Chapter 6 A New Industrial Age

1. Chapter 6A New Industrial Age

2. Bellringer • Discuss how the discovery of new sources of energy and technological innovations can change society.

3. Objective Questions • What led to the nation’s oil boom? • What was the Bessemer process and how did it fuel steel production? • What were some of the new uses in the US for steel?

4. Natural Resources Fuel Industrialization • After the Civil War, the US was still agricultural • By the 1920s, it was the leading industrial power • This was due to several factors: • Wealth of natural resources • Gov’t support for business • Growing urban population that provided cheap labor • Markets for new products

5. Edwin Drake used steam engine to drill for oil • This started an oil boom • Petroleum refineries rose up to transform oil into kerosene • Gasoline was a byproduct and was originally thrown away • After automobiles became popular it became the most important form of oil

6. There will be blood movie scene • https://www.youtube.com/watch?v=GKJAH-XBNNs

7. Skillbuilder • Map on page 231 • Vocabulary skillbuilder: • Entrepreneur • A person who organizes, operates, and assumes the risk for a business venture

8. Coal and iron were another plentiful resource • Steel comes from iron • Bessemer process was used to make steel • Summarizing: • What natural resources were important for industrialization? • Coal, oil, iron and water

9. RR became the biggest customers for steel • Inventions such as barbed wire and farm machines helped to transform the plains into food producer • Steel made construction possible • Skyscraper with steel frame emerged during this time • Before this building were built with iron, which limited their height

10. Objective Questions • How did the harnessing of electricity transform American business? • How did new inventions and products affect people at home and at work?

11. Inventions Promote Change • Thomas Edison perfected the incandescent lightbulb and invented a system for producing electric power • Electricity changed business • Machines were made to run on power • It was inexpensive and spurred invention of appliances • Electric streetcars promoted outward spread of cities

12. Vocabulary • Incandescent: • Giving off visible light as a result of being heated

13. Analyzing Effects • How did electricity change American life?

14. Christopher Sholes invented the typewriter • Alexander Graham Bell invented the telephone and opened up worldwide communication • These created new jobs in office work for women

15. New inventions impacted factory work • Sewing was done at home and now clothing could be mass-produced in factories • Industrialization freed some factory workers from labor and helped improve standard of living • 1890, workweek reduced

16. Section 1 Assessment • Page 233

17. Section 2 The Age of Railroads

18. Objective Questions • 1. How did the government facilitate the expansion of the railroads? • 2. What were the positive and negative aspects of railroad expansion? • 3. How did railroad time work?

19. Railroads Span Time and Space • Westward expansion possible for business as well as people • Important for settling the west • Gov’t made land grants and loans to RR companies

20. Promontory, UtahCentral and Union Lines metTranscontinental Railroad

21. Central and Union Pacific Map

22. Transcontinental Railroad Video • https://www.youtube.com/watch?v=0CdAzizWiyI

23. RR brought adventure, land, fresh start to many Americans • Central Pacific employed thousands of Chinese immigrants • Union Pacific employed Irish immigrants and Civil War veterans

25. Each community had its own time • Noon in Boston was 12 mins later than noon in New York • Time zones were created to help with the change of time • US had four zones: Eastern, Central, Mountain and Pacific

27. Analyzing Effects • What were the effects of railroad expansion? • Answer: The growth of industries that could ship to new markets; hazardous jobs for railroad workers; an increase of immigration and migration to the west

28. Objective Questions • 5. How did the growth of railroad lines promote the growth of cities and trade? • 6. What was the Credit Mobilier scandal?

29. Opportunities and Opportunists • Iron, coal, steel, lumber and glass industries grew b/c of RR • RR helped to grow towns, new markets, and offered rich opportunities

30. New Towns and Markets • RR linked previously isolated cities • This promoted trade and interdependence • Towns began to specialize in particular products • Ex: Chicago- stockyards • Minneapolis- grain industries

31. Summarizing • How did railroads affect cities? • Answer: Railroads led to a growth of cities in the Northwest and Midwest and led to the developments of new cities in the West

32. Pullman • George Pullman built a factory for building railroad cars • He build a nearby town for his employees and provided for their basic needs • They had nice houses and services in town but strict control to ensure a stable work force • Pullman refused to lower rent after cutting workers’ pay and this led to a strike in 1894

33. Pullman Video • https://www.youtube.com/watch?v=xPhLKARAve4

34. Credit Moblier • The town was created for control and profit • Credit mobilier was a construction company that laid track at two to three times the cost and pocketed the profits • They donated shares of stock to reps in Congress • Officers of the Union Pacific took up to $23 million in stocks, bonds, and cash

35. Objective Questions • 9. For what reasons were farmers angry at railroad companies? • 10. How did the Granger laws help farmers? • 11. What was the Interstate Commerce Act?

36. Grange and the Railroads • Farmers were disturbed by RR corruption • Grange, a farmers’ organization, began demanding gov’t control over RR

37. Map Skillbuilder page 239

38. Railroad Abuses • Farmers were angry at railroad companies • Misuse of land grants, RR sold to other business rather than settlers as the gov’t intended • Fixed prices which kept farmers in debt • Charged different customers different rates

39. Granger Laws • Grangers pressed for laws to protect their interests • RR fought back and challenged the constitutionality of these laws • Munn v. Illinois, SC upheld Granger laws • States won the right to regulate the RR for the benefit of farmers and consumers • This helped to est principle that the federal government has a right to regulate private industry to serve the public interest

40. Analyzing Issues • How did the Grangers, who were largely poor farmers, do battle with the giant railroad companies? • Answer: • The farmers took political action in one united front. They pressed legislators to pass laws to protect them.

41. Interstate Commerce Act • Later the SC ruled that a state could not set rates on interstate commerce- RR traffic coming and going from another state • ICC was passed to reestablish the right of the federal gov’t to supervise RR activities and est a commission for that purpose • Had difficulty b/c of a long legal process and resistance from the RR

42. Panic and Consolidation • Corporate abuses, mismanagement, overbuilding, and competition pushed many RR to brink of bankruptcy • The played a role in nationwide economic collapse • Panic of 1893, 600 banks and 15,000 businesses failed • Investment firms such as J.P. Morgan reorganized the RR • 7 powerful companies held over two-thirds of the RR tracks

43. Political Cartoon pg 240

44. Section 3Big Business and Labor

46. Bellringer • What personal qualities do you think people would need to become a billionaire in today’s world? Why?

47. Objective Questions • What business did Andrew Carnegie dominate? • What was the difference between vertical and horizontal integration?

48. Carnegie’s Innovations • Started the Carnegie Steel Company • Searched for ways to make products better and cheaper • Offered workers stock in the company • Wanted to control as much of the industry as he could

49. Vertical Integration • Bought out all of his suppliers • Coal fields, iron mines, ore freighters, and RR lines • He could control the raw materials and transportation systems • Also attempted to buy out competition