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The second industrial revolution came about in the mid-19th century, peaking in the year 1877, marking a significant turning point in history as progression and expansion had never been so rapid. The nation’s industrial excellence and railroad networks were expanding at a rate faster than any other country in the world, as it shook the very foundation of American culture. As communities expanded more to the West and took over territories to convert into states, America was perceived to be stronger than ever before in its still-brief history. For the many immigrating to the country, they expected the opportunity for a better life, and while there were many positions available due to rapid expansion, to the rate of approximately 4 million new jobs, it was not as glorious as it initially seemed. The second industrial revolution was a radical transition from agrarian to industrial which was the result of many compounding factors. Notably, the Homestead Act, along with advancements in transportation demanded significant development of American steel. This further increased the availability and affordability of raw materials, and natural resources such as coal, oil, and cotton. Although rapid advancements and the ensuing developments brought much-needed growth, they ultimately led to monopolies in a period now referred to as the Gilded Age. This period is characterized by the many consequences of these titans of industry in which exploitation of the working class significantly widened the gap between social classes, thus building the wage gap that affects socio-economic growth even today.
The formation of the extensive railroad network was crucial to the Industrial Revolution. The Homestead Act of 1862 stated that one could acquire 160 acres of public land. Requirements included improving the plot of land and cultivating it while owners paid for any expenses for reconstruction. This act ultimately led to massive land grants for railroads, which was the first step in the expansion of the railroad system. The railroad network became crucial to corporations that utilized this system to transport commodities. In turn, the level of organization between the jobs themselves had to increase to induce efficiency. There was a greater rate of governmental interference which meant there was more organization in the corporations themselves. Different levels of specialized skills were created, and this essentially initiated a multitude of career fields, such as administration, management, and communication. This efficiency increased commerce and integrated national markets allowing larger brands to arise since anything from raw goods to unbuilt houses was shipped through these advanced railroads. America shifted away from local trade and expanded its network towards new markets in distant cities. This new technology increased production but reduced prices since new competitive markets were rising, which established a better standard of living.
This played a huge role in linking distant communities together. Although economically these corporations were doing exceedingly well, they were not treating their employees as such. Most employees worked 60-hour weeks with no pension and very little pay. One worker stated that he was being paid ninety cents a day and compared his children to wolves, scavenging for food because there was never enough to eat, (Gorn, 25). It was an endless cycle of hunger and homelessness because of low wages and inhumane working conditions. Employees did not receive injury compensation either. To put this in perspective, America had one of the highest rates of workers dying on the job and big business owners did not prioritize the health of their employees as they were replaceable. Factories were saturated with dust and dirt with little to no windows and so this resulted in workers inhaling that air. Conditions were horrible and unsanitary, which only catalyzed the spread of sicknesses such as ‘black lung’ because of the accumulation of inhaling coal dust after many years. Many left the job disabled and injured because of how dangerous the jobs were. A song called Drill, Ye Tarriers Drill, written during this period by Irish workers, vocalized the Irish working on an iron mill and how a premature blast went off killing a worker. From the satirical and sarcastic tone of the song, it was played off very nonchalantly and employees continued to work because it was not perceived as shocking news. Workers knew it was very common and although it was known it was dangerous and unsafe, they needed to make a living. The song constantly repeats ‘Drill, ye tarrier drill’ to emphasize that life was centered around work and only to receive, ‘sugar in your tay (tea).’ This was not the life that immigrants envisioned in America- wages that hardly provided a living, and jobs that jeopardized their lives.
In Andrew Carnegie’s Steel Company, the workers felt the same terror and exhaustion and ultimately organized the Homestead Strike. The strike was at its climax in Pittsburgh in 1982 between Carnegie and his workers in Homestead. Carnegie had decided to cut wages in half due to the price of steel becoming cheaper. This was part of the vertical integration notion in which Carnegie would own railroads and mines that produced the raw materials needed for the steel company. People were overworked with such little pay, especially women who were paid half as much as men. Also working extremely dangerous jobs in steel companies and cotton mills were children. The working class decided to voice their concerns and demanded a renegotiation of the contract, asking for better pay. What was supposed to be a non-violent protest, turned very violent quickly as a few workers and private agents called the Pinkertons, that Carnegie hired, died. The strike clarified that point at this point in history, the divide between the working class and big corporations was greater than ever (Gorn, 27). The Pinkertons were fighting against nearly the entire town which caused them to eventually surrender. Workers believed this was a win on their end, however, matters became worse, and instead, the state militia gained management and controlled wages which were now even lower than what Carnegie had proposed. The government essentially sided with large corporations instead of the people due to the profit they had on the economy and acted the same as corporations did. The gap between the working class and the rich was larger than ever and it felt like every man for himself. Workers had no choice but to work in these factories because farms and small local businesses weren’t as common after industrialization. Families even had their children working in these factories and mills due to the lack of education available to children. In 1908, there was a photo of children taken climbing on top of machinery to fix broken threads, since they were so small (Schaller, 594). As seen in the picture, these children were barefoot and wearing shorts. Their bodies were unprotected, and they were submitting their selves to danger. The combination of all these factors is what eventually led to, what was referred to as the Gilded Age. To foreigners, America seemed like a wealth machine, which it was, but only for the ones in charge of the huge monopolies formed. The rest of the country was struggling to make a living.
This brings up the next important point that the Industrial Revolution was catalyzed by different individuals coming from humble backgrounds but taking charge of a certain commodity such as Andrew Carnegie and his kingdom of steel, or Rockefeller and his oil monopoly. When workers created Unions to fight back against these large corporations, they were not successful because companies could always replace them with other workers who needed the money. It was not ideal for them to unionize and fight back because the government and corporations were more powerful. The government was successful, but the individuals who owned these monopolies, such as Carnegie and Rockefeller, were even more successful. The rise of monopolies led to the catalyzation of the Industrial Revolution. Although it brought profit to the government, in the eyes of the working class, monopolies were unwanted. Corporations, being a monopoly, were able to take control of most aspects of the economy and corrupt the nation, because of all the power and success they had in making money for themselves by any means necessary, even if that meant hurting their workers. On page 584 of American Horizons, Rockefeller is seen sitting on a barrel that states Standard Oil Monopoly with multiple bags of cash underneath him while he holds a globe that has ‘the world’ written on it, while child laborers are in the back (Schaller, 584). Rockefeller and these big businessmen were just the face of these monopolies but never got their hands dirty and worked the dangerous conditions these workers dealt with. This is supported by another picture (Gorn, 28) drawn up in the newspaper in 1874, of a large man stepping all over these workers who were portrayed as very small, as he holds a stick that says capital. The face of this man is the face of a railroad which was just another example of another monopoly with little care to their workers and their health. The formation of monopolies led to the rise of capitalism which essentially created competition and therefore cheaper prices for goods, however, the working class was making very little as is and it was not enough.
This form of business became known as a Laissez-Faire economy in which the government did not have much input or any interference with businesses. This happened after the Anti-Sherman Trust Act was passed which had the intention of breaking up large monopolies but instead, loopholes were found, and the interpretation varied within the court. It was ruled that the government could regulate monopolies within interstate commerce however many were not and so not much was changed. This was when Laissez-faire capitalism emerged and played a role in the Industrial Revolution, leading to booms and busts. For those with money, they don’t feel the impact as much as the workers working low wages barely surviving.
Industrialization was such an important period in American history due to the vast changes made in American economics, trade, capitalism, and labor. Natural resources in the west, extensive coal fields, steel, the steam engine, and so many more factors all played important roles in the advancement of industrialization. Advancements in technology such as the railroad and steam engine connected parts of the country that had been unable to access before. The Industrial Revolution also led to a mass consumption culture that defined the American way of life allowing extreme power to corporations with monopolies, however eventually harming the working class and dividing the rich and the poor. It also caused many sicknesses and unsafe working conditions. What seemed a country dominated by wealth, was distributed by only a few rich men, and the rest experienced the Gilded Age.
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