Chapter 18

1. Chapter 18 New Industrial Order

2. New Industrial System • rail transportation network • interlocking industrial systems • Improving communication • harnessing natural resources • systematizing invention • organizing large corporations • raising capital and recruiting labor

3. Railroads • managerial strategies to control their growing operations. • "Central offices" served as corporate nerve centers, • "middle managers" supervised separate functional divisions. • Huge fixed costs, overexpansion, fierce competition, leading to rate wars and many bankruptcies. • Consolidation -overcapacity and ruinous competition.

4. Big Business • Businesses grew in part to protect against competition. • Horizontal consolidation • Vertical integration • Andrew Carnegie • fully integrated steel empire. • Oil-magnate John D. Rockefeller • Trust- in which stockholders surrendered control of their shares "in trust" to a central board of directors. In • 1901 J. P. Morgan bought out the Carnegie steel interests to form the United States Steel Corporation, a giant holding company, or corporation of corporations, • Why? Social Darwinism • Critics attacked corporate capitalism as a greedy promoter of poverty and class exploitation. Socialists tried to incite a radical response among working-class Americans. On balance, big business brought both positive gains and wrenching disruptions, especially the roller-coaster cycles of economic boom and bust.

5. Workers World • The harsh discipline of productivity • routine specialized tasks, • the unrelenting clock • The 10-hour day and 6-day week were common. • The Taylor system of scientific management boosted output but added to a growing sense that workers were “mere cogs in the massive engine of industrialism.” • Women and children joined the work force blacks found few opportunities except as strike breakers.

6. Systems of Labor • A minority tried to create unions. • Some sought radical societal changes; others accepted the wage system and tried to improve conditions within it, especially for the most skilled workers. • 1900-less than one worker in ten belonged to a union; individualism still reigned. • Yet discontent boiled over in the 1880s and 1890s as a wave of strikes crippled industry. Violence provoked sharp reactions. Managers fought back with no-strike contracts and strikebreakers. Government joined in suppressing worker resistance.

7. Chapter 19

8. New Urban Age • Cities acted as magnets -hub of regional networks. • ringed residential patterns around central business districts -- slum cores, zones of emergence, and suburban fringes. • New forms of urban transportation helped these segmented cities hold together even as they probed outward into growing suburbs. • Bridges also helped to join the city. • skyscrapers • Tenements- overcrowded, disease-ridden dwellings.

9. Running and Reforming the city • services from cities • Boss-dominated political machines developed in response to needs for services. • they centralized control and imposed order. • needed goods and services, • such as coal, jobs, and building projects. • graft and corruption, inflated taxes, and election fraud.

10. Protestant ministers continued to see poverty as the result of individual failure; • nativist organizations, called for the restriction of immigration • urban religious revivals to bridge the gap between the poor and the middle class. • "Social Gospel," which advocated the betterment of society as a way to save individual souls. • Settlement houses served as community centers to help the working class and immigrant poor.

12. City life • The immigrant underclass clustered together in ethnic neighborhoods. • tension between natives and newcomers. • Urban middle-class life blossomed. • Victorian morality governed personal conduct and stressed sobriety, industriousness, self-control, and modesty, all designed to protect against the turbulent life of the industrial city. • = social reform

13. City culture • centers of culture, education, and leisure • public schools doubled between 1870 and 1890. • Education became a powerful tool for social control and assimilation. • Colleges and universities furnished a corps of educated leaders and managers. • Women's enrollment increased both in coeducational schools and in new all-women's schools. • Ready-made clothing, mass-produced furniture, department and chain stores, and a growing mail-order business made consumption a national endeavor.