Industrial Revolution
1880-1910
Steel Industry
William Kelly
Henry Bessemer
Bessemer Process
Injecting hot air in to molten iron making
steel
 This created new industries and jobs
making the U.S. the top steel producer
 R&R, Buildings, Bridges are built with
this new product
 Price rose significantly because of
demand

Oil!
Edwin L. Drake
drilled the first
commercial oil well
 He sparked a oil
boom in Spindletop,
Texas which created
companies like Exon
Mobil, Gulf Oil, and
Texaco
 Wildcatters = oil
prospectors

Rise of Big Business
Late 1800’s Capitalism starts =
economic system where private
businesses run most industries
 Competition determines prices and
wages
 Laissez-Faire = Companies conduct
business without Government
intervention

Social Darwinism

Businesses adopted
the Natural
Selection theory of
Charles Darwin
 Survival of the
Fittest
 No one should
interfere with the
process
Ways to run a business
Corporation = business owned by
stockholders, decisions made by board
of directors, corporate officers handle
day to day operations
 Trust = companies merge stocks turned
over to a board, several companies then
run like a single corporation, split profits

Ways to run a business continued
Monopoly = No Competition in a
specific industry
 Vertical Integration = Buy companies
producing supplies and services you
need
 Horizontal Integration = buy competing
companies in the same industry

Robber Barons/ Tycoons
Someone who has total control over the
sale and production of a product.
 Not looking out for the consumer
 Only trying to make as much money as
they can

John D. Rockefeller





Standard Oil
Used Vertical and
Horizontal Integration
1879 he refined 90%
of U.S. oil
Sold his oil for less
than others to drive
out competition
$900 Million gave half
away
Andrew Carnegie

Carnegie Steel
Company
 Used Vertical
Integration, bought
in bulk, made lost of
product
 Became a
philanthropist
 Gave $350 million
away
J.P. Morgan

U.S. Steel
 Bought out Carnegie
Steel for $480
Million
 Most successful
holding company
ever.
Cornelius Vanderbilt

Invested in R&R
during Civil War
 Gave $1 million to
Central University in
Nashville
 Became Vanderbilt
University
George M. Pullman

Pullman, Illinois
 Company controlled
town
 Created the Pullman
Sleeping Car
Laws
Sherman Anti-Trust Act = illegal to form
trusts that interfered with free trade
 Stopped monopolies and activities that
hindered competition in the marketplace
 Government did not enforce

Working conditions
No paid vacation
 10 hour work day
 No sick leave
 No pay of injuries on site

Unions form
NLU or National Labor Union starts in
1866 = 1st large scale labor union
 Fought for 8hr workday and shorter
work week

Unions continued

Knights Of Labor =
lead by Terence V.
Powderly
 fought for 8 hr work
day, no child labor,
equal pay for equal
work, no strikes only
boycotts
 Arbitration = both
parties go to a judge
to solve dispute
Unions continued

American
Federation of Labor
 Headed by Samuel
Gompers
 Used strikes
 Won wage increase
and shorter work
week
IWW
Wobblies
 Created in 1905
 Miners
 Believed in
General Strikes
 William D.”Big
Bill” Haywood

Railroad Strike
of 1877





Wages Cut
Workers walked off
jobs and blocked
trains
Mail flow blocked
Army brought in to
move trains
$4 million in
damages
Haymarket Square

Wages cut workers
strike
 Chicago crowd
gather to protest
police brutality at
previous days work
strike.
 Police called in
again and a bomb is
thrown
Haymarket
continued









11 killed
100 injured
Immigrants blamed
Xenophobia= fear of
foreigners starts
Eight arrested
No evidence to
arrest
4 hung
1 commits suicide
3 get off later
Homestead
Strike







Union told they would
not be renewed
Workers would not work
faster and were locked
out
Scabs brought in
Workers seized plant
Pinkerton Police
brought in
16 hrs later workers win
but are not hired back
H.C. Frick decides who
get a job and who does
not.
Business fight back
All who want a job sign pledge to not
join unions
 Blacklists = lists of those who were
seen as troublemakers and refused to
hire

New Inventions

1903 Kitty Hawk, North Carolina
 Orville and Wilber Wright fly for 1st time
New Inventions

Andrew Smith
Hallidie
 Mass-transit = public
transportations
systems that carry
large numbers of
people.
 Steam powered
cable car to replace
the horse-drawn
street car
New Inventions


Nikolaus A. Otto
Built 1st combustion
engine
New Inventions

1893 Charles
and J. Frank
Duryea built 1st
motorcar in the
U.S.
New Inventions

Samuel F.B. Morse
 Telegraph = sending
messages through
wires with electricity
 Operators used the
system of Morse
code.
New Inventions

Alexander Graham
Bell
 Invented the
“telephone” with the
assistance of
Thomas Watson
New Inventions

Christopher Latham
Sholes
 Invented the
typewriter
 Placed keys in the
QWERTY pattern
New Inventions

Thomas Alva Edison
 Created: General
Electric or GE.
 Electricity helped
characterized the
2nd industrial
revolution
Thomas Edison Continued




1876 established the worlds first research
laboratory in Menlo Park, New Jersey.
Direct Current or DC was the type of
electricity he used.
1880 patented the incandescent light bulb
Phonograph, batteries, telephone
transmitter, power stations, helped with
motion pictures.
New Inventions

George
Westinghouse
 Invented Air Brakes
for railroad cars
 Also pushed the use
of A.C. current
New Inventions


Nikola Tesla
Invented AC
Transformers,
Motors, and
generators.