Transcript Causes and Effects of Industrialization

RISE OF INDUSTRIAL AMERICA
Essential question: What were the results of early 19th century industrialization in
America?
The Transportation Revolution
By 1832, nearly 2,400
miles of road connected
most major cities
Erie Canal, 1820s, begun
in 1817 and completed in
1825
Principle canals by 1840
 The
canal systems
extended shipping
and connected cities.
The “iron horse” wins! (1830)
1830, 13 miles of
track built by
Baltimore & Ohio
(B&O) RR.
By 1850, 9,000
miles of RR track
By 1860, 31,000
miles of RR track
The Railroad Revolution
Immigrant
The work labor
of building
built
the
theNorthern
first railroads
railroads
was
accomplished with
Slave
built
much
humanlabor
muscle
and
ofdogged
the Southern
endurance.
railroads
This construction train
from the 1850s
illustrates the laborious
process of moving
earth by hand and the
fairly crude state of
antebellum railroading
The Northern Industrial “juggernaut”
Unstoppable force
Categorize
each of the followingForeign
20 terms
either
a cause or
Unrestricted immigration
investments
in American
an
effect
of American Industrialization,
factories
Growing
population
Causes and Effects of Need
Industrialization
to protect rights of
New inventions
Education for the masses
High tariff discovery of large deposits
of raw materials in the West
Large-scale cotton production in the
South
Higher standard of living
Monopolies
Growth of cities
Stable banking system
New industrial products and services
consumers/workers
Widespread use of the corporation as
a form of business organization
Lengthening of canals and waterways
Mass production techniques
How does the cause and effect chart
illustrate the following generalizations?
1.
2.
3.
4.
5.
Specialization increases interdependence.
Regions become interconnected and interdependent
through communication of ideas and sharing of resources.
Industrialization brought both positive and negative
changes.
Mass production society is closely related to mass
consumption.
Government incentives promote industrialization.
Business Growth through combination
Merger:
Two or more
corporations
become one.
Assets are
combined with
the surviving
corportation.
Pools: competitors agree to limit their operations and share
markets outputs or profits. Such agreements are illegal.
Shipping
company A
Shipping
company B
Shipping
company C
Total
market
Trusts
company and
shareholders assign title
to their shares to a
trustee organization
which can vote these
shares. Trustees can
elect directors to
company board and
gain control of these
companies. Not
considered illegal unless
“restraint of trade” is
shown.
Trust
Directorate
Company A
Board of
Directors
Company B
Board of
Directors
Company C
Board of
Directors
Holding company
A corporation
that owns the
majority of
stock or
securities of
one or more
corporations
for purposes
of control
rather than as
an investment.
Holding
Company B
Holding
Company A
Holding
Company C
Operating
company 1
Operating
company 2
Operating
company 3
Operating
company 4
Vertical Trusts
An organization
that controls all
coal
or mines
part of a
series of
operations within
an industry, from
processing raw
materials to
retailing the
finished
products.
ore mines
Blast furnaces and
rolling mills
transportation
shipping
executive and sales offices
Distribution of wealth
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


During the American Revolution, 45% of all wealth
in the top 10% of the population.
1845 Boston
top 4% owned over 65% of the
wealth.
1860 Philadelphia
top 1% owned over 50% of
the wealth.
The gap between rich and poor was widening!
What’s happening in America by 1850s?
Regional specialization
East
West
South
• industrial
• Slavery &
cotton
• The nation’s
“breadbasket”
Changing Occupation Distributions:
1820-1860
80
70
60
50
40
30
20
10
0
1820
1840
1860