The Growth of Industry

An Industrial Society 1860-1914

Chapter 20, Section 1

Essential Questions:

• What factors are necessary for an agrarian (farming) society to change into an industrial one?

• How can we use business cycle factors to predict our economic future?

• What role has technology (growth of steel and electric power industries) played in changing American daily life?

Edwin Drake• 1st Person to Drill for

Petroleum into the Earth

• In 1859, Drilled into the Earth & Struck Oil!

• Started the Oil Industry!

• Oil = New Form of Energy as Discovered

The Birth of the Industrial Revolution

• The Birth of the Industrial Revolution in the U.S. Took Place in the New England Colonies

• Textile Mills Started in the Late 1700’s

• Industrial Revolution Started in EnglandEngland Years Before:– Technology Came

Overseas to the Colonies

Old Technology

Why in New England?

Plentiful Natural Resources

• America Has Plenty of Natural Resources

• Forests, Lakes, Rivers, Water, Minerals, Coal, Iron, Copper, Silver, Gold

• Factories & Businesses Used These Natural Resources to Manufacture a Variety of Goods

Improved Transportation

• Steamboats, Canals, & Railroads in the Early 1800’s Made It Possible to Ship Items Long Distances

• More Raw Materials & Finished Products Could Be Sold– Industries Grew!

Growing Population• U.S. Population

Grew (1860-1900) from 31.5 Million to 76 Million

• More People Need More Goods!

• Industries/ Businesses Made More Goods & $$$

High Immigration• About 14 Million

Immigrants Came to the U.S. Between 1860-1900

• Skilled & Unskilled Workers Came

• Skilled Workers Brought with Them Knowledge

• Unskilled Workers Provided the Labor (Work) in the Factories

New Inventions• New Machines &

New Inventions Led to Industries Producing Goods More Efficiently & Faster

• A Patent is a Government Document Protecting an Inventor’s Idea for a Certain Number of Years

Investment Capital• $$$ Given to

Companies to Build Factories, New Equipment, Research & Development

• $$$ Given to Start a Business

• Company Gives Person Back Shares of Stock (Ownership of the Company/A Piece)

The Story of Rob!

Business Cycle (Booms)• People Buy More

Products & Invest in Companies More

• Companies Get MORE Investment Capital, Hire More Workers, Make More Goods, Sell More

• More Workers = More Paychecks = More Spending!

• Business Grows!

Business Cycle (Busts)

• People Spend Less, People Don’t Invest (Don’t Buy Stock)

• Industries Get LESSLESS Investment Capital:– Have to FIREFIRE Workers!

• Businesses Shrink or Even Close

• Economic Activity Decreases (Recession + Depressions)

Stock Market Last 10 years

The Economy 1860-1900

• From 1860-1900, Industries within the U.S. Grew at an Outstanding Rate!

• Manufactured Goods Increased Over 6x!

• The Economy Was BOOMING!

Bessemer Steel Process• Before 1850, Making

Steel Was Very Expensive! – Used Large Amounts of

Coal to Create Enough Heat!

• Henry Bessemer Created New Process to Make Steel

• Used 1/7th the Amount of Coal

Bessemer Steel Process• New Process Cut the

Cost of Making Steel

• Steel Production Increased Over 500x

• Many Industries Used Steel To Make:– Plows– Barbed Wire– Nails– Beams for

Buildings– Building Railroads

We Have No Idea How This Works!

Electric Power Industry• Generators Were

Invented in the 1870’s

• Generators Produce Electric Currents (Electricity)

• Inventors Looked for Ways to Use Electricity

Thomas Edison• Had Over 1,000

Inventions/Patents

• Most Famous Invention was Practical Electrical Lighting (More Efficient Light Bulb)

• Invented a System to Bring Electricity to Buildings

• Street Lights/Lighting in Buildings = Safer!

Alexander Graham Bell• Scottish Immigrant

Who Taught Deaf Children

• Thomas Watson was Bell’s Assistant

• Invented the Telephone– Transmitted Speech

Using Electricity

• A Communications Revolution!

American Telephone & Telegraph Company

The Centennial Exhibition (1876)

• America’s 100 Year Birthday Celebration!

• Huge Science Fair Held in Philadelphia!

• Alexander Graham Bell Demonstrated the Telephone!

America’s 100 Year Birthday Party!

Statue of Liberty Centennial Exhibition 1876

Christopher Latham Sholes

• Invented the 1st Practical Typewriter

• Opened Jobs for Women:– Jobs– Paycheck– More Freedom– Purchasing Power– Equality

Elias Howe & Isaac Singer

• Invented & Improved the Sewing Machine

• Sewing Machine Increased the Production of Clothes

• XS, S, M, L, XL, XXL, XXL Sizes

• Singer Sewing Machines are the Best in the World Today!

Granville T. WoodsMargaret Knight

• Granville T. Woods was an African American Inventor

• Patented Improvements to the Telephone & Telegraph

• Margaret Knight Improved Motors, Engines, Machines for Packaging & Making Shoes

Essential Questions:

• What factors are necessary for an agrarian (farming) society to change into an industrial one?

• How can we use business cycle factors to predict our economic future?

• What role has technology (growth of steel and electric power industries) played in changing American daily life?