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Lesson 20.1: The Growth of
Industry
Today we will describe the growth of
American industries in the late 1800s.
Vocabulary
• patent – government document that gives an
inventor exclusive rights to make or sell an
invention
• petroleum – oily flammable liquid that motor
oil, gasoline, kerosene, and plastics are
made from
• business cycle – pattern of good times and
bad times in the economy
• demand or market – how many customers
there are for a product
Check for Understanding
• What are we going to do today?
• Why is petroleum a valuable export?
• Why does an inventor want to get a
patent on his invention?
• Why is there no market for an electric
dog polisher?
What We Already Know
American industries and manufacturing had
first been spurred by the War of 1812, and the
Civil War had stimulated them even more.
What We Already Know
Since 1848, the United
States had welcomed
European immigrants by
the millions.
What We Already Know
In 1835, Samuel
Morse developed
the telegraph,
which used
electricity to allow
people to send
messages over
long distances.
The Industrial Revolution Continues
• Throughout the
1800s, factory
production expanded
in the United States.
• By the Civil War,
factory production
had spread beyond
New England textiles
to other regions and
industries.
• Several factors
encouraged this
growth.
1. Plentiful natural resources
• America had immense forests and large
supplies of water.
• It also had vast mineral wealth, including
coal, iron, copper, silver, and gold.
• Industry used these resources to
manufacture a variety of goods.
2. Growing population
• From 1860 to 1900,
the U.S. population
grew from 31.5
million to 76 million.
• This led to a growing
need for goods.
• The demand for
goods spurred the
growth of industry.
3. Improved transportation
• In the early 1800s, steamboats, canals,
and railroads made it possible to ship
items long distances more quickly.
• Railroad building boomed after the Civil
War.
• As shipping raw materials and finished
goods became easier, industry grew.
4. High immigration
• Between 1860 and 1900, about 14 million
people immigrated to the United States.
• Many of them knew specialized trades,
such as metalworking.
• In addition, unskilled immigrants supplied
the labor that growing industry needed.
• Immigrants also can buy industrial
products, adding to consumer demand.
5. New inventions
• New machines and improved processes helped
industry produce goods more efficiently.
• Inventors applied for patents for the machines
or processes they invented.
• A patent is a government document giving an
inventor the exclusive right to make and sell his
or her invention for a specific number of years.
6. Investment capital
• When the economy was thriving, many businesses
made large profits.
• Hoping to share in those profits, banks and
wealthy people lent businesses money.
• The businesses used this capital to build factories
and buy equipment.
7. Government assistance
• Between 1860 and 1900 the United States
imposed several tariffs on imported goods.
• State and federal governments also used
land grants and subsidies to help
businesses grow.
Match each factor with its impact.
1. Natural resources
2. Growing population
3. Improved
transportation
4. High immigrant
population
5. New inventions
6. Investment capital
7. Government
assistance
A. To get products to
market
B. Provides the labor
C. Raises demand
D. Money for new
businesses
E. Protection from
foreign competition
F. Better ways to
manufacture
G. Used in making other
products
The Business Cycle
• U.S. industry did not grow at a steady pace,
but instead went through ups and downs.
• This pattern of good and bad times is called
the business cycle.
The Business Cycle
• Good times are called booms.
• During these times, people buy more and
invest in business.
• As a result, industries and businesses
grow.
The Business Cycle
• Bad times are known as
busts, and during a bust,
people buy and invest less.
• As a result, businesses
close and the number of
unemployed people rises.
• During the late 1800s,
America went through a
series of economic booms
and busts, but U.S.
industries continued to
grow.
Steel: The Backbone of Industry
• The steel industry
added greatly to
America’s industrial
growth.
• Before the mid-1800s, it
took large amounts of
coal to make steel.
• As a result, steel was
very expensive to
produce.
Steel: The Backbone of Industry
• In the 1850s, Henry Bessemer
in England and William Kelly in
the United States independently developed a new technique
for making steel that used less
than one-seventh of the coal
that the older process used.
• It came to be called the
Bessemer steel process, and it
cut the cost of making steel.
Steel: The Backbone of Industry
• As a result, the nation’s
steel output greatly
increased.
• These products included
plows, barbed wire, nails,
and beams for buildings.
• But the main use of steel
throughout the late 1800s
was for rails for the
expanding railroads.
The Petroleum Industry
• If steel is the backbone of
American industry, then
petroleum is its lifeblood.
• In the 1850s, most Americans
lit their homes with whale oil
lamps.
• They could have used
kerosene, an oil made from
coal, but it was expensive.
The Petroleum Industry
• Then, in 1855, a chemist reported that kerosene
could be made more cheaply from an oily liquid
called petroleum.
• However, people didn’t know how to obtain
petroleum from underground.
• They just gathered it slowly when it seeped to
the surface.
The Petroleum Industry
• In 1857, Edwin Drake
visited a site in
Pennsylvania where
petroleum oozed to
the surface.
• Drake began drilling,
and in August of
1859, he struck oil.
• This event launched
the oil industry.
How did Edwin Drake become a
pioneer of industry?
A. He developed a new type of well-drilling
machine to bring water to the Plains.
B. He developed the use of pipelines to
C. He pioneered the drilling of wells to
bring petroleum up from underground.
D. He was the first to use canals to ship his
factory’s products to the West.
Edison and Electricity
• The industry to create electric power
got its start in the late 1800s.
• By the 1870s, people had invented
good generators, which are machines
that make electric current.
• As a result, people became eager to
use electricity.
• The man who found the most ways to
do so was Thomas Edison.
Edison and Electricity
• In his laboratory in Menlo
Park, New Jersey, he
employed many assistants
to do research.
• Edison’s laboratory
invented so many things
that Edison received more
than 1,000 U.S. patents,
more than any other
individual inventor.
• Edison would start with an idea for a possible
invention, then work hard to make that idea a
reality—even if problems arose.
Edison and Electricity
• Other inventors had already
created electric lights, but
Edison figured out how to
make a safe, steady light bulb.
• After he invented a system to
deliver electricity to buildings,
electric lighting quickly replaced
gaslights.
• By the late 1880s, Edison’s
factory produced a million light bulbs a year.
Bell and the Telephone
• Electricity played a role in the
next step in communications,
which was Alexander Graham
Bell’s telephone.
• When Bell showed his new
telephone at the Centennial
Exhibition, a large public fair
that marked the 100th birthday
of the United States, it amazed
the scientists who saw it.
Inventions Change Industry
• The telephone industry grew rapidly, and by
1880, more than 50,000 telephones had been
sold.
• The invention of the switchboard allowed more
and more people to connect into a telephone
network.
• Women commonly worked in the new job of
switchboard operator.
Inventions Change Industry
• The typewriter also
opened jobs for
women.
• It was invented in
1867 by Christopher
Latham Sholes.
Inventions Change Industry
• The sewing machine
also changed
American life.
• First patented by Elias
Howe in 1846, the
sewing machine
received many design
improvements over the
years.
Inventions Change Industry
• Isaac Singer patented his version of the
sewing machine in 1851 and continued
to improve it.
• It became a best-seller and led to a new
industry, and new jobs for women.
Inventions Change Industry
• Factories used sewing machines to
produce ready-made clothes in standard
sizes and popular styles.
• Increasingly, many people bought
clothes instead of making their own.
Inventions Change Industry
• Other inventors helped
industry advance.
• Granville T. Woods was an
African-American inventor
who made telephone and
telegraph systems better.
• Margaret Knight invented
machines to help with
packaging and shoe-making,
and she also improved
motors and engines.
Lesson 20.2: Railroads
Transform the Nation
Today we will describe the building of the
transcontinental railroad and the changes it
brought to America.
What We Already Know
The advent of railroads in the 1830s
brought the Age of Canals to an end, as
trains became the best way to ship goods
and transport people.
What We Already Know
After the Civil War, many Americans moved into
the West to settle on the Plains.
What We Already Know
By 1890, the Western
frontier was officially at
an end, as every part of
the country had been
settled, but many
Westerners were still
isolated from the rest of
America.
Deciding to Span the Continent
• Americans had talked about building a
transcontinental railroad—one that spanned the
entire continent—for years.
• Such a railroad would encourage people to
settle the West and develop its economy.
Deciding to Span the Continent
• In 1862, Congress passed a bill that
called for two companies to build a
transcontinental railroad across the
center of the United States.
• The Central Pacific, led by Leland
Stanford, was to start in Sacramento,
California, and build east.
• The Union Pacific was to start in
Omaha, Nebraska, and build west.
Deciding to Span the Continent
• To build the railroad, the government loaned
these two companies millions of dollars.
• It also gave them 20 square miles of public land
for every mile of track they laid, which the
railroad companies could sell to raise money.
Deciding to Span the Continent
The Central Pacific began to lay track in 1863,
and the Union Pacific in July 1865.
Building the Railroad
The Central
Pacific faced a
labor shortage
because most
men preferred to
try to strike it rich
as miners.
Building the Railroad
Desperate for workers, the Central
Pacific’s managers overcame the wide–
spread prejudice against the Chinese.
Building the Railroad
• The Chinese were
small but they were
efficient, fearless,
and hard working.
• At the peak of
construction, more
than 10,000
Chinese worked on
the Central Pacific.
Building the Railroad
• The Union Pacific hired workers from a
variety of backgrounds.
• After the Civil War ended in 1865, former
soldiers from both sides, as well as
former slaves, flocked to work on the
railroad.
Building the Railroad
But one of the largest groups of Union Pacific
workers was Irish immigrants.
Railroads Tie the Nation Together
• From opposite directions, the workers of the
Central Pacific and the Union Pacific toiled
across the desert between the Sierra Nevada
Mountains and the Rockies.
• When construction ended, the Central Pacific
had laid 690 miles of track and the Union
Pacific 1,086 miles.
Railroads Tie the Nation Together
By May 10, 1869, only one span
of track separated the two lines
at their meeting point at
Promontory, Utah.
Railroads Tie the Nation Together
• Hundreds of railroad workers, managers, spectators,
and journalists gathered to see the transcontinental
railroad completed, and millions of Americans waited
to hear the news by telegraph.
• A band played and the nation celebrated as the last
rails were laid and the last spike, a golden one, was
driven into place.
Railroads Tie the Nation Together
• The Union PacificCentral Pacific line was
the first transcon–
tinental railroad but
within six years, four
more U.S. lines had
been built across the
continent.
• Between 1869 and 1890,
the amount of money
railroads earned
carrying freight grew
from $300 million to
$734 million per year.
Railroad Time
• Before the railroads, each community determined
its own time, based on calculations about the
sun’s position in the sky.
• This caused problems for travelers and for
people who scheduled trains that crossed
several time zones.
Railroad Time
• To solve this problem, the railroad companies set up
standard time, a system that divided the United States
into four time zones.
• Although the plan went into effect on November 18, 1883,
Congress did not adopt standard time until 1918.
• By then, most Americans saw its benefit because
following schedules had become part of daily life.
Economic and Social Changes
The railroads changed people’s lives in
many other important ways that helped
create modern America.
1. Linked the economies of the
West and East
• From the West, the railroads carried eastward raw
materials such as lumber, livestock, and grain.
• Materials like these were processed in Midwest–
ern cities such as Chicago and Cleveland.
• From Eastern cities, in turn, came manufactured
goods, which were sold to Westerners.
2. Helped people settle the West
• Railroads were lifelines for settlers.
• Trains brought them lumber, farm equipment,
food, and other necessities and hauled their
crops to market.
3. Weakened the Native
American hold on the West
• The railroads carried hunters who killed off the
herds of buffalo.
• They also brought settlers and miners who laid
claim to Native American land.
4. Gave people more control
of the environment.
• Before railroads, people lived mostly near
waterways.
• Roads were rough, so it was easier to travel
on rivers.
• Railroads made cities possible in places that
had no usable waterways.