Factors for industrial growth

• natural resources

• captial

• us government support

• desire

• transportation systems

• growing labor force

Market revolution

more regional specialization made mass production and mass consumption possible (lumber mill, furniture)

America’s first big business

Railroads, because they stimulated the coal, petroleum, and iron/steel industries.

problems of growth

• overbuilding

• mass consumption among railroads

• railroad lines offered special rates and rebates

• pooling and consolidation failed to help over-speculation

Gilded age (1865-1900)

• helped business grow

• small businesses were being bought by massive corporations

Interstate commerce act

• passed in 1887

• forbade pools, rebates, and other monopolistic practices

• established the ICC

  • investigated complaints and unreasonable rates

Robber Baron

• resellers

• manipulate stock markets and company policies to line their own pockets