1. The Industrial Revolution
The revolution that changed the world forever

2. Britain Leads the way, USA follows
Britain had large amounts of natural resources and skilled laborers that could use new inventions
People in Britain had enough money to start their own businesses. Created the term…
Entrepreneurs-people who risked their own money to start new businesses’
Here a few today…

3. Notable Entrepreneurs

4. SECTION 1: THE EXPANSION OF INDUSTRY
After the Civil War (1865) the U.S. was still largely agriculture
By 1920, the U.S. was the leading industrial power in the world
This enormous growth was due to three factors; ) Natural Resources ) Governmental support 3) Urbanization

5. BESSEMER STEEL PROCESS
Oil was not the only valuable natural resource
Coal and iron were plentiful within the U.S.
Steel was invented when you removed the carbon from iron.
With the invention of steel, buildings could be made much taller leading to the growth of cities.
Railroad tracks and bridges also used steel.
BESSEMER CONVERTOR CIRCA 1880

6. Social Impact
Pollution: One major negative regarding industrialization was pollution.
Immigrants (Irish/German/Chinese) come by the thousands because they were told the “streets were paved with gold”
The reality is that most immigrants struggled to survive and lived in
Tenements: crowded urban homes.
Urbanization: movement of people from farms to cities for jobs.
Labor Unions form: groups of workers negotiating for better pay and working conditions.
Rise of big business and millionaires!!
Child labor: Children were expected to work in factories.

7. INVENTIONS SPUR INDUSTRY

8. ELECTRICITY
1876- Thomas Edison established the world’s first research lab in New Jersey
There Edison perfected the incandescent light bulb in 1880
Later he invented an entire system for producing and distributing electricity
By 1890, electricity powered numerous machines
EDISON

9. THE TELEPHONE
Another important invention of the late 19th century was the telephone
Alexander Graham Bell and Thomas Watson unveiled their invention in 1876
BELL AND HIS PHONE

10. Eli Whitney
Invented the cotton gin that separated seeds from raw cotton
Impact: drastically increased the number of slaves in America b4 the Civil War and made the US the largest producer of cotton in the world

11. Back to railroads!! IMMIGRANTS FROM CHINA LAID TRACK
By 1869, tracks had been laid across the continent (Golden Spike- Utah)
Immigrants from China and Ireland and out-of-work Civil War vets provided most of the difficult labor to build the rail tracks.
Thousands lost their lives and tens of thousands were injured laying track
IMMIGRANTS FROM CHINA LAID TRACK

12. RAILROADS LED TO GROWTH OF CITIES
Many of today’s major cities owe their legacy to the railroad
Chicago, Minneapolis, Denver, and Seattle all grew up thanks to the railroad
“MY KIND OF TOWN”

13. RAILROAD AND TIME
Before 1883, each community still operated on its own time
For example: Noon in Boston was 12 minutes later than noon in New York City
Indiana had dozens of different times
No standard time reference

14. PROFESSOR DOWD CREATES TIME ZONES
In 1869, to remedy this problem, Professor C.F. Dowd proposed dividing the earth into 24 time zones
The U.S. would be divided into 4 zones: the eastern, Central, Mountain, and Pacific
1883 – Railroads synchronized their watches across U.S.
1884 – International Conference adopts zones
PROFESSOR DOWD EXPLAINS HIS TIME ZONES

15. THE WORLD IS DIVIDED INTO 24 TIME ZONES

16. THE UNITED STATES IS DIVIDED INTO 4 TIME ZONES

17. SECTION 3: BIG BUSINESS AND LABOR
Andrew Carnegie was one of the first industrial moguls
He entered the steel industry in 1873
By 1899, the Carnegie Steel Company manufactured more steel than all the factories in Great Britain combined

18. CARNEGIE BUSINESS PRACTICES
Carnegie initiated many new business practices such as;
Finding ways to make better products cheaper
Accounting systems to track expenses
Offering stock & benefits to employees
ANDREW CARNEGIE

19. CARNEGIE’S VERTICAL INTEGRATION
Carnegie attempted to control as much of the steel industry as possible
How? Vertical integration; he bought out his suppliers (coal fields, iron mines, ore freighters, and rail lines) in order to control materials and transportation
Vertical integration whiteboard: can you think of examples if McDonalds tried this…

20. HORIZONTAL INTEGRATION
Additionally, Carnegie bought up the competition through friendly and hostile takeovers
This is known as Horizontal Integration; buying companies that produce similar products – in this case other steel companies
MERGERS

21. John D. Rockefeller
John D. Rockefeller became the richest man in the world in the oil business.
He created Standard Oil Company.
Oil began being used in all types of machines, like cars.

22. BUSINESS GROWTH & CONSOLIDATION
Mergers could result in a monopoly (Trust)
A monopoly is complete control over an industry
An example of consolidation: In 1870, Rockefeller Standard Oil Company owned 2% of the country’s crude oil
By 1880 – it controlled 90% of U.S. crude oil
CHICAGO’S STANDARD OIL BUILDING IS ONE OF THE WORLD’S TALLEST

23. Think-Pair-Share
Why are monopolies and vertical/horizontal integration generally bad for business? Especially for consumers (buyers)…

24. SOCIAL DARWINISM
DARWIN (RIGHT) LIMITED HIS FINDINGS TO THE ANIMAL WORLD
The philosophy known as Social Darwinism has its origins in Darwin’s theory of evolution
Darwin theorized that some individuals in a species flourish and pass their traits on while others do not
Social Darwinists believed riches was a sign of ones work ethic and intelligence, and being poor was a sign of inferiority and laziness
SPENCER WAS THE ONE WHO COINED THE PHRASE “SURVIVAL OF THE FITTEST”

25. ROBBER BARONS
Alarmed at the cut-throat tactics of industrialists, critics began to call them “Robber Barons”
the term was typically applied to businessmen who used questionable business tactics to amass their wealth.
J.P MORGAN

26. White board!
1: Should big business be policed by the US government to make sure they follow laws Or
2: Should they be laissez faire: let big business operate free of government control to make more money
*News video

27. SHERMAN ANTI-TRUST ACT
In 1890, the Sherman Anti-Trust Act made it illegal to form a monopoly (Trust)
Prosecuting companies under the Act was not easy – a business would simply reorganize into single companies to avoid prosecution
Seven of eight cases brought before the Supreme Court were thrown out
*Recent cell phone/airlines mergers

28. WORKERS HAD POOR CONDITIONS
Workers routinely worked 6 or 7 days a week, had no vacations, no sick leave, and no compensation for injuries
Injuries were common – In 1882, an average of 675 workers were killed PER WEEK on the job

30. LABOR UNIONS EMERGE
As conditions for laborers worsened, workers realized they needed to organize
The first large-scale national organization of workers was the National Labor Union in 1866
The Colored National Labor Union followed

31. PROMOTIONAL POSTER FOR THE IWW
SOCIALISM
Some unionists turned to socialism – an economic and political system based on government control of business and property and an equal distribution of wealth among all citizens
How is this different than capitalism????
Example: Donuts
PROMOTIONAL POSTER FOR THE IWW

32. The Social Gospel movement
applied Christian ethics to social problems, such as economic inequality, poverty, alcoholism, crime, racial tensions, etc.
Attempted to use religious ideas to help prevent or stop problems that occured during the industrial revolution.

33. THE HAYMARKET AFFAIR
Labor leaders continued to push for change – and on May 4, ,000 people gathered at Chicago’s Haymarket Square to protest police treatment of striking workers
A bomb exploded near the police line – killing 7 cops and several workers

34. THE HOMESTEAD STRIKE
Even Andrew Carnegie could not escape a workers strike
Conditions and wages were not satisfactory in his Steel plant in Pennsylvania and workers struck in 1892
Detectives and strikers clashed – 3 detectives and 9 strikers died
The National guard restored order – workers returned to work

35. THE PULLMAN STRIKE
After the Pullman Company laid off thousands of workers and cut wages, the workers went on strike in the spring of 1894
Eugene Debs (American Railroad Union) tried to settle dispute which turned violent

36. Strikes!!! Project…
Google image: strikes
You will create a protest sign, each group will make signs for different issues.
Group 1: Child labor
Group 2: Better pay
Group 3: Better working conditions/safety
Group 4: Right to organize/form labor unions
Group 5: Corrupt bosses (Robber Barons)
Group 6: 9 hour work day/more days off