Chapter 20.1 AMERICA ENTERS THE INDUSTRIAL AGE

 Industrial Revolution – Transition to new manufacturing processes. For example: Hand production to machine production. VOCABULARY

 Patent – Government document giving an inventor the exclusive right to make and sell an invention

 Corporation – A business owned by investors who buy part of it through shares of stock

 Shareholder – An investor who buys part of a company through shares of stock

 Monopoly – Business that gains control of an industry by eliminating other competitors

 Business Cycle – The pattern of good and bad economic times

 Depression – A period of low economic activity

 Gilded Age – Late 1800’s era of great wealth

How did industry and new inventions change society?  During the Industrial Revolution many moved from rural areas to cities to find work.  Urbanization – growth of cities.  Skyscrapers- use of steel, accommodate LARGE # of people  Electric Elevator by Otis Elevator company 1889 INDUSTRIALIZATION CHANGES CITIES

 Growing Population  population more than doubled  Natural Resources  Forests, water, coal, iron, copper, silver  Government Support  Land grants, subsidies and tariffs to help businesses grow  Improved transportation  Steamboats, canals, railroads-ship more farther+quicker  New Inventions  More goods more efficiently  Investment Capital  Banks + wealthy people lent businesses money CAUSES OF THE INDUSTRIAL REVOLUTION

 Homestead Act  1862 law that offered 160 acres free to anyone who agreed to live on and improve the land for 5 years  Promontory, Utah: Transcontinental railroad officially completed here HOW DID THE GOVERNMENT GET PEOPLE TO MOVE WEST?

What inequalities emerged in the late 19 th century? 1890 – 11 out of 12 million people living in poverty.  Tenements- run down overcrowded apartment houses. Leads to disease and poverty  Slums- no running water, no garbage pick up etc  Slums- no running water, no garbage pick up etc. Became know as:  The Gilded Age – “rags to riches” wealth masking poverty and corrupt politics.  The Gilded Age – “rags to riches” stories. Mark Twain named “Gilded Age” because of wealth masking poverty and corrupt politics. Pg 636 PROBLEMS WITH URBANIZATION

 Rockefeller and Oil Industry:.  Rockefeller and Oil Industry: thought best way to make $ was to put competition out of business. Rockefeller became known as a  robber baron –a business leader who uses dishonest methods to grow rich  Carnegie tried to beat his competition by making the cheapest and best steel :  Carnegie tried to beat his competition by making the cheapest and best steel : Sold his steel company to  J.P. Morgan (Nations Top Banker)  J.P. Morgan (Nations Top Banker) in 1901 for 480 million dollars. philanthropists, or people who give large sums of money to charities  Carnegie and Rockefeller became philanthropists, or people who give large sums of money to charities.  Joseph Pulitzer and William Hearst- Newspaper publishers CAPTAINS OF INDUSTRY

Cornelius Vanderbilt - Railroad J.P. Morgan - Banker

John D. Rockefeller - Oil Andrew Carnegie - Steel