Chapter 9 and part of Chapter 8: Transforming the Economy, 1790-1860 The Big Questions: What were the causes and consequences of the industrial and market revolutions, and how did they change the way ordinary Americans lived?
Ch. 8 & 9: Transforming the Economy, 1790-1860 8.1 The Capitalist Commonwealth A. Banks, Manufacturing, and Markets B. Public Enterprise: Commonwealth System 9.1 The American Industrial Revolution A. The Division of Labor and the Factory B. The Textile Industry and British Competition C. American Mechanics and Tech Innovation D. Wageworkers and the Labor Movement 9.2 The Market Revolution A. The Transportation Revolution B. The Growth of Cities and Towns 9.3 New Social Classes and Cultures A. The Business Elite B. The Middle Class C. Urban Workers and the Poor
Ch. 8 Part 1: The Capitalist Commonwealth 1A: Banks, Manufacturing and Markets For Northern entrepreneurs, republicanism meant a market economy, private property with gov. aid to business to promote common wealth Banking (BUS and state banks) stimulated the economy by lending to businesses but loose lending contributed to the Panic of 1819 Results: economic growth, longer working hours, environmental damage, and dependence on the market
Ch. 8 Part 1: The Capitalist Commonwealth 1B: Public Enterprise: The Commonwealth System State charters for banks, turnpikes and canals assisted the economy Use of eminent domain (Mill Dam Act and Marshall court rulings) supported a neomercantilist approach to the economy and business
Ch. 9 Part 1: The American Industrial Revolution 1A: The Division of Labor and the Factory Use of the out-work system, division of labor, and factories greatly increased manufacturing output to the disadvantage of artisans By 1830s, a mineral based economy using coal power and making metal goods emerged producing reapers, firearms, etc.
Ch. 9 Part 1: The American Industrial Revolution 1B: The Textile Industry and British Competition Samuel Slater: Father of American Industrialization US industrial advantages: fast rivers, protective tariffs, technological improvements, cheap female labor Lowell used New England farm girls and new technology in his factories Samuel Slater s Spinning Frame
Ch. 9 Part 3: The American Industrial Revolution 1C: American Mechanics & Technological Innovation By 1820s, American-born artisans had replaced British immigrants at the edge of technological innovation Eli Whitney: cotton gin, machine tools and interchangeable parts
Part 1: The American Industrial Revolution 1D: Wageworkers and the Labor Movement Factory wage labor undercut the artisan republican ideal of a society of individual producers (for men but not women) Industrialization split artisan class into craftsmen and wage earners Commonwealth v. Hunt legalized unions but they had little success Mill Girl, 1850 Woodworker, 1850
Ch. 9 Part 2: The Market Revolution 2A: The Transportation Revolution Cheap homesteads, Indian removal and arable land led to migration Roads, canals, steamboats, and railroads, improved transportation, created larger markets, and opened new lands up to settlement Gibbons v. Ogden struck down state charters and monopolies Southern economy remained unchanged by new transportation Painting of the Erie Canal
Part 2: The Market Revolution 2B: The Growth of Cities and Towns Cities grew 400%, especially in the Midwest and along the fall line NYC with its harbor and Erie Canal dominated foreign and domestic trade and immigration traffic
Ch. 9 Part 3: New Social Classes and Cultures 3A: The Business Elite Industrialization led to distinct social classes and divided cities Richest 10% owned 70% of wealth in 1860 Federal and state tax policies favored the wealthy Early Industrialization in Ohio
Ch. 9 Part 3: New Social Classes and Cultures 3B: The Middle Class Up to 30% of the Northeast was middle class by 1840s Growth in income and availability of cheap goods grew middle class Middle class values: material items, education, hard work, discipline The Progress of the Century by Currier & Ives
Ch. 9 Part 3: New Social Classes and Cultures 3C: Urban Workers and the Poor In 1840, ½ of white workers were wage laborers The poor faced low wages, lack of education, slums and alcoholism NYC Five Points Tenement, c. 1850s