Key Concepts in Industrialization, Economics, and Social Movements

Agricultural Revolution & Industrial Revolution

The Agricultural Revolution increased food production through new farming methods, leading to population growth and urban migration; the Industrial Revolution followed, introducing machines, factories, and mass production, transforming economies and societies.

Democracy

A system of government where power lies with the people, typically exercised through elected representatives.

Capitalism

An economic system based on private ownership of resources and businesses, where goods and services are produced for profit.

Adam Smith

An economist known as the "father of modern capitalism," who wrote The Wealth of Nations and promoted ideas of free markets, competition, and limited government intervention.

Supply/Demand

An economic principle stating that the price of goods is determined by the relationship between availability (supply) and consumer desire (demand).

Competition

Rivalry between businesses to attract customers, improve quality, and lower prices.

Socialism

An economic and political system where the government or community owns and controls major industries, aiming for more equal distribution of wealth.

Communism

A system proposed by Karl Marx in which all property is publicly owned, and each person works and is paid according to their needs.

Karl Marx

A philosopher and economist who critiqued capitalism and co-authored The Communist Manifesto, advocating for socialism and communism.

Industrialization Waves

The stages of industrial development: the first wave (textiles, coal, iron, steam), the second wave (steel, oil, electricity, railroads), and later waves involving technology and globalization.

Transportation and Communication Revolution

Innovations such as railroads, canals, telegraphs, and later telephones that connected markets, people, and industries more efficiently.

Factors that Contributed to American Economic Growth - in the Second Wave

Abundant natural resources, large labor force (immigration), technological innovations, new transportation/communication systems, and government policies favoring business.

Philosophical Positions that Shape US Economy/Society

Ideas such as capitalism, individualism, Social Darwinism, and the Protestant work ethic that justified wealth, success, and economic growth.

Captains of Industry/Robber Barons

Wealthy industrial leaders of the late 1800s; admired as "captains of industry" for innovation and economic growth, but criticized as "robber barons" for exploiting workers and crushing competition.

Trusts/Monopolies

Large business combinations that controlled entire industries, limiting competition and raising concerns about fairness and economic power.

Vertical Integration

A business strategy where one company controls every step of production, from raw materials to finished products.

Horizontal Integration

A business strategy where one company buys out or merges with competing companies to dominate an industry.

The Gilded Age

The late 19th century period marked by rapid industrialization, economic growth, extreme wealth, political corruption, and growing social inequality.

Plight of Labor

The struggles of workers during industrialization, including low wages, long hours, unsafe working conditions, and lack of rights.

Plight of Farmers

Economic difficulties faced by farmers in the late 1800s due to debt, falling crop prices, railroad monopolies, and unfair lending practices.

Populism

A political movement of farmers and workers in the late 1800s seeking government reforms to address economic inequality, including free silver and regulation of railroads.

Organized Labor

Groups of workers forming unions to fight for better wages, hours, and working conditions.

Haymarket Affair

A labor protest in Chicago (1886) that turned violent after a bomb was thrown at police, leading to deaths and fueling fear of labor unions and radicalism.