The Growth of Industry

Industrialization: Factors Plentiful Natural Resources Improved Transportation Growing Population/High Rates of Immigration New Inventions Investment Capital

Steel: Backbone of Industry Bessemer Process – used less coal to produce steel Nation’s production increased Steel replaced iron to produce many products Plows, barbed wire, beams, nails, rails

Steel: Backbone of Industry

Titusville, PA

New Inventions and Innovations Typewriter Stock ticker Phonograph Electric Lighting Microphone Electric Generator Telephone Sewing Machine Standard Sizes

Corporations 3 Advantages 1. Selling Stocks = more $ 2. Special Legal Status = Banks more likely to loan $ 3. Limits risks of investors

John D. Rockefeller Oil Industry – First Refinery (1863) Philosophy – put all competitors out of business (monopoly) Most famous move = developing a trust in 1882 Standard Oil controlled 95% of all oil refining in the US

John D. Rockefeller Became known as a robber baron Made secret deals with railroads Built and purchased his own pipelines Bought other oil companies

Andrew Carnegie Steel Industry Philosophy – beat competitors by producing the cheapest product Bought all the processes related to steel manufacturing Bought mines, ships, and railroads Controlled the steel industry from

Carnegie and Rockefeller Both were philanthropists Rockefeller = Universities of Chicago and New York Carnegie = Libraries and universities

Homestead Strike Homestead, PA Carnegie reduced wages of workers 300 armed guards were hired, to protect the factory Employees armed themselves July 6, 1892 a battle occurred between workers and guards

Homestead Strike