3. By early 1900s, US world’s leading
industrial nation.
Fueled by:
Abundant supply of natural resources
Improved transportation
transcontinental railroad moving resources
and people
Increase in labor force
1860-1910 population tripled
Greater demand for consumer goods
Large workforce
4. Gov’t supported industrialization:
Helped industries with loans & minimal
regulation
Railroad construction subsidized by gov’t
Loans and land grants
Maintained laissez-faire approach
Imposed few regulations
Viewed labor organizations with suspicion
High tariffs on imports to protect domestic
industry
Contradicted laissez-faire
Caused foreign nations to raise tariffs
Increased cost of American goods
5. The Men who Built America-
History Channel Series
Traits of a “TITAN” PREVIEW
2 pages of
handwritten notes
over 1 episode = 2
FREE 100s
5 different episodes
Rockefeller
Carnegie
JP Morgan/Edison
Ford
Vanderbuilt
7. Steel…
Affected technological change more
than any other product
Allowed for cheaper building materials
Bessemer Process
Cold air pressure method of transforming
iron ore into steel
Andrew Carnegie- Steel Tycoon
Believed in SOCIAL GOSPEL movement-financed
Public Libraries
GOSPEL OF WEALTH: Believed it was
wealthy’ s obligation to contribute to society
(part of the social gospel movement)
Philanthropist
9. Oil and Electricity
Oil could be refined into
gasoline, kerosene, and distillate
John D. Rockefeller
Standard Oil Co.
Own all aspects of production
Oil wells, refineries, retail outlets
Controlled 90% of world’s oil trade
Edison Electric Illuminating
Co.
Supplied electric power to
New York City
10. Railroads & Banks
“Commodore” Vanderbilt
Railroad monopoly
American industrialist and
philanthropist who built
his wealth in shipping and
railroads
J.P. Morgan
Monopoly of the BANKS
Interlocking directorates
In 1892 Morgan arranged
the merger of Edison
General
Electric and Thomson-
Houston Electric
Company to form General
Electric (AKA GE)
11. The Assembly Line
Henry Ford popularized use in
manufacturing
Combined sub-assembly lines into one
continuous moving line
Divided operation into simple tasks
Workers performed same task repeatedly
Unskilled workers could perform tasks
Allowed for faster production
Reduced cost of automobile
Efficiency!!!!
12. Railroads
Pacific Railway Act provided for
construction of transcontinental RR
Transcontinental Railroad
Gov’t gave land along right-of-way to
encourage rapid construction
Sold land to pay for costs
Union Pacific RR-built East to West from
Omaha, NE
Central Pacific RR-built West to East from
Sacramento, CA
Hired workers from China
Joined May 10, 1869 near Ogden Utah
13. Big Business cont’d.
Competition creates lower prices
Without competition, monopolies form
Vertical integration (Carnegie)
One company owns all other businesses it
takes to make finished product
Chair Co = Cloth Co + Frame Co + Shipping Co
Horizontal integration (Rockefeller/J.P.
Morgan)
One large company owns several smaller
companies doing the same type business
Mega Convenience Store = Allsups + Pak-a-Sak
+ Toot-n-Totum
14. Negative View of Industry
SOCIAL DARWINISM-
The belief that society
was much like nature and
only the “strong”
survived
Large monopolists often
used this theory to defend
their immense fortunes
and ill treatment of
workers
• Often times the
“INDUSTRIALISTS”
were referred to as
“ROBBER
BARRONS” or
“TITANS OF
INDUSTRY”
because of their
unethical and power
hungry strategies
18. Factory Work in US
Life in the factory—
Unsafe work environment
No gov’t regulations
Low pay
Long hours
Tedious, monotonous jobs—no skills required
Unions
Great length to keep out of factories
Samuel Gompers—first leader of American
Federation of Labor
Fought for higher wages, better working conditions
19. Knights of
Labor
Terence V.
Powderly
• Open membership (skilled, unskilled, women,
children, immigrants and African Americans
• Goals was to create a cooperative society in
which laborers and capitalists were equal
• Were blamed for Haymarket Square Riot unfairly
and became known as anarchists/violence
Industrial
Workers of the
World
(IWW)
• “Mother”
Jones
• Elizabeth
Flynn
• Big Bill
Haywood
• Like Knights in that they strove to unite all
workers (open membership)
• Motto: “An injury to one is an injury to all”
• Embraced class conflict and violent tactics
• Small union (150,000)
American
Federation of
Labor
“AFL”
Samuel
Gompers
• Alliance of SKILLED workers
• Concentrated on “Bread and Butter issues” such
as higher wages, shorter hours and better
working conditions
20.
21.
22. Famous Strikes of the Industrial Revolution
Homestead Strike (1892)
“Lock out” by one of
Carnegie’s steel
mills near Pittsburgh
Carnegie supported
Unions but the
“Chairman” of US
Steel, Henry Frick,
wanted to break the
Union at Homestead
Turned violent and
very public
23. Famous Strikes of the Industrial
Revolution
Haymarket Riot
Nationwide Strike to
support an 8-hour
workday
A clash between strikers
and police leaves one
dead in Chicago’s
Haymarket Square
Bomb thrown by
strikers…Police open
fired
7 police dead
4 workers killed
The Pullman Strike
Pullman Palace Rail Car
Co. had to cut wages
because of hard
economic times
Workers had unionized
under the ARU (American
Railway Union
Leader: Eugene V. Debs
ARU boycotts Pullman
Railcars
Entire US’s rails are shut
down
President Cleveland has to
send it troops to stop
boycott
24. The Great Railroad Strike of
1877
Panic of 1873 (recession) forces
companies to cut wages
This causes 1st NATIONWIDE Labor
protest
Rail workers walked off job, blocked
tracks and destroyed Rail Co. property
President Hayes ends up sending
troops in to put to order and stop
violence
25. The Impact of Industry
Industrial Revolution at first not
benefit everyone equally
National wealth and personal
income grew significantly by
1920s
Cheaper consumer goods on
market