Chapter 13 - Industrial Revolution

-An economic system Government owns the means of production and operates them for the benefit of all people, rich, or poor.

-Invented seed drill
-made it possible to plant seeds in straight rows.

Land, labor and capital

-Invented way to drive machines by water power
-Spinning Mill

-Cotton Gin
-Machine could clean much more cotton a day than hand laborers

-(Bessemer furnace) process of producing steel by forcing air through molten metal to burn out impurities

-cost of production -If land went up, wage went down
-Number of workers available
-Depended on other types of work
-Generally men made higher wages than women

- No set habits
-Work for less wages than men
-Textile factory employers mainly hired women and children

-Common lands in England began to be enclosed or fenced off into individual holdings.

An era of rapid industrial development

-Describes an economic system in which individuals or corporations, rather than government, control the factors of production.

-System of producing large numbers of identical items

-Control of every stage of an entire industry
-Ex. Steel industry

-Alternating periods of prosperity and decline.

-Scottish economist who wrote Wealth of Nations
-Smith reasoned that two natural laws governed all business and economic activity 1.Law of Supply and Demand 2.Law of Competition