Factors Encouraging American Industrial Growth

Natural Resources Coal  Virginia Iron  Pennsylvania Lumber  Many States Oil  Pennsylvania, Texas Fertile Soil  Cotton, Wheat, Tobacco Swift Streams in New England  Water power

Coal producing regions

Constitution Stable currency (national monetary system) Regulation of interstate commerce Patent protection (encourages inventions) Restrictions on states (no internal tariffs= national market) 5th Amendment protection of property

Government Policies Protective Tariffs Land grants and cash subsidies (especially to railroads) Laissez-faire policy

Growing Population America had 5 million people in 1800 Why? Immigration and “natural fertility”

Inventions Americans led the world in innovations Thomas Edison: phonograph, light bulb Otis: Elevator Goodyear: rubber Ford: assembly line Suspension Bridges Bessemer steel process Skyscrapers Standardized tracks

Seattle on the left, NYC on the right

Otis demonstrating his elevator, picture at right Otis demonstrating his elevator, picture at right. Allows for the building of skyscrapers: up and down

Henry Ford and Charles Goodyear

Assembly line in process….mass production, mass boredom

Bessemer process

New Sources of Power Petroleum (after invention of the internal combustion engine) Electricity Continued Mechanization of industry

Thresher: mechanization of farming: what would the impact be??

Improved Transportation and Communication 1st Transcontinental railroad completed 1869, several more were built Pullman sleeper car, Westinghouse air-brake made train travel safer, more comfortable Morse: telegraph (Western Union) Bell: telephone (American Telephone and Telegraph a.k.a. ATT)

Railroads 1865

Railroad network 1890’s

Rail travel made better (Pullman sleeper car on the upper left in “daytime mode”. Porters would come around and change the cabin to fit for nighttime quarters) Rail travel made safer (Westinghouse airbrake on the upper right which allowed trains to travel at higher speeds as stopping became more reliable)

Effect of Wars Government becomes major purchaser of goods and foodstuffs War of 1812 marked a shift from commerce (carrying trade) to manufacturing in the textile industry The Civil War led to a period of “Republican ascendancy”- policies that were pro-business

Results of Industrial Growth New products and technologies rapidly modernized America Higher standard of living for many Americans Accumulation of huge fortunes by industrialists Rapid growth of cities which led to problems accompanying that growth

Serious Economic Questions Raised Monopoly: good or not? “Fair” taxation: tariff, income tax Government regulation: yes or no Labor management conflict

From left to right: Carnegie, Rockefeller, Cornelius Vanderbilt

Double role of Carnegie (cutting wages on one hand, and donating money on the other)

Robber barons then and now

Vegetable canning factory: discuss conditions….

Child labor…

State militia called in to protect the plant from striking workers

Who stole the people’s money Who stole the people’s money???: Discuss corruption, often connection between business and politicians

Boss Tweed and the Vultures

Discuss “trusts”