In the early 1800’s, manufacturing products changed from homemade to machine-made. This period is called the First Industrial Revolution. It changed small

In the early 1800’s, manufacturing products changed from homemade to machine-made. This period is called the First Industrial Revolution. It changed small businesses into huge manufacturing companies.

Almost all U.S. industry was in the North before the Civil War. Many Northerners worked in factories. These factories had large machines that produced clothes, guns, or farm tools much faster than individual workers. Southerners continued to farm for a living. The ability to make products quickly by machine was a major advantage for the North in the Civil War.

A much more powerful Second Industrial Revolution took place after the Civil War. The economy of the entire nation began to move away from farming and toward industry. Companies began to expand and production greatly increased.

Industry was responsible for the nation’s wealth to increase by five and one-half times between 1860 and 1900. Americans moved from rural areas to cities to take factory jobs. The labor source was increased due to the large numbers of immigrants entering the United States.

Ingredients of Industrialization

Railroads Lead the Way

19-1

Inventions

19-2

An Age of Big Business

19-3

Industrial Workers

19-4

Ingredients of Industrialization

In order for the Industrial Revolution to have taken place in the United States several ingredients were needed.

• Advances in technology• Increases in agriculture• Raw materials• An abundant source of labor.

At the end of the 19th century the United States had all the ingredients for an Industrial Revolution

Advances in Technology

Choose one of the following inventions and explain how it helped to bring about the Industrial Revolution in the United States.

•The invention of the air brake by Westinghouse ( Team A)

•The turbine ( Team B)

•The Bessemer furnace ( Team C)

•The drill rig ( Team D)

Increase in agriculture

What role did agriculture play in the development of the Industrial Revolution in the United States?

Raw Materials

• What raw materials were need to operate factories within the United States?

• In what parts of the United States were these raw materials found?

A Labor Source

• Finally a labor source is needed to operate the machinery and keep the factories running. From where did this labor source come?

The Railroads

Section 19-1

Did You Know?

Railroad baron Cornelius Vanderbilt is memorialized at Grand Central Station in New York, the world’s largest and the nation’s busiest railway station. Inside the station houses Vanderbilt Hall and outside, along its western border, runs Vanderbilt Avenue.

Railroad Expansion

• Railroads became an important part of America’s economic growth.

• The first transcontinental railroad was completed in 1869.

• In 1860 the United States had about 30,000 miles of track.

• By 1900, nearly 250,000 more miles had been laid.• The country had five major railroad lines that crossed

the country and hundreds of smaller lines that branched off from them.

Railroad Expansion

• Large railroad companies expanded by buying smaller companies or driving them out of business.

• This was called consolidation.• Major railroad barons controlled these large

companies and the rail system.

Railroad Expansion

• One of these railroad barons was Cornelius Vanderbilt from New York. He made a fortune consolidating several companies and controlled the New York Central Line, a railroad empire from New York to the Great Lakes.

Railroad Expansion

• James J. Hill the Great Northern Line between Minnesota and Washington State,

• Collis P. Huntington, Leland Stanford and two others founded the Central Pacific that connected California and Utah.

Discussion Question

• How were railroad barons able to build such large empires?

Railroads Stimulate the Economy

• The railroad system helped the nation’s economy grow. It became the nation’s largest industry. The railroads carried raw materials to factories, manufactured goods from factories to markets, and farm produce to the cities.


• The national railroad system helped the lumber and coal industries grow. Railway ties were made of wood, and coal provided fuel for the locomotive engines.

• The demand for iron ties helped the iron mining and processing industries grow.


• The steel industry began to prosper around the 1880 when railroad companies switched to steel, a stronger metal, for their tracks.

• Railroad companies provided jobs for laying tracks, building stations, and manufacturing cars and equipment. They also became the nation’s largest employer.


• The railroad system was improved as railroad companies consolidated. A standard gauge, or distance between rails on a railway, was adopted for all tracks so that it was no longer necessary to load and unload goods to different train lines. One train could now travel the entire length of the track.


• New technology improved the railroads.

1. George Westinghouse devised air brakes, a safer way to stop trains

2. Eli H. Jenny invented car couplers that linked cars together.


3. Gustavus Swift invented refrigerated cars to carry perishable goods longer distances.

4. George Pullman developed the Pullman sleeping car, a luxury car with seats that converted into beds. He also created the dining car so travel was more comfortable.


• Railroads competed for customers. Congress and some states passed laws to regulate the industry, but the laws did not do much.


• Large companies offered secret discounts or rebates to their bigger customers to keep them.

• The discounts raised freight rates for farmers and other smaller customers, making it expensive for them to use the railroads.


• Railroad barons also made secret agreements among themselves. Know as pools, they divided the railroad business among their companies and set rates. This allowed the railroads to keep more of their money because they did not have to compete for customers or lower their prices to stay competitive.


• Railroads helped American industry expand to the West.

• The center for the flour-milling industry shifted from the East Coast to Ohio, Minneapolis, and then to Kansas City.

• The manufacturing center for agricultural equipment moved from central New York State to Illinois and Wisconsin. People also moved their homes into the Great Plains and the West.


• The growth of the railroad system led to a national system of four time zones. As a train travel become more common, people measured distances by the number of hours a trip would take rather than how far one place was from another.

Discussion Question

• What made the railroad the nation’s largest industry?

Inventions

Chapter 19-2

Did You Know?

While most inventors in the late nineteenth and early twentieth centuries were men, there were several women inventors as well. In 1903, Mary Anderson noticed people continually wiping off the snow and ice that collected on their windshields. To alleviate the problem, she made a drawing of a device that “ activated a swinging arm that mechanically swept off the ice and snow”—the windshield wiper.

Communication Changes

• Inventions in communication improved and transformed American life. They helped unify different regions and encourage economic growth.


• Samuel Morse introduced the telegraph in 1844. By 1860, the Western Union Telegraph Company controlled the thousands of miles of lines. Telegraphs offered instant communication.


• Telegraphs were used by:

1. shopkeepers to place orders

2. reporters to send stories to their newspapers.

3. people to send personal messages.


• Cyrus Field in 1866 laid a telegraph cable across the Atlantic Ocean, linking the United States and Europe with his new transatlantic telegraph.


• Alexander Graham Bell invented the telephone in 1876. It changed communication more than the telegraph. By 1890’s he sold hundreds of thousands of telephones first to businesses and then to homes.

Discussion Question

• How did the telegraph and telephone change America?

• How has communication changed since the invention of the telegraph and the telephone?

The Genius of Invention

• Between 1860 and 1890, the United States government granted more than 400,000 patents for new inventions. Among these were the typewriter in 1868, the adding machine in 1888, and the vacuum cleaner in 1899.


• Thomas Edison invented the phonograph, the motion picture projector, the telephone transmitter, the storage battery, and the most important invention, the light bulb in 1879. He designed power plants that could produce electric power and distribute it to light bulbs. He built the first central electric power plant in 1882 in New York City that lit 85 buildings.


• In 1885 George Westinghouse built transformers that could send electric power more cheaply over longer distances. Electricity was used to power factories, trolleys, streetlights, and lamps all over America.


• Inventions by African Americans helped improve industry.

1. Lewis Howard Latimer developed an improved filament for the light bulb and joined Edison’s company.

2. Granville Woods patented dozens of inventions such as the electric incubator, electromagnetic brake for the railroad, and an automatic circuit breaker.


3. Elijah McCoy invented a mechanism for oiling machinery.

4. Jan E. Matzeliger developed a shoe-making machine that revolutionized the shoe industry in America and overseas.

Discussion Question

What do you think spurred people on to crated new inventions?

A Changing Society

• In 1903, Henry Ford established an auto-making company and began designing cars. He has experimented with an automobile engine powered by gasoline. He and his general superintendent, Charles Sorenson, worked on an idea for a new type of car, and in 1908 introduced the Model T.

A Changing Society

• The Model T was a car that anyone could afford, that could be driven anywhere, and that was easily maintained. It became very popular. In the next 18 years, 15 million were sold.

A Changing Society

• Ford also pioneered the assembly line as a less expensive way to manufacture cars. The assembly line revolutionized industry because the concept was used in manufacturing other goods, too. It enabled manufacturers to mass-produce large quantities of goods more quickly.

Discussion Question

How did the Model T revolutionize transportation in the early 1900’s?

Directions: Using the index cards given to your group ,create a storyboard on the invention assigned to your group. Each card will depict one of the following scenes:

Card 1: Life before the inventionCard 2: The advent of the inventionCard 3: An immediate positive change to life due to the inventionCard 4: A long term positive change to live due to the inventionCard 5: A negative impact of the invention

Once the assignment is completed you will arrange your cards in sequential order on the display board.

Inventions:

•Bell’s telephone•Field’s electric car •Edison’s light bulb •Pullman’s sleeping car•Duryea’s gasoline powered car•Edison’s phonograph•Northrup’s automated loom

An Age of Big Business

Chapter 19-3

Did You Know?

Carnegie Hall in New York City has been home to many extraordinary performances, including the debuts if Antonin Dvorak’s “Symphony from the New World”, George Gershwin’s “Concerto in F”, and the first formal concert of Duke Ellington’s “ Black, Brown, and Beige.” In addition, American cultural icons such as actress Sarah Bernhardt, dancer Isadora Duncan and the Beatles, all performed on its stage.

Foundations for Growth

• Petroleum, or oil, was found in the hills of western Pennsylvania in the 1850’s.

• In 1859, Edwin L. Drake, dug a well, drilled for oil and began a multi-million dollar industry.

• Oil became valuable as people discovered it uses for producing heat and smoke-free lights, and for lubricating machinery.


• As the American economy was growing, railroads and other businesses needed to raise capital to grow.

• Railroads were the first businesses to incorporate, or form corporations.

• A corporation is a company that sells stocks, or shares of its business, to the public. The growth of the corporations helped the industrial expansion in America.


• People could buy stock and become shareholders, or partial owners.

• People bought and sold stocks on stock exchanges.

• Investors in corporation might receive dividends, or cash payments, as incentives for buying stocks.


• Buying stocks could be risky. For example:1. If a company does well, then its stock rises in

value. The shareholders can make a profit if they sell their shares.

2. If, however, the company does not do well and is losing money, the value of the stock falls, and the investors would lose money if they sold their shares.


• During this period of economic growth, businesses borrowed money from banks to begin or expand their companies.

• Banks made profits on these loans and played a major role during this time.

Discussion Question

Why did businesses need to incorporate, or form corporations, in the late 1800’s?

The Oil Business

• The oil industry grew quickly as prospectors and investors went to western Pennsylvania, Ohio and West Virginia to dig for oil.

The Oil Business

• John D. Rockefeller made a fortune and dominated the oil industry. His company, Standard Oil Company of Ohio, became the most famous corporate empire of its day.

• The corporation became so large that it produced its own tank cars, pipelines, and wooden barrels.

• It acquired competing firms through a process called horizontal integration.

The Oil Business

• Rockefeller created a monopoly of the oil industry. In 1882, he formed a trust, a group of companies managed by a board of directors.

• The trust acquired many oil companies by having shareholders in those companies trade their stock for Standard Oil Stock. When Standard Oil’s board traded for enough of the other companies stock, they then owned and managed those companies.

The Oil Business

• Other tactics to strengthen his company involved:

1. Lowering his prices to force competitors out of business

2. Pressuring customers to avoid using other oil companies

3. Persuading the railroads to give him rebates in return for his business.

Discussion Question

Why did Rockefeller’s Standard Oil Company acquire competing firms?

During the rise of industry, business owners tried to create monopolies by buying up all of the companies that competed with their own. By doing this, a company could increase its profits. Because of the lack of competition customers often were forced to pay higher prices for goods that were not available from any other company.

Robber barons was the name given to many of the big businessmen of the late 1800’s. They were given this name because they gained their wealth by driving out or buying up smaller companies and some saw this business tactic as “robbery”.

Once the competition was gone the robber barons charged high prices, took advantage of workers, and bribed government officials.

Some saw the robber barons as men who provided better services, improved the quality of their products and built the nation’s industries.

During this time the government helped big business because it saw that this growth in industry was good for the economy. Unfortunately some officials were dishonest and took bribes to pass laws to protect the interest of big business and often the government sided with the interest of business in disputes with workers.

This lack of government support resulted in the rise of labor unions. These unions formed to protect the rights and interest of the workers who provided the labor that ran the factories.

Businessmen of the late 1800’s

Cornelius Vanderbilt Railroads

John D. Rockefeller Oil

Andrew Carnegie Steel

Gustavus Swift Meat Packing

Philip D. Armour Meat Packing

Charles A. Pillsbury Flour milling

James B. Duke Cigarette manufacturing

Andrew W. Melon Aluminum

When a business gets rid of all its competitors, it has created a monopoly.

When companies are joined to limit competition in an industry a trust has been formed.

Discussion Question

In your copybook create the chart and then in your discussion group record what your group stated were the positive and negative effects of the Industrial Revolution.

Positive Effects of the Industrial Revolution

Negative Effects of the Industrial Revolution

The Steel Business

Before the 1860’s, steel, a strong form of iron treated with carbon, was not used for manufacturing because it was expansive to make.With the development of the Bessemer process and the open- hearth process, steel could now be produced in large quantities and more affordably.

The Steel Business

•Pittsburg, Pennsylvania, became known as the steel capital of the United States in the 1870” because the steel mills were close to the iron ore mined in western Pennsylvania and eastern Ohio.

The Steel Business

•Andrew Carnegie ruled the steel industry by 1890.

•His company bought iron and coal mines, warehouses, ore ships, railroads to gain control of all parts of making and selling steel. This business approach is called vertical integration.

•In 1900, the Carnegie Steel Company was producing one-third of the nation’s steel.

The Steel Business

•In 1901, the Carnegie Company combined with other businesses for form the United States Steel Corporation, the world’s first billion dollar corporation.

•Carnegie sold the company to banker J. Pierpont Morgan.

The Steel Business• Rockefeller, Carnegie, and other millionaires gave

some of their fortunes back to the community.

• As philanthropist,

1. Carnegie donated $350 million. He built Carnegie Hall in New York City, began the Carnegie Foundation of Teaching, and set up more than 2,000 libraries worldwide.

2. Rockefeller established the University of Chicago in 1890 and the Rockefeller Institute for Medical Research in New York.

The Steel Business• Corporations grew larger through corporate

mergers, or combining companies. By 1900 one-third of all American manufacturing was controlled by just one percent of the country’s corporations.

• These giant corporations also posed problems. They drove away competition. Customers had no choices. Without competition, corporations could control pricing. They had no reason to keep prices low or to improve their goods and services.

The Steel Business• Opposition to trust and monopolies led several

states in the 1880’s to pass laws restricting business combinations that limited competition. Corporations were able to get around these laws by incorporating in states without laws.

1. Congress passed the Sherman Antitrust Act in 1890 to protect trade and commerce from unlawful monopolies, but the law did not clearly define trust or monopolies.

2. Although the law did not curb big business, it was successfully used to stop a strike by railroad workers in the 1890’s.

Discussion QuestionWhy did opposition to corporate mergers exist?

Chapter 19 Section 4

pp. 572-575

Did You Know?

In some parts of the world, child labor still exist. Today there are an estimated 250 million child workers between the ages of 5 and 14. This number does not include children who work at home and are not paid.

Working Conditions

As mass production increased and industrial growth raised America's standard of living in the late 1800’s, it also created dissatisfaction.

• Factories became large and less personal.

•Industrial laborers worked 10 to 12 hour days, six days a week. Many lost their jobs if business slowed or were replaced by immigrants who worked for less pay.

•Factories and miners were noisy, unhealthy, and unsafe. For example, garment workers worked in crowded urban factories, or sweatshops, and coal miners died in cave-ins and from the effect of coal dust and gas.

Working Conditions

By 1900 more than one million women worked in industry.

No laws regulated workers’ salaries, so women received about half of what men earned.

Working Conditions

In 1900 hundreds of thousands of children under 16 worked in factories.

Many states passed child-labor laws, but many employers ignored them. These laws did not apply to agriculture, where about one million children worked. The laws said that children had to be at least 12 years of age and not work longer than 10 hour days in factories.

Discussion Question

Why were working conditions and salaries less than satisfactory for many people in the late 1800s?

Answer: Industrialization brought mass production, which in turn created difficult working conditions for laborers. Workers had to produce for their employers, so the managers expected the workers to work long hours for low pay. If the workers complained, they could be fired or replaced with lower salaried immigrants. Factories and mines hired workers to be more productive that conditions became overcrowded and unsafe. Without laws, workers were not protected.

Labor Unions

Labor Unions have their roots in the early trade unions. Membership within these trade unions were limited to skilled laborers.

As dissatisfaction grew in the factories among workers labor unions began to form.

There were two types of labor unions that represented workers, one for skilled laborers and the other for unskilled laborers.

Labor Unions

The Knights of Labor•The Knights of Labor was founded in 1869. Unlike most trade unions, the Knights recruited people who were kept out of trade unions such as women, African Americans, immigrants, and unskilled workers.

•It became a national organization in the 1880’s and grew to more than 700,000 members by 1886.

•Some methods used by the union to gain benefits for their members, such as striking, turned public opinion against the union. This resulted in the loss of membership and power in the 1890s.

Labor Unions

The American Federation of Labor

•In 1886 the American Federation of Labor was formed. It represented skilled workers in various fields. Led by Samuel Gompers, it pushed for higher wages, shorter hours, better working conditions, and the right to collect bargaining.

•Although the use of strikes also turned public opinion against the AFL it remained strong and by 1904 had more than 1.6 million members.

Labor UnionsThe International Ladies’ Garment Workers Union

Women formed their own unions because many refused to admit women as members. A disastrous fire that killed nearly 150 workers occurred in 1911 at the Triangle ShirtWaist Company factory in New York City. The mostly young immigrant women workers were not able to escape the fire because company policy required all exits to be locked so that workers could not leave early. As a result of this incident, the International Ladies’ Garment Workers Union (ILGWU) pushed for safer working conditions.

Discussion Question

What were the pros and cons of joining a union in the late 1800’s and early 1900’s in the United States?

Do you feel Unions were successful? Support your answer.

The Union Act

Economic downturns from 1870-1890 resulted in many companies firing workers and lowering wages. Unions responded by going on strike which in some cases lead to violence resulting in a growth in anti-labor feelings.

The Union Act

•In July 1877, violence erupted as angry railroad strikers burned rail yards, ripped up track and destroyed property .

•Workers were on strike because the company had cut their wages. Strikebreakers, often called scabs, were hired to replace workers. This angered the workers and they refused to let the strike breakers enter the company. Violence resulted and federal troops were called in to restore order after weeks of riots.

The Union Act

During the Haymarket Riot of 1866 in Chicago, striking workers from the McCormick Harvester Company protested the killings of four strikers.

The police ordered the crowd to break up. A bomb killed a police officer and several others during the riot. For some Americans labor movements were now equaled with terrorism and disorder.

The Haymarket Riot

The Union Act

In 1892 workers at the Carnegie steel plant in Homestead, Pennsylvania went on strike protesting the lowering of their wages. The Homestead managers hired nonunion workers and brought in 300 armed guards to protect them. A battle left at least 10 dead. The state militia were sent to restore order and remained when the plant reopened. The Homestead Strike was a failure, the plant reopened with nonunion workers.

The Union ActIn May 1894, workers at the Pullman railway-car plant in Chicago also went on strike over wage cuts. Pullman closed the plant. The strike failed but did disrupt rail traffic. Rail traffic was paralyzed when the American Railway Union, in support of the strike, refused to handle Pullman cars. An injunction, or court order, issued by the attorney general ordered the union to stop holding up the mail and obstructing the railways. Eugene V. Debs, the leader of the union, went to jail because he refused to end the strike. Federal troops were used to end the strike.

The Pullman Strike

Discussion Question

Do you feel the method of “ the strike” was a successful tool for Unions? Why or why not?

Why do you feel unions used the “strike” to gain benefits for their members?

Documents

In the early 1800’s, manufacturing products changed from homemade to machine-made. This period is called the First Industrial Revolution. It changed small