1. Review for Unit 5 Test

2. Industrialization Post Civil War
“Industrial Revolution” started in England and spread to US
Using machines to replace human and animal power
Shift from manufacturing in the home to factories
Improved transportation
Growth of capitalism
Economic system in which the means of production and distribution are privately owned and operated for profit

3. Industrialization in the US
Rich in natural resources
Rich in labor resources
Rich in capital resources
By 1894, US manufactured more goods than any other country in the world

4. Problems Issues between labor and management
Uneven distribution of wealth
Harmful business combinations (trusts & monopolies)

5. Business
Small organizations often proved inadequate with the new grown demand for products
If a business wanted to expand, it was difficult for one or two people to come up with enough money
Corporations become a major form of business
Organization legally empowered to act as one person, including the ability to borrow and lend money, make contracts, own poperty, and engage in business (part ownership through the sales of stocks and bonds to raise capital)

6. Trusts/Monopolies
A combination of companies or industries established to reduce competition and increase profits
Cut out competition
Total control of an industry
Carnegie, Rockefeller, JP Morgan
** Think about “The Men Who Built America”

7. Transportation 1869 first transcontinental railroad was complete
Joined the Union Pacific and Central Pacific railroads
Enabled the nation to transport its wealth in natural resources to factories, storehouses, markets and seaports

8. Other Inventions Telephone (Alexander Graham Bell)
Telegraph (Samuel Morse)
Lightbulb (Thomas Edison)
Oil/Kerosene

9. Entrepreneurs JP Morgan Andrew Carnegie John Rockefeller
Reorganizer of railroads, organized the first billion-dollar corporation
Andrew Carnegie
Ironmaking, bridge building, and investing in oil, Carnegie Steel Company, philanthropist
John Rockefeller
Standard Oil Company, controlled most of the nations oil refineries

10. Public Good v. Private Gain
Laissez-Faire: opposing government regulation of economic matters beyond what is necessary to maintain property rights and enforce contracts
Did not favor interference by unions either
Social Darwinism: belief that social progress depended upon competition among human beings resulting in the “survival of the fittest.”

11. As Americans saw the suffering of the poor in city slums, the deteriorating working conditions and failing health of America’s workers, the monopolistic practices of major businesses, the lack of consumer protection, the exploitation of the nation’s resources, and the widening gap in the distribution of the nation’s wealth, many realized that some government regulation was necessary.

12. Call for Reform Interstate Commerce Act
Sherman Antitrust Act (not successful)
More and more Americans were becoming concerned about the effects of big business!

13. Reform for the Workplace
National labor unions
Work together for better working conditions (strikes, bargaining)
Knights of Labor (Uriah Stephens)
American Federation of Labor (Samuel Gompers)
International Ladies Garment Workers Union
Triangle Shirtwaist Factory fire

14. Farmers Farmers alliances were formed to address a number of issues
Populist Party was formed through the efforts of the Farmer’s Alliances
Graduated income tax
Gov’t ownership of railroads & telegraph lines, direct election of senators