1. Ch 25 The Rise of Industry

2. 25.1 Introduction
After the Civil War, new inventions and business methods allow American to create industry on a much larger scale then ever before
New goods, economic benefits, and better life for some
Social costs, employees lived and worked in dangerous conditions
March 25, Triangle Shirtwaist Factory in New York City catches fire

3. 25.2 A Nation Transformed Business grows
Entrepreneurs: a person who assembles and organizes the resources necessary to produce goods and services. Willing and able to take risk
Business grows
New technology and manufacturing methods
More money to invest (bankers and investors)
Government’s Laissez-faire policies (no interference)
No regulations for price, quality, working conditions, or business practices
Government subsidies (land grants)
Higher tariffs (taxes on imports)
Cities became the new land of opportunity as the frontier line disappeared and factories provided thousands of jobs.
Farms use new machinery and produce larger crop yields that are used to feed the growing city populations
Industrialization allowed the wealthy to get very wealthy (Vanderbilt, Carnegie, Rockefeller)
Gilded Age
Wealthy live like royalty (number of millionaires increase rapidly)
Workers live in poverty

4. 25.3 Improved Technology Factors for Industrialization
Machine Made goods
Work in factories
Efficient transportation
Steel – stronger and lasts longer then other building materials. Carnegie brings Bessemer process for making steel to US and makes “steel king.” Carnegie improves the process, and take control of every step in the steel making process.
Electric Power -Edison opens and invention factory and turns electricity into an everyday sources of light and power. Invents the light bulb, then invented and built the first electrical power station and distribution system
Telephone- invented by A.G. Bell in 1876, buy 1915 their was widespread use in the US. Made industry more efficient and competitive through easy of communication
Mass Production- the use of interchangeable parts and assembly lines to make large quantities of identical goods. Enabled more products to be made, and prices to drop which led to more costumers and the need for more factories
Air Transport – invented by the Wright brothers, By 1920 an industry based on air travel had emerged. (mail, military, and for the wealthy commercial flight)

5. 25.4 The Rise of Big Business
Big business (railroads) needed more capital than smaller businesses. To raise these funds, corporations were formed with investors becoming stockholders and sharing in the profits
Corporations: a business that is owned by many investors
Corporations join together under one board of directors to from trusts which often controlled every step in the process of the business (resources, production, and transportation) creating monopolies that then control pricing (Rockefeller’s Standard Oil Trust)
Trusts: a groups of corporations that unite in order to reduce competition and control prices in a business or industry
Monopoly: a company that controls all production and sales of a particular product or service
Trust worry many Americans
Threaten free-enterprise (system of competition among businesses which promotes quality and fair prices)
Had to much influence on the political processes because of corruption with campaign contributions.

6. 25.5 The Growth of Cities Urbanization: the growth of cities
Tenements: cheap housing that developed as populations increased
Crowed, unclean, and dangerous
Expanding upward
As land cost increase, builders begin to use steel to construct skyscrapers (10 or more stories tall)
Factory owners prefer top floors where rent is cheaper.
Cities offer stores with new products and access to entertainment (museums, operas, sporting events)

7. 25.6 Working Conditions
With so many people looking for jobs, business owners could pay low wages for long hours in unsafe factories.
Men could not support families- women and children went to work (for even lower wages)
Factories were dangerous
Hot in summer, freezing in winter
Workers couldn’t leave stations without permision
Door were locked
Fires killed many (no fire escapes or sprinkler systems, doors open inward instead of out)

8. 25.7 Labor Unions
Labor Unions: an Organization that brings together workers in the same trade, or job, to fight for better wages and working conditions
Organized workers went on strike to improve conditions
Employers respond with violence, hiring only non-union worker or replacing striking workers with strikebreakers
These unions had some successes (shorten hours, better pay, end to fees)
Factories remained unsafe