MODERN ERA: 1750 - 1914

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MODERN ERA1750 - 1914

• IMPACT OF TECHNOLOGY

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INDUSTRIAL REVOLUTION

• 1780s Breakthrough in productivity
• Mechanization of factory, labor
• Production of vast quantities of goods
• Decreasing costs of goods
• Preceded by other revolutions and changes in
  attitude
• Scientific, Commercial Enlightenment,
  Agricultural
• Change in mindset
• New Ideas
• Risk takers
• Massive markets for products
• Improved organizational skills
• Upsurge in technology
• Inventors apply science to life, work
• Many new inventions
• Capitalization and Finance
• Profits from trade, colonies
• Invested in Europe
• Institutional changes
• Limited government of a constitutional democracy

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FOUNDATIONS OF INDUSTRIALIZATION

• Coal critical to the early industrialization of
  Britain
• Shift from wood to coal in 18TH century
  deforestation caused wood shortages
• Abundant, accessible coal reserves in Britain
• Overseas colonies provided raw materials, capital
  
• Plantations in the Americas provided sugar and
  cotton
• Colonies also became markets for British
  manufactured goods
• Grain, timber, and beef shipped from United
  States to Britain after 1830
• Profits from sugar funded banks, provided
  investment capital
• Demand for cheap cotton spurred mechanization of
  cotton industry
• John Kay invented the flying shuttle, 1733
• Samuel Crompton invented the spinning "mule,"
  1779
• Edmund Cartwright invented a water-driven power
  loom, 1785
• James Watt's steam engine, 1765
• Burned coal, which drove a piston, which turned a
  wheel
• Widespread use by 1800 meant increased
  productivity, cheaper prices
• Iron and steel also important industries, with
  continual refinement
• Coke (purified coal) replaced charcoal as
  principal fuel
• Bessemer converter (1856) made cheaper, stronger
  steel
• Transportation improved with steam engines and
  improved steel

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IMAGES OF INVENTION
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INDUSTRIAL CAUSE EFFECT
SPINNING lt-------------------------------------gt WEAVING
(EX Spinning Jenny) (EX Flying shuttle)
Machines become heavier, thus
Extra power is needed, thus
Watermills, steam engine invented, thus
Emergence of factory system, replacing cottage industry
Because production must be concentrated near the power source, and machines become too expensive to be owned by workers, thus
Profound social transformations, thus
Urban influx, crowding, unprecedented social problems thus
Workers organize, government passes laws and reforms, unions begin to arise
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FACTORY SYSTEM

• The factory
• Gradually replaced the putting-out system
• Factory system required division of labor
• Each worker performed a single task
• Required a high degree of coordination
• Work discipline, close supervision
• Working conditions often harsh
• Workers lost status
• Not skilled
• Just wage earners
• Harsh work discipline
• Fast pace of work
• Frequent accidents
• Industrial protest
• Saboteurs
• Flemish workers throw wooden shoes into machines
• Shoes were called sabots hence saboteur
• Luddites in England
• Struck against mills and destroyed machines, 1811
  and 1816

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SPREAD OF INDUSTRIALIZATION

• British industrial monopoly
• 1750 to 1800
• Forbade immigration of skilled workers
• Continental System of Napoleon
• Abolished internal trade barriers in western
  Europe, sped up process
• Dismantled guilds
• Belgium, France
• Moved toward industrialization by mid-nineteenth
  century
• Belgium was first as it most resembled England,
  closest ports
• Germany
• Bismarck sponsored heavy industry, arms, shipping
• Built railroads to move German army around,
  benefiting commerce
• Rails required steel, coal
• Eventually developed chemicals, electrical
  industries
• The United States
• Slow to start few laborers, little capital
• Cotton and Textiles began revolution
• British craftsmen started cotton textile industry
  in New England, 1820s
• Southern cotton was going to England, diverted to
  New England factories

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MAPPING THE REVOLUTION
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INDUSTRIAL CAPITALISM

• Mass production
• Provided cheaper goods for all classes of society
• Eli Whitney
• Mass production of interchangeable parts for
  firearms
• Cotton Gin made cotton harvesting, production
  cheaper
• Henry Ford
• Introduced assembly line
• Applied to automobile production
• Industrialization
• Expensive
• Required large capital investment
• Structural Changes of Industry
• Large-scale corporations with investors
• New laws protected investors from liability
• Monopolies, trusts, and cartels
• Competitive associations
• Vertical organization (Monopoly)
• One company controls all aspects of production
  within a single industry
• One company dominates whole market

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TRANS-SIBERIAN RAILROAD
Cities, industry grew up along railroad
mines farms, opened in area
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INTERNATIONAL DIVISION OF LABOR

• Industrialization increased demand for raw
  materials
• Nonindustrialized societies became suppliers of
  raw materials
• Cotton from India, Egypt
• Rubber from Brazil, Malaya, Congo
• Fueled demand for colonies
• Economic development
• Europeans, Americans exported capital
• Capital went to nations with industrialization
• Heavy industry, oil, mineral extraction, grains,
  railroads
• Better in lands settled by ethnic Europeans
• High wages encouraged labor-saving technologies
• Strong European immigrant pool with some
  education
• Countries Benefiting
• Canada, South Africa, Australia, New Zealand
• Argentina, Mexico, Brazil, Chile, United States
• Russia, Japan
• Economic dependency more common in other
  countries
• Sub-Saharan Africa, south Asia, and southeast
  Asia
• Latin America had some industry but largely
  dependent

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ECONOMIC EXPANSION IN U.S.A. CANADA

• British capital
• Crucial for early development of U.S., Canadian
  industries
• Foreign capital supported textile, iron and
  steel, railroads
• 40 of all ranches, beef exports owned by British
  
• Helped create industrial rival (USA) that
  surpassed UK
• Railroads
• Integrated national economy by late 19th century
• 200,000 miles of railroad in US by 1900
• Economic stimulus
• 75 percent of steel went to railroads
• Supported other industries especially retail,
  transport along lines
• Encouraged immigrant labor, farmers to settle
  along tracks, in West
• Changed American landscape by opening west,
  closing it off set time zones
• Dramatic economic growth between 1870 and 1900
• New inventions and technologies
• Thomas Edison was symbolic of the Age
• Electric lights, telephones, and so on
• Labor conflicts over wages and working conditions
• Big business won disputes as they controlled
  courts, government

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LATIN AMERICAN DEPENDENCE

• Colonial legacy
• Prevented industrialization
• Spain, Portugal never encouraged industries
• Limited success at industrialization
• 1820 1850 Economic Stagnation
• Wars of independence had disrupted economy
• Most wealth tied to land, agriculture
• Export of primary, unfinished goods especially
  guano, coffee, hides
• Too many unsolved social problems retarded
  industrialization
• Economic growth part of 2nd Industrial Revolution
  
• Change grew out of liberalizing effects, reforms
  in late century
• Entrepreneurs, intellectuals, landowners brought
  in foreign investments
• Facilitated by new technologies (railroads,
  steamships)
• Great Boom driven by exports
• Demand for rubber, copper, tin, silver, beef,
  bananas, oil, coffee, cocoa
• Capital intensive development of primary product
  exports
• Trade increased by almost 50 from 1870 1880
• British initially preeminent Germany and US
  increasingly rivals for area
• Mexico, Brazil, Argentina

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JAPAN THE INDUSTRIAL REVOLUTION

• Meiji Restoration
• US industry, technology amazed, scared Japanese
• Warships, weapons showed Japanese vulnerability
• Industrialization in Japan
• Promoted by government
• Many monetary incentives
• Way to avoid Western encroachment
• Food production subsidized by government
• Hired foreign experts to build modern industries
• First models built by westerners, often abroad
• Next models built by Japanese in Japan
• Borrowed heavily in knowledge from Great Britain
• Created new industries
• Emphasized heavy industry iron, steel, power
• Light industry clothing followed
• Opened technical institutes and universities
• Government-owned businesses privatized (zaibatsu)
• Old samurai families frequently bought these
  industries
• Came to dominate transportation, weaponry,
  electronics

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RUSSIAN INDUSTRIALIZATION

• Russia experienced the 2nd Industrial Revolution
• Financed by exportation of minerals, oil, gas,
  grains
• Development of rail system spurred other
  industries, exports
• Strongest development in coal, steel areas of
  Ukraine
• Rise of industrial cities St. Petersburg.
  Moscow, Poland, Ukraine
• Promoted by tsarist government, French government
• France needed Russia as a military ally against
  Germany
• Russia needed a modern economy to compete on
  world stage
• Formula French loans/investment, sale of Russian
  grain
• Sergei Witte, Minister of finance, 1892-1903
• Top-down Management Style
• Supported railway construction
• Military rationale to move troops to border if
  attacked
• But stimulated other industries including exports
• Remodeled the state bank
• Protected infant industries with tariffs,
  subsidies
• Secured foreign loans especially from France
• Industrial discontent intensified
• Rapid growth of factories, urban working class

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IMPERIALISM ECONOMICS

• Industrialization fueled imperialism
• Industry needed raw materials, specialized crops
• Rubber, tea from SE Asia
• Gold, diamonds, copper, coffee from Africa
• Cocoa, hemp from Latin America
• Industry needed cheap laborers
• Entrepreneurs needed markets
• Colonies seemed one easy answer
• Technology applied to colonial problems
• Infrastructure built up to exploit colonies
• Railroads and ports were first to be created
• Bridges, roads also built
• Technology used to extract minerals from mines
• Science applied to farming to increase yields
• Demand for raw minerals, markets produced
  horrible violence
• British destroy Indian textiles to sell British
  goods to Indians
• British, Americans, French fight Opium Wars to
  sell opium to Chinese
• Belgian atrocities in creating the Belgian Congo
• British Boer War to obtain gold, diamonds of
  Afrikaaners

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IMPACT OF INDUSTRIALIZATION

• The world gets smaller, nations come together
• Technology linked nations that were once distant
• Technology made people in one nation into a
  community
• US, Canada, Australia, Russia technology made
  them possible
• India created by the railroads
• Rise of a true world system
• Communication
• Morse Code, telegraph
• Telephone, Trans-Atlantic cable
• Newspaper industry, mail systems
• Photography
• Transportation
• People visit another country, across ocean in
  weeks
• Railroads, subway, automobile
• Trans-oceanic ships
• Riverboats, steamboats, cargo boats
• Exchanges become almost instant
• Technology becomes part of life
• Proliferation of machines mechanizes societies