The Rise of Industrial Capitalism - AP U.S. History

1. What was the impact of electricity on industrial capitalism?

   Enabled longer working hours and factory growth. Powered machinery and allowed round-the-clock factory operations.

2. What is vertical integration in business practice?

   Control of production from raw materials to sale. Company owns every step from raw materials to final product sale.

3. Which sector experienced significant growth due to industrial capitalism?

   Manufacturing and industrial sector. Heavy industry and manufacturing replaced agriculture as economic driver.

4. What is horizontal integration in business practice?

   Merging with or acquiring similar companies. Buying competitors in same industry to eliminate competition.

5. Which labor union formed in 1869 sought to organize all workers?

   Knights of Labor. Early labor union that welcomed all workers regardless of skill level.

6. Identify the process used to mass-produce steel.

   Bessemer process. Method for removing impurities from iron to create stronger steel.

7. Identify one key technological advancement in the late 19th century U.S.

   The Bessemer process for steel production. Revolutionized steel production by removing impurities cheaply and efficiently.

8. What was Andrew Carnegie known for in industrial capitalism?

   Steel industry leadership. Built Carnegie Steel Company through vertical integration and efficiency.

9. Which industry was primarily associated with Cornelius Vanderbilt?

   Railroad industry. Built railroad empire and controlled much of American rail transportation.

10. What economic theory is associated with Adam Smith?

    The Wealth of Nations and capitalism. Advocated free markets and the 'invisible hand' of competition.

11. What is the significance of the term 'Gospel of Wealth'?

    Carnegie's philosophy of philanthropy for the rich. Carnegie's belief that wealthy should use fortunes for social good.

12. Identify the main transportation innovation of the industrial era.

    Railroads. Steam-powered trains transformed transportation and commerce nationwide.

13. What is the significance of the Gilded Age in U.S. history?

    Period of rapid economic growth and wealth disparity. Era marked by industrial growth but also corruption and inequality.

14. Which innovation significantly impacted communication in the late 19th century?

    The telephone. Alexander Graham Bell's invention revolutionized business communication.

15. What role did J.P. Morgan play in industrial capitalism?

    Finance and banking sector influence. Powerful banker who financed major corporations and railroad consolidation.

16. What innovation is Thomas Edison most famous for?

    The electric light bulb. Practical incandescent bulb transformed lighting and extended working hours.

17. Which act was passed to prevent the formation of monopolies?

    Sherman Antitrust Act. Landmark antitrust legislation targeting monopolistic business practices.

18. Who was a major figure in the oil industry during the rise of industrial capitalism?

    John D. Rockefeller. Founded Standard Oil Company and dominated petroleum industry through monopoly.

19. Which act addressed corruption in railroad pricing?

    Interstate Commerce Act. Federal law regulating railroad rates and discriminatory pricing practices.

20. What was the goal of the Granger Laws?

    Regulate railroad rates and practices. State laws regulating railroad rates to protect farmers from exploitation.

21. What was a key feature of the Second Industrial Revolution?

    Advancements in steel, electricity, and chemicals. Period of technological innovation in steel, electricity, and chemicals.

22. Which legislation aimed to regulate railroads and prevent unfair practices?

    The Interstate Commerce Act of 1887. Created Interstate Commerce Commission to regulate railroad monopolies.

23. What term describes large corporations exerting control over entire industries?

    Monopoly. Single company controls entire industry, eliminating competition and setting prices.

24. What role did immigrants play in industrial capitalism?

    Labor force for factories and railroads. Provided cheap labor essential for industrial expansion and construction.

25. What was the main goal of the American Federation of Labor?

    To improve wages and working conditions. Samuel Gompers led this skilled workers' union focused on practical gains.

26. Identify a major consequence of industrial capitalism on urban areas.

    Rapid urbanization and population growth. Industrial jobs attracted millions to cities, creating overcrowded conditions.

27. What was the purpose of the Sherman Antitrust Act of 1890?

    To curb monopolies and promote competition. First federal law targeting monopolistic business practices and trusts.

28. What was the economic impact of the Panic of 1893?

    Severe depression and bank failures. Economic crisis caused by railroad overbuilding and financial speculation.

29. What is the significance of the term 'Robber Barons'?

    Wealthy and powerful 19th-century industrialists. Criticized wealthy industrialists for exploitative business practices.

30. Which economic system emphasizes private ownership and profit?

    Capitalism. Free market system where individuals own businesses and compete for profit.

31. What was the purpose of the National Labor Union?

    Advocate for labor rights and reforms. Early federation fighting for eight-hour workdays and worker protections.

32. Identify the economic theory advocating minimal government interference in business.

    Laissez-faire. French term meaning 'let it be' - government stays out of business.

33. What was the primary focus of the Populist Party?

    Advocate for farmers and labor interests. Political movement representing rural and working-class economic interests.

34. What was the main cause of the rise of industrial capitalism in the U.S.?

    Technological innovation and expansion of railroads. New machines and rail networks drove industrial growth and national markets.

35. What was the outcome of the Haymarket Riot?

    Increased fear of labor movements and anarchism. Chicago violence turned public opinion against labor unions and strikes.

36. What was the effect of the Homestead Act on industrial capitalism?

    Encouraged westward expansion and resource access. Provided land for settlement, creating markets and labor for industry.

37. What is a trust in the context of industrial capitalism?

    A combination of firms to reduce competition. Business arrangement where companies coordinate to control prices and markets.

38. What was the significance of the Transcontinental Railroad?

    Connected the east and west coasts of the U.S. United the nation economically and enabled efficient coast-to-coast trade.

39. What is Social Darwinism in the context of industrial capitalism?

    Belief in survival of the fittest in business. Applied Darwin's evolution theory to justify business competition and inequality.

40. Identify a major strike during the rise of industrial capitalism.

    The Pullman Strike of 1894. Railroad workers' strike broken by federal troops and injunctions.

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