Chapter 22 Part 3

1. Chapter 22Part 3 The Industrial Revolution

2. On the Continent • Continental Europe began to industrialize after 1815…the final defeat of Napoleon • In the 1780’s parts of the continent were not too far behind Britain • Some regions had thriving cottage industries • Some British manufacturing techniques were copied by certain Continental countries

3. The Napoleonic Wars • Interfered with Continental industrial development • Wars disrupted trade, created runaway inflation, and reduced consumer demand • Continental access to British machinery and technology was reduced by the Continental System

4. By 1815 • British technology was too far advanced for most continental engineers and skilled technicians to understand • The technology of steam power was expensive and required vast amounts of capital • Wars caused a shortage of factory workers • Landowners and government officials did little to encourage industrial growth

5. After 1815 • The Continent began to catch up • They studied Britain’s costly mistakes and avoided them

6. Each country was different • Began in the second decade of the 19th century: Belgium, Holland, France and the U.S. • Began in the mid-19th century: Germany, Austria, Italy • Began at the end of the 19th century: Eastern Europe and Russia

7. Other Countries • Borrowed British technology • Hired British engineers • Gained British capital • They used the power of strong sovereign central governments and banking systems to promote native industries

8. Belgium • In the 1830’s pioneered the organization of big corporations with many stockholders • Banks used money to develop industries and gave rise to Industrial Banks

9. Banks in Germany and France • 1850’s involved in developing railroads and companies involved in heavy industries • Credit Moblier of Paris was the most famous industrial Bank • Built railroads in France, Europe and (Remember the Grant scandals?)...the U.S.

10. Britain tried and failed • To maintain a monopoly on technical advances • Until 1825 it was illegal for artisans and skilled mechanics to leave Britain! • Until 1843 it was illegal to export textile machinery and equipment • But many emigrated illegally, memorized plans for machinery and took it elsewhere

11. Tariffs • Were used by continental countries to protect their native industries • France enacted high tariffs on British imports • It had been flooded by inexpensive and superior British goods

12. The Zollverein 1834 • Was a German Tariff used to encourage investment in German industry • It also established a free trade zone among member states (in the German Confederation) and a single uniform tariff was levied against foreign countries • NOTE: This was a Prussian economic organization that left Austria out

13. The Result • Increased production and availability of manufactured goods on the continent

14. The Industrial Revolution’s Impact on Society • A new social order replaced the traditional social hierarchy • The Proletariat: a new class of factory workers • The Bourgeoisie: Two levels emerged: • Upper Bourgeoisie: great bankers, merchants, industrialists who demanded free enterprise and high tariffs • The Petite Bourgeoisie: small industrialists, merchants, professionals who demanded security and stability from the government

15. New Opportunities • Artisans and skilled workers who were talented were in great demand and could achieve significant success • Certain ethnic and religious groups became successful: • Quakers and Scots in England • Protestants and Jews dominated banking in France

16. As factories grew larger • Opportunities for advancement declined in well-developed industries • Capital-intensive industry made it harder for skilled artisans to become wealthy manufacturers • Formal education became even more importantas a means of social advancement BUT cost of the education was often prohibitive

17. Also • In England and Germany by 1860 leading industrialists were more likely to have inherited their businesses

18. Proletariat Wage Earners • During the first century of the industrial revolution a surplus of labor resulted in poor conditions for workers • Few holidays • Often 14-hour work days • Conditions were brutal and unsafe • Low wages…especially for women and children

19. Poorhouses • Provided work for those who were unemployed • Beatings and ill treatment • Major goal of the poorhouses was to persuade workers to leave the poorhouse and find work elsewhere

20. Friedrich Engles 1820-1895 • 1844 The Condition of the Working Class in England • Blamed the middle class for exploiting the proletariat • Will later become a revolutionary and collaborated with Karl Marx

21. Marx • Had similar ideas about the middle class exploiting the proletariat: • “I charge the English middle classes with mass murder, wholesale robbery, and all the other crimes in the calendar.” • Later…socialism • NOTE: Marx called the French Revolution inevitable

22. A struggle between labor and capital • Resulted from issues of working conditions, wages, quality of life • BUT the long-term impact of the Industrial Revolution was more favorable than negative

23. Material prosperity increased • Because cheaper high-quality goods were available • Increased consumption led to increased numbers of jobs

24. Wages (in England) • 1790-1820: wages up only 5% • 1820-1850: real wages and consumption up 50% • Skilled British workers earned twice that of unskilled workers in agriculture • BUT the average work week increased

25. Workers • Ate better and quality and quantity of clothing improved • Housing was worse than cottage industry times • Only AFTER 1850 did workers share in the wealth produced in the Industrial Revolution in Continental Europe 2-3 decades earlier for English

26. The Luddites (Northern England) • A violent group of irate workers who blamed industrialism for threatening their jobs • Beginning in 1812 attacked factories in northern England and destroyed new machinery that they believed was putting them out of work

27. The Union Movement • Factory owners DID try to block unions • BUT leaders emerged to organize groups of workers to resist exploitation of business owners

28. Parliament’s Response • Combination Acts 1799: • Parliament prohibited labor unions • Was a reaction inspired by fear of something like the French Revolution occurring in England • Combination Acts were ignored by most workers • They were repealed in 1824 and unions became a fact of life by 1825 (were tolerated)

29. Robert Owen 1771-1858 • 1834 Created the Grand National Consolidated Trades Union • Was a Scottish industrialist who pioneered industrial relations by combining firm discipline with a real concern for the health, safety, work hours of the workers…efforts eventually failed • He also established a school for his workers’ children at his own expense

30. Some experimented • With utopian communities • First “union” concessions went to craft unions who won benefits for their members through fairly conservative means

31. The Chartists • Wanted to gain labor concessions through political democracy • Demanded universal male suffrage

32. Most Unions • Worked for a 10-hour day • AND the repeal of the Corn Laws • Eventually better wages and hours and conditions due to: • Union action • General Prosperity • Social conscience