1. After the Civil War, the North and West grew quickly. Railroads helped the West grow, while industrial cities sprang up all over the north employing many children and immigrants.

2. Pre-Civil War: Early 1800s Post-Civil War: Late 1800s “Industrial Revolution” Water Power Machines replaced hand tools Interchangeable Parts More Factories Move towards cities More movement to cities (urbanizations) Railroads used to deliver supplies New inventions Electricity Increase in immigration, more workers More money to invest

3. Capital Money invested in business equipment Transportation Canals, Roads, Boats, Railroads New Technology/ Inventions Assembly Line (Henry Ford) Bessmer Process (Carnegie & Steel) Natural Resources Lumber, Water, Oil, Coal, Silver, Copper Land! New Business Practices: Corporations

4. How did railroads spur industrial growth? Steel & Coal were needed to run the railroads, so those businesses grew along with the demand for lumber. Jobs were created Towns were born along railroad tracks

5. Cornelius Vanderbilt What do I care about law? Ain't I got the power? - Cornelius Vanderbilt -He linked all the Railroads lines in the Great Lakes area -Forced smaller companies out of business by offering lower prices, but then raised them once the competition was gone -Used rebates – discounts to companies, to get corporate business

6. Carnegie Steel Company -Big $$$$$$$$$ -Used the Bessemer Process – made good steel at a low cost -He owned everything needed to produce steel! – Vertical Integration

7. Owning all steps in the production process, so you can charge HIGH PRICES Carnegie Iron Ore Carnegie Limestone Carnegie Coal Carnegie Steamships Carnegie Railroad Carnegie Steel Mills Carnegie Warehouses And Sales Outlets Big $$ for Carnegie, but no one could compete – this was unfair to consumers!

8. John D. Rockefeller owned STANDARD OIL COMPANY, the first MONOPOLY – charging HIGH PRICES!

9.  Standard Oil Trust controlled 95% of oil refining in the United States.  A Monopoly is a business that controls all similar businesses. If you wanted oil…you could only buy it from Rockefeller – that’s not fair to consumers!

10. The Problems with Monopolies No competition means higher prices! They control prices! Force small companies out of business Poor working conditions Low wages Wide gap between rich & poor

11. -A Business owned by many people called investors (people who buy stock in the company). Corporations raise $ by selling stocks, or ownership in the company. People who buy stocks are called stockholders. The money they receive when the company makes a profit is called a dividend.

12. Robber Barons Cornelius Vanderbilt, Andrew Carnegie, and John Rockefeller were seen as Robber Barons because they made LOTS of money, but their workers made little and worked in harsh conditions. They gave $ to charity, does that make their actions better?

13. New Technology! Thomas Edison – Invented a new light bulb, phonograph, and much more! Alexander Graham Bell: Invented the telephone Henry Ford Henry Ford: Defined the modern age by providing jobs on an assembly line, and producing affordable cars (Model T) by mass production.

14. Poor Working Conditions -Crowded -Fire Hazards -No Emergency Plans -Child Labor -Low Wages -Long Hours -Locked Doors Sweatshops

15. How to improve the working conditions? Join a Union Join a Union !: an organized group of workers who would negotiate (collective bargaining) -Knights of Labor (no strikes, too violent) Leader: Terrence Powderly -American Federation of Labor (AFL) Leader: Samuel Gompers *Used Strikes (refusal to work) to pressure the boss. Often became violent.