Industrialisation and Protest (Economics) Flashcards
What class emerged as a direct result of the Industrial Revolution? (IR)
The middle class - made up of educated factory owners, tradesmen who were not a part of the aristocracy/ land owners of the previous feudal system.
What did Thomas Newcomen invent in 1712, and what was it used for?
The steam engine - originally used to pump water out of coal mines, but became the prototype of steam powered engines.
What invention in 1770 revolutionised the textile industry?
The Spinning Jenny
Made large scale manufacturing achievable.
What year was The Bank of England Established?
1694
How many banks had been established by 1784?
119 - excluding London banks
How many banks were established by 1808?
800
Why was the growth in banking important to the IR?
Provided secure financial basis, allowing capital to be available for the entrepreneurial business ventures of the IR. As well as the running cost that those businesses procured.
What emerged in the 18th century that made financial transactions far more secure?
The Paper Currency
What were county banks?
Banks away from London that were run by local business men.
What were county banks allowed to issue in 1797, and what impact did that have?
Bank notes - this led to development of personal banking, and gave employers an effective way to pay wages?
What clause existed in the bank of England’s charter that prevented industrial growth?
When was it removed?
Banks with more than 6 members could not issue bank notes, preventing the creation of joint stock banks.
1826 - allowing banks to increase in size, and become more stable promoting investment. And the merging of small banks to create joint stock banks.
What is a joint stock bank?
A bank owned by several people, each with shares in the capital. Individuals are liable for debts up to the value of their shares, rather than the full amount in the bank.
What was the first joint stock bank?
Lancashire Banking Company - founded 1826
How many joint stock banks were there by 1866?
154 with 850 branches
Define Cottage Industry
Small scale industry usually performed in a home or community.
How many pounds of cotton were imported in 1761?
3 million
How many pounds of cotton were imported in 1833?
300 million
How many people were employed in the cotton industry in 1833?
833,000
What machines allowed the cotton industry to grow so much?
Arkwright’s Water Frame - 1769
Crompton’s Spinning Mule - 1779 - used the best features of the Water Frame and the Spinning Jenny.
What allowed the landed gentry to benefit from the IR?
Investment into the new developments - made possible by the banks.
Eg) the Earl of Lonsdale is credited with the establishing Cumberland’s Whitehaven Harbour
How much had the middle class grown by between 1816 - 1831?
75%. 160,000 to over 214,000
What did Adam Smith publish in 1776 and what was it’s impact?
‘The Wealth of Nations’
Promoted laissez faire economy, and free trade in order to increase economic growth.
Why was Lancashire a suitable area for the cotton industry?
- access to Liverpool port allowed international trade
- cool, damp climate prevented cotton from splitting
What invention in 1769 increased the importance of coal?
The steam engine
Where in the UK was there a good supply of coal?
Midlands, Northern England, South Wales, and The Clyde Valley (Scotland)
How was the country divided regionally?
North west - textiles North east - mining Midlands - engineering South west - agriculture South east - some textiles Cornwall became an important exporter of tin. remained mostly agricultural.
What invention in 1789 improved agricultural productivity?
Meikle’s Threshing Machine
What was the most significant difference between the North and South?
Industrialisation in the north created a demand for labour, whereas mechanisation of southern agriculture decreased the demand for labour.
