USH Chapter 14: Industrialization

Question 1

Laissez-faire

Answer 1

Idea that government should play as small of a role in economic affairs as possible

Question 2

Time zones

Answer 2

regions where the same time are kept

Question 3

Transcontinental Railroad

Answer 3

Railroad connection the west and east coast of the continental US

Question 4

Credit Mobilier Scandal

Answer 4

Occurred in the 1870s when railroad construction companies’ stockholders used funds that were supposed to be used for the Union Pacific Railroad construction for their own personal use. To avoid being convicted, stockholders even used stocks to bribe congressional members and the vice president

Question 5

stock

Answer 5

a share of ownership in a corporation

Question 6

corporation

Answer 6

organization owned by many people but treated by law as though it were a person

Question 7

economies of sale

Answer 7

factors that cause a producer’s average cost per unit to fall as output rises

Question 8

fixed costs

Answer 8

cost a company must pay regardless of whether or not it is operating

Question 9

operating costs

Answer 9

cost that occur while running a company

Question 10

pools

Answer 10

agreements between companies to maintain prices at a certain level

Question 11

Bessemer Furnace

Answer 11

cheap and efficient process for making steel, developed around 1850

Question 12

Vertical integration

Answer 12

company owns all of the different companies on which it depends for its operation

Question 13

Horizontal integration

Answer 13

type of monopoly where a company buys out all of its competition

Question 14

monopoly

Answer 14

single company achieves control of an entire market

Question 15

trust

Answer 15

a combination of firms or corporations formed by legal agreement, especially to reduce competition

Question 16

holding company

Answer 16

organization that doesn’t produce its own goods but owns the company that produce its goods

Question 17

department store

Answer 17

stores that offer many services

Question 18

Alexander Graham Bell

Answer 18

invented the telephone

Question 19

Thomas Edison

Answer 19

invented the light bulb

Question 20

Andrew Carnegie

Answer 20

railroad supervisor who made money by investing into railroad companies

Question 21

John Rockefeller

Answer 21

established the Standard Oil Company, the greatest, wisest, meanest monopoly known in history

Question 22

Cornelius Vanderbilt

Answer 22

former boat captain who had built the largest steamboat fleet in America

Question 23

Leland Stanford

Answer 23

former California Governor and organizer of the Central Pacific Railroad

Question 24

John Wannamaker

Answer 24

owned a store, grand depot, that advertised advertisements in 1877

Question 25

Trade union

Answer 25

unions that were limited to people with specific skills

Question 26

Industrial union

Answer 26

unions that represented all craft workers and common laborers in a particular industry

Question 27

Strikebreakers

Answer 27

replacement workers employments would hire if the union called a strike

Question 28

Karl Marx

Answer 28

argued that the basic force shaping capitalist society was the class struggle between workers and owners

Question 29

Anarchists

Answer 29

believed that society does not need any government

Question 30

Nativism

Answer 30

anti-immigrant feelings

Question 31

Panic of 1873

Answer 31

severe recession that struck the American economy and forced many companies to cut wages

Question 32

Collective Bargaining

Answer 32

one of the goals of the AFL - the process in which working people, through their unions, negotiate contracts with their employers to determine their terms of employment

Question 33

American Federation of Labor (AFL)

Answer 33

believed that unions should stay out of politics: rejected socialist and communist ideas

Question 34

Haymarket Riot

Answer 34

In 1886 organizers called for a nationwide strike on May 1 to show support for the idea of an eight-hour workday. A clash between strikers and police in Chicago left one striker dead; the next evening, an anarchist group organized a meeting in Chicago's Haymarket Square and when police entered the square, someone threw a bomb leading to violence