Chapter six: the age of industrialism

1. Chapter six: the age of industrialism

2. State Standards Covered • CE 6.1.1 I can analyze the factors that allowed the United States to become an industrial power including the advantages of physical geography. • CE 6.1.2 I can evaluate the different responses of labor to industrial change including the southern and western farmers’ reactions (i.e. The Grangers). • CE 6.1.3 I can analyze the changing urban landscape by examining resulting tensions within groups.

3. Industry Expands: Section One NATURAL RESOURCES AND INDUSTRIALIZATION • After Civil War, the U.S. was agricultural; in the 1920’s it became highly industrial • Causesmany natural resources, government support of business, an increasing urban population that offers cheap labor • 1859: Edwin Drake uses a steam engine to drill in Titusville, Pennsylvania that removes oil from the surface of the earth

4. Industry Expands • Spreads to Kentucky, Ohio, Illinois, Indiana, and Texas; originally converted into kerosene but was later used for cars • Expansive deposits of coal and iron—iron, in particular, had to go through a conversion process due to its dense nature that makes it easy to break and rust • Steel is created out of iron due its durability and rust-resistance—the Bessemer process injects air into the iron to rid itself of carbon and other impurities

5. Industry Expands

6. Industry Expands • Railroads utilized steel the most, but it was used for other productsGlidden’s barbed wire and John Deere’s machinery • Steel was used for the Brooklyn Bridge; it spans 1,595 feet; labeled as one of the wonders of the world • William Le Baron Jenney builds the first skyscraper with a steel basis; the Home Insurance Building in Chicago

7. Industry Expands

8. Industry Expands INVENTIONS ENHANCE CHANGE • Thomas Alva Edison improved the incandescent light bulb, in 1880, and developed and distributed an entire electrical system • By 1890, electricity ran machines, spurred the creation of home appliances, and was a cheap source of energy to power home • Growth of cities • Manufacturers moved plants anywhere—away from rivers that used to supply power

9. Industry Expands

10. Industry Expands • Thomas Alva Edison Clip INVENTIONS CHANGE QUALITY OF LIFE • Christopher Sholes (1867) invents the typewriter and Alexander Graham Bell (1876) invents the telephone • Two inventions impacted women by creating more clerical jobs and made working more efficient • The creation of inventions and industrialization decreased the amount of back-breaking labor and improved working conditions • Negative feedback: the creation of machines devalues the hard work of mankind and reduces the amount of job availability

11. Rise of Railroads: Section Two RAILROADS EXPAND • Railroads made local travel possible and increased settlements and developments in the West • Extended over thousands of miles of territory: popular railroads include Central Pacific and Union Pacific • Central Pacific hired Chinese immigrants; the Union Pacific hired Irish immigrants and Civil War Veterans: built them around treacherous terrains, faced attacks by Native Americans, accidents and diseases either killed or disabled men

12. Rise of Railroads

13. Rise of Railroads

14. Rise of Railroads • Transcontinental railroad linked the Atlantic to the Pacific (1869) • The problem of time: in the beginning, each region in the United States operated on its own time, which caused scheduling conflicts • Solution: (1869) Professor C. F. Dowd came up with the ideas for 24 world time zones, which included four U.S. time zones: Eastern, Central, Mountain, and Pacific—became govt. recognized in 1918

15. Rise of Railroads RAILROADS CREATE OPPORTUNITIES • Iron, coal, steel, and glass industries increased to keep up with the demands of the railroads for raw materials • New markets are created and increases opportunities for entrepreneurs • Trade is promoted and new towns are created: Albiene, Kansas; Flagstaff, Arizona; Denver, Colorado; Seattle, Washington

16. Rise of Railroads • George Pullman (1880) invents sleeper cars and creates a town for his workers; includes clean housing and offers services such as a doctor’s office or a post office • Pullman’s control—no loitering or alcohol use • Pullman faces backlash when he would not lower rent when he cutback the wages of his workers—leads to a major strike

17. Rise of Railroads

18. Rise of Railroads

19. Rise of Railroads • Corruption against Credit Mobilier: stockholders for Union Pacific Railroad charged the company two to three times the cost to build more track—pocketed the profits and donated shares of stock to 20 representatives in Congress • Investigation ensuesstockholder receive a slap on the wrist and keep their profits; the reputation of the Republican Party is harmed

20. Rise of Railroads THE GRANGE AND THE RAILROADS • Grangers, members of a farm alliance, in 1867, demand that the govt. regulates the railroad business • Farmers angry with railroad companies: misuse of land grants (sold to businesses rather than settlers), fixed prices that kept farmers in debt, charged different customers different rates (more costly for short hauls) • Grangers sponsor state and local political candidates to push for laws that protect their interests—very successful (Granger laws)

21. Rise of Railroads • 1877 Munn vs. Illinois: railroads challenge the laws; the Supreme Court rules in favor of the laws to benefit consumers and farmers • 1886—Supreme Court is contradictory by ruling that the govt. cannot interfere with interstate commerce—includes railroad traffic • Public angry again—Congress passes the Interstate Commerce Act (1887): establishes the right of the federal govt. to regulate the railroad business and creates the Interstate Commerce Commission

22. Rise of Railroads • Corporate abuses, mismanagement, overbuilding, and competition pushed many railroads to the tip of bankruptcy • Their financial difficulties led to the Panic of 1893—banks close; businesses fail; extreme job loss • 1894—large business firms take over railroad use

23. Business vs. Labor: Section Three THE RISE OF ANDREW CARNEGIE • Andrew Carnegie, a Scottish immigrant, used stocks from previous job at Pennsylvania Railroad to invest in the steel business • Very successful business—found cheap ways to make better products and used talented people to help run his company by promising large shares of his stock • Other reasons for success: vertical integration is where he bought out his suppliers (coal, iron, railroads); horizontal integration is where he bought out or merged with other steel companies • 1901 produces the one of the largest portions of steel in the world

24. Business vs. Labor

25. Business vs. Labor THE CONCEPT OF SOCIAL DARWINISM • Social Darwinism is applying the idea of “survival of the fittest” to social classes and businesses; the weak businesses fail and the strong businesses survive; supported by laissez-fair govt. (no govt. regulation) • Appealing to many millionaires of the time; believed to be in God’s favor if rich and the poor were inferior people that deserved their misfortune

26. Business vs. Labor THE FEW CONTROL THE MANY • Monopoly is where a company buys out all of their competitors and controls production, workers’ wages, and product prices • Monopolies sometimes used holdingcompanies in order to be created: bought out all of the stocks of their competitors • John D. Rockefeller, owner of the Standard Oil Company, controlled the entire oil industry with the use of a trusts that controlled his stock and worked toward making profits • Made lots of money by driving out competitors (competitive pricing) and paying workers low wages (known, at times, as a robber baron)

27. Business vs. Labor

28. Business vs. Labor • Gave away 500 mill. to Rockefeller Foundation, which gave money to the Univ. of Chicago and created a medical institute; donated 90% of his earnings to arts and learning (captain of industry) • 1890 Sherman Antitrust Act created to break up controlling trusts that interfered with trade and trust inside and outside of the country • Response to the Actcompanies break up into single businesses if govt. pressures them; seven of eight cases were thrown out by Supreme Court

29. Business vs. Labor THE EMERGENCE OF LABOR UNIONS • Unfair circumstances for workers: had to work six to seven days a week; work ten to twelve hours a day; not allowed to take vacations, collect sick pay or unemployment, and there was no injury compensation • Factories are unclean, poorly ventilated, and had dangerous equipment • Everyone worked in poor families including kids (some as young as five); education not as important at this time

30. Business vs. Labor • 1866 National Labor Union (skilled workers, only allowed whites) pursued an eight-hour workday • 1869 Knights of Labor (Uriah Stevens) opened the org. to all races and fought for an eight-hour day and equal pay between genders

31. Business vs. Labor UNION MOVEMENT • 1886 American Federation of Labor, led by its president, Samuel Gompers, was a group of skilled workers that used negotiation for wages, hours, and working conditions • Used the strike method to receive higher wages and better hours • Eugene V. Debs begins the American Railway Union to include all workers, skilled and unskilled; larger membership than other railway unions

32. Business vs. Labor • Some labor activists favor socialism: overthrow capitalism and allow govt. to take over business, private property, and distribution of wealth • Industrial Workers of the Workers of the World: a radical socialist group that includes all workers emerges; only have one major victory in 1912

33. Business vs. Labor THE VIOLENCE OF STRIKES • 1877 workers for the B&O Railroad strike to protest the second wage cut in two months; worker stoppage spread over 50,000 miles; Pres. Hayes ends it by sending in federal troops • 1886 Haymarket Square, Chicago about 3,000 workers gather to protest the death of a fellow striker; a bomb is thrown into the police squad; officers open fire on the crowd; seven officers die along with several workers; not sure who started it; put eight on trial and all eight are convicted; four are hanged and one commits suicide • June 1892 Homstead Strike: Henry Frick, president of Carnegie Steel, announces wages cuts; workers go on strike; he hires guards known as the Pinkertons to put down strikes and allow scabs to work instead; strikers able to defeat Pinkertons but support dies out by November

34. Business vs. Labor • Panic of 1893 impacts George Pullman as he lays off workers and cuts wages; 1894 a strike is called by Eugene Debs after Pullman refuses to negotiate with workers; Pres. Cleveland sends in federal troops, Debs put in jail, Pullman fires strikers, and railroads blacklist others • Mary Harris Jones, although women are banned from unions, supported Strike of 1877 and organized United Mine Workers of America; put up with death threats and spent time in jail; led 80 mill. children to Pres. Roosevelt’s home and had child labor laws passed • Triangle Shirtwaist Incident (1911): a fire in the factory spreads over oil-drenched machines and piles of cloth; workers cannot leave because the doors are locked; no sprinkler system; 146 women die; jury acquits factory owners

35. Business vs. Labor Triangle Shirtwaist Incident