The SECOND Industrial Revolution & Its EFFECTS [AP Euro Review, Unit 6 Topic 3]

Second Wave of Industrialization (1870-1914)

  • The second wave of industrialization mirrored the first, but on a larger scale.

  • Great Britain was the initial leader in this movement, establishing the factory system replacing handcrafted goods with mass production.

Key Developments

Krupp Family Industries

  • Originated in the 16th century in Essen, Germany, focusing on weapon manufacturing.

  • By 1870, the family perfected steel-making processes and dominated the European steel market.

Manchester, England

  • Recognized as the first true industrial city.

  • Site of the first Industrial Park, facilitating machine manufacturing.

  • Standard of living improved for residents due to industrial growth, leading to increased wealth in the area.

Innovative Technologies

Electricity and Communication

  • Samuel Morse invented the telegraph in the 1840s, allowing long-distance communication via Morse code.

  • The 1870s saw the establishment of transatlantic telegraph wire, enhancing economic links between Britain and the U.S.

Chemical Engineering

  • Introduction of vulcanization, a process enhancing rubber durability, significant for machinery and electrical wire insulation.

Transportation Revolution

  • Railroads expanded significantly during the second industrial phase, replacing water transport as the main method for goods.

  • Thousands of miles of rail were built, enhancing commerce and facilitating urbanization as populations moved to cities.

Internal Combustion Engine

  • Shift from steam power to gasoline as a source of energy.

  • Eventually paved the way for gas-powered tractors for agriculture and automobiles for transportation.

Emergence of New Industries

  • The internal combustion engine led to the growth of the automobile industry, notably with Henry Ford's innovative manufacturing practices in Manchester.

  • Rise of streetcars transformed urban transport, creating a new industry.

Consumer Goods and Advertising

  • Increased availability of affordable consumer goods spurred the development of advertising.

  • Department stores emerged, creating an arena where shopping became a leisure activity, particularly for middle-class women.

  • Demand for consumer goods fueled a cycle of advertising and production.

Economic Crisis: The Long Depression

  • Occurred in the late 19th century in the U.S. and Western Europe, marked by a scarcity of money due to wars and consumer demands.

  • This led to banks limiting loans, exacerbating unemployment and economic troubles.

Corporate and Government Responses

Corporations

  • Some sought monopolies by acquiring competitors, allowing them to set prices favorably.

Government Actions

  • Implementation of protective tariffs to safeguard domestic industries from foreign competition.

  • Tariffs could incite trade wars, which negatively impacted consumer interests.

  • Some nations opted for free trade agreements to encourage trade without tariffs.

Industrialization in Prussia

  • Significant because it set the stage for the political unification of the German states.

  • Prussia's rich coal and iron deposits facilitated rapid industrial growth, railroad expansion, and factory establishment.

  • The Zollverein Agreement (1834) lowered trade barriers, uniting German states economically.

  • Friedrich List's National System aimed to protect native industries through temporary tariffs until they could compete with Britain.

  • By the early 20th century, Prussian industry was competitive on a global scale.