Chapter 5Industrial Age

Railroads Lead the Way•Railroad expansion allowed a few powerful individuals

to build a great fortune.

•Powerful people who controlled the rail traffic were called Rail Barons.

Railroads lead the Way Industries that benefited from Railroads

• Lumber•Coal • Iron• Steel

Railroads lead the Way

Railroad Technology•George Westinghouse - air brakes •George M. Pullman - Pullman sleeping car•Gustavis Swift - refrigerated cars• Eli H. Janney - Janney car couplers

Railroads lead the Way

•As railroad companies consolidated, companies adopted a standard gauge of 4 feet, 8.5 inches as the width of the railroad track.

Inventions•New inventions

revolutionized communications, making faraway places look closer.

• Telephone• Engine powered aircraft• Light bulb• Telegraph•Phonograph•Automobile

Inventions

•Thomas Edison was called the wizard of Menlo Park

•Edison is responsible for inventing electric lighting and mechanical uses of electricity

Alexander Graham Bell

Bell is responsible for inventing the telephone service. This device revolutionized the communications.

Inventions

• The assembly line meant that goods could be mass produced which would lead to products being sold more cheaply.

• Inventions helped unify the country and promoted economic growth.

An Age of Big Business

Examples of Big Business •Railroads•Oil•Steel

An Age of Big Business

Americans built fortunes in the oil and steel industry.

• Formed corporations• Formed trusts and monopolies•Used methods of vertical and horizontal integration

An Age of Big Business

Vertical Integration•Purchase of companies

at all levels of production.

Horizontal Integration•Purchase of competing

companies in the same industry.

An Age of Big BusinessAndrew Carnegie

• Steel industry•Vertical integration•Built a monopoly and gained a great fortune•Philanthropist

An Age of Big BusinessJohn D. Rockefeller

•Oil industry•Horizontal integration•Built a monopoly and gained a great fortune•Philanthropist

An Age of Big Business

Reasons for the Rise and Prosperity of Big Business

•National markets created by transportation advances•Captains of industry (John D. Rockefeller-oil; Andrew

Carnegie-steel; Cornelius Vanderbilt-shipping and railroads)•Advertising• Lower-cost production

An Age of Big Business

Factors that Resulted in Growth of Industry•Access to raw materials and energy•Availability of work force due to immigration• Inventions• Financial resources

An Age of Big Business

•Philanthropist - The use of money to benefit the community.

Industrial Workers•Factory workers worked under terrible conditions.

•Garment workers toiled in crowed and dangerous urban factories called sweatshops.

Industrial Workers

Negative Effects of Industrialization

•Child labor•Low wages, long hours•Unsafe working conditions

Industrial WorkersWorkers Form Labor Unions

• Laborers were working long hours in unsafe and unhealthy factory conditions.• Individually workers had little power.•By working together as a Union, they could put

pressure on employers to improve conditions.

Industrial WorkersReason Outcome

Haymarket Riot Protest killing of striking workers the previous day

• Many Americans began associating unions with terrorism and disorder.

Homestead Strike Company cut wages • Plant reopened with non-union workers

• Steel workers union dwindled

Pullman Strike Company cut wages • Federal troops broke up strike

• Union movement weakened.

Industrial Workers

•Companies hired strikebreakers to replace the striking workers.