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. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.
A New Industrial Age Natural resources and new ideas create a boom for industry and railroads. Government addresses corruption in business, and laborers organize for better working conditions.
Immigrants • Old Immigrants = Northern Europe and England. • New Immigrants = Eastern and Southern Europe. • Result: Immigrants moved into the cities for jobs and overcrowding occurred.
Intellectual • Why did business grow in the late 19th century? Business grew because of advances in technology and manufacturing, because mining in the West was providing the needed capital, and because the government was not interfering in business practices. • What is meant by the term “Gilded Age”? Big Business led to an enormous amount of wealth for some people. They spent it on all sorts of luxuries. Mark Twain came up with this term
This time period is characterized • By new technology • New economic methods • New social issues and reforms
Technology • What technological advances and new production methods helped industries expand in this period? Industries were helped by steel, electricity, lightbulbs, power stations, motors, the telephone, and the division of labor ( assembly line) for the production of goods. • What technological advances were used in the Triangle Factory? The Triangle Factory used electric motors, the division of labor, electronic freight elevators, and telephones.
Technology Notes • Bessemer Steel Process • *Bessemer process puts air into iron to remove carbon to make steel cheaply. • Allows Carnegie to create an steel empire. • Steel helps create modern city and society (cars, refrigerators, bridges, buildings)
American Inventions 1850-1900 • 1851 = Ice-making machine 1895 = Kellogg's Corn Flakes Safe • 1895 = razor 1896 = Electric stove • 1852 = Elevator brake 1896 = Ice Cream Cone • 1855 = Gas burner 1899 = Tape recorder • 1857 = Sewing machine 1900 = Alkaline storage cells • 1860 = Repeating rifle • 1865 = Web printing machine • 1865 = Railway sleeping car • 1867 = Typewriter • 1867 = Barbed Wire • 1868 = Railroad refrigerator car • 1869 = Oleomargarine • 1870 = Stock ticker • 1876 = Telephone • 1877 = Phonograph • 1879 = Cash register • 1879 = Filiment for light bulb • 1882 = Electric fan • 1885 = Adding machine • 1886 = Coca Cola • 1888 = Kodak camera • 1889 = Kinetoscope • 1890 = Electric chair • 1891 = zipper
Alexander Graham Bell Telephone (1876)
Inventions Promote Change The Power of Electricity ( check this out) • 1876, Thomas Alva Edison establishes first research laboratory ( 1880, patents incandescent light bulb & creates system for electrical production, distribution ) • Electricity changes business ( you can now produce 24 hours) • Becomes available in homes; encourages invention of appliances • Allows manufacturers to locate plants anyplace; industry grows
Technology • Rise of the Railroads • Transcontinental Railroad • Use of Chinese Labor to build railroad
Effects of RR • Division of America into labor specialties • Refrigerated Cars • Economy tied to RR- steal, jobs, creation of cities etc • Communication- telegraph • Leisure Travel- Pullman Cars • Time!!!
Economics • How did men like Rockefeller and Carnegie make their businesses bigger? Rockefeller and Carnegie grew their businesses by setting up corporations (businesses owned by investors) and trusts (groups of corporations run by a single board of directors). Both of these men bought out the competition • How big was the Triangle Factory? It was the largest shirtwaist factory in the country.
New Words • Corporation- a business owned by investors. They raise $ by selling STOCK • Trust-group of corporations that unite in order to reduce competition and control prices in business The Robber Barons did this.. Guys like Rockefeller (oil), Carnegie(steel) and JP Morgan(banking) Monopoly- a company that controls all production of particular product or service
Carnegie’s business • New Uses for Steel • Steel used in railroads, barbed wire, farm machines • Changes construction: Brooklyn Bridge; steel-framed skyscrapers
Rockefeller • Rockefeller and the “Robber Barons” • Makes fortune in refining and then dominating the entire oil industry. • Starts Standard Oil = First multinational corporation • Rockefeller profits by paying low wages, underselling others - when controls market, raises prices • *Critics call industrialists robber barons • Industrialists also become philanthropists
New Type of Business Entities Trust: • Horizontal Integration John D. Rockefeller • Vertical Integration: • Gustavus Swift Meat-packing • Andrew Carnegie U. S. Steel
Economic Survival of the Fittest • Vertical integration: • Buy all productive resources related to the final product • Control the CoP = control the production = control the price • Horizontal integration: • Buy out / undercut all competitors • Economy of scale