Unit 5: Industrial Growth US History Mrs. McClary
Transcontinental railroad • 1870’s US spans from Atlantic to Pacific. • Pacific Railway Act (1862) linked railroads to form the Transcontinental Railroad. • Railroads made life out west possible by allowing farmers and ranchers access to eastern markets and resources. • Railroads also made it easier for people too move west and populate territories. • Cattle, farms, goods, and people began to populate the west.
Transcontinental railroad • Irish and Chinese immigrants made up the majority of the workforce on the railroad. • After the completion, Chinese were competing for jobs with white Americans. • Chinese faced racism and were eventually banned from immigrating to the US in the Chinese Exclusion Act in 1882. • This law was not repealed (overturned) until 1943.
In what way did railroads and advances in communication affect geographic patterns in the US? • They stalled the need for new inventions. • They assisted in maintaining cultural traditions in the area. • They changed the physical characteristics of a region. • They stalled migration. [Default] [MC Any] [MC All]
Robber barons • Robber barons were extremely wealthy businessmen who eliminated their competition by forming a monopoly. • Monopoly: total control of an industry • Cornelius Vanderbilt: Railroad between NYC and Chicago • Andrew Carnegie: steel industry • Steel and oil industry grew as a result of the railroads.
Robber barons Cornelius Vanderbilt Andrew Carnegie
John d. Rockefeller • This most important name associated with big business is John D. Rockefeller. • He founded Standard Oil Company, which was the nations’ first trust. • Trust companies unite different companies into one system. • Trusts exists to destroy competition and create monopolies (a market in which there is only one supplier of a product). • For example, if Verizon was the only cell phone company today. What could they do?
John d. rockefeller • He was able to dictate prices, eliminate competition and control the U.S. oil industry. • He used vertical integration: a business strategy in which one corporation owns not only the company that produces the finished product, but also the companies that provide the materials needed for production. • Standard Oil Company was very corrupt and would eventually be criticized for its practices.
What was the effect of the growth of monopolies? • They increased competition among similar businesses. • They reduced the need for government intervention. • They spread equal wealth among the entire population. • They reduced the number of small businesses within an industry. [Default] [MC Any] [MC All]
What was the purpose of the sherman anti-trust act of 1890? • To assist robber barons • To eliminate government intervention in business • To protect trade and growth of monopolies • To eliminate big business monopolies [Default] [MC Any] [MC All]
Big business • By 1900, 30% of all industry in the US was controlled by monopolies and robber barons. • US government would try to stop trusts and monopolies through laws like the Interstate Commerce Act (1887) and the Sherman Anti-Trust Act (1890). • Often called the “Gilded Age” because of the extreme wealth of the robber barons. • “Millionaire” was a word invented during this time.
Who invented the electric light bulb? • Eli Whitney • Thomas Edison • John D. Rockefeller • Andrew Carnegie [Default] [MC Any] [MC All]
Technological innovations • Telegraph (1844) and telephone (1876) were invention that connected people across the US. • Electricity allowed industries to form in cities where there were plenty of laborers. • Thomas Edison was most important inventor of the late 1800’s. • Edison invented the following: • Lightbulb (1880) • Phonograph (recorded and played back sounds) • Kinetoscope (motion pictures)