Chapter 3 Pages 97-121

Understand specific factors leading to unprecedented economic growth in the U.S.
Analyze political, social, and economic impacts of this growth on Americans.
Examine the emergence of reform movements during this period.
Evaluate the success of various reform movements.

Sep 1873: The Panic of 1873
May 1893: The Panic of 1893
Sep 1901: Theodore Roosevelt becomes president
Jul 1890: The Sherman Anti-Trust Act
Oct 1907: The Panic of 1907
Jun 1906: The Pure Food and Drug Act
Feb 1913: Ratification of the 16th Amendment (federal income tax)
Apr 1913: Ratification of the 17th Amendment (Senate elections by popular vote)
Nov 1912: Election of Woodrow Wilson as president
Aug 1920: U.S. women win the right to vote
Dec 1913: Federal Reserve Act

Remarkable recovery from the Civil War and rapid economic expansion.
By the late 19th century, the U.S. became the world’s greatest economic power, surpassing Germany and Britain in production.
Growth of unregulated capitalism led to both immense wealth for some and severe poverty for many.

Reaction against unregulated capitalism and the negative aspects of mass urbanization.
Called for reforms in society, government, and economic management.

The U.S. Constitution initially conferred limited powers on the presidency regarding domestic and economic issues.
Individual states had significant power over local matters.
The federal government struggled to address the needs of a rapidly industrializing nation.

Post-Civil War Effects: Increased production demands created by wartime needs.
Population Growth: Rapid increase in labor supply due to immigration and declining death rates.
Land Availability: Ample land for factories and housing facilitated urban growth.
Transport Infrastructure: Expansion of railroads and roads eased the movement of goods and resources.
Raw Materials: Abundant supplies of coal, iron ore, and cotton.
Capital Availability: Development of a banking system to support industrial investments.
Laissez-Faire Policies: Minimal government regulation encouraged corporate expansion.

Technological Innovations: Advances in machinery and production processes.
Protective Tariffs: Protected American goods from foreign competition and generated government revenue.

War demands rushed industrial expansion and technological advancement.
The government developed sophisticated financial systems to fund war efforts, fostering future investments.

Growth from 11.2 million in 1860 to over 29 million by 1900 transformed labor availability and consumer markets.
Decline in agricultural employment led to a rise in industrial, mining, transportation, and retail jobs.

Panic of 1873: Caused by over-speculation in the rail sector. Economic upheaval led to high unemployment and wage cuts.
Panic of 1893: Resulted in large-scale unemployment; real consumption and production dropped drastically.
Panic of 1907: Primarily Wall Street-driven crisis. Faced with a lack of banking regulations, it shed light on the need for a central bank.

Sufficient deposits of coal and iron ore fueled industrialization, making the U.S. self-sufficient and able to export surplus.

Transformed the American steel industry through innovative production methods (Bessemer process).
Established comprehensive control over raw materials and distribution.

Revolutionized electrical power through commercial inventiveness, leading to vast changes in industry and urban life.

Instrumental in creating the oil monopoly through aggressive business practices and formations of trusts.
Known for philanthropy later in life, donating towards medical and educational institutions.

Major figure in investment banking; played a critical role in economic stabilization and consolidation of industries.

Formation of early unions aimed at improving workers’ conditions; however, faced severe opposition from businesses and government.
Examples include the Knights of Labor and American Federation of Labor (AFL), both of which struggled against growing inequalities.

Rapid urbanization led to population density challenges, worsening living and working conditions.
Dumbbell Tenements: Poor living standards with inadequate sanitation and ventilation.
Children frequently worked in hazardous environments without safety nets or regulations.

The period of rapid economic growth from 1870 to 1920 saw significant changes in American society, with both positive advancements and severe consequences for many citizens. The failure to regulate industrial practices led to calls for reform and your movements aimed at improving conditions.