CH14 Section 3.
Second Industrial Revolution.
Andrew Carnegie attempted to control the entire steel industry. Throughvertical integrationhe bought companies that supplied his raw materials such as iron and coal, and railroads needed to transport the steel.
He usedhorizontal integrationby buying out or merging with other steel companies.
Horizontal Integration: Processin which companies producing similar products merge.
Vertical integration: Process in which a company buys out itssuppliers.
Social Darwinism, based on the ideas of biologist Charles Darwin, said that “natural selection” enabled the best-suited people to survive and succeed.
This theory supportedthe ideas of competition, hard work, and responsibility.
Mostentrepreneurstried to control competition. Their goal was to form amonopolyby buying out competitors or driving them out ofbusiness.
John D. Rockefellerused the Standard Oil trust to almost completely control the oil industry.
Many workers(including women and children) workedlong hours under dangerous conditions for low wages.
The National Labor Union (NLU) was an earlylabor unionthat persuaded Congress to legalize an eight hour day for government workers in 1868.
Samuel Gompers(through his American Federation of Labor) usedstrikes andcollective bargaining— negotiations between labor and management to win higher wages and shorter workweeks.
Eugene V. Debsbelieved in industrial unionism—a union of all workers, both skilled and unskilled in a single industry
Debsand other workers turned tosocialism.They formed a union calledthe Industrial Workers of the World (IWW).
Mary Harris Jones: Known as Mother Jones, she gained fame as an organizer for the United Mine Workers.
TheHaymarket Affairtook place in 1886. A bomb exploded at a demonstration in Chicago’s Haymarket Square in support of striking workers.
Labor leaders were charged with inciting a riot and four were hanged although no one knows who actually set off the bomb.
Astrike against thePullman Companyled bythe AmericanRailway Union turned violent when federal troops were called out to break the strike. Courts used theSherman Antitrust Actagainst the workers.
In 1892, steel workers and Pinkerton Guards fought a battle atHomestead, Pennsylvania, near Pittsburgh, that left dead on both sides.