Chapter 19- The Triumph of Free Enterprise Flashcards
years for the Age of Industry
1865-1900
by 1900, the US became one of the
leading nations in the world
the invention that changed the shoe manufacturing during the Civil War
McKay’s sole-sewing machine
led to the manufacture of ready-made clothing
cloth-cutting machine
other invention introduced in the Age of Industry
packaged cereals
commercially canned food
patented the first telephone
Alexander Graham Bell
year Bell patented first telephone
1876
the first telephone company
Bell Telephone Company
year of the first telephone company
1877
the greatest inventor in history
Thomas Edison
established the first modern scientific laboratory
Edison
where was the first modern scientific laboratory
Menlo Park, New Jersey
Edison said genius is “…
one percent inspiration and ninety-nine percent perspiration”
Edison’s invention that had the most profound effect upon the 20th century
incandescent electric light bulb
companies that dominated in the manufacturing of light bulbs and other electrical equipment and in the distribution of electrical power
General Electric
Westinghouse
invented the chilled-iron plow in 1868
Oliver
enabled a farmer to ride his plow instead of walking behind it
plow sulkyp
planted seed in rows and covered it with a thin layer of soil
grain drill
other agricultural advancements
gang plow
disc harrow
springtoothed harrow
planters
cultivators
hay mowers
a major asset to wheat farmers which bound grain in bundles and deposited it in stacks
sold 15,000 the first year
twine binder
invention in which grain could be reaped and threshed in one continuous operation
combine
replaced horses and mules for pulling farm equipment
steam tractors
later gasoline and diesel tractors
the planting process in which a different crop was planted each year to avoid depleting the soil of needed minerals
crop rotation
helped eliminate soil erosion by putting furrows to curve a hill
contour plowing
invented thornless cactus and improved potato
Burbank
went to Russia to find a variety of wheat that could grow with little rainfall
Carleton
had a laboratory named “God’s Little Workshop”
Carver
found multiple uses for the peanut, soybean, and sweet potato
Carver
government department founded in 1862 with the purpose of aiding farmers
Department of Agriculture
Congress act that made available to states funds to establish agricultural experiment stations
Hatch Act
authorized the establishment of an Extension Service within the Department of Agriculture
Smith-Lever Act
provided federal funds to help high schools finance courses in agriculture, home econ, and other vocational subjects
Smith-Hughes Act
three organizations established to provide agriculture and leadership training for young people in rural areas
4-H Clubs
FFA
FHA
Section 19.3- Great Age of Enterprise
an economic system in which individuals are free to follow their economic pursuits as they see fit
capitalism (free enterprise)
total output of goods and services
GNP
Factors that contributed America’s prosperity in late 19th century…
- New invention and discoveries
- Abundant natural resources
- Large labor supply
- Surplus capital
- stimulant of the Civil War
- Cheap transportation
the greatest factors in American’s rise to prosperity
character of her people (Protestant work ethic)
the second most important stimulant of American prosperity
free enterprise or capitalism
brought to America the greatest wealth and luxury for the greatest number that the world has ever known
capitalism or free enterprise system
part of country that became well known for its production of textiles, shoes, and paper
New England
Industrial development made a notable move westward particularly to the
Midwest
became known for the iron and steel center
Pittsburgh
became meatpacking centers
Chicago
Kansas City
known for their flour mills
Minneapolis
St.Paul
became centers of brewery industry
Milwaukee
St. Louis
because so many changes took place in the South after the Civil War, it is often referred to as
New South
by the turn of the 20th century, nearly _________ of the cotton goods manufactured in the country were produced in the South
half
became the center of the southern iron and steel industry
known as the Pittsburgh of the South
Birmingham
two men that discovered a new method to produce steel
Kelly
Bessemer
the method produced by Kelly and Bessemer to produce steel
blast furnace (Bessemer process)
a slower but more precise technique of steel production
open-hearth method
a person who organizes and manages a business undertaking
entrepreneur
the leading producer of iron and steel in the United states
Henry Frick
organized Carnegie Steel and bought other business to create giant corporation called United States Steel Corporation
J.P. Morgan
best remembered for helping to finance the founding of public libraries across US and England
Carnegie
drilled the first oil well in the country in Northwestern Pennsylvania
Edwin Drake
oil company organized by John D Rockefeller
Standard Oil Company
year in which Standard Oil Company controlled over 30% of the nation’s oil refining capacity
1873
America’s wealthiest financier of the 19th century
J.P. Morgan
the railroads paid Rockefeller __________ on part of the established freight charge for each barrel of oil shipped
rebates
formed when a group of businessmen receive a charter of incorporation from a state government
corporation
money to be used to make more money
capital
certificates of ownership
stock
one who purchases the stock
stockholder
what a stockholder earns on each of his shares
dividends
between stockholders meetings, the corporation is managed by a
board of directors
a business owned by one individual
proprietorship
a business owned by two or more partners
partnership
a corporation has several advantages over a proprietorship…
- a corporation can generate large amounts of capital
- a stockholder risks only the amount of money he invests in a corporation; a proprietor or partner is held personally responsible for debts of business
- the stock of corporation can easily change hands
by the end of the 19th century, corporations produced nearly _______ of the total value of manufactured goods in the country
3/4
arrangement which was an informal agreement among competing businesses to fix prices, share profits, or divide country
pool
entitles stockholders to share proportionately in the profits of a trust
trust certificates
organized the first trust in 1882
Standard Oil Company
dozens of companies under Rockefeller turned their stock over to which trust
Standard Oil Trust
one of the key advantages of the free market system
competition
businesses which have virtually no competition and put the consumer at the mercy of the big businesses
monopolies
farmer’s organizations that appealed to their state legislatures to adopt laws regulating the railroads
attempted to force railroads to charge equal freight rates to all shippers
Granger laws
forbade railroads to grant rebates, charge more for short hauls than long hauls, or to engage in certain other competitive practices
Interstate Commerce Act
board appointed to supervise the activities of railroads and enforce the provision of the law
Interstate Commerce Act (ICC)
act passed in 1890 declared trusts illegal
Sherman Antitrust Act
a captain of industry that tried to conduct his financial affairs as a steward of “God’s Gold”
Rockefeller
philanthropist that created a fund to promote education in the South
Peabody
other philanthropists
- Cyrus McCormick
- Swifts
- Armour
two philanthropists that contributed to church educational industries
Hill
Vanderbilts
only economic system capable of providing the greatest material benefits for the greatest number of people
free enterprise or capitalism
is the tight government control of trade
mercantilism
trade without government regulations or tariffs
free trade
man largely responsible for the laissez faire policy
Adam Smith
Adam Smith’s book
Wealth of Nations
had a philosophy that individual freedom in economics leads to the greatest good not only for the individual but for society as a whole
Smith’s
Adam Smith was one of the earliest advocates of
capitalism or free market
largely responsible for the rise and triumph of capitalism
Smith