Industrial Age Chapter 6

Industrial AgeChapter 6

VS

VS

In the late 1800, the US was considered a time of growth in business, unions, and immigrants

Edwin Drake- oilSeneca Oil Company to investigate suspected oil depositsSteam engine to power drillFirst person to drill for oil 1858 near Titusville, Pennsylvania

SteelBessemer Process- technique involved by Henry Bessemer and William Kelly 1850 injecting air into molten iron to remove the carbon and other impurities. This method was allowing the US to produce 90% of the worlds steel by 1880.

Why steel??RAILROADS!! Barbed wire, McCormicks and Deeres farm machinesBrooklyn bridge (1883), sky scraper with steel frame (William le Baron Jenny- father of skyscrapers)

Home Insurance Building

ESSENTIAL QUESTIONgrowing urban population provided cheap labor and markets for new products Why was it cheap? Who provided the labor?? Men at lunch

Here are the immigrants who built, by hand, the greatest skyline in the world. Here are the unsung heroes of Manhattan.

Inventors and InventionsThomas Edison- Incandescent light bulb and entire system for producing and distributing electrical powerCharles Sholes- typewriterAlexander Graham Bell- telephoneRailroad

-allowed for westward expansion (companies, people, commerce moves west)Harsh living conditions for railroad workers. Romance and reality linked previously isolated cities, townpromoted tradeindividual towns began to specialize in somethingChicago: stockyardsMinneapolis: grain industriessell large number of its product to entire country

Romance vs RealityRomanceAccess to available landAdventureFresh start Made possible by the hard workersRealityCentral Pacific Railroadimmigrantslay tracks by handattacks from NAaccidents and diseases1888: 2,000 dead 20,000 injured

Professor C.F. DowdEach company ran on its own time24 time zonesUS Eastern, Central, Mountain, and Pacific

ESSENTIAL QUESTIONHow did the growth of the railroads influence other industries?

Iron, coal, steel, lumber, and glass needed for railroads demand for materials and parts.

company townGeorge C. Pullman- factory for making sleeper and other railroad carsbuilt a town near factory for employeestown provided basic needs clean, well-constructed brick houses and apt buildings-1 window per room (luxury) services- doctor, shops, athletic fieldsaffects the south

Company Town= not so gloriousstrict guidelinescould not hang out on front stepscould not drink alcoholtightly controlled environment= ensure stable work forceDid not lower rents, led to Pullman StrikeFarmers vs Railroadrailroads entered into formal agreements to fix prices- kept farmers in deptcharged different customers different ratesdemanded more for shorter haulsGranger lawsMunn v Illinois-1877Interstate Commerce Act-1887- federal government supervise railroad activitiesAndrew CarnegieSteel, 1899 Carnegie Steel Company1. make better products cheap2. incorporated new machinery and a new accounting system to 3. attracted talented people by offering them stock in the company and he encouraged competition among his assistance Goal: Control as much of the steel industry

Monopoly (how it works) Veritical integration- buy out the suppliers

Horizontal integration- buy out the companies producing similar products (limited competition)

Social Darwinism and Laissez Fairephilosophy- Charles Darwinnatural selection- pick of the weak survival of the fittestlaissez faire- allow to domarketplace should not be regulatedgovernment should not intervene in a business

monopoly Mergers- cant beat them, join themhorizontal integrationone corporation bought out the stock of anothera firm that bought out all of its competitors= monopolycomplete control over an industrys production, wages, and prices

John D. RockefellerStandard Oil Company- huge profits but paid his employees extremely low, driving his competitors out of the market. When he controlled the market, he hiked prices far above original levels.1890- controlled 90% of nations refineries This tactic is what gave the name Robber barons

philanthropists give away a large sum of money to a charity or an organizationRockefeller- $500 million Rockefeller Foundationfunds to create University of Chicagomedical institution that help find a cure for yellow feverRockefellers Defense for MillionairesIt will be a great mistake for the community to shoot the millionaires. For they are the bees that make the most honey, and contribute most to the hive even after they have gorged themselves full. Sherman Antitrust Act-1890(stop monopolies)Government concerned that expanding corporations would stifle free competitionillegal to form a trust that interfered with free trade between states or with other countrieshard to define trusteventually stopped enforcing act

Emergence of Labor UnionLaborers joined together to try and improve their working conditions- seven day work week-12 or more hours a day-working conditions 675 laborers were killed by work related accidents each week-Child laborAverage pay 1899: -women $267 year-men $498 year-Andrew Carnegie $23 million

Labor UnionsFirst large scale Labor Union:NLU- National Labor Union segregatedKnights of Labor- An injury to one is the concern of all -8 hr work day, equal pay for equal work- faded out, but labor unions increased and divided

Samuel Gompers and American Federation of Labor (AFL)focused on collective bargaining, negotiation between representatives of labor and management to reach written agreements on wages, hours, and working conditions. The AFL used strikes as a major tactic to get what was demanded. This labor union only included skilled laborersEugene V Debs and American Railway Union (ARU)- included skilled and unskilled laborers 1894- won a strike for higher wages (pullman strike)membership- 150,000

IWW and Socialism Socialism-government controls business and property however there would be an equal distribution of wealth. A radical group, Industrial Workers of the World (IWW) 1905, or known as wobblies.headed by William Big Bill HaywoodMajor strike in 1912- the Lawrence Textile strike

The Great Strike of 1877Great Strike of 1877- Baltimore and Ohio Railroad-protest 2nd wage cut in 2 months. 50,000 miles freight and passenger lines stopped for over 1 week- President Hayes had to interveneThe Haymarket Affair-May 4th 18863,000 people crowd Chicagos Haymarket Square to protest police brutality- (one striker killed and several wounded day before)someone dropped a bomb into the police line- police fired7 police and 7 workers died8 charged for the riot- 4 hanged and 1 committed suicide in prisonAfter riot- labor unions have a bad reputation

The Homestead StrikeCarnegie Steel Companys Homestead Plant in PNJune 29, 1892- company cuts wageshired armed guards to protect the plant and scabsworkers forced out the guards3 detectives and 9 workers diedNational Guard strike continued till NovemberChanged Carnegies reputationPullman StrikePullman Company laid off 3,000 of its 5800 employeescut pay and did not lower rentEugene Debbs and ARUStrike turned violentfederal troops called inDebbs jailed and workers blacklistedWomens Labor MovementMary Harris Jonessupported Great Strike of 1877organized United Mine Workers of Americadeath threats and jailled a march with wounded children to Teddy Roosevelt