Chapter 13 Notes Flashcards
before 1600 most European villages worked
their own plots of land in order to grow food for their families
Enclosure Movement
the practice of fencing or enclosing common lands into individual holdings; small land holdings put together to form larger land holdings
Effects of the Enclosure Movement
- Small plot owners were forced to become tenant farmers or move to the cities 2. common lands were vanishing 3. new farming methods so more food was being produced
Jethro Tull invented
a seed drill to plant seeds in a straight row
Charles Townshend introduced a system called
crop rotation
Industrial Revolution began in
England
Factors of Production were
land, labor, and capital
land refers to
all natural resources and England had plenty of coal and iron ore
capital
tools, machinery, equipment, and inventory
also money
labor
workers
what was the first industry to be industrialized
the textile industry
domestic system
work was done in the individual’s home
problem-the demand for cloth could not be met
John Kay
introduced the flying shuttle
What did the flying shuttle do for the weaving industry
weavers could now make cloth and could meet their demand and then some
James Hargreaves introduced the
spinning jenny
Richard Arkwright
introduced a new power source- running water
factory system
have large numbers of workers brought under one roof and did the work in a factory
Edmund Cartwright
invented the water loom
Eli Whitney
introduced the cotton gin
What happened as a result of the cotton gin being introduced
- Southern US became the cotton producer of the world 2. an unintended side effect was an increase in slavery or the expansion of slavery
Early machines were driven by and later replaced water
water power
steam
Thomas Newcomen
invented the first steam engine
James Watt
patented the modern steam engine; improved the steam engine
William Kelly/ Henry Bessemer
developed a cheaper more efficient method of making steel called the Bessemer process
Robert Fulton
first to build a profitable steamboat called the Clermont
Samuel Morse
developed Morse Code and the telegraph
Reasons Great Britain led the way in industrialization
- plenty of coal and iron ore reserves 2. transportation system 3. entrepreneurs’ capital-the people that start the businesses and take the risk 4. an increase in food production 5. colonial empire (raw materials) 6. the government supported industrialization
employers wanted workers who could learn
a few simple tasks
who became efficient workers
women and children
young men and women were the preferred workers because
they did not have set working habits and did not expect high wages
in the domestic system
- workers usually worked unsupervised in their homes 2. turned over finished products about once a week 3. paid for the number of items completed
in the factory system
- worker performed only a small part of the entire job 2. everyone employed by the factory owners 3. payment based on the number of hours worked
factory owners wanted to
produced goods as cheaply as possible
number of workers affected
wages
wages for men were
higher
What were the factory working conditions
- pay was extremely low with no compensation for injury 2. young children had to work and there were no child labor laws 3. if you broke the boss’s rules you were fired 4. very hot in summer and cold in winter 5. worked 14 hrs a day 6 days a week 6. children were not getting educated if they were working
tenaments
shabby apartment buildings were workers lived
balance of economic and political power shifted from to
agriculture
manufacturing
as industries grew and cities grew a new thrived
well-educated middle class
this middle class consisted of
bankers, manufacturers, merchants, lawyers, doctors, engineers, and professors
finances reflected their
social status
this middle class could afford to
live in larger homes and less crowded neighborhoods
many from the middle class owned and hired
property
servants
Since factory owners wanted to produce goods as cheaply as possible, when the cost of land or capital rose,
owners lowered workers’ wages
Factory workers were forced to adjust their lives to the demands of the machines, which led some people to think
they were expected to become machines themselves
the lower classes gained increasing
social influence and political power during the Industrial Revolution
capitalism
an economic system in which individuals or corporations rather than governments control the factors of production
commercial capitalism
capitalists were merchants who bought and sold goods
industrial capitalism
capitalists became more involved in producing and manufacturing goods
division of labor
factory owner divided up the manufacturing process into steps and assigned a step to each worker
interchangeable parts
parts that were identical so could easily be replaced
applied interchangeable parts and division of labor in his gun factory
Eli Whitney
mass production
the system of producing large numbers of identical items
three key elements for mass production
division of labor, the use of interchangeable parts, and an assembly line
applied assembly line concept to automotive process
Henry Ford
sole proprietorship
a business owned and run by just one person
partnerships
a business owned and run by two or more people
monopoly
where a single corporation has almost complete control of the production or sale of a single good or service; a company exclusively controls a product
cartel
where several large companies secretly combine to set production; where several giant corporations combine to control every stage of entire industries
business cycle
phases in the economy that go up and down; alternating periods of prosperity and decline
name and describe the phases of the business cycle
- peak-highest level of the cycle 2. expansion-we are rounding the corner 3. contraction “recession”-cycle starts to downturn or go down 4. trough-the lowest point in the cycle
mercantilism is a theory based on
the belief that the world contains only a fixed amount of wealth (gold was the standard) (must try to accumulate gold)
physiocrats said that
natural laws should govern economic life
Adam Smith wrote
The Wealth of Nations in 1776
Adam Smith was the founder of
classical economics
Adam Smith said that the law of supply and demand governed
all business and economic activity
the laws of competition said that
as manufacturers compete with one another to sell products they have to lower prices so as to be more competitive
laissez-faire
means “let it be” or “leave things alone”; the belief that government should not interfere with the operations of businesses
Thomas Malthus was who wrote an essay called
an Anglican clergyman who became a professor of economics
An Essay on the Principle of Population
Thomas Malthus said in his essay that
people multiply more rapidly than the food supply increases
David Ricardo published
Principles of Political Economy and Taxation (1817)
David Ricardo introduced the
iron law of wages
the iron law of wages said
- when labor is plentiful, wages remain low 2. when labor is scarce, wages rise
dismal science
the new social science of economics
humanitarianism
people who work to improve the condition of others
In utilitarianism Jeremy Bentham said that the law is useful if
it benefit the greatest number of people; it led to the “greatest happiness of the greatest number” of people
John Stuart Mill argued for utilitarianism when he said that
government should work for the good of all its citizens
What were the objectives of the labor unions
better wages and better working conditions
what did the Combination Acts (1799/1800) in Britain say
it was legislation that said that workers who united to protest conditions in factories could be imprisoned
collective bargaining
workers and management work together to negotiate for better conditions and better wages
socialism
governments own the means of production and operate them for the benefit of all people, rich or poor
the economy during the Industrial Revolution shifted from
agriculture to manufacturing
a few people became as a result of this shift but most remained
enormously rich
poor
reformers argued that the only way to distribute wealth was
to change the ownership and operation of the means of production
means of production include
capital and equipment used to produced and exchange goods
ex. land, factories, transportation systems, and mines
reformers wanted to establish a system that would
do away with the profit motive and competition
the reformers believed that everyone had a right to
share in the profits
utopian socialists
believed people could live together peacefully and work for the common good
Sir Thomas More published
Utopia
in his book Utopia, Sir Thomas More worked out plans for
a perfect ideal community
Robert Own was one of the most
influential utopian socialists
villages of cooperation
self-supporting communities
Karl Marx wrote which was
The Communist Manifesto
a book establishing the main ideas of communism
Karl Marx divided society into two classes. What are those classes?
- the bourgeoisie-the owners-called the “haves” 2. the proletariat-the working class-called the “have nots”
Labor supply theory
the laborers (or havenots) are going to create wealth but the wealth will stay with the owners
dictatorship of the proletariat
- the owners are going to continue to get wealthy 2. and continue to drive the workers into poverty
people would eventually and the state would “ “
rebel
wither away
when people rebel it would result in a
truly classless society
pure communism
a truly classless society
who said “from each according to his abilities to each according to his needs”
Karl Marx
