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Chapter 19: 19.1: The Incorporation of America. “The meatpacking houses were a model of monopoly capitalism with huge, specialized factories that polluted the Chicago River and air.”. A. The Rise of Industry. 1. Four main factors which contributed to the success of industrialization
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Chapter 19: 19.1: The Incorporation of America “The meatpacking houses were a model of monopoly capitalism with huge, specialized factories that polluted the Chicago River and air.”
A. The Rise of Industry 1. Four main factors which contributed to the success of industrialization a. Natural resources b. A large population to support market for new products; workforce c. Explosion of inventions d. Free Enterprise
2. Revolution in technology and transportation Alexander Bell Thomas Edison – Menlo Park; replaces steam Henry Ford Wright Brothers RR By 1900: 1st in manufactured goods; 1/3 of all goods in the world A. The Rise of Industry
Meachanization = increased productivity assembly lines and mass production = effieciency Hierarchy of workers B. Mechanization = 2nd Industrial Revolution
Ayer and Son (1869) Advertising agency Pictures included not just print Growth of department stores – Marshall Fields Chain stores – i.e Woolworths Sears and Montgomery Wards catalog = growth of postal services C. Expanding Markets: Selling the Product
1. Vertical integration Buy out all of your suppliers Control quality and costs 2. Horizontal consolidation Merging of companies with similar products “Man of Steel” A. Carnegie “Slick Rick” J.D. Rockefeller D. “Winning” Strategies for Monopolies
3. Sherman-Antitrust Act • An act to protect trade and commerce against unlawful restraints and monopolies. • Supposed to check monopolies and stop big businesses from forming • Used against union instead
E. The Gospel of Wealth • Personal wealth is God’s reward for hard work • Carnegie’s Philosophy: use it philanthropically - make as much money as you can so that you can give it away
F. Robber Barons or Captains of Industry? • Business men who participated in questionable business practices gaining huge personal wealth Carnegie Rockefeller JP Morgan Jay Gould
Emphasized the individual work ethic “Rags to Riches” Good virtue Hard work will pay off H. Horatio Alger
19.2: Labor in the Age of Big Business(union game) Unions represented the most significant and lasting response of workers to the rise of big business and consolidation or corporate power
A. The Wage System • Relationships among workers and employers change; worker to worker • Machines and women replaced male workers • New employment opportunities for women; blk and wht • “minority” males have it the worse • Hazardous and poor working conditions
Skilled and unskilled Zero race or gender bias No child labor Graduated income tax Equal pay for all Terence Powderly B. The Knights of Labor
1. Haymarket Riot Protesters assembly re: recent police violence End with more police violence and 7 dead Union labeled trouble due to anarchist supporting them = political radicalism C. Downfall of the Knights of Labor
Better conditions, hrs, wages = “pure and simple unionism” Skilled workers No blks or immigrants Women s/b @ home Samuel Gompers D. American Federation of Labor
19.3: The New South Economic start slow due to needed capital, still agricultural and slavery’s legacy
Northern investors need to help build economy Major industries dealt with raw materials other than textiles A. Economically Speaking
1/3 pop AA Unskilled Segregated Unions forced out $0.12 Children convicts B. Southern Labor
19.4: The Industrial City The Long, Long Journey
1-3 weeks voyage Dirty, uncomfortable conditions,no fresh air Stayed in steerage The Journey Over
A. Populating the City Ethnic Enclaves
Ellis Island (East) B/4 1890, most came from N. and W. Europe “old immigrants” After 1890, most came from E. and S. Europe “new immigrants” 4. Process 5 hr. process Health & mental exams Literacy test, healthy, $25 (must haves) 5. 2% did not pass B. Immigrants Arrive
Chicago the first w/ Home Ins. Building, 1885 Chicago’s own Louis Sullivan, architect D. Changing Cities
The Gilded Age: Era when society was perceived as doing well but the reality was corruption, poverty, crime, and a huge gap between the rich and poor.
Defined “areas” work and gender based Exercise Increased leisure time Self-improvement via culture B. The New Middle Class