INDUSTRIAL REVOLUTION
Industrial Revolution

Before we can take a look at the Industrial
Revolution, we first need to understand the economic
system that allowed it to occur!
 Capitalism
Making a Profit

Capitalism
 An
economic system that advocates free trade,
competition, and choice as a means of achieving
prosperity.
Making a Profit

Capitalism
 Capitalism
requires a free market in order to allow the
maximum competition and freedom to consumers and
producers.
Making a Profit

Free Market
 An
economy in which government does not interfere in
business activities.
Making a Profit

Scottish Philosopher and
Economist Adam Smith
(1723-1790) was a critic of
mercantilism.

He believed that
individualism and
competition should be
encouraged.
He thought these values would
create more wealth.
 He believed that the strongest
and hardest working would
survive.

Making a Profit


Adam Smith
His theories on what came to be known as capitalism.
A nation’s wealth is measured by the sum total of its
production of goods and services.
 Increasing a nation’s wealth is achieved by educating its
people, encouraging them to do what they want, and
allowing them to compete among themselves.
 Trading freely without government regulation will lead to
greater national wealth, less exploitation, and fewer
conflicts.
 Most of the ownership should be in the hands of individuals
and companies.

Making a Profit

Adam Smith’s ideas would become the foundation
for modern capitalism.
Making a Profit


Can you think of some ways in which “competition”
in an important factor in society?
What about your life?
Industrialization

Capitalism allowed the rise of industrialization.
Industrial Revolution

In the late 1700s and 1800s, much of Europe and North
America experienced an Industrial Revolution.
 The many scientific and technological changes during this
time resulted in a major shift from skilled workers
performing jobs in their home to unskilled workers
performing jobs in factories.
 The introduction of factories and machinery drastically
changed the lifestyles of people.
Industrialization

The process of social and economic change that
transforms a human group from an agrarian society
into an industrial one.
Industrialization

The Industrial Revolution describes the historical
transformation of traditional societies into modern
ones.
 Its
defining economic change was the introduction of the
factory system.
Industrialization

Industrial Revolution
 Products
were starting to be produced in a central
location using machine technology and human labour.
 This
resulted in a much higher number of products to be
produced.
 Its
central social change was that it changed a rural
agricultural (agrarian) society into an urban industrial
one.
Industrialization

The Industrial Revolution followed two distinct
stages.
 In
the first stage, between 1750 – 1850 Britain took
the lead in becoming the world’s only real industrial
power.
 During the second stage, between the mid 1800’s up to
about 1914, Western Europe and the United States
developed into modern industrial societies.
Industrial Revolution

During this time many entrepreneurs
became very wealthy.
 They were the business and factory
owners.
 They amassed huge amounts of money
in the new economy of factory
production.
 The laissez-faire capitalistic values at
the time allowed them to keep their
money and spend it on leisure activities
that they enjoyed.
 Many of the new wealthy began
competing for the newest and
greatest products.
Industrial Revolution

During the Industrial Revolution, business owners were
perceived by some as greedy because they earned profits
that they did not share with their workers.
 Classical liberalists would not agree, saying that the
owners were simply enjoying the reward of their hard
work and economic risk.
Industrial Revolution

The Industrial Revolution and Classical Liberalism
 The advent of the Industrial Revolution and the principles
of classical liberalism created many new opportunities and
challenges for societies.
 While new jobs were created for working classes, some
argue that the period was characterized by the rich
becoming more rich and the poor becoming more poor.
 Income gaps and standards of living.
Industrialization

Why was Britain the first
country to industrialize?

The Agricultural Revolution – new
technologies and techniques had
greatly improved farming.



Crop Rotation (Charles Townsend) –
planting different crops in the same
field each year
Seed Drill (Jethro Tull) – planted seeds
in straight rows
Enclosure Movement – wealthy
landowners claimed the rights to public
lands
Industrialization

Why was Britain the first country to industrialize?

The Agricultural Revolution helps the Industrial Revolution in
two main ways:


subsistence to surplus food production – more food, more variety,
improved diet and health equals increased population growth
Labour force is created – higher population growth and unemployed
farmers move into the city to find work
Industrialization

Why was Britain the first country to industrialize?
 Good
government – adopted policies that would
encourage economic growth
 free
trade areas were established in Britain
 supported enclosure acts
 encouraged road and canal building to improve
transportation and flow of goods
Industrialization

Why was Britain the first country to industrialize?
 Large
market for goods
 growing
British population
 large colonial market for finished goods
 Natural
 large
Resources
coal and iron ore reserves helped fuel growth
Industrialization

Why was Britain the first country to industrialize?

Growing Middle Class


Entrepreneurs had the financial resources to invest in industries like
textiles, railroads, and shipbuilding
An intellectual and social climate that accepted change

although a class structure existed, the British accepted the idea that
individuals could improve their social standing
Industrialization

Why was Britain the first country to industrialize?

Stability

In the 1700’s Britain and France were on the leading edge of
“civilized” societies in Europe. Between 1789 and 1799 revolution
disrupted the political and economic life in France. As a result, Britain
took centre stage in the emergence of a new industrial society.
Industrialization

Effects on the Working Class

The living conditions of the working class or poor at this time were harsh.
 Characterized by overcrowding, pollution, disease and crime.
Industrial Revolution

Challenges of the working class.
 A look inside many of the factories or mines of the 19th
century would show that laissez-faire capitalism had a
negative impact on many workers.
 Factories were overcrowded and noisy and had very
little ventilation or light.
Industrialization


Effects on the Working Class
Rules for employees were often
rigorous and unforgiving.
 Someone late for work might have
been fired or beaten.
 12 to 16 hour shifts were common.
 Sometimes workers did not get
breaks.
 Going to the bathroom was either
not permitted or resulted in a pay
deduction.
 Injured employees were fired.
Working Conditions


Do you think there are still workplaces today that have some
of these conditions? Where?
How would you feel if you had to work in a workplace like
this?
Industrial revolution

Child Labourers
 During this period there was a sharp rise in child labour.
 Many children from poor families worked in mines, farms,
factories and as servants, sometimes for long hours and in
dangerous conditions.
1
3
2
Factory owners viewed child
labourers as cheap labour and
favoured them over adults because
they were small, agile and obedient.