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CHAPTER 6: A NEW INDUSTRIAL AGE LATE 19TH CENTURY AMERICA EXPERIENCED AN INDUSTRIAL BOOM The Great Transformation 1876-1900 From rural to urban – What changes? • Population density (how spread out) & diversity (kinds of people) • Need for services From agricultural to industrial – What changes? • Cultural changes – – – – – – Dress Time (daily, seasonally) vs. clock Values Where & how you live Diet Relationships From isolationist to international involvement – What changes? • Military needs Introduction Rapid, profound changes – New Industry • Shift in employment to manufacturing • Number of firms shrank • Economic power concentrated in fewer hands New Industry Introduction Rapid, profound changes – Technology • Technology played a major role in transforming factory work and increasing the scale of production as steam and later electricity freed manufacturers from dependence on water power. • In the late nineteenth century, the United States became a technological innovator. Between 1870 and 1900, 900,000 patents were issued in the United States. • Thomas Edison’s success stimulated research and development in Europe and the United States. • Invention gave the United States a commanding technological lead. New Industry Introduction Rapid, profound changes – Corporations: A new way to organize economic activity •The modern corporation supplied the structural framework for the transformation of the American economy. •The corporation became a significant factor in the American economy in the 1850s when railroad companies grew. •The two major advantages of the corporation were that a corporation can outlive its founders and its officials and shareholders are not personally liable for its debts. •Large corporations changed the nature of work and stimulated urban growth. New Industry Introduction Rapid, profound changes – The Changing Nature of Work • By 1906, industrial labor had been reduced to minute, low-skilled operations, making skilled artisans obsolete. • Mechanization and technological innovation did not reduce employment but did eliminate some jobs. • Industrial workers shared little of the wealth generated by industrial expansion. They labored under unsafe conditions, generally working 10 hours a day, six days a week for low wages. • Workers lived close to factories in poor environments. • Many workers labored in small, cramped, poorly ventilated sweatshops. New Industry Introduction Opulence and growing poverty – Gilded Age • Term applied to late-nineteenth-century America that refers to the shallow display and worship of wealth characteristic of that period. New Industry Relative Share of World Manufacturing Essential Question Industrialization increased the standard of living and the opportunities of most Americans, but at what cost? SECTION 1: THE EXPANSION OF INDUSTRY After the Civil War (1865) the U.S. was still largely agriculture By 1920, the U.S. was the leading industrial power in the world This enormous growth was due to three factors; 1) Natural Resources 2) Governmental support 3) Urbanization BLACK GOLD EDWIN DRAKE PICTURED WITH BARRELS OF OIL In 1859, Edwin Drake used a steam engine to drill for oil This breakthrough started an oil boom in the Midwest and later Texas At first the process was limited to transforming the oil into kerosene and throwing out the gasoline -a by-product of the process Later, the gasoline was used for cars Causes of Rapid Industrialization 1. Steam Revolution of the 1830s-1850s. 2. The Railroad fueled the growing US economy: First big business in the US. A magnet for financial investment. The key to opening the West. Aided the development of other industries. (next slide) Causes of Rapid Industrialization 3. Technological innovations. Bessemer and open hearth process Refrigerated cars Edison o “Wizard of Menlo Park” o light bulb, phonograph, motion pictures. Causes of Rapid Industrialization 4. Unskilled & semi-skilled labor in abundance. 5. Abundant capital. 6. New, talented group of businessmen [entrepreneurs] and advisors. 7. Market growing as US population increased. 8. Government willing to help at all levels to stimulate economic growth. 9. Abundant natural resources. BESSEMER STEEL PROCESS Oil was not the only valuable natural resource Coal and iron were plentiful within the U.S. When you removed the carbon from iron, the result was a lighter, more flexible and rust resistant compound – Steel The Bessemer process did just did (Henry Bessemer & William Kelly) BESSEMER CONVERTOR CIRCA 1880 NEW USES FOR STEEL The railroads, with thousands of miles of track, were the biggest customers for steel Other uses emerged: barbed wire, farm equipment, bridge construction (Brooklyn Bridge- 1883),and the first skyscrapers BROOKLYN BRIDGE SPANS 1595 FEET IN NYC INVENTIONS SPUR INDUSTRY ELECTRICITY 1876- Thomas Alva Edison established the world’s first research lab in New Jersey There Edison perfected the incandescent light bulb in 1880 Later he invented an entire system for producing and distributing electricity By 1890, electricity powered numerous machines EDISON Thomas Alva Edison “Wizard of Menlo Park” Alexander Graham Bell Telephone (1876) THE TELEPHONE Another important invention of the late 19th century was the telephone Alexander Graham Bell and Thomas Watson unveiled their invention in 1876 BELL AND HIS PHONE Alternating Current George Westinghouse Westinghouse Also invested an air brake for railroads THE TYPEWRITER Christopher Sholes invented the typewriter in 1867 His invention forever affected office work and paperwork It also opened many new jobs for women 1870: Women made up less than 5% of workforce 1910: They made up 40% Marketing Consumer Goods Department stores Chain stores in smaller towns (Woolworth) Mail order (Sears, Roebuck) Packaged goods (Kellogg, Post) Refrigerated railroad cars & canned goods – Swift (meat packing) U. S. Patents Granted 1790s 276 patents issued. 1990s 1,119,220 patents issued. SECTION 2: THE AGE OF THE RAILROADS The growth and consolidation of the railroad industry influenced many facets of American life However, the unchecked power of the railroad companies led to widespread abuses and then reforms Railroads & Industrialization What resources do railroads need as they are being built? – Steel – Wood – Water – Tools – Railway bed materials – Others? A NATIONAL NETWORK By 1869, tracks had been laid across the continent (Golden Spike- Utah) Immigrants from China and Ireland and out-ofwork Civil War vets provided most of the difficult labor Thousands lost their lives and tens of thousands were injured laying track IMMIGRANTS FROM CHINA LAID TRACK RAILROAD AND TIME Before 1883, each community still operated on its own time For example: Noon in Boston was 12 minutes later than noon in New York City Indiana had dozens of different times No standard time reference PROFESSOR DOWD CREATES TIME ZONES In 1869, to remedy this problem, Professor C.F. Dowd proposed dividing the earth into 24 time zones The U.S. would be divided into 4 zones: the eastern, Central, Mountain, and Pacific 1883 – Railroads synchronized their watches across U.S. 1884 – International Conference adopts zones PROFESSOR DOWD EXPLAINS HIS TIME ZONES THE WORLD IS DIVIDED INTO 24 TIME ZONES THE UNITED STATES IS DIVIDED INTO 4 TIME ZONES RAILROADS SPUR OTHER INDUSTRIES The rapid growth of the railroad industry influenced the iron, coal, steel, lumber, and glass businesses as they tried to keep up with the railroads demand for materials The spread of the railroads also led to the growth of towns, new markets, and opportunity for profiteers RAILROADS LED TO GROWTH OF CITIES Many of today’s major cities owe their legacy to the railroad Chicago, Minneapolis, Denver, and Seattle all grew up thanks to the railroad “MY KIND OF TOWN” PULLMAN: A FACTORY & TOWN THE TOWN GEORGE PULLMAN In 1880, George Pullman built a factory for manufacturing sleepers and other railroad cars in Illinois The nearby town Pullman built for his employees was modeled after early industrial European towns Pullman workers felt his puritanical town was too strict When he lowered wages but not rent – it led to a violent strike in 1894 CREDIT MOBILIER SCANDAL Stockholders of Union Pacific Railroad formed a construction company in 1864 Stockholders then gave contracts to the company to lay track at 3 times the actual costs and pocketed the difference They donated shares of the stock to 20 Republican members of Congress in 1867 POSTER FOR BOGUS CONSTRUCTION COMPANY THE GRANGE AND THE RAILROADS GRANGERS PUT A STOP TO RAILROAD CORRUPTION Farmers were especially affected by corruption in the railroad industry Grangers (a farmers organization) protested land deals, price fixing, and charging different rates to different customers Granger Laws were then passed protecting farmers States were given regulation control of railroads by the Courts INTERSTATE COMMERCE ACT In 1887, the Federal government re-established their control over railroad activities Congress passed the Interstate Commerce Act and established a 5member Interstate Commerce Commission (ICC) The ICC struggled to gain power until 1906 1887 – CONGRESS PASSED THE ICA