1. United States History Chapter 6 The Expansion of American Industry (1850-1900)

2. Section 1 A Technological Revolution

3. What was the transcontinental railroad? Railway extending from coast to coast Because this was such a costly endeavor, the government stepped up to fund these railroads Congress believed that these railways would strengthen the country’s economic infrastructure

5. What impact did the expansion of the railroad have on American society? Led to the development of many towns throughout the western United States Made life easier for passengers and businesses at affordable rates Established the time zone system

6. What impact did the expansion of the railroad have on American industry? Established a faster and more practical means of transporting goods Lowered the costs of production because shipping costs dropped Created a national market, linking numerous markets throughout the United States Established a model for big business Stimulated other industries

7. What was the significance of the “Bessemer Process”? Made possible the easier production of steel Steel was lighter, stronger, and more flexible than iron Steel would become the key building materials in railroads, bridges, skyscrapers, etc.

8. Section 2 The Growth of Big Business

9. What does the term “robber baron” mean? Implies that business leaders built their fortunes by stealing from the public According to this view, they drained the country of its natural resources and persuaded public officials to interpret laws in their favor, while at the same time driving their competitors to ruin

11. What does the term “captain of industry” mean? Suggests that business leaders served their nation in a positive way This credits them with increasing the supply of goods, raising productivity, expanding markets, created new jobs, increased the standard of living, etc.

12. Identify John D. Rockefeller. Amassed a fortune in oil [Standard Oil Company] He controlled a massive amount of oil reserves, allowing him to raise and lower prices at will to make money or to destroy competition His business practice led to the formation of a monopoly

14. Identify Andrew Carnegie. Amassed a fortune in steal [Carnegie Steel] His business strategy led to his wealth: He owned every phase of steel production: coal mines, iron ore, transportation, etc. By controlling every aspect he is able to keep all of the profits, not needing to share with middlemen [lower costs, greater profits]

15. Explain Carnegie’s “gospel of wealth.” The basis of the concept of philanthropy: “People should be free to make as much money as they can. After they make it, however, they should give it away.”

17. Explain the concept of “Social Darwinism.” Derived from Darwin’s theory of natural selection The belief that society should do as little as possible to interfere with people’s pursuit of success = laissez faire economics

18. Define oligopoly. A market structure dominated by only a few large, profitable firms

19. Define monopoly. Complete control of a product or service

20. Define cartel. Loose association of businesses that make the same product Members of cartels would agree to limit the supply of their product and thus keep prices high

21. Explain vertical consolidation. Process of gaining control of the many different businesses that make up all phases of a product’s development Example: Carnegie Steel

22. Explain horizontal consolidation. The process of bringing together many firms in the same business to form one large company [monopoly/trust] Example: Standard Oil

23. Define trust. A group of separate companies that are placed under the control of a single managing board

24. What was the Sherman Antitrust Act? How successful was this legislation? Passed by Congress in 1890 that outlawed any combination of companies that restrained interstate trade or commerce The act proved to be ineffective against trusts, its vague wording essentially meant the courts had to decide what it said, as a result they enforced the law infrequently [because they were pro-business] The law actually aided corporations in battling labor unions; federal officials argued union restrained trade because they were combining to gain advantage

25. Section 3 Industrialization and Workers

26. Identify the life and working conditions of an industrial worker during the second half of the 19 th century. Worked long hours [sun up to sun down] Discipline was strict Child labor Unsafe conditions: Loud machines Poor lighting and ventilation Faulty equipment All these factors would lead to the formation of labor unions

27. Identify the plight of child labor in the 19 th century. Many children worked in factories and mines to help support their families children working in factories and mines often faced stunted growth, physical ailments/deformities, and were not receiving and education

28. Child Labor

29. Section 4 The Great Strikes

30. Who were the Knights of Labor? How successful was this union? (1869) They hoped to organize all working men and women, skilled and unskilled, black and white, into a single union Goals: Equal pay for equal work 8-hour workday End of child labor They achieved very little, losing public support after a series of failed strikes turned violent, by the 1890s the Knights of Labor had largely disappeared

31. Define craft union. A union for laborers devoted to a specific craft

32. What was the American Federation of Labor (AFL)? How successful was this union? Formed in 1886 by Samuel Gompers The AFL sought to organize only skilled workers in a network of smaller unions, each devoted to a specific craft Issues: Wages Hours Working conditions AFL relied on economic pressures, such as strikes and boycotts, against employers to accomplish their goals

33. Define collective bargaining. Process in which workers negotiate as a group with employers Workers acting as a group had more power than a single worker acting alone

34. Who were the Wobblies? (1905) Industrial Workers of the World (IWW) Focused on organizing unskilled workers It was a radical union which included many socialists Many of their strikes were violent IWW leaders were convicted of promoting strikes in war-related industries

35. What actions did employers take to stop the unionization of their employees? Employers disliked and feared unions Actions: Forbid union meetings Fired union organizers “Yellow Dog” contracts Refused to collectively bargain with unions Refused to recognize unions as legitimate

36. Define industrial union. Union that organizes workers from all crafts in a given industry

37. Notable Strikes: Great Railroad Strike of 1877 (July 1877) was a result of wage cuts by the B & O Railroad The strike spread quickly and turned violent President Hayes was forced to send in federal troops to stop the violence; this strike marked the start of a new violent era of labor relations

38. Notable Strikes: Haymarket Square Riot (May 1886) Union workers in Chicago went on strike in protest in protest of hours and replacement workers; anarchists also joined the protests During one of the events a bomb was thrown, killing a police officer, which erupted into gunfire and killing dozens The public blamed the union for the violence, American now began to associate unions with violence and radical ideas

39. Notable Strikes: Homestead Strike (Summer 1892) Workers at Carnegie’s Homestead Mill went on strike over pay cuts Pinkertons, private police, were sent to put down the strike, which resulted in a shootout The public again associated unions with violence

40. Notable Strikes: Pullman Strike (1894) Union workers went on strike against the Pullman railroad car company, this strike went nationwide which disrupted railroad traffic A court order (injunction) was issued to stop the strike, President Cleveland would also send in federal troops to enforce the ruling The outcome of this strike started the pattern of factory owners turning to the courts to end union activities, limiting the gains of the government for the next 30 years