Warm Up Looking at “Scientific Discoveries and Innovations,” predict which new discovery or innovation will have the biggest effect on the economy and manufacturing in the U.S. during the turn of the 20th century. And why? Electric power Petroleum Bessemer steel process Assembly Line McCormick Reaper/Steel Plow Mass Transportation Telegraph/Telephone

The Gilded Age: The 2nd Industrial Revolution 1876-1900 Part 1:Scientific Discoveries and Economic Effects

Discussion Question #1 With your shoulder partner(s) discuss and answer the following question: The word “gilded” means, covered or highlighted with gold or something of a golden color. Now using that definition, in the context of US History, what do you think the Gilded Age is? Remember to write in complete sentences!

The Gilded Age - refers to the era of rapid economic and population growth in the United States during the post-Civil War and post-Reconstruction eras of the late 19th century (1865-1900) The Mansion is Vanderbilt estate that was built in the late 19th century.

Scientific: New Discoveries and Innovations

Manufacturing Electric Power facilitated increased production in factories by lengthening the work day (light bulb) and powering faster machines, telephone longer work day Light into dark homes and tenements buildings

Manufacturing Petroleum-based Products Edwin L. Drake struck oil in 1859, enabling kerosene production and paving the way for future products such as gasoline

Manufacturing Bessemer Steel Process Steel production was necessary to help build the transcontinental railroads that was a major social and economic driver in the United States; greatly impacted the industrialization efforts in the early 20th century.

Manufacturing Increased production through repeated specific tasks. Assembly Line Increased production through repeated specific tasks.

Agriculture need to increase agricultural output to feed population. McCormick Reaper/Steel Plow need to increase agricultural output to feed population. Refrigeration Food keeps longer, saves money

Transportation Facilitate access to jobs and recreation Mass Transportation Facilitate access to jobs and recreation Cable Cars/Subways/ Electric Transit Systems Enables people to commute to and from job centers and retail areas.

Communication Telephone/Telegraph Access to information faster, factories can produce more and faster

Discussion Question #2 With your shoulder partner(s) discuss and answer the following question: 2. Look again at the list of scientific discoveries and innovations, which innovation do you think had the biggest effect/impact on the economy and society during the late 1800’s and early 1900’s? Most historians believe it be electric power….do you agree? Write your answers in complete sentences! Example: “I think the most important scientific discovery of the Gilded Age was _________________ because ___________ _______________________.”

New Discoveries and Innovations Industrialization Economic Effects Rise of entrepreneurship Free enterprise & Laissez-faire Big business Growth of Labor Unions Political Effects Increased Political Corruption Civil Service Reform Beginnings of Populism Changed Relationship between Govt. & Private Businesses Social Effects Increased Immigration Effects on Women and Children Social Darwinism Urbanization The Social Gospel Philanthropy of industrialist

Economic Effects Free enterprise & laissez-faire Laissez-faire by definition means freedom of economic conduct from dictation by the government. As industry grew rapidly, the U.S. government promoted free enterprise (business that can operate competitively for profit with little government involvement/regulation).

Economic Effects Rise of entrepreneurship An entrepreneur is someone who organizes, manages, and assumes the risks of a business; an agent of change; discovers new ways to combine resources. (Ex: Andrew Carnegie, John D. Rockefeller, and Bill Gates) In the 1800s, many were considered entrepreneurs because they created value by moving resources out of less productive areas and into more productive ones. Other example: skilled immigrants used their trade skills to establish businesses of their own. entrepreneur

Discussion Question #3 With your shoulder partner(s) discuss and answer the following question: 3. What is a monopoly? How does the game “Monopoly” work? Is it a good thing or a bad thing? Write your answers in complete sentences!

Economic Effects OR Big business Industrialists and business leaders used Horizontal and Vertical Alignment to reduce competition and expand their companies. Reduction of competition led to the creation of monopolies and trusts. The most significant industrialists of the Gilded Age include, Carnegie, Rockefeller, Morgan, and Vanderbilt. Socio-economic divisions widened as industries grew. (aka the gap between rich and poor widened) Some people viewed these men as “Captains of Industry,” while others viewed them as “Robber Barons.” Captains of Industry OR

Discussion Question #4 With your shoulder partner(s) discuss and answer the following question: 4. How would you define the terms “Captain of Industry” and “Robber Barons”? Which one is a positive term and which one is negative? Example: “A “Captain of Industry” is some one who ________ _______________, and a ‘Robber Baron” is someone who _________________________.” Write your answers in complete sentences!

Captains of Industry Robber Barons OR Andrew Carnegie John D. Rockefeller Cornelius Vanderbilt J.P. Morgan Industrialist, dominated the steel industry Industrialist, dominated the oil industry Industrialist, dominated shipping and railroads financier, banker

Economic Effects Growth of labor unions Workers and labor leaders criticized company owners and managers for reducing competition, paying low wages and maintaining unsafe working conditions for their employees. They formed and joined labor unions in order to engage in collective bargaining with employers. The most significant labor unions organized during the Gilded Age was The Knights of Labor and the American Federation of Labor founded by Samuel Gompers. Both the KoL and AFL encouraged and supported workers to go on strike in the late 19th century. Samuel Gompers, Cigar Maker and Labor Leader

Economic Effects Three significant strikes called “Great Strikes,” occurred during the late 19th century The Haymarket Riot (1886) – 3,000 labor supported in Chicago’s protested police brutality and a riot broke out. Seven policemen were killed and several worked. Public opinion began to turn against the labor movement and the Knights of Labor started to decline in popularity. The Homestead Strike (1892) - aka the Homestead Steel Strike, was a strike which began on June 1892, culminating in a battle between strikers and private security agents on July 6, 1892. The battle was one of the most serious disputes in U.S. labor history. The dispute occurred in Homestead, Pennsylvania, between steel workers and the Carnegie Steel Company. The final result was a major defeat for the union and a setback for efforts to unionize steelworkers. Pullman Strike (1894) – George Pullman built a factory for manufacturing railroad cars. In a nearby town that Pullman built for his employees he provided nice housing and services. Then in 1894, Pullman cut employees’ wages and refused to lower rent. This led to a violent strike in 1894.

Discussion Question #5 With your shoulder partner(s) discuss and answer the following question: 5. Many groups of people who felt the hardships of the Gilded Age resorted to going on strikes. What conditions have to be present of a strike to be successful and what conditions make them unsuccessful at times? Write your answers in complete sentences!