Unit 2—Chapters 3 – 4 Industrialization and Progressivism CSS 11.1, 11.2, ,

Part One Industry and Technology Advance Rapidly EQ: What factors led to the industrialization of America, and what impact did industrialization have on society?

Natural Resources US has plenty of Lumber Coal Oil Iron

Invention and Innovation Bessemer Steel mass-produced build skyscrapers and bridges Wainwright Building St. Louis 1891 Home Insurance Building Chicago, 1884

Flatiron Building, NY 1902

Brooklyn Bridge, 1870 – 1883

Light Bulb (Thomas Edison) cheaper, safer lighting night work available now Telephone (Alexander Graham Bell) instant communication across the nation and the world Invention and Innovation

Impact of Industrialization Rise in Standard of Living Cities grow up and out More efficient production Improvements in transportation and communication Mass consumerism

Fill in as much as you can in the chart below The Industrialization of America CausesEffects *Natural Resources * Growth of Cities *

Fill in the chart below The Industrialization of America CausesEffects *Natural Resources *Millions of immigrants from Europe and Asia *Government policies that encouraged business *Culture that favored entrepreneurs Growth of Cities More railroads and industry New inventions like the electric light bulb and the phonograph Rise in the standard of living for many people Large corporations dominated

Industrial Leaders Captains of Industry or Robber Barons? some argue that the actions of the wealthy businessmen make them visionary heroes who made America great others argue that they were greedy men who paid immigrants little to work dangerous jobs while amassing wealth and destroying the environment

How the Other Half Lives

20 Richest American of All Time 1. John D. Rockefeller1839–1937oil$900 million$189.6 billion 2. Andrew Carnegie1835–1919Steel$250 million$100.5 billion 3. Cornelius Vanderbilt1794–1877shipping, railroads$105 million$95.9 billion 4. John Jacob Astor1763–1848real estate, fur trade$20 million$78 billion 5. William H. Gates III1955–Software$61.7 billion 6. Stephen Girard1750–1831shipping, real estate$7.5 million$55.6 billion 7. A.T. Stewart1803–1876retail, real estate$50 million$46.9 billion 8. Frederick Weyerhaeuser1834–1914Lumber$200 million$43.2 billion 9. Jay Gould1836–1892Railroads$72 million$42.1 billion 10. Marshall Field1834–1906department stores$140 million$40.7 billion 11. Sam Walton1918–1992Retail$28 billion$37.4 billion 12. Henry Ford1863–1947automobiles$1 billion$36.1 billion 13. Warren Buffett1930–investing$34.2 billion 14. Andrew W. Mellon1855–1937banking$350 million$32.3 billion 15. Richard B. Mellon1858–1933banking$350 million$32.3 billion 16. James G. Fair1831–1894mining$45 million$29.8 billion 17. William Weightman1813–1904chemicals$80 million$29.2 billion 18. Moses Taylor1806–1882banking$40 million$29.2 billion 19. Russell Sage1816–1906finance$100 million$29.1 billion 20. John Blair1802–1899railroads$60 million$28.9 billion

Part One The Rise of Big Business EQ: What factors led to the industrialization of America, and what impact did industrialization have on society?

John D. Rockefeller, founded Standard Oil in 1870 he became the first billionaire and is arguably the richest man in modern history his estimated wealth would be $318 billion today he gave $550 million in charity to universities and medical groups

Standard Oil, 1870 the company controlled most of the world’s oil supply it owned railroads, refineries, and gas stations In 1911, the US Supreme Court ordered it to split up into 34 separate companies Horizontal Consolidation Rockefeller forced rivals out of business by keeping his prices too low for them to compete and then bought them out

Standard Oil

Andrew Carnegie, 1835 – 1919 Scottish immigrant to the US in 1848 he made $1.20 for a 72-hour work week at age 13 he made his fortune in steel and then spent the last 20 years of his life giving his fortune away he did NOT believe in giving money to people instead he built museums and schools

Andrew Carnegie Skibo Castle

In this slide we see Andrew Carnegie (center, with the while beard) surrounded by a group of business leaders. (2.2E) Carnegie Steel Carnegie sold his company to JP Morgan for $350 million Morgan turned US Steel into the first billion-dollar corporation in America Vertical Integration Carnegie owned every step of the steel- making process from mining to smelting to shipping

Activity Instructions: In your table group, look through the different terms. Search for patterns and identify ways in which the terms are related. Organize your terms in the patterns you see. When you are done, you should have created 4 “companies”. Two of these demonstrate Horizontal Consolidation, two demonstrate Vertical Integration. Hints: Two companies follow a Horizontal Pattern → Two companies follow a Vertical Pattern. ↓

Trusts/Monopolies/Cartels companies that controlled an entire industry often a company owned a whole series of other companies this stopped competition which hurt prices and quality of the goods

Sherman Anti-Trust Act, 1890 government’s first attempt to regulate bad monopolies monopolies that tried to artificially keep prices high it was not well enforced and couldn’t do too much to big business

Criticism and Defense of Big Business Social Darwinism the rich are rich because they work hard and are smart and talented the poor are lazy and stupid Social Gospel rich people should NOT give money directly to the poor instead they should carefully manage their charity for the greatest good…libraries, schools, hospitals Laissez-faire the government should not regulate business because it makes businesses less efficient

Social GospelSocial Darwinism Survival of the fittest It’s your money, you keep it The rich are rich because they work hard, are smart and talented The poor are lazy and stupid 1.Relate to human relations 2.Stems from industrialization 3.Struggle between those with and those without 4.Believe gov’t has a role to play 5.Caused social stresses 6.Still exist Religious Movement The purpose of wealth is not to hoard it Share it with less fortunate people Don’t give money directly to poor Create libraries, schools, etc. for the greater good

Moral Issues Discussion If a Walmart employee gets trampled on Black Friday, is Walmart responsible? Why/why not? Should companies be responsible for the pollution they create? If a car maker knowingly makes a bad car, should the government punish him? Why/why not? Health Insurance is tied to employment in the US. Meaning, you have to have a good, full-time job to get health benefits. This means that a McDonald's worker most likely doesn't have insurance. If he gets cancer, he doesn't have coverage and will probably die. Is this okay? Why/why not? Is it OK for the US to invade other countries in the name of spreading Democracy? Why/why not? Improved health care has increased the life expectancy of Americans. More specifically, poor Americans. This is proven through the fact that wealthy peoples' life expectancy has increased by 2 years in the last 100 years, while poor peoples' life expectancy has increased by 30 years. What do you think about this? Why? Do you think the government should set a minimum wage? Why/why not? How about maximum hours-per-week? Minimum age to work? Why/why not? If a woman orders coffee, but the store doesn't specifically explain that the coffee is hot, and then she spills it on herself, causing severe burns, is it the store's fault? Why/why not? If a child becomes obese because his family fed him fast food every day, whose fault is it? Why?

Part One Workers Organize EQ: What factors led to the industrialization of America, and what impact did industrialization have on society?

Workers Endure Hardships Women and Children Long days Low pay Dangerous working conditions No health benefits, vacation or security

Labor Unions and the Impact of Industrialization unions allow workers to negotiate with their bosses as a group this is called collective bargaining shorter work hours, safer working conditions, workman’s compensation unions collect dues to raise money for their causes the National Labor Union was the first large nation-wide labor union, it collapsed during the depression of 1873

Labor Unions and the Impact of Industrialism Skilled Worker workers that possess some expertise, training, or education that make them hard or impossible to replace masons, carpenters, blacksmiths, and bakers Unskilled Worker workers that possess no specific training and are therefore easily replaced miner, factory assembly

Labor Unions and the Impact of Industrialism Knights of Labor, 1869 secretive union that allowed any worker (skilled or unskilled) to join except liquor dealers, gamblers, and lawyers membership rose to over 700,000 pushed for an end to child labor, progressive income tax, and equal pay for women

In this slide we see coal miners, most of whom are boys, in Pennsylvanian.

The Triangle Shirtwaist Company Fire – 1911

Labor Unions and the Impact of Industrialism American Federation of Labor, 1886 led by Samuel Gompers, this union was made of a whole bunch of skilled unions the AFL is the largest union organization in the US today more successful in negotiations because it’s members were harder to replace anti-immigrant, especially anti- Chinese

Strike Terminology (don’t write) work-to-rule workers perform their tasks exactly as they are required to but no better sickout the strikers call in sick sit-down strike workers may occupy the workplace, but refuse either to do their jobs or to leave general strike Strike that involve all workers, or a number of large and important groups of workers, in a particular community or region sympathy strike one group of workers refuses to cross a picket line established by another as a means of supporting the striking workers.

In this slide we see strikers at a textile mill in Lawrence, Massachusetts, being held back by federal troops. (2.2H)

Labor Unions and the Impact of Industrialism Haymarket Square Riot, 1886 a rally for union workers in Chicago turned into a riot when a bomb went off Killed 7 seven police and many civilians 8 anarchists were arrested for murder anti-immigrant, anti-labor prejudice hurt unions

Labor Unions and the Impact of Industrialism Pullman Strike, 1893 Amid a depression, the Pullman Palace Car Company cut pay by 28% the American Railway Union called for a boycott 125,000+ workers went on strike in Chicago they toppled trains to shut down the nation’s railroads 12,000 troops broke up the strike because they interfered with the US Mail

Pullman Strike, 1893

Fill in the chart below Workers Suffer Strikes break out Labor Unions Organize A labor movement grows

Fill in the chart below A labor movement grows Workers Suffer Strikes break out Labor Unions Organize Long Hours Sweatshops AFL Knights of Labor Pullman Strike Haymarket Riot Dangerous work