1 / 44

GILDED AGE

GILDED AGE. 1865-1901. *Gilded Age*. Gilded = to cover with a thin layer of GOLD ! Characteristics: Political Corruption Immigration Monopolies Extreme differences between upper & lower class Child Labor. *U.S. Industrialization.

cbuford
Download Presentation

GILDED AGE

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. GILDED AGE 1865-1901

  2. *Gilded Age* Gilded = to cover with a thin layer of GOLD! Characteristics: • Political Corruption • Immigration • Monopolies • Extreme differences between upper & lower class • Child Labor

  3. *U.S. Industrialization 1860: U.S. was a second rate industrial power *1890: U.S. is a World Production power! What changed in 30 years?

  4. Land/Natural Resources Growth of Railroads Population Growth Inventions & Technology Scientific Management (organization) *Five Keys to U.S. Industrial Success*

  5. 1. Land/Natural Resources Manifest Destiny—1890 frontier closed, US controls land and resources from Atlantic to Pacific Ocean.

  6. 2. Growth of Railroads 1830 1840 1850 23 miles of track 2,808 miles of track 9,021 miles of track

  7. 1860 Railroads 34,578 miles of track

  8. 1890 Railroads 193,000 miles of track

  9. *Railroads Led to: 1)*Time zones-created in 1883 to improve railroad efficiency & decrease accidents 2) *Cities-grew up along rail lines

  10. 3)*Led to growth of lumber, iron, & steel industries 4) Pullman car- luxurious sleeping & eating car. 5) Transcontinental RR =built 1863-69 Fastest way to cross the the country

  11. *What is the time difference between Pacific and Eastern time zones?

  12. Which of these is not a result of the growth from Railroads? • Increased population in the east • Growth of the steel & lumber industry • Need for time zones • Cities sprang up around the train • depots

  13. 3. Population Growth • U.S. population in 1800= 5.3million 1900= 76 million 2012=315 million • Rural = countryside; urban = city 1. *Using your prior knowledge, why was the U.S. population becoming more urban?

  14. How many people lived in urban areas in 1890? • How many people lived in rural areas in 1910? • What was the difference in rural & urban in 1900? • What was the difference in rural & urban in 1920? • What trend do these numbers confirm?

  15. 4. *INVENTIONS & TECHNOLOGY* • Technology had the greatest impact on growth in the Gilded Age: a. Transportation b. Communication c. Energy

  16. A. *Transportation- *Bessemer Process: Process to make steel cheaply & in large quantities from iron Invented by Henry Bessemer

  17. *Impact of the Bessemer Process Improved: • *Railroads • Skyscrapers (built much taller) • *Bridges (Brooklyn Bridge) • Stronger engines for trains • Farm equipment

  18. B. *Communication *1. Telegraph: 1837 • Tied to railroad • Used Morse code to communicate along electric lines. • Replaced U.S. Mail and Pony Express

  19. 2. *Telephone: 1876 • Invented by Alexander Graham Bell • By 1900, 1.5 million telephones in use *Both the telegraph & telephone increased communication efficiency!

  20. C. Energy *1. Electrical Power had a HUGE impact on inventions. • Hydroelectric power,1880s, power from water: Ex. Niagra Falls, Hoover Dam, Gibbons Creek • Electrical Transformer - invented to provide power to major cities *Allowed factories & businesses to work long hours increasing production.

  21. Other Thomas Edison inventions using electricity: • Light bulb, 1879 (tried 9,000 times!!!!) • Improved telegraph ticker • Phonograph • Sewing machine • Dental drill • Motion pictures

  22. 2.. Petroleum- • First oil wells dug in 1850s (Titusville, PA) • 1865 - Oil refining process • Kerosene & coal most popular sources of fuel • Refineries become more important, 1908, with the automobiles • 1910, gasoline replaced kerosene

  23. 5. Scientific Management • Businesses shifted away from the manager/owner business model. • Owners hired professional managers to run day-to-day operations of the company. • Helped the business operate more efficiently = ”owners” make bigger profits.

  24. Which of the following is not a key to Industrial Success? • Inventions & Technology • Increase in population of workers • Cottage industry • Railroads • Natural Resources

  25. BIG BUSINESS

  26. Old System Business- • 1 owner, trusted • Served local or regional area • Sold door to door • Made 1 product at a time New System Business- • Owned by investors, not trusted • Serve Regional or National level • Used catalogs & stores • Assembly line

  27. *Gilded Age Government Attitude = Social Darwinism (survival of the fittest!) *Laissez-Faire = Economy works best if the government leaves it alone • *Entrepreneurs could invest in their business with no government interference

  28. Corporation Legal artificial person created to strengthen a business & /\ profits • Goal – dominate a business and make money for owners or stockholders • Stockholders own a piece of a company • Tried to create monopolies to control market • Still exist today

  29. *Monopoly* • Monopoly – complete or almost complete control of an entire industry • Goal – eliminate competition, controls the market, controls prices, & make $$$$$$ • *Critics of big business claimed monopolies harmed the economy by unfairly limiting competitions

  30. *TYPES OF MONOPOLIES 1. Integration – Inter or join together; where companies join together. *2 Types of Integration: a. Horizontal b. Vertical

  31. *A. Horizontal Integration • *Business that controls several factories at one stage of production/service • Can charge whatever price they want • Gilded Age example – Standard Oil • Modern example – Verizon buys Alltel United buys Continental

  32. *B. Vertical Integration • *Business that controls every stage of production • Decreases price of manufacturing • Gilded Age example – U.S. Steel • Modern examples – Exxon, Apple

  33. 2. *Trust – a corporation that owns several different companies (formed to increase profit and eliminate competition)

  34. Write a “V” for Vertical or an “H” for Horizontal Integration: 1. A steel company makes & ships the steel beams to construction sites. 2. Exxon sends its tankers back and forth from the rigs to the refineries in the port of Galveston and there they refine the oil. 3. This textile mill raises cotton, creates the material, turns it into blankets, clothing, etc. & ships it out to department stores to sell. 4. The seven dwarfs mined the diamonds 5. Wal-mart sells all the groceries in Austin

  35. *Important People in Big Business 1. *Robber Barons-Owners of companies who used questionable business practices to become rich! 2. *Captains of Industry-business leader who gains a personal fortune that contributes positively to the country • Both based on ‘public perception’. • By the end of the Gilded Age, people did not trust business owners

  36. *Andrew Carnegie, 1835-1919 • *Created U.S. STEEL, combining iron mines, transportation, & steel plants to form a monopoly (organized production on a very large scale) • 1st to adopt the Bessemer process & produce cheap steel • *Philanthropist-love for humanity (libraries, universities, arts) • *Showed how to organize large scale production as well as use profits in philanthropic activities • 2ndrichest man in history

  37. *Andrew Carnegie* • *Wrote “Gospel of Wealth” stating that the rich had a duty to help the poor • Donated all of his fortune to public uses – libraries, schools, museums, and assembly rooms, collectively known as the Carnegie foundation

  38. Carnegie Library

  39. J.P. Morgan, 1837-1913 • Investment banker on Wall Street • Dominated corporate finance & industrial consolidation • Took over railroads & bought US Steel from Carnegie • Made himself wealthy and powerful. $80million or 1.3 billion today

  40. *John D. Rockefeller, 1839-1937 • *Created STANDARD OIL. 1st oil monopoly by combining oil refineries • By 1881, controlled 90% of refining in the U.S. • Richest man in America, 1 million; richest in history • What type of integration did Rockefeller use?

  41. *Andrew Carnegie Social and outgoing Shrewd businessman *Help was public Donated $350 million to public (95% of fortune) *Seen as a “Captain of Industry” *John D. Rockefeller Quiet and reserved Shrewd businessman *Private help $550 million to public (75% of fortune) *Seen as a “Robber Baron” *Captain of Industry vs. Robber Baron

More Related