Chapter 10: Growth & Expansion 1790 – 1825 Sec. One: Economic Growth(1) - Colonial Period – Workers in short supply; were self-sufficient. -By mid-1700s the way goods were made begin to change. -Industrial Revolution – machinery, people moved off farms. -I.R. in New England – Began around 1800 in Mass., R.I., Conn., Vermont, and N.H. - Poor soil, good streams for waterpower to run machinery for factories. - Good resources (coal, iron, textiles, many ports (cotton from South). - Capitalism was economic system which made NE flourish. - Free Enterprise – Buy, sell, & produce whatever they want.

Chapter 10: Section One: Economic Growth (2) New Technology -Scientific discoveries that simplify work. -New inventions: spinning jenny, power loom, etc Eli Whitney invented cotton gin Congress had passed a patent law to protect the rights of those who invented new machinery. -A patent gives the inventor the sole legal right to the invention and its profits for a certain period of time. New England factories -I.R. began in Great Britain who tried to keep their technology a secret. Some of their workers made it to the United States and brought the technology with them. - Samuel Slater memorized Richard Arkwright’s cotton spin-

Chapter 10: Section One: Economic Growth (3) ning machines and came to U.S. in He started up a cotton mill in Pawtucket, R.I. and duplicated Arkwright’s machines. Slater’s work propelled U.S.’s Industrial Rev- olution. Francis Cabot Lowell (1814) opened a textile plant in Waltham, Mass. He built upon Slater’s idea, and for the first time all stages of cloth making in the U.S. were under one roof. His work launched the factory system, a system that brought manufacturing steps together in one place to Increase efficiency. This system was a significant step forward in the development of the U.S. I.R.

Chapter 10: Section One: Economic Growth (4) Interchangeable Parts -Eli Whitney (Conn.) began the use of interchangeable parts (identical machine) parts. Because they were all the same: 1.could be quickly put together to make a complete product, 2. could be manufactured with less-skilled labor, 3. and they made machine repair easier. Interchangeable parts made is possible for U.S. companies to mass produce goods, which reduced the prices. Agriculture Expands - Most Americans still lived on farms (65+% in 1820). -Cotton plantations began to increase in size dramatically. -Europe loved cotton and plantation owners began to use more slaves in order to produce more cotton.

Chapter 10: Section One: Economic Growth (5) -Between 1790 and 1820 cotton production soared from 3,000 to more than 300,000 bales a year. -Agriculture also expanded in the West. More and more people moved West to plant more cotton. - Western farmers concentrated on pork and cash crops like corn and wheat. Economic Independence -Small investors financed small industries. -Large businesses (corporations) began to develop quickly in the 1830s. Owners sold stock – shares of ownership in a company – to finance improvement and development. -In 1816 Congress chartered the Second Bank of the U.S. Large liked it, small people said it wasn’t in Constitution.

Chapter 10: Section One: Economic Growth (6) Cities Come of Age -Growth of factories spurred the growth of cites & towns. -NYC, Boston, Baltimore became economic centers. -West – Pittsburgh (Penn), Cincinnati (OH), & Louisville (KY) became important finance centers. -Dirt streets and sidewalks, no sewers, or ways to get rid of waste. -Diseases cholera, yellow fever and fires killed many. -More people, however, left their farms for work in the cities and were attracted to museums, shops, and libraries as these attractions outweighed the dangers.