Aim: How did Social & Economic Reformers Respond to the Industrial Revolution?

DO NOW: Answer yesterdays AIM question on an index card and turn it in.

The Effects of the Industrial Revolution on the People.

http://youtu.be/ruh0O_mj1v0

Questions to consider:

● What was life like for the average industrial worker? ● Was living in a new industrial city and working in a

factory an improvement over life in the countryside? ● Did the new factory life change for the better the

roles of family members, including women and children?

● Were people healthier? ● In general, did the Industrial Revolution improve life

for most people?

Henry Mayhew, name his title or role, studied the London poor in 1823, and he observed that “there is barely sufficient work for the regular employment of half of our labourers, so that only 1,500,000 are fully and constantly employed, while 1,500,000 more are employed only half their time, and the remaining 1,500,000 wholly unemployed” (Thompson 250). As a result, the new factory owners could set the terms of work because there were far more unskilled laborers, who had few skills and would take any job, than there were jobs for them.

The working classes

Child Labor

Economic Philosophers

ADAM SMITH 1723–1790Adam Smith was an economist and philosopher who wrote what is considered the "bible of capitalism," The Wealth of Nations, in which he details the first system of political economy: CAPITALISM

What is CAPITALISM?Capitalism is an economic system in which trade, industry, and the means of production are largely or entirely privately owned and operated for profit.

Laissez-faire capitalism refers to totally unrestricted, free trade with NO government interference. “Laissez- faire” is a French term meaning: “hands off” or “leave alone”Any country with this economic system is said to be CAPITALIST, or to have a MARKET ECONOMY

3 main characteristics of capitalism:

¨1. Private Ownership

¨2. Profit motive

¨3. Market Economy

Adam Smith’s : “Invisible Hand”“The sole purpose of all production is to provide the best possible goods to the consumer at the lowest possible price. Society should assist producers of goods and services only to the extent that assisting them benefits the consumer…he intends his own gain; and he is in this, as in many other causes, led by an invisible hand to promote an end which was no part of his intention…By pursuing his own interest, he frequently promotes that of society.”

Thomas Malthus - UtilitarianismPredicted that the population would outpace the world’s food supply.Believed that natural disaster, war, and pandemics happened as a natural consequence of overpopulation People should limit # of kidsWrote: An Essay on the Principle of Population No gov’t help for the poor

The Luddites An uprising against the negative effects of

the Industrial Revolution

● Luddites were skilled weavers and other pre-industrial artisans

● They saw in the new textile machines as a threat to their traditional craft

● Carried out their raids smashing & destroying factory machinery

Karl Marx (1818-1883)

German philosopher, economist, social scientist, sociologist, historian, He was called “The Father of Communism”Marx believed a complete overthrow of capitalism was necessary and inevitable. Marx’s proposed theories of socialism He believed that capitalism served the interests of the wealthy at the expense of the poor.He and his friend Frederick Engels wrote The Communist Manifesto

The Communist Manifesto

Marxist Theory:

Marx believed that all societies would inevitably go through a series of economic stages from feudalism to capitalism to socialism. Eventually the masses would find capitalism ineffective. Marx analyzed how workers created the real value of manufactured goods through their labor, and how the owners nevertheless profited the most by using their wealth and power to exploit the powerless workers. The rich continually got richer and the poor got poorer.

In capitalism, Marx argued, the lower and upper classes live in a continual state of tension and conflict. “The history of all hitherto existing society is the history of class struggles,”

PROLETARIAT= the working classes

What is SOCIALISM?Socialism is an economic system in which the government owns and controls manufacturing and is responsible for planning the economy. It was created in an attempt toeliminate the differences between the rich and poor. In a socialist system, where the government owns manufacturing, businesses, and property, the government determines what is to be produced and distributes wealth evenly.

The call for a Proletarian Revolution

In the final line from the Communist Manifesto, Marx urged the workers around the world to come together: “Workers of all lands unite!” (Marx and Engels). These would later be the words chosen for his tombstone. The revolutionary working classes would seize all the land and property and create a new socialist society based on equality and the common good.

What is Communism?

Communism is an ECONOMIC and SOCIAL system in which all (or nearly all) property and resources are collectively owned by a classless society, and not by individual citizens.

Communism is based on the 1848 publication of the Communist Manifesto by Karl Marx & Frederick Engels

Summary of Marx’s TheoryCapitalism

● Private ownership of businesses and property

● Goal is for private businesses to compete

● The result is unequal economic classes

Class Struggle

● Tension between the wealthy and working classes as the rich

exploit the poor

● Working class rises up and overthrows the upper class

Socialism

● Government owns all businesses and property

● Economic equality

● Economic cooperation replaces competition

● Goal is a classless society

Communism

● All wealth and property is shared equally in a society

● People cooperate together so well that the need for

government withers away.