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Industrial Revolution
1880-1910
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Steel IndustryWilliam Kelly
Henry Bessemer
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Bessemer Process
Injecting hot air in to molten iron making steel
This created new industries and jobs making the U.S. the top steel producer
R&R, Buildings, Bridges are built with this new product
Price rose significantly because of demand
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Oil! Edwin L. Drake
drilled the first commercial oil well
He sparked a oil boom in Spindletop, Texas which created companies like Exon Mobil, Gulf Oil, and Texaco
Wildcatters = oil prospectors
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Rise of Big Business
Late 1800’s Capitalism starts = economic system where private businesses run most industries
Competition determines prices and wages
Laissez-Faire = Companies conduct business without Government intervention
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Social Darwinism
Businesses adopted the Natural Selection theory of Charles Darwin
Survival of the Fittest
No one should interfere with the process
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Ways to run a business
Corporation = business owned by stockholders, decisions made by board of directors, corporate officers handle day to day operations
Trust = companies merge stocks turned over to a board, several companies then run like a single corporation, split profits
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Ways to run a business continued
Monopoly = No Competition in a specific industry
Vertical Integration = Buy companies producing supplies and services you need
Horizontal Integration = buy competing companies in the same industry
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Robber Barons/ Tycoons
Someone who has total control over the sale and production of a product.
Not looking out for the consumer Only trying to make as much money as
they can
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John D. Rockefeller Standard Oil Used Vertical and
Horizontal Integration 1879 he refined 90%
of U.S. oil Sold his oil for less
than others to drive out competition
$900 Million gave half away
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Andrew Carnegie Carnegie Steel
Company Used Vertical
Integration, bought in bulk, made lost of product
Became a philanthropist
Gave $350 million away
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J.P. Morgan
U.S. Steel Bought out Carnegie
Steel for $480 Million
Most successful holding company ever.
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Cornelius Vanderbilt
Invested in R&R during Civil War
Gave $1 million to Central University in Nashville
Became Vanderbilt University
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George M. Pullman
Pullman, Illinois Company controlled
town Created the Pullman
Sleeping Car
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Laws
Sherman Anti-Trust Act = illegal to form trusts that interfered with free trade
Stopped monopolies and activities that hindered competition in the marketplace
Government did not enforce
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Working conditions
No paid vacation 10 hour work day No sick leave No pay of injuries on site
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Unions form NLU or National Labor Union starts in
1866 = 1st large scale labor union Fought for 8hr workday and shorter
work week
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Unions continued Knights Of Labor =
lead by Terence V. Powderly
fought for 8 hr work day, no child labor, equal pay for equal work, no strikes only boycotts
Arbitration = both parties go to a judge to solve dispute
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Unions continued
American Federation of Labor
Headed by Samuel Gompers
Used strikes Won wage increase
and shorter work week
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IWW
Wobblies Created in 1905 Miners Believed in
General Strikes William D.”Big
Bill” Haywood
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Railroad Strike of 1877 Wages Cut Workers walked off
jobs and blocked trains
Mail flow blocked Army brought in to
move trains $4 million in
damages
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Haymarket Square Wages cut workers
strike Chicago crowd
gather to protest police brutality at previous days work strike.
Police called in again and a bomb is thrown
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Haymarket continued
11 killed 100 injured Immigrants blamed Xenophobia= fear of
foreigners starts Eight arrested No evidence to
arrest 4 hung 1 commits suicide 3 get off later
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Homestead Strike
Union told they would not be renewed
Workers would not work faster and were locked out
Scabs brought in Workers seized plant Pinkerton Police
brought in 16 hrs later workers win
but are not hired back H.C. Frick decides who
get a job and who does not.
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Business fight back
All who want a job sign pledge to not join unions
Blacklists = lists of those who were seen as troublemakers and refused to hire
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New Inventions 1903 Kitty Hawk, North Carolina Orville and Wilber Wright fly for 1st time
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New Inventions Andrew Smith
Hallidie Mass-transit = public
transportations systems that carry large numbers of people.
Steam powered cable car to replace the horse-drawn street car
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New Inventions
Nikolaus A. Otto Built 1st combustion
engine
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New Inventions
1893 Charles and J. Frank Duryea built 1st motorcar in the U.S.
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New Inventions
Samuel F.B. Morse Telegraph = sending
messages through wires with electricity
Operators used the system of Morse code.
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New Inventions
Alexander Graham Bell
Invented the “telephone” with the assistance of Thomas Watson
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New Inventions
Christopher Latham Sholes
Invented the typewriter
Placed keys in the QWERTY pattern
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New Inventions
Thomas Alva Edison Created: General
Electric or GE. Electricity helped
characterized the 2nd industrial revolution
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Thomas Edison Continued
1876 established the worlds first research laboratory in Menlo Park, New Jersey.
Direct Current or DC was the type of electricity he used.
1880 patented the incandescent light bulb Phonograph, batteries, telephone
transmitter, power stations, helped with motion pictures.
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New Inventions
George Westinghouse
Invented Air Brakes for railroad cars
Also pushed the use of A.C. current
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New Inventions
Nikola Tesla Invented AC
Transformers, Motors, and generators.