Overview
This lecture explores the Market Revolution in early 19th-century America, focusing on its economic, technological, and social impacts, and how it transformed work, society, and the American economy.
What Was the Market Revolution?
- The Market Revolution was a process in the early 1800s where Americans shifted from self-sufficient farming to producing goods for distant markets.
- It marked the rise of a modern commercial and industrial economy in the U.S.
Key Technological Innovations
- New transportation methods included improved roads, canals, steamboats, and eventually railroads.
- The Erie Canal (1825) linked the Great Lakes to the Hudson River, making New York the nation's top port.
- The first commercial railroad (Baltimore & Ohio) began in 1828; by 1860 the U.S. had over 30,000 miles of rails.
- The telegraph improved communication, allowing merchants to coordinate trade more efficiently.
Factories and Industrial Organization
- Factories centralized workers and divided tasks, increasing efficiency.
- Early factories used water power; after 1840, steam power allowed more flexible factory locations.
- The American system of manufacturing used mass production and interchangeable parts.
Capital Investment and Corporations
- Large-scale infrastructure required significant upfront investment and risk.
- The Limited Liability Corporation allowed investors to limit their personal financial risk.
- State and federal governments helped grow the economy by building infrastructure and passing pro-business laws.
Changes in Work and Society
- Work shifted from homes to factories; time became regulated by clocks rather than nature.
- Early factory workers were often women, who were paid less due to gender assumptions.
- Wages replaced the older system of pay tied to production, reducing worker independence.
- Many Americans moved west, inspired by ideas like "manifest destiny," seeking new land and opportunities.
Social and Intellectual Reactions
- Transcendentalists like Emerson and Thoreau argued for individual self-reliance and personal freedom.
- Workers formed organizations and unions to push for better pay and conditions.
- Literature, such as Melville’s "Bartleby the Scrivener," reflected anxieties about the meaning of work in the new economy.
Key Terms & Definitions
- Market Revolution — Shift from local, self-sufficient production to market-oriented, national economy.
- Erie Canal — Major waterway connecting Great Lakes to the Hudson River, boosting commerce.
- Telegraph — Communication technology enabling rapid long-distance information transfer.
- Limited Liability Corporation — Business structure that limits investors’ financial risk.
- Manifest Destiny — Belief that Americans were destined to expand across the continent.
- Transcendentalists — Philosophers advocating individual freedom and self-reliance.
Action Items / Next Steps
- Review key inventions and their economic impacts.
- Read "Bartleby the Scrivener" for insight into the era's attitudes toward work.
- Prepare for further discussion on the rise of labor unions and social changes.