Which American industries do you think make the most

money? Why?

Industrial World Leader

-by 1880, U.S. is world’s leading producer of goods

-reasons why????

unlimited labor force

abundant coal supply

iron mining

discovery of oil in US– Drake

railroad development

The United States, nearing the turn of the century in the

1880s and 1890s, teemed with immigration from many European nations, as well as many Chinese immigrants.

These immigrants provided a steady work force, as well as

a cheap work force, as employers could get away with paying them less per

hour.

Edwin Drake’s discovery of oil led many to drill for the “black gold.” At first, the unrefined petroleum brought

in money for its producers and refiners. Entrepreneurs began

petroleum-refining industries to transform the oil into kerosene for lamps, and they got rid of the by-products, like gasoline. It was not until the production of the car and other mechanized items, that oil

refining became big business.

Public Support

-laissez-faire government policies

government allows business to do whatever it wants

-unlimited immigration supplied labor

-high tariffs protected American business

-public financing of railroads

for shipping goods

Entrepreneurs and Innovations

-late 1800’s saw an explosion of innovation and invention

-telephone

Alexander Graham Bell

-light bulb

Thomas Edison

-electric power -Nikola Tesla—AC Power

-Bessemer Process

makes mass production of steel possible (skyscrapers)

-typewriter

paves the way for new jobs for women

Edison: The Wizard of Edison: The Wizard of Menlo ParkMenlo Park

Iron is a dense metal, but it is soft and tends to break and rust. It also usually contains other elements, such as carbon. Removing the carbon from iron produces a lighter, more flexible, and rust-resistant metal—

steel. The raw materials needed to make steel were readily available; all that was needed was a cheap and efficient manufacturing process. The

Bessemer Process increased iron refining into steel by blasting compressed air through molten iron to burn out excess carbon and

impurities (which make iron rust). This improved (and cheaper) method of steel production led to a steel boom. Major industries, such as the

railroads prospered from this, as well as architectural projects.

Entrepreneurs and Innovations-photography

-phonograph

-motion pictures silent film

-radio—Nikola Tesla

unites the nation

-retail stores

mail order catalogs

-canned foods

Entrepreneurs and Innovations

-John D. Rockefeller

Standard Oil

-Andrew Carnegie

US Steel

-J.P. Morgan

bankers banker

-Cornelius Vanderbilt

railroads

-Dupont Family

steel industry

-James B. Duke

tobacco industry

-George Westinghouse

power and electronics

Railroads lead the Way

-”iron horse”

-Leading consumer of goods

-better transportation leads to growth

-transcontinental, 1869

-standardization of time

create time zones to regulate time

Each community still operated on its own time, with noon when the sun was

directly overhead. Travelers riding from Maine to California might reset

their watches 20 times. On November 18, 1883, railroad crews and towns

across the country synchronized their watches. In 1884, an international

conference set worldwide time zones that incorporated railroad time. The U.S. Congress, however, didn’t adopt

railroad time as the standard until 1918.

Railroad Prosperity

-growth of urban areas

-Development of Company Towns

Pullman, Illinois makes RR cars

-railroad scandals

Credit Mobilier

gov’t land grants

The nearby town that Pullman built for his employees provided for almost all of

workers’ basic needs. Pullman residents lived in clean, well-constructed brick

houses and apartment buildings with at least one window in every room—a luxury

for city dwellers. In addition, the town offered services and facilities for the

residents’ convenience. However, the town remained firmly under Pullman

control. Residents were not allowed to loiter on their front steps or to drink

alcohol. Pullman hoped that his tightly controlled environment would ensure a

stable work force.

Grange and the Railroads

-Railroad abuses

-Granger Laws

-Supreme Court rulings

-Interstate Commerce Act, 1887

attempt to regulate business

does not work—courts favor big business

“In their delirium of greed the managers of our

transportation systems disregard both private and

public welfare.”

James Weaver

Populist Candidate, 1892