Chapter 25 Section IV Age of Reform

Purpose: Understand how Industrialization leads to political and economic reform State Standards: 17B

Industrialization Worldwide… As the rich get richer, the poor get poorer Some reformers thought that the government should intervene A workhouse in London. The English Poor law of 1601 where able bodied workers had to work to earn their keep 3

Free Enterprise (also known as CAPITALISM… WINDOW PANE Free Enterprise (also known as CAPITALISM… *An economic system in which money is invested in business ventures with the goal of making a profit.

Adam Smith Professor at University of Glasgow 1776 wrote “Wealth of Nations” which stated that economic liberty guaranteed economic progress *A nation practicing Free Enterprise would have economic policies with minimal government regulation of the marketplace

Philosophers of Industrialization WINDOW PANE Laissez faire *Is a term that means that the government should stay out or have their “hands off” of business.

Socialism: WINDOW PANE The Rise of Socialism… *Socialism: The factors of production are owned by the public and operate for the welfare of all *Economy is controlled by the government *Government control of factories, mines and other key industries would abolish poverty Equality promoted

Rise of Socialism: “Hands OFF or Hands ON” Laissez-Faire Advises Governments to leave business alone Socialism Advises People in Power (the wealthy) or the Government MUST take action to improve the (working) people’s lives.

Marxism A radical type of socialism Karl Marx & Fredrich Engels wrote pamphlets called “The Communist Manifesto” & "Das Capital"

The Communist Manifesto… Society has always been divided into warring classes Society has “haves” and “have nots” Haves: Middle/upperclass Bourgeoisie Have Nots: Lower class worker (*proletariat) who does not own the means of production *Workers and owners are natural enemies The I.R. enriched the wealthy and impoverished the poor

Philosophy of Marx Marx *Wrote the Communist Manifesto and Das Kapital largely because he did NOT like the abuses that went on during the Industrial Revolution.

Philosophy of Marx The workers would then control the gov’t and the different social classes would dissappear Communism results: All means of production is owned by the people

Future of Communism Early 1900’s Marxism Spreads… Russia: Lenin Vietnam: Ho Chi Minh Cuba: Castro A statue of Lenin at Semipalatinsk, Kazakhstan 14

Unionization Labor Unions… *Represents and speaks for all workers in the same trade or industry Collective Bargaining: Negotiations between workers and employers *Suffrage means the right to vote A demonstration during a textile strike in France. 15

Workers Bargain For: *Better working conditions > Jobs were too dangerous *Higher wages > wages were too low *Shorter work week > Jobs were too repetitious and boring. *End to child labor

Strike: Refusal to work usually because of a employers refusal to meet the demands of their employees. Unions were seen as a threat to social order and stability

Reform Laws In Britain… Combination Acts of 1799 & 1800 prevented laborers from striking – repealed 1825 In 1875 British Unions win the right to strike and picket peacefully. In the U.S… Several small unions join to form the AFL (1886) American Federation of Labor A series of successful strikes by the AFL, won higher wages and shorter hours