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Did Industry Improve Society? Many factors promoted industrialization, including cheap labor, new inventions and technology, and plentiful raw materials. Railroads rapidly expanded, while government policies encouraged economic growth. • What changes in lifestyle do you think occurred because of industrialization? • How do you think industrialization changed American politics? The Rise of Industry What economic policies allowed industries to expand after the Civil War? The Railroads How did the railroads encourage the settlement of the Plains and the West? Big Business Why did captains of industry such as Andrew Carnegie expand their businesses through new ways of organization? Unions Why did workers form unions? Big Ideas Government and Society The United States government adopted a policy of laissez-faire economics, allowing business to expand. The United States Industrializes Natural resources and a large labor force allowed the United States to industrialize rapidly. Lets Start a Business Pick a Business What resources do you need How to you make it Make a flow chart of how you use the resources New Inventions During the late 1800s, inventions such as the telephone and the lightbulb spurred economic development. Telephone past and present Pull up the worksheet from Mr. Phillips’ world Europeans Flood Into America Immigrants from Europe came to the United States for many reasons and entered the country through Ellis Island. Minnesota Imigration Swede Hollow Power Point Immigration Power Point Free Enterprise Laissez-faire economics promoted industrialization, but tariffs protected American companies from competition. Laissez-Faire: Hands off Entrepreneurs: Take Risk Tariffs: taxes on Imports Morrill Tariff- passed after civil war by Republican congress. Greatly increased tariff rates Do you think Government policies helped or hindered industrialization and why Big Ideas Science and Technology The growth of railroads encouraged development of the Plains and Western regions. Linking the Nation After the Civil War, the rapid construction of railroads accelerated the nation’s industrialization and linked the country together. Transcontinental Railway Pacific Railway Act:1862 -Union Pacific -Central Pacific “everything- rails, ties, building supplies, fuel for locomotives and trains, supplies for the men and animals on the entire work – had to be transported from the Missouri River” Robber Barons The government helped finance railroad construction by providing land grants, but this system also led to corruption. Time Zone Writing activity Robber Barron v. Captains of Industry Cornelius Vanderbilt, (The Men Who Built America) Credit Mobilier Scandal: 1872 Investors owned both The Union Pacific and Credit Mobilier. Signed contracts with themselves. Gouged the Union Pacific and added miles to track Same investors controlled both…agreed to pay When land grants were over, sold shares to congress way below cost A letter to a newspaper listing all members of congress who accepted shares --Rise of the term Robber Barrons Big Ideas Economics and Society Business people such as Andrew Carnegie developed new ways to expand business. The Rise of Big Business Corporations could produce goods more efficiently, which allowed the rise of big business. Steel Production Writing activity Document on Mr. Phillips World Consolidating Industry Business leaders devised new and larger forms of business organizations and new ways to promote their products. Remember your Business Expand your business What do you need ( Assume you have the capitol) Low costs Higher production Profit Present your ideas (Chapter 5 section 3) Big Ideas Struggles for Rights Unions grew and labor unrest intensified as workers fought for more rights. Working in the United States Low wages, long hours, and difficult working conditions caused resentment among workers and led to efforts to organize unions. Struggling to Organize Workers began to form unions to fight for better wages and working conditions but had few successes. New Unions Emerge The AFL fought for skilled workers; new unions tried to organize unskilled workers. Business v. Worker Project Details to follow Causes of Industrialization • Abundant natural resources • Cheap immigrant labor force • High tariffs reduce the import of foreign goods • National transportation and communication networks Causes of the Growth of Big Business • Little or no government intervention • Development of pools, trusts, holding companies, monopolies • Small businesses could not compete with economies of scale of larger businesses • Practices of some big businesses sometimes limited competition Effects on the Workplace • Rural migration and immigration created large, concentrated workforce • Low wages, long hours, and dangerous working conditions were common in large-scale industries • First large unions formed but had little bargaining power against larger companies