1. The Growth of Industry
Explain the business cycle and describe the growth of the steel industry

2. Business Cycle Business Cycle – periods of good and bad times
Booms – good times when people buy more and some invest in business
Industries and businesses grow

3. Busts – bad times when spending and investing decrease
Industries lay off workers and produce less
Low economic activity = depression

4. Bessemer Steel Process
Steel industry contributed to industrial growth
Prior mid-1800s – steel-making process required huge amount of coal making steel expensive
New manufacturing technique uses 1/7th of the coal
Cut the cost of steel increasing production 500 times between 1867 and 1900

5. Industries make products of steel instead of iron – plows, barbed wire, nails, beams for buildings
Main use was expansion of railroads

6. Summary – Answer the following questions: What is the business cycle?
What caused the steel making industry to boom and why?
Activity: Illustrate the business cycle