Chapter 14: The Age Of Innovation And Industry

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Chapter 14: The Age of Innovation and IndustryIntroductionIn September 1878, a young inventor from Menlo Park, New Jersey, wentto see a set of experimental arc lights. The lights were too hot and brightfor practical use, but they fascinated him. The more he studied the lightsand the generator that powered them, the more excited he became.The inventor, Thomas Alva Edison, knew he could invent a better lightingsystem, one that could be used anywhere. At the age of 31, he wasalready known as the "Wizard of Menlo Park." Among his manyinventions were the phonograph and a highly efficient automatedtelegraph system. Now Edison vowed to invent a practical incandescentlamp—what we would call a light bulb.Edison and his team of scientists andmechanics set to work. Other inventors hadtried for decades to produce a practical lightbulb. The main problem was finding afilament—a thin fiber or wire—that would heatto a bright glow when electric current passedthrough it, but would not melt. Edison triedthousands of materials, from platinum totwine to human hair. Finally, around 1879, hetried bamboo fibers that he had pulled from aJapanese fan. After carbonization—theprocess of converting a fiber to purecarbon—the bamboo filament burned andburned without melting. Edison finally had hislight bulb.That major success did not end Edison'squest. He was already hard at work on othercomponents of a complete electric lightingsystem. He and his team were designinggenerators, meters, and cables. They weremaking plans for distributing electricity. They were installing lighting displays to promote the benefits ofthe electric lamp. Edison did not simply invent the light bulb. He envisioned the future of electricity, and heacted to make his vision a reality.

Inventions like Edison's light bulb helped spur a new age of innovation and industry after the Civil War.This period also saw the rise of big businesses that created great wealth. This chapter explores howindustrialization affected the nation as a whole. The next chapter examines its effects on workers.Photo Captions:Photo 1: Thomas Edison set up his first laboratory when he was just 10 years old. He would eventuallybecome the most productive inventor in American history, with more than 1,000 inventions to his name.Photo 2: Edison’s laboratory in New Jersey, around 1900

Section 2: New Inventions and TechnologiesEdison was one of thousands of ingenious inventors, mechanics, and scientists working to create newproducts and machines in the late 1800s. Thanks in part to their work, American life changeddramatically. The United States evolved from a largely agricultural nation into a complex industrial society.This shift brought modern conveniences to many consumers. In 1865, Americans still lived in the "horseand buggy" era. They lit their homes with candles or oil lamps. They kept fresh foods in an icebox, acabinet cooled by a large block of ice. And they waited a month or more for letters to cross thecountry. By 1900, many Americans illuminated their homes with electric lights. They kept foods cold in anelectric refrigerator. They could send news across the continent in an instant by telegraph or telephone. Afew could even afford to replace their horse and buggy with a new automobile.Americans Invest in New TechnologyThese innovations captured the imaginationof investors who were willing to finance, orfund, the development of newproducts. Without this financial backing,many inventions would never have reachedthe market. Some would never have beenbuilt at all.This willingness to risk money on newbusinesses lies at the heartof capitalism [capitalism: an economicsystem in which factories, equipment, and other means of production are privately owned ratherthan controlled by government]. Capitalism is an economic system in which factories, equipment, andother means of production are privately owned rather than being controlled by government. Capitalists inthe late 1800s provided the funds to build railroads and factories and furnish them with machinery andsupplies. They put money into new technology and scientific research. In return for risking their money,they hoped to reap rewards if the new business proved profitable.Edison, for example, received generous financial support from a group of capitalists led by the wealthybanker J. P. Morgan. Together they formed the Edison Electric Light Company. In 1880 alone, this groupprovided the inventor with 150,000. In return, Edison gave the company the rights to his lightinginventions for a five-year period. The investors helped Edison pursue his vision, and they profitedhandsomely as a result.Financial backers often protected their investments by making sure inventors acquired patents. A patentgives an inventor the sole legal right to make or sell an invention for a specified period of time. Thefederal government began issuing patents in 1790. By 1860, only 36,000 had been granted. Between1860 and 1900, the number skyrocketed to more than 600,000. Edison holds the record for patentsissued to one person, with 1,093 in all.

Revolutionary Changes in Communication and Transportation The use of electricity had broughtdramatic progress in communications even before the Civil War. Artist and inventor Samuel F. B. Morsecreated the first practical telegraph by 1837. To send messages by electrical signal, he used a dot-anddash system later known as Morse code. In 1843, Morse set up an experimental telegraph line linkingWashington, D.C., with Baltimore, Maryland. He opened this line to commercial use the following year.Telegraph lines soon crisscrossed thecountryside, mainly following railroadtracks. The railroads relied on thetelegraph to keep track of theirtrains. Newspapers also used thetelegraph to gather information and sendstories to local newspapers. Severalcompanies established telegraphnetworks. By the 1870s, however, theWestern Union Telegraph Companydominated the industry. By 1900, nearlya million miles of telegraph wires werecarrying more than 60 million messagesa year.The next revolution in communications came with the telephone. For nearly 12 years, the inventorAlexander Graham Bell had pursued the idea of sending speech over wires. He finally succeeded onMarch 10, 1876. According to popular legend, the first telephone message was the result of anemergency—with Bell calling out to his lab assistant, Watson, after accidentally spilling acid. However, ina letter to his father, Bell made no mention of any accident:I was in one room at the Transmitting Instrument and Mr. Watson at the Receiving Instrument in anotherroom—out of ear shot. I called out into the Transmitting Instrument, "Mr. Watson—come here—I want tosee you"—and he came! He said he had heard each word perfectly . . . I feel that I have at last struck thesolution of a great problem—and the day is coming when telegraph wires will be laid on to houses justlike water or gas—and friends converse with each other without leaving home.Bell's invention attracted plenty of financial support. In 1877, he founded the Bell TelephoneCompany. That same year, the first commercial telephone line was strung in Boston, where Bell lived. By1893, more than 250,000 phones were in use. That year, Bell's patent ran out, allowing others to profitfrom his invention. Independent telephone companies formed across the country, helping create a surgein home use of the new technology. By 1920, the number of telephones had grown to at least 13 million.Two other inventions changed how Americans moved. The first, the automobile, came to the UnitedStates from Europe. The second, the airplane, was home grown. In 1903, the brothers Orville and WilburWright made the first successful powered-airplane flights in history, near Kitty Hawk, North Carolina. Afterthat first success, inventors worked continually to improve airplane design.

“Rock Oil" Provides a New Source of Fuel The development of new fuelsgave rise to another new industry. Before the Civil War, lamps mainlyburned whale oil, which was very expensive. In the mid-1800s, a Canadianscientist discovered how to refine crude oil that seeped out of the groundinto a lamp oil called kerosene. But the supply of surface oil waslimited. Then a former railroad conductor named Edwin Drake made animportant discovery.In 1858, Drake went to Titusville, Pennsylvania, on business. He hadbought stock in the Pennsylvania Rock Oil Company, which gatheredsurface oil for use in medicine. While in Titusville, Drake studied thetechniques of drilling salt wells. Drake decided to lease land from the company for oil drilling. In August1859, after several weeks of drilling, he struck oil.Countless more wells were drilled in Pennsylvania and 13 other states. Oil drilling and refining became ahuge industry, supplying fuel for lamps, lubricating oils for machinery, and later, gasoline for automobiles.The Bessemer Process Revolutionizes Steelmaking A new technology for turning iron into steel gaverise to another major industry. Iron is a useful metal, but it is brittle and fairly soft. Steel is a purified formof iron mixed with carbon. Engineers prefer steel for most purposes because it is harder, stronger, andlighter than iron. Before the 1850s, however, the process for making steel out of iron was time-consumingand expensive.In 1855, a British inventor named Henry Bessemer patented a new method of makingsteel. The Bessemer process [Bessemer process: a method of steelmaking invented in 1855 thatenabled steel to be made more cheaply and quickly] involved blowing air through molten iron. Theblast of air removed impurities. Using this process, steel could be produced far more cheaply and quicklythan in the past. After seeing the process at work in England, Andrew Carnegie decided to invest heavilyin steel production in the United States. In 1873, he began to form the Carnegie Steel Company, whichlater built the largest and most modern steel mill of its time near Pittsburgh, Pennsylvania.As the steel industry grew, steel became the metalof choice for heavy construction. Railroadsswitched to steel rails. Builders began using steelto construct longer bridges and taller buildings. In1883, the longest suspension bridge in the worldopened. This towering structure, the BrooklynBridge, stretched for 6,700 feet across the EastRiver in New York City. Two years later, builderserected the world's first skyscraper, a 10-storybuilding in downtown Chicago. Neither of these structures could have been built without the use of steel.

Electricity Lights Up America A single invention can have far-reachingeffects. Edison's light bulb, for example, gave birth to the electric powerindustry. In 1882, Edison built a central generating station in New YorkCity. Its wiring electrified a section of lower Manhattan. Before long, thedemand for electricity became too great for the Edison Electric LightCompany to meet on its own. Throughout the country, other companiesbuilt their own central generating stations to meet customers' needs. By1891, there were more than 1,300 stations, providing enough electricity topower about 3 million light bulbs.Access to electricity had a huge impact on American industry. Artificial light allowed businesses to stayopen longer. Factories could run through the night. Electricity changed home life too. Americans could notonly work and read at night but also plug in electric refrigerators and other appliances. Electricity wascostly at first, though, and power companies built stations mainly in the cities. Many Americans, especiallyin rural areas, had to wait decades more for electric transmission lines to reach them.Photo Captions:Photo 1: Thomas Edison’s light bulb was one of many innovations that dramatically changed the dailylives of Americans. By the early 1900s, many people had electricity and refrigeration in their homes. Theycould travel and communicate more rapidly. This print from 1882 shows workers laying tubes for electricwires on the streets of New York City.Photo 2: In this illustration from 1863, soldiers set up an army telegraph line. The first telegraph lines wentup in 1843. By 1866, companies had installed over 75,000 miles of wire. At first, railroads andnewspapers took the greatest advantage of this high-speed means of communication. Soon many othersbenefited. By 1911, the nation had 1.5 million miles of telegraph wire. Someone could send a telegramfrom almost anywhere in the United States to almost anywhere else.Photo 3: Oilfields like this one in Pennsylvania marked the birth of a huge new industry. Drillingcompanies took petroleum out of the ground. Refiners turned it into kerosene for lamps and into oil forlubricating machinery. Later they refined it into gasoline for automobiles.

Photo 4:The skyscraper relied on two technologies developed in the 1850s. The Bessemer process producedcheap steel, which was lighter and stronger than iron or brick. Engineers could now build tall structuresthat didn’t collapse under their own weight. Invention of the passenger elevator provided easy access tothe higher floors.Photo 5: The Electricity Building brightened the Pan-American Exposition of 1901 in Buffalo, New York.This site illuminated recent advances in the field of electricity. Displays included a variety of innovations intypesetting technology and electric machinery.

Section 3: An Explosion of Industrial GrowthThe growth of technology and the creation of communication and electric power networks helped fuel theexpansion of American industry in the late 1800s. Companies that had once served mainly local marketsexpanded to sell their goods nationwide. To meet the needs of this growing national market, companiesdeveloped new ways of operating.New Ways to Manage Work Farsightedbusiness owners realized they could profit fromserving customers nationwide. But to do this,they had to create systems of mass productionthat would enable them to supply a much largermarket. The basic elements of this systemalready existed. By the early 1800s, factorieswere using interchangeable parts to producegoods in large quantities.After the Civil War, factory owners improvedthese methods of mass production. They builtspecialized machinery that could produceidentical parts for quick assembly into finishedproducts. They no longer needed skilledartisans to craft individual parts. Instead, they could use unskilled workers to run the machines and hiresupervisors to manage the day-to-day operations.Engineers reorganized factory work to increase productivity, dividing up the production process so thateach worker did a single task. One engineer, Frederick W. Taylor, used scientific techniques to analyzethese tasks. He watched workers and timed them with a stopwatch. Through these time-and-motionstudies, he determined the most efficient way to perform each task. He trained workers to work faster byreducing wasted motion. Speed boosted productivity, which increased profits.Taylor later published his findings in a book called The Principles of Scientific Management. The bookhad a profound effect on industry in the early 1900s. One person who took it seriously was Henry Ford,who pioneered the moving assembly line to mass-produce automobiles. In a Ford plant, there was nowasted motion. Workers stood in one place all day, while a conveyor belt brought the work to them. Eachworker did one or two small tasks, and then the belt moved the car to the next worker's station. Oneworker might put bolts in the frame while the next worker tightened them down. The process continued,part by part, until the car rolled off the assembly line, ready to be driven away.Increased productivity resulted in cheaper goods. But it also meant that a factory could operate with fewerworkers. Those who remained had to perform the same dull task all day long, but at a faster pace. Manyassembly-line workers felt as though they had become machines. As you will read in Lesson 14, workersoften protested for better working conditions.

New Ways to Finance and OrganizeBusinesses Before the Civil War,individual owners ran mostbusinesses. As businesses grew larger,however, their need for the threebasic factors of production [factors of production: land, labor, and capital] —land, labor, andcapital—grew as well. Land, which includes resources such as soil, forests, and minerals, was stillabundant. Labor was plentiful as well thanks to a steady stream of immigrants into the country during thisperiod. Capital [capital: any financial asset-including money, machines, and buildings-used inproduction], however, was a problem. Capital is any asset that can be used to produce anincome. Money, buildings, tools, and machinery are all forms of capital.Small business owners did not have all the capital they needed to expand. For this reason, many of themformed corporations [corporation: a company recognized by law to exist independently from itsowners, with the ability to own property, borrow money, sue, or be sued].A corporation is a company that is recognized by law as existing independently from its owners. Acorporation can own property, borrow money, sue, or be sued. People invest in corporations by buyingstock, or a share in the ownership of the business. By buying stock, investors became owners of thecompany. The money they paid for their stock helped to finance the corporation. Wealthy capitalistscontrolled corporations by buying huge amounts of stock.As owners of a corporation, stockholders could profit from its success. Unlike the owners of smallbusinesses, however, investors were not liable for a corporation's debts. The most they could lose wasthe amount they invested. Also, these owners did not run the daily operations. The corporation hiredmanagers, accountants, engineers, and others to keep production going.Competition among corporations provided consumers with a wide choice of new products, but it causedheadaches for business owners. In the battle to sell products, companies slashed prices. Profits fell,debts rose, and many companies went bankrupt. Cutthroat competition threatened to drag down even thebest-run companies. As a result, some powerful capitalists decided that to stay in business, they wouldhave to limit competition.Business owners began devising ways toreduce competition. One method was to buy orbankrupt competitors. John D. Rockefeller hadgreat success with this approach in the oilindustry. During the 1860s, he earned afortune refining oil in Cleveland, Ohio. In 1870,he formed a corporation called StandardOil. Standard Oil expanded by buying out ormerging with other companies. Rockefeller'scompany also undercut its competitors bymaking deals with railroads, which agreed toship its oil at discount prices. The savings on

shipping allowed Standard Oil to cut its oil prices. These price cuts forced smaller oil companies to reduceprices too, causing many of them to either be sold to Standard Oil or go bankrupt. Rockefeller told oneindependent oil refiner, "You can't compete with the Standard . . . If you refuse to sell, it will end in yourbeing crushed."By 1882, Standard Oil had become a monopoly [monopoly: a company that completely dominates aparticular industry] , a company that completely dominates a particular industry. It controlled 90 percentof the nation's oil production. With its competitors out of the way, Standard Oil could raise its prices andreap great profits.Another approach to reducing competition was to form business trusts [trust: a set of companiesmanaged by a small group known as trustees, who can prevent companies in the trust fromcompeting with each other]. A trust is a set of companies that are managed by a small group known astrustees. The trustees have the power to prevent companies in the trust from competing with each other.Photo Captions:Photo 1: Men, women, and children operated the new machines that powered the industrial age. Workersoften stood at their machines for 10 to 12 hours a d

tried bamboo fibers that he had pulled from a Japanese fan. After carbonization—the process of converting a fiber to pure carbon—the bamboo filament burned and burned without melting. Edison finally had his light bulb. . building in downtown Chicago. Neither of these structures

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