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Market Revolution & the Growing National Economy

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1 Market Revolution & the Growing National Economy
Mr. Owens Crash Course: Market Revolution

2 Essential Questions What were the causes and effects of the rise of the Market Revolution including the role of entrepreneurs? What new technological innovations increased both factory and agricultural production and efficiency? How did the growth of manufacturing both foster the growth of wealthy business elites and a middle class, but also lead to a widening maldistribution of wealth and a growing population of laboring poor?

3 Population Growth U.S. population doubled, & doubled again by 1850 due to high birth rate & rising immigration (from Great Britain & Germany by 1830) By 1830s 1/3 of population lived west of Appalachians

4 Transportation Roads – success of Lancaster Turnpike in PA sparked expansion of roads & turnpikes, mostly funded by states except National (Cumberland) Road from Maryland to Illinois s Canals: Erie Canal completed in NY by 1825, Gov. De Witt Clinton, greatest construction project so far Steamboats: Robert Fulton’s Clermont up Hudson River in 1807 Railroads – by 1830s competing with canals led to rise of western cities: Cleveland, Cincinnati, Detroit, & Chicago

5 Growth of Industry Industry limited by 1800, but manufactures surpass value of agriculture by 1850s Mechanical Inventions: Eli Whitney’s cotton gin, & rifle factory used interchangeable parts to supply War of 1812 Corporations: 1811 NY 1st incorporation law, early NY stock exchange- idea of “limited liability” Factory System: Samuel Slater established first true textile factory in 1791, more expanded due to Embargo esp. in New England such as Lowell, MA Labor: textile mills hired young poor farm women – Lowell System – regimented & lived in dorms, rise of child labor & poor immigrants by 1840s Unions: Trade (craft) unions began in 1790s due to low pay, long hours & unsafe conditions, BUT weak due to Cheap immigrant labor esp. Irish state laws limit unions, depressions caused high unemployment & desperation

6 Effects of Market Revolution
End of individual self-sufficiency – led to specialization Increased standard of living Single women moved to cities to work in factories & as domestic servants More independence, but few legal gains More social mobility, but increased gap between rich & poor Increase in slavery despite ban on international slave trade in 1808, due to demand for cotton from Britain & northern textile industry Slave Population: 893,000 in 1800, 2 million in 1830, to nearly 4 million by 1860

7 Industrial & Urban Northeast: textiles, & variety of other goods: farm machinery, clocks & shoes etc. Organized labor: Working Man’s Party, MA Commonwealth v. Hunt (1842) unions had right to organize & strike Urban Life: 15% of pop. By 1850, opportunities & problems African Americans: 250,000 by 1860 (50% of free blacks) faced major discrimination, denied from unions, limited jobs (used as scabs) Agricultural Northwest: corn & wheat production Technology: steel plow (John Deere) & mechanical reaper (Cyrus McCormick) more efficient New Cities: Chicago, Cincinnati, St. Louis, Buffalo Immigration: surged primarily in North & Northwest The North

8 Immigration & Nativism
Surge due to transportation, problems in Europe & opportunity in America Racism - new immigrants viewed as inferior Belief that they were socially unfit to live alongside “natives” (slums) Workers: immigrants lowered wages or were stealing jobs Protestants - objected to most immigrants being Irish or German Catholics Whigs - Immigrants supported Democrats Politicians - immigrants corrupted politics by selling their votes (political machines) 1840s in response to surge of Irish & Germans Know-Nothing Party: “The Supreme Order of the Star-Spangled Banner”

9 The West American Indians: Exodus west by force or choice west of Mississippi & many adapt to the Great Plains -Cheyenne & Sioux (Lakota) nomadic with use of horse The Frontier: lure of freedom “Mountain Men” ventured West after tales of Lewis & Clark Settlers on Western Frontier: difficult life in log cabins & “soddies”, disease & malnutrition, conflict w/Native Americans Women had more responsibilities, difficulties & shorter lifespan Poor farming techniques led to soil exhaustion & over-hunting brought buffalo & beaver to near extinction in certain areas.


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