THE AMERICAN INDUSTRIAL AGE

CONCEPTS AND PEOPLE Bessemer Process Thomas Edison Alexander Graham

Bell Edwin Drake Transcontinental

railroad George Pullman

Andrew Carnegie John D. Rockefeller Vertical and Horizontal

integration Social Darwinism Sherman Anti-Trust

Act American Federation

of Labor

Expansion of Industry After the Civil War, the United States was still

largely an agricultural nation. By the 1920s—a mere 60 years later—it had become the leading industrial power in the world.

Reasons for the BOOM:

1. Wealth of Natural Resources

2. Support by the United States government

3. Growing Urban Population

The Discovery of BLACK GOLD 1859 Edwin Drake:

successfully used steam engine to drill for oil.

The Boom spread throughout the Midwest and Texas.

Oil was refined to produce kerosene.

Gasoline was thrown away as there was no use for it.

Other Natural Resources Oil was not the only resource that fueled the

growth of industry; coal and iron was also in abundance.

The Bessemer process was used to transform iron into steel.

Iron: dense metal that contains carbon which makes it soft and has a tendency to rust.

Steel: a lighter, more flexible, and rust-resistant metal.

New uses for Steel Railroads Barbed Wire Farm Machinery Brooklyn Bridge Sky Scrapers

Inventions promote Change THE POWER OF ELECTRICITY:

In 1876, Thomas Alva Edison became a pioneer on the new industrial frontier when he established the world’s first research laboratory in Menlo Park, New Jersey. Harnessed electricity and developed the light bulb.

Telephone: perhaps the most dramatic invention was the telephone, unveiled by Alexander Graham Bell

Age of Railroads Rails made local transit

reliable and westward expansion possible for business as well as for people.

By 1856, the railroads extended west to the Mississippi River, and three years later, they crossed the Missouri.

Just over a decade later, crowds across the United States cheered as the Central Pacific and Union Pacific Railroads met at Promontory, Utah, on May 10, 1869. A golden spike marked the spanning of the nation by the first transcontinental railroad.

Railroad Time The railroads connected many parts of America. For the first time coordinating the time becomes

an issue. For example, New York was 12 minutes ahead of

Boston because each city had their own time. Travelers often had to reset their watches once the arrived or returned from a city.

As a result, in 1884, 24 times zones were established around the world to alleviate this issue.

Early Effects of the Industrial Age The growth of the railroads influenced the

industries and businesses in which Americans worked. Iron, coal, steel, lumber, and glass industries grew rapidly as they tried to keep pace with the railroads’ demand for materials and parts. The rapid spread of railroad lines also fostered the growth of towns, helped establish new markets, and offered rich opportunities for both visionaries and profiteers.

The Birth of New Towns Towns began to specialize

in various production. Chicago became known

for their Stockyards. Minneapolis became

known for their grain industries.

Abilene, Kansas; Flagstaff, Arizona; Denver, Colorado; and Seattle, Washington owe their existence to the railways.

Big Business and Labor This era brought about

the birth of capitalism. A concept where the

market consist of buyers and sellers…without government intervention.

This newly NON regulated economy produced big businesses and monopolies.

Key Figures: Andrew Carnegie and John D. Rockefeller.

Andrew Carnegie Created Carnegie

Steel Company By 1899 he was

producing more steel than Great Britain.

Carnegie searched for new technology and more efficient ways to produce a product.

John D. Rockefeller Created Standard Oil

Company 1870 his company produce

2% of U.S. oil. Tens years later he was

producing 90%. Rockefeller paid employees

low wages…charged low prices for oil.

Eventually drove competitors out of business.

How did these guys do it? Vertical Integration:

process by which business owner bought out his suppliers.

Carnegie bought out coal fields; iron mines; railroad lines.

Horizontal Integration: companies producing similar products merge.

Rockefeller merged with competitors by creating trust companies.

Sherman Anti-Trust Act Mergers and buyouts were stifling

competition. Sherman Anti-Trust Act made it illegal to

create trust companies. Companies simply reorganized and found

loop holes in the law.

Working Conditions Steel Mills demanded 7 day work weeks. Seamstresses worked 12 hour days. Workers were not entitled to a vacation,

sick leave, unemployment compensation, or reimbursement for injuries suffered on the job.

Jobs were extremely dangerous.

Statistics Between 1890-1910: women workers

doubled from 4 to 8 million. 20% of boys and 10% of girls under age of

15 held full-time jobs. Pay: 27 cents for child labor on a 14 hour

work day. Women earned on average $267 a year. Men earned on average $498 a year.

Unions were Created Unions were created

to represent the worker.

National Labor Union was created in 1866.

Samuel Gompers formed the American Federation of Labor.

Unions used strikes to send their message.

Wages Increased. Working Hours

Decreased.

Activism and Strikes Many opposed

capitalistic ideals and turned to socialism.

Socialism: government control of businesses and property.

Communism: extreme form of socialism.

Great Strike of 1877: workers in Baltimore and Ohio Railroad protest wage cuts.

Haymarket Affair: Chicago Haymarket Square workers protested police brutality.

Homestead Strike: 1892 workers at Carnegie Steel in Pennsylvania protest working conditions.