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Unit 1 - US History

US History II

Patrick Keating

on 20 October 2015

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Transcript of Unit 1 - US History

There will be A LOT of information presented...
DO NOT write every detail down
Instead, the important points are in
RED -- write these points down; the rest is for discussion
How to take notes in my class...
US HISTORY -- Part Deux
Where do we go from here??????
What has happened so far in American History?

New era of industrial transformation that altered manufacturing, transportation, and the everyday lives of Americans
Made possible by

Bessemer Process -- a new, efficient method of making steel
Steel made in 1865 - 15,000 tons
Steel made in 1910 - 28 million tons
New Inventions and Innovations
Why steel?
Easier to make
More durability
No rusting
Oil --- crude oil --- kerosene - used as fuel
Rush across the US to find oil
OIL --- "Black Gold"
Compile a list of all the uses of oil.
Patents -- a guarantee to protect an inventors rights to make, use, or sell the invention
The U.S. Constitution states in Article 1, Section 8, Clause 8 that one purpose of the legislature is:
To promote the progress of science and useful arts, by securing for limited times to authors and inventors the exclusive right to their respective writings and discoveries
Railroads expanded rapidly
Main reasons:
Cheap steel (Bessemer Process)
$100/ton in 1873
$12/ton in 1890
Affect of the railroads
Efficient transportation
Transcontinental RR -- railroad that spanned the US
; 'from sea to shining sea'
Increased settlement in the west
Stimulated urban growth
Produced most of the country's jobs
Popular culture
What affect does mass transportation have on a country and on it's citizens? (Think how we are affected by airplanes).
Take a minute and write some thoughts down in response to the following question:
How has technology affected communication in your life?
Be ready to share with the class.
Invented by Samuel Morse
Sent information for businesses, the government, the media, and private citizens
The talking telegraph
Patented by Alexander Graham Bel
By 1900 -- one million telephones
1950 -- 30 million
1980 -- 180 million
Held over 1,000 patents
Known for his major inventions -- the phonograph and lightbulb
Lewis Latimer
"The Wizard of Menlo Park"
Thomas Edison
What does 'survival of the fittest' mean?
How does it apply to people and businesses?
Do you agree with this concept? Why or why not?
Survival of the Fittest
A Capitalist Spirit
Capitalism -- economic system in which private business runs most industries; competition determines how much goods cost and workers are paid
The Rise of Big Business
Free enterprise -- 'laissez-faire'; businesses free from government regulation and can compete in a free market
In a few sentences, describe what the American Dream is.
Does the American Dream apply to everyone? Why or why not?
Ideas that take root in the "American Dream"
Communism -- developed by Karl Marx
Capitalism allowed the bourgeoisie (those who own the means of production) to take advantage of the proletariat (the workers)
Criticisms of Capitalism
Communism -- proposes that individual ownership of property should not be allowed
Corporation: group ownership of a company; a number of people share the ownership of a business
Define corporation.
How is the structure of a corporation different from an average company?
Board of Directors
One person from each group share your corporation.
What does your company specialize in?
What supplies does your company use?
What corporations did you examine?
So how do you cut costs when looking at your suppliers?
Vertical integration -- system of buying out all of the firms that are involved in all steps of a products manufacture
One person from each group volunteer to discuss your competitors.
Horizontal integration -- system of buying out one's competitors
Monopoly -- exclusive control of an industry
What is the point of Monopoly?
How might vertical/horizontal integration be problematic?
What issues might they cause???
Who is this man??
Andrew Carnegie and U.S. Steel
Carnegie's story -- one of rags to riches (immigrant, factory worker, works his way to the top)
Began investing at a young age in railroad companies, telegraph lines
Used this money to invest in steel

The Corporate Giants
One of the founders of Standard Oil
Earned a small fortune in wholesale food business
Entered the oil business --- sought to gain control of the industry
Rockefeller and Oil
Carnegie employed (used) vertical integration
Purchased iron and coal mines -- raw materials to run steel mills
Bought steamship lines, railroads -- transportation for his good
The Gospel of Wealth
Used horizontal integration --- bought out many other companies
Sometimes gained control through trusts -- a group of companies turn control of their stock over to a common board of trustees
By 1880, Standard Oil controlled 90% of the country's refining capacity
Cornelius Vanderbilt
Controlled many eastern and midwestern railroad companies
Patriarch (father figure) of one of the richest families in America
The Railroad Giants
George Pullman
Innovative businessman in long-distance rail travel
Created a massive passenger-railroad car industry
(sleeping, dining cars)
Created company towns -- his workers and their families would live in these areas
Government's Role in Business
The Other Side
Should the government be involved in what businesses do and how they operate in the United States?
What are the positives to a monopoly?
Two sides to the argument
Some want government intervention in the economy
Others prefer those 'laissez faire' (hands off) policies
government often assisted the large corporations
Placed high tariffs on imports -- allowed American businesses to dominate the market
Role of Government in the Economy
The government did little to regulate business practices
People were afraid of rising prices as certain markets were dominated by one company
Sherman Anti-Trust Act
Outlawed all monopolies and trusts that restrained trade
Did not define what they were --- made it hard to enforce
Write down 7 FACTS about this photo.
What about the workers?
Answer the following questions in your notes:

If you were in this situation... who would you turn to for help?

At what point would you draw the line and quit?

What if this job was the only means for your survival? What would you do then?
20% of kids age 10-15 were working in factories.
Working conditions
Long pay
Low wages
Difficult and dangerous conditions
So how did workers get some rights in the work place?
Labor union: an organized association of workers
often in a trade or profession
formed to protect and further their rights and interests of its members
So what is a labor union?
What did unions do when their rights weren't listened to?
How do you think the Business Tycoons of the era felt about their workers who went on strike
How might they react?
Work in groups to answer the questions about your particular topic.
Elect one person to share this information with the class.
Use the handout I emailed you to guide your discussion.
Full transcript