pay my workers so that they can afford my product! Henry Ford I want to pay my workers so that they can afford my product!

“Model T” Prices & Sales

Captains of Industry or Robber Barons?

 Unskilled & semi-skilled labor in abundance.  Market growing as US population increased.  Abundant natural resources.  Unskilled & semi-skilled labor in abundance.  Market growing as US population increased.  Abundant natural resources. Causes of Rapid Industrialization

3. Horizontal Integration - John D. Rockefeller 3. Horizontal Integration - John D. Rockefeller 4. Vertical Integration: o Gustavus Swift  Meat-packing o Andrew Carnegie  U. S. Steel 4. Vertical Integration: o Gustavus Swift  Meat-packing o Andrew Carnegie  U. S. Steel

Big Business 1.Laissez Faire  the ideology of the Industrial Age.  Individuals should compete freely in the marketplace.  No room for government in the market!  If no government regulation what will happen??????  Individuals should compete freely in the marketplace.  No room for government in the market!  If no government regulation what will happen??????

2. Social Darwinism × Adapted Charles Darwin’s ideas from the “Origin of Species” to humans. × Notion of “Survival of the Fittest.” × Adapted Charles Darwin’s ideas from the “Origin of Species” to humans. × Notion of “Survival of the Fittest.” Herbert Spencer (English Philosopher) Herbert Spencer (English Philosopher)

2. Social Darwinism in America Andrew Carnegie Yale University (1906) $Individuals must have absolute freedom to struggle, succeed or fail  Individualism $Government should not interfere $Individuals must have absolute freedom to struggle, succeed or fail  Individualism $Government should not interfere

New Business Culture: “The American Dream?” 3.Individualism  Horatio Alger [100+ novels]  rags to riches novels involving the poor going to the big city to strike it rich 3.Individualism  Horatio Alger [100+ novels]  rags to riches novels involving the poor going to the big city to strike it rich Is the idea of the “self-made man” a MYTH??

The Gospel of Wealth: Andrew Carnegie  The Anglo-Saxon race is superior.  “Gospel of Wealth” (1901).  Inequality is inevitable and good.  Wealthy should act as “trustees” for their “poorer brethren.”  The Anglo-Saxon race is superior.  “Gospel of Wealth” (1901).  Inequality is inevitable and good.  Wealthy should act as “trustees” for their “poorer brethren.”

New Type of Business Entities 1. Trust (1882)  group of organizations formed to limit competition by controlling the production and distribution of products and services. 1. Trust (1882)  group of organizations formed to limit competition by controlling the production and distribution of products and services.  John D. Rockefeller - Standard Oil Company  John D. Rockefeller - Standard Oil Company

Standard Oil Co.

5. Steel Industry Andrew Carnegie ( )Andrew Carnegie ( ) –Began in Railroad Industry –He decided to get into the steel business and opened a company in Pittsburgh in 1875 –Soon owned most the worlds steel industry!!

Wall Street – 1867 & 1900

The Reorganization of Work The Assembly Line

The Protectors of Our Industries

The ‘Robber Barons’ of the Past

2. Monopolies and Trusts Late 1800s—Americans become suspicious of large corporationsLate 1800s—Americans become suspicious of large corporations Power of monopolies was fearedPower of monopolies was feared Wanted to prevent horizontal integrationWanted to prevent horizontal integration

Regulating the Trusts 1890  Sherman Antitrust Act  Made it illegal to form a trust that interfered with free trade between states or with other countries  Labor Unions start to Emerge to fight for the rights of workers since the government was not going to regulate business  Sherman Antitrust Act  Made it illegal to form a trust that interfered with free trade between states or with other countries  Labor Unions start to Emerge to fight for the rights of workers since the government was not going to regulate business.