Ch.6
 Man who first successfully
used steam engine to drill for
oil (1859)
 Process developed by Henry Bessemer and William Kelly in which air is
injected into molten iron to remove carbon and other impurities, creating
steel.
 Inventor and creator of the world’s first
research laboratory in Menlo Park, NJ
 Inventions include incandescent
lightbulb
 Inventor of the typewriter in 1867
 Inventor of the telephone with the help of
Thomas Watson in 1876
 Railroad completed in 1869 by
the Union Pacific and Central
Pacific railroads.
 Met in Promontory Point, Utah
on May 10
 Railroad tycoon that created
the Pullman sleeper car and
built a town for his workers
 Construction company created by Union Pacific stockholders that over-
charged Union Pacific with the resulting profits going to the stockholders
 Supreme Court case in which States won the right to regulate railroads for
the benefit of farmers and consumers
 Established principle that the federal government could regulate private
industry for the public interest
 Established the right of the federal
government to supervise railroad
activities
 Also created the Interstate Commerce
Commission to implement the law
 Founder of Carnegie Steel Company
 Process in which companies control
the resources, manufacturing, and
distribution for their product
 Process in which companies that
produce similar products merge
 Philosophy that applies Charles
Darwin’s theory of survival of the
fittest to human society
 Founder of Standard Oil Company
 Passed in 1890
 Made it illegal to form a
trust that interfered with
free trade between states
or with other countries
 President and founder of the AFL in
1886
 Labor union that focused on
collective bargaining
 Labor leader
 Formed the American Railway
Union and was one of the
founders of the IWW
 AKA- Wobblies
 Radical union and socialist organization
based in Chicago
 Prominent organizer in the
Women’s labor movement
Ch.6: A New Industrial Age
Section 1
 Factors for Industrialization
 Natural resources
 Government support for business
 Growing population
 Black Gold
 1859- Edwin L Drake used a steam engine to drill for oil in Pennsylvania
 Oil was originally refined for kerosene and gasoline was thrown away
 Bessemer Steel Process
 Coal and iron deposits were abundant in the North
 Iron is dense but is soft so it breaks and rusts
 Removing the carbon from the iron produces a lighter, more flexible,
rust-resistant metal.
 This process was introduced by Henry Bessemer and William Kelley in
1850
 New Uses for Steel
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Railroads
Barbed wire
Farming equipment
Bridges (Brooklyn Bridge 1883)
Buildings
 Electricity
 1876-Thomas Alva Edison established the world’s first research laboratory at
Menlo park, New Jersey
 1880- incandescent light bulb
 By the 1890s electric power ran machines, appliances, and even streetcars
which promoted the spreading of cities
 Changing Lifestyles
 1867-Christopher Sholes- typewriter
 1876-Alexander Graham Bell and Thomas Watson- telephone
 Inventions created new jobs that were predominately filled by women
Ch.6 section 2
 National Network
 Made westward expansion possible
 Government gave railroads huge land grants to expand
 Romance and Reality
 Dreams of cheap land, adventure, and a fresh start
 Central Pacific employed Chinese
 Union Pacific hired Irish and Civil War veterans
 Accidents, diseases, and Indian attacks killed thousands each year
 Railroad Time
 Professor C.F. Dowd proposed time zones
 Nov. 16, 1883, watches were synchronized to the time zones
 New Towns and markets
 Oil, coal, steel, lumber, and glass industries grew
 Previously isolated cities and towns were linked
 Cities began to specialize in particular products
 George M. Pullman
 Manufactured mostly sleeper cars
 Built a town for his workers which remained under company control
 No loitering on their own porches or drinking alcohol
 A violent strike broke out when Pullman lowered wages but not rents
 Construction company formed by Union Pacific stockholders
 Stockholders gave the company a contract to lay track at two to three
times the actual price and pocketed the rest.
 Shares were donated to 20 members of Congress in 1867
 Vice president Schuyler Colfax and Congressman James Garfield
(Republicans) both accepted shares.
 All public figures were allowed to keep their profits
 Railroad Abuses
 Fixed prices which kept farmers in debt
 Demanded more money for short hauls when there was no competition
 Charged different customers different rates
 Granger laws
 Passed in the West, Midwest, and Southeast to establish maximum rates and
prohibit discrimination
 Munn v. Illinois (1887) the railroads challenged the Granger laws in the
Supreme Court and lost
 Established the right of the federal government to regulate private industry
 Interstate Commerce Act (1887)
 Established the right of the federal government to supervise railroad
activities
 Interstate Commerce Commission
 Didn’t gain power to be effective until 1906
 Panic and Consolidation
 Caused by corporate abuses, mismanagement, overbuilding, and
competition
 1893- worst financial depression up to that time
 600 banks, 15,000 businesses, and 4 million people
 Large investors came in and bought up all the failing railroads
Ch.6 section 3
 1873- entered the steel business; by 1899 the Carnegie Steel Company
manufactured more steel than all the steel companies in Great Britain
combined.
 Business Strategies
 New machinery and techniques
 Attracted new talent by offering them stock
 Vertical integration
 Bought out suppliers; coal fields, iron mines, ore freighters, and railroad lines
 Horizontal integration
 Bought competing steel producers
 Principles of Social Darwinism
 19th-century doctrine that the social order is a product of natural selection of
those persons best suited to existing living conditions
 Supported the notion of individual responsibility and blame
 Used to justify laissez-faire economics
 New Definition of Success
 Riches were a sign of God’s favor
 Poverty was a result of laziness or inferiority
 Growth and Consolidation
 Pursuit of horizontal integration through mergers
 Holding Companies-set up for the purpose of buying up the stock of other
companies (J.P. Morgan)
 Standard Oil (John D. Rockefeller) join competitors in trust agreements;
gained total control of oil industry
 Rockefeller and the “Robber Barons”
 Huge profits by paying low wages and driving competitors out of business
 Then raised rate once he controlled 90% of the industry
 Gave $500 million to create the Rockefeller Foundation, funds to start the
University of Chicago, created a medical institute
 Sherman Antitrust Act (1890)
 Illegal to form a trust that interfered with free trade between states or with
other countries
 “trust” wasn’t clearly defined and the act was unenforceable
 Business Boom bypasses the South
 Southern industries were mostly owned by northerners
 South, lacking investment capital, remained agricultural
 South suffered high transportation costs, high tariffs, and lacked skilled
workers
 Long Hours and Danger
 7-day work weeks, 12 hour days, no sick leave or vacation, no
unemployment or compensation for injuries
 injuries were common due to faulty machinery and the dirty, poorly
ventilated factories
 Early labor organizing
 National Labor Union (1866)- William Sylvis
 Concentrated on linking existing unions
 Knights of Labor (1869)- Uriah Stephens
 Open to all workers regardless of race, gender, or skill level
 Craft Unionism
 American Federation of Labor (1886)- Samuel Gompers
 Focused on collective bargaining; attainable short-term goals
 Used strikes as a major tactic
 Industrial Unionism
 American Railway Union (1894)- Eugene Debs
 Socialism and the IWW
 Socialism-economic and political system based on gov. control of business
and property and equal distribution of wealth; a “workers’ society”
 Industrial Workers of the World (Wobblies, 1905)- William Haywood
 Included miners, lumberers, and cannery and dock workers
 The Great Strike of 1877
 Baltimore and Ohio Railroad (B&O) struck in response to their second
wage cut in two months
 President Hayes intervened and federal troops ended the strike
 The Haymarket Affair
 May 4, 1886- Chicagoans gather to protest police brutality
 Police arrived as the crowd was dispersing; someone threw a bomb at
the police; police fired on the workers; Knights of labor associated with
anarchists; employers impose yellow-dog contracts
 The Homestead Strike
 Steelworkers strike after announced wage cut designed to eliminate
union
 Pinkerton Detective Agency was hired to protect the plant so scabs
(strikebreakers) could work
 Pennsylvania national guard was called in to end the strike after two
weeks and 12 deaths
 The Pullman Company Strike
 Eugene Debs jailed; Pullman workers fired
 Women organize
 Mary Harris “Mother” Jones- endured death threats and jail
 Triangle Shirtwaist Factory Fire killed 146 women
 Management and Government pressure Unions
 Management refused to recognize unions as representatives of workers
 Sherman Antitrust Act was used against unions
 Still, union membership continued to climb
1.
2.
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6.
7.
8.
Who invented the typewriter?
Who first successfully used a steam engine to pump
oil out of the ground?
Who was president of the American Railway Union?
Who made a fortune in the steel industry and
donated most of his profits?
Who created trusts in order to gain control of the oil
industry?
Who had a lab in Menlo Park, New Jersey?
Which two men developed a process for making
steel?
Which two men invented the telephone?
9.
10.
11.
12.
13.
14.
15.
16.
Which luxury railroad car maker built a town for his
employees?
What was the goal of the Interstate Commerce Act?
How did industrial consolidation create monopolies?
Why would scabs be unpopular with striking
workers?
What fire killed 146 women in 1911?
What was the purpose of Credit Mobilier?
Which factors contributed to the industrial boom of
the early 1900s?
What was the Sherman Anti Trust Act designed to
do?
17. How was the Sherman Antitrust Act used against
18.
19.
20.
21.
22.
23.
24.
25.
unions?
Why were time zones created?
What industry caused the Great Strike of 1877?
What is collective bargaining?
Define vertical integration.
Define horizontal integration.
What was oil originally refined for?(before gasoline)
Where was a lot of the country’s oil and coal found?
What was the reality of working on the railroads?
26. Which industries grew as a result of the railroads?
27. What did Granger Laws accomplish?
28. How did the economic panic of 1893 lead to the
29.
30.
31.
32.
33.
34.
creation of monopolies?
Which union was headed by Samuel Gompers?
How was Gompers's union different from other
unions?
Which union was open to all people?
Why did unions form?
What happened in Haymarket Square?
Which industry was largely responsible for the
economic panic of 1893?