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Big Business and Organized Labor. The Rise of Big Business: Why?. Shortage of labor Technological Innovations Government policies. Steam Iron Textiles Mass production of simple products such as shirts and slips Skilled and artisanal labor still necessary. Electricity Steel Railroads
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The Rise of Big Business: Why? • Shortage of labor • Technological Innovations • Government policies
Steam Iron Textiles Mass production of simple products such as shirts and slips Skilled and artisanal labor still necessary Electricity Steel Railroads Vertical and Horizontal Integration Research and Development Interchangeable parts and mass production Deskilling of labor The Second Industrial Revolution vs. the First Industrial Revolution
The significance of the RR • RR “firsts”: First big business, first magnet for finance, and first with large-scale management • Government help: Pacific RR Act • Golden Spike • Work Force • Finance: Gould and Vanderbilt • Integrating a national market
Inventors and New Industries • Bell and AT&T • Edison and Westinghouse • Battle of the Currents • General Electric
Entrepreneurs • John D. Rockefeller and Standard Oil • Horizontal v. Vertical Integration • Trusts and Holding Companies • Carnegie and Steel • Bessemer Process • Electrical Industry: Siemens, Edison • J.P. Morgan and Finance • U.S. Steel: The World’s First $Billion firm
Electrical Industry • Importance of Research and Development • Early movers: Siemens & Halske: Telegraphy • Inventors: Siemens: Electrical Magnets and Machinery • Edison: Electric Lighting • Westinghouse v. Edison: Battle of the Currents • Morgan’s Role
Labor • Productivity, deflation and real wages • Child Labor • Molly Maguires and other heroes • Railroad Strike of 1877 and Sand Lot Incident • National Labor Union • Terrance Powderly and the Knights of Labor
Types of Labor Unions • Craft/Trade Unions: American Federation of Labor and Samuel Gompers • Industrial Unions: Terrence Powderly and the KofL
Labor Violence • Anarchism • Haymarket Affair, May 3, 1886 • Homestead Strike, July 7, 1892 • Pullman Strike, May-July 1894: George Pullman, Eugene Debs, John Peter Altgeld, Grover Cleveland • In Re Debs (1895)
Summarize Changes in Labor • Deskilled work and mass production: leading to Fordism • Antagonism between low skilled and immigrant labor and skilled and native born • Industrial v. craft labor unions • Living in new cities • Government firmly aligned against labor unions and workers’ rights
Coxey’s Army • Jacob Coxey • Carl Browne • “The Stranger”
Radicals • International Workers of the World (IWW) • Socialists