By: Ms. Susan M. Pojer Horace Greeley HS Chappaqua, NY
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1 By: Ms. Susan M. Pojer Horace Greeley HS Chappaqua, NY
2 Essential Questions 1)Industrialization increased the standard of living and the opportunities of most Americans, but at what cost? 2) How did new technologies and the gov t work together to generate rapid economic development and business consolidation?
3 Causes of Rapid Industrialization 1. Steam Revolution of the 1830s-1850s. 2. The Railroad fueled the growing US economy: First big business in the US. A magnet for financial investment. The key to opening the West. Aided the development of other industries.
4 Causes of Rapid Industrialization 3. Technological innovations. Bessemer and open hearth process Refrigerated cars Edison o Wizard of Menlo Park o light bulb, phonograph, motion pictures.
5 Thomas Alva Edison Wizard of Menlo Park
6 The Light Bulb
7 The Phonograph (1877)
8 The Ediphone or Dictaphone
9 The Motion Picture Camera
10 Alexander Graham Bell Telephone (1876)
11 Alternate Current George Westinghouse
12 Alternate Current Westinghouse Lamp ad
13 The Airplane Wilbur Wright Orville Wright Kitty Hawk, NC December 7, 1903
14 Model T Automobile Henry Ford I want to pay my workers so that they can afford my product!
15 Model T Prices & Sales
16 U. S. Patents Granted 1790s 276 patents issued. 1990s 1,119,220 patents issued.
17 Causes of Rapid Industrialization 4. Unskilled & semi-skilled labor in abundance. 5. Abundant capital. 6. New, talented group of businessmen [entrepreneurs] and advisors. 7. Market growing as US population increased. 8. Government willing to help at all levels to stimulate economic growth. 9. Abundant natural resources.
18 New Business Culture 1. Laissez Faire the ideology of the Industrial Age. Individual as a moral and economic ideal. Individuals should compete freely in the marketplace. The market was not man-made or invented. No room for government in the market!
19 2. Social Darwinism Herbert Spencer British economist. Advocate of laissez-faire. Adapted Darwin s ideas from the Origin of Species to humans. Notion of Survival of the Fittest.
20 2. Social Darwinism in America $ Individuals must have absolute freedom to struggle, succeed or fail. William Graham Sumner Folkways (1906) $ Therefore, state intervention to reward society and the economy is futile!
21 New Business Culture: The American Dream? 3. Protestant (Puritan) Work Ethic Horatio Alger [100+ novels] Is the idea of the self-made man a MYTH??
22 New Type of Business Entities 1. Pool 1887 Interstate Commerce Act Interstate Commerce Commission created. 2. Trust John D. Rockefeller Standard Oil Co.
23 Standard Oil Co.
24 New Type of Business Entities 2. Trust: Horizontal Integration John D. Rockefeller Vertical Integration: o Gustavus Swift Meat-packing o Andrew Carnegie U. S. Steel
25 Iron & Steel Production
26 New Type of Business Entities
27 U. S. Corporate Mergers
28 New Financial Businessman The Broker: J. Pierpont Morgan
29 Wall Street 1867 & 1900
30 The Reorganization of Work Frederick W. Taylor The Principles of Scientific Management (1911)
31 The Reorganization of Work The Assembly Line
32 % of Billionaires in 1900
33 % of Billionaires in 1918
34 The Protectors of Our Industries
35 The Bosses of the Senate
36 The Robber Barons of the Past
![Cornelius [ Commodore ] Vanderbilt](/docs-images/90/103678718/images/37-1.jpg "Can t I do what I want with my")
37 Cornelius [ Commodore ] Vanderbilt Can t I do what I want with my money?
38 William Vanderbilt $ The public be damned! $ What do I care about the law? H aint I got the power?
39 The Gospel of Wealth: Religion in the Era of Industrialization $ Wealth no longer looked upon as bad. $ Viewed as a sign of God s approval. $ Christian duty to accumulate wealth. $ Should not help the poor. Russell H. Conwell
40 On Wealth Andrew Carnegie $ The Anglo-Saxon race is superior. $ Gospel of Wealth (1901). $ Inequality is inevitable and good. $ Wealthy should act as trustees for their poorer brethren.
41 Regulating the Trusts 1877 Munn. v. IL 1886 Wabash, St. Louis & Pacific Railroad Company v. IL 1890 Sherman Antitrust Act in restraint of trade rule of reason loophole 1895 US v. E. C. Knight Co.
42 Relative Share of World Manufacturing
43 Modern Robber Barons??
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