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Alan Brinkley, Alan Brinkley, AMERICAN HISTORY AMERICAN HISTORY 13/e 13/e Chapter Seventeen: Chapter Seventeen: Industrial Supremacy Industrial Supremacy

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Alan Brinkley,Alan Brinkley,AMERICAN AMERICAN HISTORY 13/eHISTORY 13/e

Chapter Seventeen:Chapter Seventeen:Industrial SupremacyIndustrial Supremacy

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy

IntroductionIntroduction Transformation of the National EconomyTransformation of the National Economy

Smokestacks (Royalty-Free / CORBIS)

2

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Sources of Industrial GrowthSources of Industrial Growth

– Industrial TechnologiesIndustrial Technologies New Steel Production TechniquesNew Steel Production Techniques Fed. Govt. SupportFed. Govt. Support Penn. & OhioPenn. & Ohio PittsburghPittsburgh Rise of the Rise of the

Petroleum IndustryPetroleum Industry PennsylvaniaPennsylvania

Pioneer Oil Run, 1865 (Library of Congress)

3

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Sources of Industrial GrowthSources of Industrial Growth

– The Airplane and the AutomobileThe Airplane and the Automobile Henry FordHenry Ford Internal Combustion Engine-1870sInternal Combustion Engine-1870s Gettfried DaimlerGettfried Daimler EuropeEurope

The Wright Brothers (Library of Congress)

4

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy

Sources of Industrial GrowthSources of Industrial Growth– Research and DevelopmentResearch and Development

Corporate Research and Corporate Research and DevelopmentDevelopment

Transformation of Transformation of Higher EducationHigher Education

5

Thomas Edison (Library of Congress)

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Sources of Industrial GrowthSources of Industrial Growth

– The Science of ProductionThe Science of Production ““Taylorism”Taylorism” Moving Assembly LineMoving Assembly Line Interchangeable Parts-FordInterchangeable Parts-Ford Ford Model T- $290!Ford Model T- $290!

– Railroad ExpansionRailroad Expansion Rapid Expansion of the RailroadRapid Expansion of the Railroad America’s Largest BusinessAmerica’s Largest Business Govt. SubsidizedGovt. Subsidized Corporate Form of OrganizationCorporate Form of Organization Concentrated Economic Power Concentrated Economic Power

6

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy

Railroads, 1870-18907

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy

Sources of Industrial GrowthSources of Industrial Growth– The CorporationThe Corporation

Limited LiabilityLimited Liability Andrew CarnegieAndrew Carnegie New Managerial TechniquesNew Managerial Techniques

8

Andrew Carnegie (Portrait Gallery)

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Sources of Industrial GrowthSources of Industrial Growth

– Consolidating Corporate AmericaConsolidating Corporate America Horizontal and Vertical IntegrationHorizontal and Vertical Integration Carnegie SteelCarnegie Steel Rockefeller’s Standard OilRockefeller’s Standard Oil Oil Empire/MonopolyOil Empire/Monopoly Great “Curse”-Cutthroat CompetitionGreat “Curse”-Cutthroat Competition

9

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Sources of Industrial GrowthSources of Industrial Growth

– The Trust and the Holding CompanyThe Trust and the Holding Company The Trust AgreementThe Trust Agreement Rapid Corporate ConsolidationRapid Corporate Consolidation 1% of Business Controlling 1/3 of Manufacturing1% of Business Controlling 1/3 of Manufacturing

J.P. Morgan (Portrait Gallery)

10

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy

Capitalism and Its CriticsCapitalism and Its Critics– The “Self-Made Man”The “Self-Made Man”

Myth of the Self-Made ManMyth of the Self-Made Man

Cornelius Vanderbilt (Portrait Gallery)

11

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Capitalism and Its CriticsCapitalism and Its Critics

– Survival of the FittestSurvival of the Fittest Social DarwinismSocial Darwinism Equal Opportunity CapitalismEqual Opportunity Capitalism Herbert SpencerHerbert Spencer Justifying the Status QuoJustifying the Status Quo

““The growth of a large business is The growth of a large business is merely the survival of the fittest.” merely the survival of the fittest.”

John D. RockefellerJohn D. Rockefeller

12

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy

Capitalism and Its CriticsCapitalism and Its Critics– The Gospel of WealthThe Gospel of Wealth

Russell ConwellRussell Conwell

Horatio AlgerHoratio Alger Value of Personal CharacterValue of Personal Character

– Alternative VisionsAlternative Visions Lester Frank WardLester Frank Ward Henry GeorgeHenry George Looking BackwardLooking Backward

13

““This association of This association of poverty with progress is poverty with progress is the great enigma of our the great enigma of our times.”times.”Henry GeorgeHenry George

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Capitalism and Its CriticsCapitalism and Its Critics

– The Problems of MonopolyThe Problems of Monopoly Increasing InequalityIncreasing Inequality

14

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Industrial Workers in the New EconomyIndustrial Workers in the New Economy

– The Immigrant Work ForceThe Immigrant Work Force New Sources of New Sources of

Immigration-1870s & 1880sImmigration-1870s & 1880s Great BritainGreat Britain Northern EuropeNorthern Europe Heightened Ethnic Heightened Ethnic

TensionsTensions

16

Inspection room at

Ellis Island, NY (Library of Congress)

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Industrial Workers in the New EconomyIndustrial Workers in the New Economy

– Wages and Working ConditionsWages and Working Conditions Loss of ControlLoss of Control 60 Hour Work Week60 Hour Work Week

– Women and Children at WorkWomen and Children at Work Poorly Paid WomenPoorly Paid Women Child Labor IncreasedChild Labor Increased Ineffective Child Labor LawsIneffective Child Labor Laws

– The Struggle to UnionizeThe Struggle to Unionize National Labor UnionNational Labor Union Molly MaguiresMolly Maguires Militant Labor UnionMilitant Labor Union

17

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Industrial Workers in the New EconomyIndustrial Workers in the New Economy

– The Great Railroad StrikeThe Great Railroad Strike National Strike-1877National Strike-1877 Wage CutsWage Cuts

Rutherford B. Hayes (Library of Congress)18

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Industrial Workers in the New EconomyIndustrial Workers in the New Economy

– The Knights of LaborThe Knights of Labor Dissolution of the Knights of LaborDissolution of the Knights of Labor Terence V. PowderlyTerence V. Powderly

– The AFLThe AFL Opposition to Female EmploymentOpposition to Female Employment Samuel GompersSamuel Gompers The AFL’s AgendaThe AFL’s Agenda Haymarket Square Riot-1886Haymarket Square Riot-1886 AnarchistsAnarchists

19

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy

Industrial Workers in the New EconomyIndustrial Workers in the New Economy– The Homestead StrikeThe Homestead Strike

Henry Clay FrickHenry Clay Frick The Union DefeatedThe Union Defeated

Inside the Homestead Plant (Library of Congress)

20

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy Industrial Workers in the New EconomyIndustrial Workers in the New Economy

– The Pullman Strike-1894The Pullman Strike-1894 Eugene DebsEugene Debs 25% Cut in Wages25% Cut in Wages President Cleveland Breaks the StrikePresident Cleveland Breaks the Strike

– Sources of Labor WeaknessSources of Labor Weakness Shifting Nature of the Work ForceShifting Nature of the Work Force

21

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy

Patterns of Popular Culture:Patterns of Popular Culture:

The Novels of Horatio Alger The Novels of Horatio Alger

22

Chapter Seventeen: Chapter Seventeen:

Industrial SupremacyIndustrial Supremacy

Patterns of Popular Culture:Patterns of Popular Culture:

The Novels of Louisa May AlcottThe Novels of Louisa May Alcott

23 © 2010, The McGraw-Hill Companies, Inc. All Rights Reserved.