From 1870 to 1900 the United States became the world’s foremost industrial nation. It emerged as the leader in meatpacking, in production of timber and steel, and in the mining of coal, iron, gold, and silver. Overall, the nation experienced a stunning explosion in the scale of industry and in the pace of production. By the turn of the century, industrialization had transformed commerce, business organization, the environment, the workplace, the home, and everyday life.
Many factors fueled industrial growth in the late 19th century: abundant resources, new technology, cheap energy, fast transport, and the availability of capital and labor. Mines, forests, and livestock in the west provided raw materials for major industries, as did iron in Ohio and oil in Pennsylvania. Railroad expansion enabled businesses to move raw materials to factories and to send products to urban markets. A steady stream of immigrants arrived to work in America’s mines and factories.
Technological advances transformed production. The new machine-tool industry, which turned out drilling, cutting, and milling machines, sped up manufacturing. A trail of inventions, including the telephone, typewriter, linotype, phonograph, electric light, cash register, air brake, refrigerator car, and automobile, led to new industries. Finally, business leaders learned how to operate and coordinate many different economic activities across broad geographic areas. Businesses were thus able to become larger, and the modern corporation became an important form of business organization.
Industrial Revolution, widespread replacement of manual labor by machines that began in Britain in the 18th century and is still continuing in some parts of the world. The Industrial Revolution was the result of many fundamental, interrelated changes that transformed agricultural economies into industrial ones. The most immediate changes were in the nature of production: what was produced, as well as where and how. Goods that had traditionally been made in the home or in small workshops began to be manufactured in the factory. Productivity and technical efficiency grew dramatically, in part through the systematic application of scientific and practical knowledge to the manufacturing process. Efficiency was also enhanced when large groups of business enterprises were located within a limited area. The Industrial Revolution led to the growth of cities as people moved from rural areas into urban communities in search of work.
The changes brought by the Industrial Revolution overturned not only traditional economies, but also whole societies. Economic changes caused far-reaching social changes, including the movement of people to cities, the availability of a greater variety of material goods, and new ways of doing business. The Industrial Revolution was the first step in modern economic growth and development. Economic development was combined with superior military technology to make the nations of Europe and their cultural offshoots, such as the United States, the most powerful in the world in the 18th and 19th centuries.
The Industrial Revolution began in Great Britain during the last half of the 18th century and spread through regions of Europe and to the United States during the following century. In the 20th century industrialization on a wide scale extended to parts of Asia and the Pacific Rim. Today mechanized production and modern economic growth continue to spread to new areas of the world, and much of humankind has yet to experience the changes typical of the Industrial Revolution.
The Industrial Revolution is called a revolution because it changed society both significantly and rapidly. Over the course of human history, there has been only one other group of changes as significant as the Industrial Revolution. This is what anthropologists call the Neolithic Revolution, which took place in the later part of the Stone Age. In the Neolithic Revolution, people moved from social systems based on hunting and gathering to much more complex communities that depended on agriculture and the domestication of animals. This led to the rise of permanent settlements and, eventually, urban civilizations. The Industrial Revolution brought a shift from the agricultural societies created during the Neolithic Revolution to modern industrial societies.
The social changes brought about by the Industrial Revolution were significant. As economic activities in many communities moved from agriculture to manufacturing, production shifted from its traditional locations in the home and the small workshop to factories. Large portions of the population relocated from the countryside to the towns and cities where manufacturing centers were found. The overall amount of goods and services produced expanded dramatically, and the proportion of capital invested per worker grew. New groups of investors, businesspeople, and managers took financial risks and reaped great reward