1. Day 80: Industry Comes of Age
Baltimore Polytechnic Institute
January 5, 2017
A/A.P. U.S. History
Mr. Green

2. Objective
Students will analyze to what extent the big monopolies (steel, oil, railroad) contributed to class conflict by describing the role of the industry leaders.

3. Industry Comes of Age
Objectives: Explain how the transcontinental railroad network provided the basis for an integrated national market and the great post–Civil War industrial transformation. Identify the abuses in the railroad industry and discuss how these led to the first efforts at industrial regulation by the federal government. Describe how the economy came to be dominated by giant trusts, such as those headed by Carnegie and Rockefeller in the steel and oil industries, and the growing class conflict it precipitated. Describe how new technological inventions fueled new industries and why American manufacturers increasingly turned toward the mass production of standardized goods. AP Focus Enormous immigration, mass production, and the presence of low- skill jobs drive down workers’ wages. A catalyst for postwar industrial and economic expansion is the railroad industry, which not only facilitates trade, commerce, and transportation, but also makes locomotive production a major industry. The government plays a major role in the industry’s development and importance by providing the companies with millions of acres of free land—a giveaway, some say.

4. Chapter Focus
Chapter Themes America accomplished heavy industrialization in the post–Civil War era. Spurred by the transcontinental rail network, business grew and consolidated into giant corporate trusts, as epitomized by the oil and steel industries. Industrialization radically transformed the practices of labor and the condition of the American working people. But despite frequent industrial strife and the efforts of various reformers and unions, workers failed to develop effective labor organizations to match the corporate forms of business.

5. Announcements 1868, 1872, 1876, 1880 Election Chart due today
Read Chapter 24

6. Wrongdoing in Railroading
Stock watering- Inflating the value of a corporation to sell its stocks and bonds Heads of the railroads began to work together and “pool” resources Some long hauls were less expensive than short hauls Small farmers paid the price

7. Government Bridles the Iron Horse
Depression of the 1870’s “railroaded” farmers into bankruptcy Wabash v. Illinois(1886)-states cannot regulate interstate commerce, only the federal government can regulate interstate commerce Congress passed the Interstate Commerce Act of 1887 prohibited rebates/pools, publish rates, forbade short hauls from being more expensive than long hauls Not effective in revolutionizing, only keeping stability

8. Miracles of Mechanization
Foreign investors put the money into the hands of the private borrower Innovations in transportation-coal, iron, oil Mesabi Range-Chicago-Cleveland Mass-production methods 440,000 patents issued between 1860 and 1890 Bell and Edison

9. Homestead Strike-1892 Carnegie’s plant near Pittsburgh Steelworkers angry over pay cuts Troops broke the strike and the union Populist party in 1892 gained 22 electoral votes and 1,029,846 popular votes Blacks denied the vote in the South, and coupled with racial tones, the Populist Party did not fare well in the South. Grandfather clauses used to exempt whites from taxes/literacy tests

10. The Trust Titan Emerges
Vertical integration-combining into 1 organization all phases of manufacturing Justified on the grounds of efficiency and quality Horizontal integration-Trust developed by Rockefeller to control competitors Interlocking directorates-J.P. Morgan placed his people in the businesses he bailed out

11. Unions
You will read two primary source documents and answer the following questions for each selection 1. In Praise of Mechanization (1897) a. How does Levasseur (author of the selection) appraise the overall impact of mechanization? Is he convincing? Explain b. What differences does Levasseur see between work conditions in Europe and those in the U.S.? C. What does Levasseur identify as the principal complaints of U.S. workers? Does Levasseur consider them justified?

12. Unions-cont’d
You will read two primary source documents and answer the following questions for each selection A Tailor Testifies(1883) a. What changes in work conditions had the tailor seen in his lifetime? Explain b. Were the above changes for the better or worse? Be specific c. What did the changes imply for his family life?

13. Homework
Continue Reading Chapter 24
Prepare for 5QQ on Friday