Section 1 “The Rise of Industry”

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Presentation transcript:

Section 1 “The Rise of Industry” Industrialization 1865-1901 Section 1 “The Rise of Industry”

Natural Resources Even before the invention of the automobile, petroleum was in high demand because it could be turned into kerosene. Edwin Drake – Drilled the first oil well.

Free Enterprise Laissez-faire relies on supply and demand to regulate prices and wages. Supporters of laissez-faire believed the government should interfere in the economy only to protect property rights and maintain peace. Protect new domestic businesses from foreign competition.

Free Enterprise During the early days of industrialization, many members of Congress believed that tariffs were necessary to help new American industries compete with large established European factories.

New Inventions Alexander Graham Bell – Invented the telephone. “Come here Watson, I want you.” Thomas Alva Edison – Invented the phonograph, light bulb, electric generator, etc. Set up Menlo Park which became the forerunner of the modern research laboratory.

Technology’s Impact Northrop Automatic Loom – Changed bobbins without stopping. Measurements taken of Union soldiers during the Civil War led to the development of ready made clothes.

Section 2 “The Railroads”

Pacific Railway Act – Began the railroad boom. Union Pacific Central Pacific Hired workers from China when there was a labor shortage in CA. Construction of the transcontinental railroad pushed west from Omaha, Nebraska. The government offered each railroad company building the transcontinental railroad land along its right-of-way to encourage rapid construction.

Railroad companies raised a large percentage of their money from selling government land grants. In 1883 the American Railway Association divided the country into four different time zones. Cornelius Vanderbilt – Began the first direct rail service from New York City to Chicago.

Crédit Mobilier Scandal - Union Pacific investors became rich by paying inflated bills from a construction company they controlled. Jay Gould - Practiced “insider trading”.