1. The Expansion of Industry
Section 14-3 pp

2. Preview Questions What were American’s important natural resources?
How did new inventions change Americans’ way of life?

3. Natural Resources Fuel Industrialization
Three Causes of Technological Advances
Large supply of natural resources
New inventions
Growing urban population that demanded new products

4. Natural Resources Fuel Industrialization
America’s Abundant Natural Resources
Oil:
Used for kerosene and gasoline
Edwin L. Drake: Stem Engine Drill
Coal
Iron:
Bessemer process (W. Kelly) turned iron into steel
Used for RR’s, farm tools, cans, skyscrapers (W. Jenney), bridges

5. Inventions Promote Change
Electricity
Thomas Edison’s light bulb
George Westinghouse – cheap, safe electricity
Typewriter
Christopher Sholes
Telephone
Alexander Graham Bell

6. Inventions Promote Change
Changes in American Life
More women work in offices
Work done in factories
Poor conditions for employees
Increased time for leisure
New products

7. The Age of the Railroads
Section 14-2 pp

8. Preview Questions
How did the railroads change the way Americans told time?
How did the growth of railroads affect the nation?
Why did the farmers fight the railroads?

9. RR’s Span Time and Space
Transcontinental Railroad
Completed in Promontory Point, Utah in 1869
Work completed by Irish and Chinese immigrants and Civil War veterans
United the nation

10. RR’s Span Time and Space
RR Workers Faced Challenges
Life threatening working conditions
Low pay
Discrimination

11. RR’s Span Time and Space

12. Opportunities and Opportunists
Benefits of Railroad Growth
Easier to travel long distances
Iron, Steel, Coal, Lumber, Glass industries grow
Increased trade
Growth of many communities
Pullman’s Town

13. Opportunities and Opportunists
Drawbacks of RR Growth
Abuse of Power
Corruption
Credit Mobilier Scandal
Inflated costs of building RR
Bribed members of government

15. The Grange and the RRs Farmers Challenge Railroads
Upset over large land grants and high shipping prices
Many states began to pass laws regulating RRs
Munn v. Illinois
Supreme Court declared government had authority to regulate RRs
Interstate Commerce Commission created to supervise RRs – not effective

16. Big Business and Labor
Section 14-3
pp. 447 – 455

17. Preview Questions How did Carnegie take control of the steel industry?
How did entrepreneurs try to control competition?
What were the two major types of unions?

18. Carnegie’s Innovations
Industrial mogul who made his fortune in steel companies

19. Carnegie’s Innovations
Vertical Integration:
Company buys out its suppliers
Control quality and cost of product
Created monopolies
Horizontal Integration:
Company merges with similar companies

21. Social Darwinism Theory that taught “only the strong survive”
Promoted competition, hard work, and responsibility
Used as justification for exploitation of workers and immense wealth

22. Fewer Control More Monopoly: Holding Company:
Complete control over an industry’s production, quality, wages, and prices
Eliminated competition and increased profits
Holding Company:
Corporation that did nothing but by the stock of other companies.
Ex: John D. Rockefeller and Standard Oil

23. Fewer Control More Trusts:
A large corporation made up of many companies that receive dividends on profits earned by all the companies combines
Helped to create monopolies
Ex: John D. Rockefeller and Standard Oil
“Robber Barons”

24. Fewer Control More Sherman Antitrust Act
Made it illegal to form trusts
Not effective

25. Labor Unions National Labor Union Knights of Labor
Won 8 hour work days in 1868
Knights of Labor
Open to all workers
Promoted negotiation over strikes

26. Union Movements Diverge
American Federation of Labor
Led by Samuel Gompers
Used strikes and collective bargaining
Industrial Workers of the World
Based on the work of Eugene Debs
Made up of Socialists and political radicals
Wanted to include skilled and unskilled workers

27. Strikes Turn Violent Strike Breakthroughs
Great Strike of 1877 – President Hayes used federal troops to break up the strike
Haymarket Square Riot – Caused public opinion to turn against workers and strikes
Pullman Strikes - After strikers turned violent, President Cleveland sent in troops.

28. Strikes Turn Violent Trends in Labor Organization
Women began to organize
Employers refused to recognize union leaders
“Yellow Dog” Contracts forbid union membership
Government break-ups of strikes