Industrialization and the Rise of Capitalism The importance of the textile industry, early transformation Constant demand (consumer staple) Growing demand Encourages a shift in production Away from putting out system (cottage industry - decentralized, individualized) To factory system (mechanized, centralized, mass production, increasingly specialized labour roles)
Damaging to artisanal production, as labour is divided, mechanized Simple, pre-fossil fuel mechanization includes: Flying Shuttle Spinning Mule (1779) Power Loom (1785)
Lowered costs/higher capacity of production and transportation (and communication) Encouraging increased consumerism (virtuous cycle) Growing availability/advertisement of tourism/travel Manufacture/advertisement of different gradations of luxury products to enable/encourage consumption by lower classes of consumers
Connection to/Continuation of the Commercial Revolution Growth of private, non-aristocratic (land/farming based) fortunes Growth of the middle class Growing wealth, influence of the middle class Through work (ex. The East India Company and British politics) Through political inclusion (ex. British Parliament, the U.S.)
Development of huge fortunes, particularly in the 2nd Industrial Revolution “Robber Barons” in the U.S. Exs. J.P. Morgan (Finance, Railroads), Andrew Carnegie (Steel), J.D. Rockefeller (Oil) These moguls generally try to establish some degree of monopoly (then called “trusts”) in their areas of business Standard Oil (Rockefeller) prompts the U.S. to adopt the first antitrust (anti-monopoly) legislation.
2nd Industrial Revolution sometimes referred to as “the Gilded Age” (U.S.) or “La Belle Époque” (France, Europe) A period of growing disparity, growing consumerism, and political corruption through the influence of money Extravagant lifestyles for the “nouveau riche”
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