Industrialization• 1700-1800’s• Industry/business started in England,

factories create thread, cloth and clothes (textiles).

• New inventions build off each other, machines spread to other industries. Steam engine powers life, then electricity

• Transportation improves (railroads, steamboats, cars)

• Industrialization spreads to Germany, and US (after the 1860’s),

• people move to the cities, living and working conditions worsen, then improve

• Market Revolution- buy/ sell goods instead of making them

• Free enterprise- individuals, private business make products (control the means of production)

• Entrepreneurs- invest own money in business

Industry Expands- US #1 by 1900• Natural Resources- Iron ore, Coal, Oil-

steam engine drill 1890, kerosene, gasoline

• Steel- Bessemer process- make steel efficient/cheap, strong• Steel changes construction- bridges,

railroad tracks, skyscrapers

Inventions/ Transportation/ Communication

• 1800’s-previous- cotton gin & bring inventions from EnglandEarly- mid 1800s• Telegraph- Morse - communication over long

distances• Canals- Steamboats- move goods faster,

up/down river• Farm equipment- steel plow, reaper, barb wire• Sewing machine- 1846Late 1800s• Electricity- Edison- light bulb, power plants

• Westinghouse- appliances• Telephone- Bell- 1915- coast to coast service• Typewriter- 1873

Work and Life changes• People move to cities, become consumers-

advertising• More women enter work force- Lowell textile

mills, sewing machines,• Work Changes

• 1700’s- skilled workers, small shops• 1820’s- beyond- unskilled workers,

factories-mass production of goods- work conditions get worse, strikes break out

• 1900- office/ professional jobs grow- jobs for women, clerical work, work conditions improve

• New recreation, phonograph, bicycle• Standard of life rises

Railroads• - link the nation, move goods faster,

efficiently1830- 1st from Britain1856- to Mississippi River1869- transcontinental railway1870- time zones created1890-200,000 miles of track • thousands travel west, towns appear along

rail lines• Built by thousands- African Americans,

immigrants- Chinese, Irish , Hard dangerous work, little pay

Railroad abuses• price fixing- overcharge farmers/ ranchers to

ship products- govt regulates business• Pullman- sleeper cars, town for employees,

strict control- rules, store prices, rents• Credit Mobilier- stock holders of Union

Pacific- steal money through construction co, charge more pocket extra $

• The Grange- political action, laws for protection, fight over regulation, losing battle- ICC- Interstate commerce commission- 1887- try to regulate/ fails

1893 Bankruptcy creates economic collapse

Big Business • Corporation- sell shares- pieces of co. • vertical integration- control every stage of manufacturing

process• horizontal consolidation- buy out competitors• lassiez faire- no govt. regulation• oligopoly- only a few companies control market• monopoly- one company controls market

• Holding co- by shares in other companies• Trusts- several large companies join to eliminate

competition (price fixing)• Huge profits for owners- Workers low wages, poor

conditions• Big Business Often controls govt- large loans to business,

no/ little regulation, high tarriffs, open immigration• Side note- South still hurt from Civil war- industry focused

in North, lack of towns, resources, capital

Business TycoonsAndrew Carnegie- Steel• Starts with stock investment• good management- always make better products

cheaper, hire top workers- John Rockefeller- Standard Oil- 1860s-70s• trusts- join competing companies as 1 corporation-

90% oil production, control railroadsJP Morgan- Banking industryCornelius Vanderbilt- steamships, trade, railroad

empire

Social Darwinism- survival of most capable, poor are lazy/inferior

• Horatio Alger, rags to riches- writer• Gospel of Wealth by Carnegie- donations to worthy

causes