Aim: Review for Test on Industrialization Bring a #2 pencil and a pen. Essay Topic: (3 parts). 1....

Aim: Review for Test on Industrialization

Bring a #2 pencil and a pen.

Essay Topic: (3 parts).

1. Reasons for industrialization

2. Results- positive/negative

3. Role/ Reaction of government

1. Homestead Act160 acres of free land out west.Farm for 5 yearsSmall feeMeant to encourage development of the

West.

2. CorporationsFormed to finance industrial growth-

pool money together.Limited liability, bankruptcy.Don’t lose anymore than you put in

(investment)Stock, dividend

3. Sherman Anti-Trust ActPurpose- to prevent monopolies. “any business in combination of or in

restraint of trade is illegal.”

4. DefinitionsMonopoly- only business in a field.Merger- two companies join together to

form one company.Trust- form of a monopoly.

5. Government contribute to industry.

Laissez faireProtective tariffsSupreme Court cases- ruled in favor of

big business.

6. Railroads4 Transcontinental linesEncouraged settlement of the WestTowns developed around railroads.High rates for shipping goodsRebatesHurt farmers

7. Results of industrialization Positives: Mass production-

price decreased. New technology. New forms of

business- corporation.

Negatives: Child labor. Unsafe working

conditions. Low wages. No job security. Formation of

monopolies.

8. Social Darwinism “Survival of the Fittest.”Strong businesses will survive. Weak businesses will go bankrupt

(competition).

9. Laissez faire “hands off”Government will not interfere in

businesses.Allow businesses to regulate

themselves.Resulted in the formation of

monopolies.

10. Grangers/Populists Grangers: Farmer’s party Social organization that

developed into a 3rd party.

Lower railroad rates. State regulation of

railroad. “Granger Laws”

Populists: “People’s Party”-

farmers. Wanted: graduated

income tax, direct election of senators, referendum, recall, initiative and secret ballot.

Passed under Progressives

11. Labor UnionsGoal- better working conditions.Methods- picket, slow down & strike.Reaction- banned/ illegal, workers fired.Knights of Labor- Skilled & unskilled,

minorities and women.American Federation of Labor- craft

union, skilled workers only.

12. Reasons/trendsRailroadsNew inventionsAgricultural improvements ImmigrationRole of government (laissez faire)

13. Government’s responseLaissez faireSherman Anti-Trust Act- break up

monopolies. Interstate Commerce Commission-

regulate railroads.