HIST 2112 Lecture 4Outline of Last Lecture I. New Attitudes about American IndiansII. Heading West- Why?III. The Fate of the NativesA. “eradication” schoolB. “Assimilationist” schoola. Indian Schoolsb. Reservationsc. The Dawes Act of 1887IV. The Failures of the Dawes Act and AssimilationV. The Ghost Dance – 1890Outline of Current Lecture I. IntroductionII. “Industrialism”III. American Business Before 1870IV. A case study- Andrew CarnegieA. Born in ScotlandB. Future?C. A Fortuitous combination of Developmentsa. Technological developmentsb. The rise of railroadsc. New resources from the westd. Immigration and cheap labore. Corporate business techniquesD. Important Corporate business techniquesE. Other Helpful DevelopmentsV. The Gilded AgeA. “Robber Barons”B. Carnegie’s Social ConscienceC. Lingering Question… Current Lecture: Age of Capital- Industrializations and the Rise of Big BusinessI. Introduction- The Current Time and Whya. Royal Navy concept b. American Railroad Coperation make time zones happen…- Invention of Railroads… Trains run efficiently on time… Everywhere has different high noonsII. “Industrialism”- The most important development in US history after reconstruction(Like a salad… Lots of things have to come together to make it happen)** The fact that we are telling time according to railroads needs in 1880s, tells how important it was to everyone’s industrial lives - Times & Industrialism changes everything- Large Corporations that have Massive Amounts of Capital… Assembly lines, technology, big markets- Industrialism causes a lot of conflict... A lot of people hated industrialism (it was undemocratic and threatening)** WAS INDUSTRIALISM A GOOD THING OR BAD THING??** WAS INDUSTRIALISM A GOOD THING OR BAD THING??- Raised standard of living and no famine- There is no accounts receivable without accounts payable- So, industrialism has human costs and also gives rewards (child labor laws)III. American Business before 1870: Largely Rural… - Some Factories… Not many (since 1830s in New England)- Biggest Business has 800 workers- Farms- Coal mines- Small jobs/businesses – family operations IV. A case study- Andrew CarnegieA. Born in Scotland- migrates to Pittsburg 1848 … Bessemer created steel around the time he was coming up.- His father was a weaver that went belly-up because the economy crashed… you either learn to survive an industrial world or you will failB. Future: Ambitious, clever, driven, talented- and sees a future in steel…- He doesn’t want to just be rich, he wants to be an imaginative person- Cost a lot of money, some of his friends help and loan him money to build a steel factoryC. A Fortuitous combination of Developmentsa. Technological developmentsb. The rise of railroads- Use them to bring all the items to your factory from other parts of the worldc. New resources from the west- Things are being discovered, such as iron and coald. Immigration and cheap labor- Employees that need worke. Corporate business techniques- Railroads are great to enable the economy because you support them and give them business… this rejuvenates the economy- Carnegie starts to buy warehouses, railroads, hires people for salesmenD. Important Corporate business techniquesa. Integration of productionb. Monopolizations, trusts, “price fixing” (not so much Carnegie as others)- Everybody wants the supplies- Everyone wants to eliminate compitions- Trusts: Club (steelmakers)?  Leads to a fixed price that benefits everyone… Illegal today!E. Other Helpful Developmentsa. A pro-industrial US government and Republican party (founded in 1854 in Jackson, MI which is an anti-slavery party (NORTHERN))… Want industrialism to happen… Slavery isn’t the real money maker, industry is.b. Pro-industrial law: Laws are not neutral, they are shaped by the period/people- Corporations are people under the 14th amendment.- Santa Clara County vs. Southern Pacific Railroadc. “Social Darwinism” – the misguided application of “survival of the fittest” to economics- Origin of species: some people are better at competition than others… they have climbed to the top because they have what it takes to be at top (tough shit for everyone else)- Ideas were taken out of contextV. The Gilded Age- The late 1880s and 90s- Edward Bellamy and Looking Backward(1887)A. “Robber Barons”a. Threats to democracy?b. Threats to free enterprise?c. Threats to jobs?B. Carnegie’s Social Conscience C. Lingering Question… Was the development of American industrialism worth the costs? The answers will vary… Stay