Rise%20of%20Industry

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Rise of Industry
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Railroad Industry

• Transcontinental Railroad
• A railroad that spanned the continent (United
  States)
• Union Pacific Built West
• Central Pacific Built East
• Met in Promontory, Utah and drove in the final
  Golden Spike
• By 1895 4 more U.S. lines were built across the
  continent

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Activity

• Compare and contrast how the Union Pacific
  Central Pacific Railroad changed travel for
  emigrants to the west

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Railroad Industry

• Effects of the railroad
• Altered Time
• Each community had its own time based on the
  suns travel.
• Solar Time
• Railroad companies set up Standard Time
• Divided the U.S into 4 time zones

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Railroad Industry

• Effects of the Railroad
• Linked Eastern and Western economies
• West Raw Materials
• East Manufactured Goods

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Railroad Industry

• Effects of the Railroad
• Helped people settle the West
• Carried necessities for settlers
• Weakened the Native American hold on the West
• Workers need to eat so buffalo were hunted
• Also carried settlers
• Gave people more control of the environment
• Could settle in places without waterways.

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Inventions

• Bessemer Steel Process
• Henry Bessemer
• Steel was very expensive to produce because it
  used large amounts of coal
• Bessemer cut the use of coal by 1/7th
• Now that steal was cheaper its output increased
  500X in 23 years
• Plows, barbed wire, nails, beams, and rails

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Inventions

• Thomas Edison The Wizard of Menlo Park
• Electricity
• Light Bulb Not the first just the most
  efficient.
• System to deliver electricity to buildings
• As a result of Edisons inventions electric
  lighting quickly replaced gas lights.

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Inventions

• Communication
• Telegraph
• Samuel Morse
• Allowed people to send messages long distances by
  using electrical impulses.
• Telephone
• Alexander Graham Bell
• Transmit human speech using electricity.

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Big Business

• Corporations
• A business owned by investors who buy part of the
  company through shares of stock.
• Advantages
• Can raise large amounts of money by selling
  stock.
• Special legal status
• Continue to exist after the owner dies
• Banks are more likely to lend money
• Limit investor risk
• Do not have to pay off corporate debt.

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Big Business

• Corporations
• Advantages
• Few legal regulations
• Will lead to the rise of a few giant corporations
  that dominate American industry.

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Big Business

• Oil
• John D. Rockefeller
• Philosophy The best way to make money is to put
  your competitors out of business
• What do we call this?
• Means
• Bought other refineries
• Made secret deals with railroad companies to
  carry his oil at lower rates.
• Purchased and build his own pipelines to carry
  oil.

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Big Business

• Oil
• John D Rockefeller
• Means
• Developed the trust
• A legal body created to hold stock in many
  companies, often in the same industry.
• Persuaded other oil companies to join Standard
  Oil
• By 1880 he controlled 95 of the oil industry.
• Set a high price for oil
• Rockefeller made millions

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Big Business

• Steel
• Andrew Carnegie
• Philosophy Make the best and cheapest product.
• Means
• Sought to control all the process related to the
  manufacture of steel.
• Bought the mines that supplied iron ore
• Bought the ships and railroad that carried the
  product
• As a result Carnegie dominated the US steel
  industry until he sold his company in 1901.

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Big Business

• Philanthropy
• Donation of large sums of money to charities
• Rockefeller
• University of Chicago
• Rockefeller University
• 500 million
• Carnegie
• Universities
• Built public libraries
• 350 million

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Industrial Workers

• Conditions
• Factory owners wanted to keep profits high so
  they ran their factories as cheaply as possible
• Buy own tools
• Bring coal to heat the factory
• Refuse to buy safety equipment.
• Overcrowding

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Industrial Workers

• Conditions
• Sweatshops
• Places where workers labored long hours under
  poor conditions for low wages.
• Low wages
• Less than 10 a week barely enough to cover
  expenses

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Industrial Workers

• Rise of Unions
• Labor Unions
• Groups of workers that negotiated with business
  owners to obtain better wages and working
  conditions
• Knights of Labor
• Loose federation of workers from many trades.
• Allowed women and African Americans

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Industrial Workers

• Unions
• Homestead Strike (1894)
• Andrew Carnegie reduced wages and the union
  refused to accept the cut.
• Locked the union employees out and threatened to
  hire nonunion workers.
• Also 300 armed guards.
• Union workers gathered weapons and conflict
  ensued.
• 10 people died
• 4 months later the strike collapsed breaking the
  union.

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Industrial Workers

• Unions
• Pullman Strike (1894)
• Pullman Palace Car Company cut workers pay by
  25. Kept rent on company housing the same.
• Pullman refused to negotiate with the American
  Railway Union.
• President of the union Eugene Debs called for all
  railroad workers to refuse to handle Pullman
  cars.
• Brought rail traffic to a halt.
• President Grover Cleveland called out federal
  troops ending the strike.
• Eugene Debs was thrown in jail.

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Industrial Workers

• Unions
• Samuel Gompers
• American Federation of Labor (AFL)
• Focused on improving working conditions
• Used strikes, boycotts, and negotiation very
  successfully.
• Won shorter working hours and better pay for
  workers.

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