“A NEW INDUSTRIAL

AGE”

Chapter 12

I.) EXPANSION OF INDUSTRYA. Industrial boom due to several factors:

1. wealth of natural resources2. govt. supported business3. urban population provided cheap labor4. population provided market for new products

II.) NEW INNOVATIONSA. Edwin Drake: created steam engine drill

Outcome: creates an oil boom in the United States

B. Bessemer Process: created a new way to produce steelOutcome: new steel uses: barbed wire, railroads, skyscrapers, bridges, machines

C. Thomas Alva Edison: created incandescent light bulb

and new way to distribute electrical powerOutcome: made electricity safer & less expensive

D. Christopher Sholes: invented the typewriterOutcome: created new job opportunities for women

E. Alexander Graham Bell: invented of the telephoneOutcome: opened worldwide communications network

III.) AGE OF THE RAILROADS

A. Govt. makes huge land grants & federal loans to railroad companiesOutcome:

1. opened new markets for economy2. growth of new towns & cities3. widespread abuse of power by railroads

B. Transcontinental Railroad: Union Pacific & Central Pacific connect east to west on May 10, 1869

C. Time Zones: Earths surface divided into 24 time zones to help all railroads share common time 1. United States divided into 4 time zone

-Eastern, Central, Mountain, & Pacific

D. Gerorge M. Pullman: built factory for manufaturing sleeper & other railroad cars Outcome: creates a town called Pullman, Illinois to control his employees environment and create profit

E. Credit Mobilier: an infamous scheme in 1864 which Union Pacific stockholders formed a construction company to skim off railroad profits for themselvesOutcome: Union Pacific officials pocket 23 million (kickbacks to govt. officials)

reputation of Republican Party tarnished

IV.) RAILROAD ABUSES & REFORMS

A. Abuses by the Railroad:-misuse of govt. land grants-price controls-shipping charges

B. Granger Laws: laws passed to protect the interests of farmers & regulate the railroadsExample: set maximum freight rate for shipping goodsOutcome: Munn v. Illinois (1877 Supreme Court case which upheld the state’s right to regulate the railroads)

C. Interstate Commerce Act: 1887 act passed by Congress which establishes the govt. right to supervise railroad activities; estab. 5 member commission (ICC)