Gilded AgeGilded Age"What is the "What is the chief end of chief end of man?--to get man?--to get rich. In what rich. In what way?--way?--dishonestly if dishonestly if we can; we can; honestly if we honestly if we must."must."-- Mark Twain--- Mark Twain-1871 1871

1. to overlay with or as if with a thin covering of gold1. to overlay with or as if with a thin covering of gold

2. to give an attractive but often deceptive appearance to 2. to give an attractive but often deceptive appearance to

Gilded:Gilded:

IndustrializatiIndustrializationon

Natural ResourcesNatural Resources

Oil!Oil! Coal!Coal! Iron!Iron!

Bessemer Process - 1850Bessemer Process - 1850

The Wonders of Steel…The Wonders of Steel…

Electricity!Electricity!

Other Inventions… MACHINE Other Inventions… MACHINE AGEAGE

How did these How did these inventions inventions transform transform American American society/culturesociety/culture/life?/life?

CAPITALISMCAPITALISM Adam Smith – Adam Smith – Wealth of NationsWealth of Nations, 1776, 1776

Definition of capitalism:Definition of capitalism: an an economic system in which investment economic system in which investment in and ownership of the means of in and ownership of the means of production, distribution, and exchange production, distribution, and exchange of wealth is made and maintained of wealth is made and maintained chiefly by chiefly by PRIVATE individuals or PRIVATE individuals or corporations who COMPETE in a corporations who COMPETE in a FREE MARKET.FREE MARKET.

Innovation in the Factory Innovation in the Factory SystemSystem

Taylorism – Taylorism – subdivide taskssubdivide tasks Moving Assembly Line – introduced Moving Assembly Line – introduced

by Ford in 1914by Ford in 1914

Chaplin’s Chaplin’s Modern Times,1936Modern Times,1936

What are Chaplin’s thoughts What are Chaplin’s thoughts on these “modern times”? on these “modern times”?

What statement is he making What statement is he making about the new factory about the new factory system?system?

If you can’t beat them, join them!If you can’t beat them, join them!The Vocab. of Capitalism…The Vocab. of Capitalism…

CorporationCorporation: a business organization owned by : a business organization owned by a group of stockholders, each of whom enjoys a group of stockholders, each of whom enjoys limited liability; a corporation has the ability to limited liability; a corporation has the ability to raise capital by selling stock to the public.raise capital by selling stock to the public.

Mergers:Mergers: When one corporation buys another. When one corporation buys another. Monopoly:Monopoly: When a corporation managers to When a corporation managers to

buy out all of its competitors and gains buy out all of its competitors and gains complete control over its industry’s production, complete control over its industry’s production, quality, wages, and prices.quality, wages, and prices. Trust:Trust: A combination of firms or corporations for the A combination of firms or corporations for the

purpose of reducing competitionpurpose of reducing competition Holding Company:Holding Company: company which is created to own company which is created to own

the stock of other corporations, thereby controlling the stock of other corporations, thereby controlling the management and policies of all of them. the management and policies of all of them.

Industrial Tycoons Form Industrial Tycoons Form Monopolies!Monopolies!

Railroads sell land Railroads sell land to other businesses, to other businesses, not to settlersnot to settlers

Inflate rail fares, Inflate rail fares, especially for especially for farmersfarmers

Fix prices across Fix prices across competing lines to competing lines to insure high profit insure high profit for allfor all

Vanderbilt: Vanderbilt: the Modern Colossusthe Modern Colossus

Rockefeller and Standard OilRockefeller and Standard Oil Horizontal Integration:Horizontal Integration: In In

1871 John D. Rockefeller struck 1871 John D. Rockefeller struck a secret deal with the railroads a secret deal with the railroads that transported his oil offering that transported his oil offering them rebates if they promised them rebates if they promised to only buy oil from him. to only buy oil from him. Through this method, Through this method, Rockefeller ran his competitors Rockefeller ran his competitors out of business. By March of out of business. By March of 1872, the 33-year-old 1872, the 33-year-old businessman had used this and businessman had used this and other tactics to take over 22 of other tactics to take over 22 of the 26 refineries in Cleveland, the 26 refineries in Cleveland, thus creating a monopoly. thus creating a monopoly.

Carnegie and the Steel Carnegie and the Steel IndustryIndustry Vertical Integration:Vertical Integration: One of One of

the earliest, largest and most the earliest, largest and most famous examples of vertical famous examples of vertical integration was the Carnegie integration was the Carnegie Steel company. The company Steel company. The company controlled not only the mills controlled not only the mills where the steel was where the steel was manufactured but also the manufactured but also the mines where the iron ore was mines where the iron ore was extracted, the coal mines that extracted, the coal mines that supplied the coal, the ships supplied the coal, the ships that transported the iron ore that transported the iron ore and the railroads that and the railroads that transported the coal to the transported the coal to the factory, the coke ovens where factory, the coke ovens where the coal was coked, etc. the coal was coked, etc.

Robber Baron or Robber Baron or Captain of Industry?Captain of Industry?

Paraphrase the following quote:Paraphrase the following quote:

““It would be a great mistake for the It would be a great mistake for the community to shoot the millionaires, community to shoot the millionaires, for they are the bees that make the for they are the bees that make the most honey, and contribute most to most honey, and contribute most to the hive even after they have gorged the hive even after they have gorged themselves full.”themselves full.”

- Andrew Carnegie- Andrew Carnegie

Carnegie gave away 90% of his Carnegie gave away 90% of his wealth…wealth…

Birthplace, Scotland, 1835

Castle in Scotland Carnegie bought in 1897

Gospel of Wealth…..Gospel of Wealth…..Questions to consider….Questions to consider…. How did Carnegie justify the How did Carnegie justify the

accumulation of wealth?accumulation of wealth? What three ways did Carnegie suggest What three ways did Carnegie suggest

to dispose of personal wealth?to dispose of personal wealth? What criteria did Carnegie establish for What criteria did Carnegie establish for

administering charitable resources? administering charitable resources? Are his reasons consistent?Are his reasons consistent?

Was Carnegie a selfish business Was Carnegie a selfish business man or a charitable entrepreneur?man or a charitable entrepreneur?

The Worker’s The Worker’s Perspective…Perspective… Horatio Alger Horatio Alger

StoryStory

Why might “luck” Why might “luck” and “pluck” not and “pluck” not be enough to be enough to make in the make in the Gilded Age?Gilded Age?

Child Labor in the Gilded AgeChild Labor in the Gilded Age

As we flip through As we flip through the following slides, the following slides, silently reflect and silently reflect and write down some of write down some of the common trends the common trends that you see. What that you see. What was life like for a was life like for a child in the child in the factories? factories?

Working in the MinesWorking in the Mines

At the close of day. Waiting for the cage to go up. The cage is entirely open on two sides and not very well protected on the other two, and is usually crowded like this.

View of the Ewen Breaker of the Pa. Coal Co. The dust was so dense at times as to obscure the view. This dust penetrated the utmost recesses of the boys' lungs. A kind of slave-driver sometimes stands over the boys, prodding or kicking them into obedience.

Furman Owens, 12 years old. Can't read. Doesn't know his A,B,C's. Said, "Yes I want to learn but can't when I work all the time." Been in the mills 4 years, 3 years in the Olympia Mill.

Working in the

Mills

One of the spinners in Whitnel Cotton Mill. She was 51 inches high. Has been in the mill one year. Sometimes works at night. Runs 4 sides - 48 cents a day. When asked how old she was, she hesitated, then said, "I don't remember," then added confidentially, "I'm not old enough to work, but do just the same." Out of 50 employees, there were ten children about her size.

The overseer said apologetically, "She just happened in." She was working steadily. The mills seem full of youngsters who "just happened in" or "are helping sister."

NewsiesNewsies

Out after midnight selling extras. There were many young boys selling very late. Youngest boy in the group is 9 years old. Harry, age 11, Eugene and the rest were a little older.

Tony Casale, age 11, been selling 4 years. His paper told me the boy had shown him the marks on his arm where his father had bitten him for not selling more papers. He (the boy) said, "Drunken men say bad words to us."

Michael McNelis, age 8. This boy has just recovered from his second attack of pneumonia. Was found selling papers in a big rain storm.

Messengers absorbed in their usual game of poker in the "Den of the terrible nine" (the waiting room for Western Union Messengers, Hartford, Conn.). They play for money. Some lose a whole month's wages in a day and then are afraid to go home. The boy on the right has been a messenger for 4 years. Began at 12 years of age. He works all night now. During an evening's conversation he told me stories about his experiences with prostitutes to whom he carries messages frequently.

Messenger boys; they all smoke.

Pastimes and Vices…

Final Thoughts…Final Thoughts…

Should Industrialization be seen Should Industrialization be seen as Progress?as Progress?

Who benefitted from Who benefitted from Industrialization?Industrialization?

Who did not benefit from Who did not benefit from Industrialization?Industrialization?