Industrialization

“ Here, indeed, we have the factory system—in which the division of labor is a conspicuous feature—employed with all its modern details; but not the steam-driven factory, building great cities and changing the whole social life of the kingdom. ”

“ Similarly all industry, not agricultural or handicraft, is indiscriminately comprised in the term of manufacture, and thereby the distinction is obliterated between two great and essentially different periods of economic history: the period of manufacture proper, based on the division of manual labor, and the period of modern industry based on machinery. ”

“ It was provincial in thought, speech, and habits. It was given over to agriculture, small trade, and rude home manufacture. Presently came the revolutionary inventions of textile machinery, of the steam-engine, and of processes for extracting and utilizing coal and iron. The heavy, costly machinery required capital and the factory. Concentrated capital and machinery required workers. The working people were forced to give up their small home manufacturing and their unprofitable farming and move to the industrial barracks and workrooms of the manufacturing centres. ”

“ Moreover, the introduction of agricultural machinery has changed the slow, plodding life of the farmer to that of the master of the steam-tractor, thresher, and automobile, changed the demand from a slow, inactive mind to the keenest, most alert, best-educated man of the nation, who must study the highest arts of production, the greatest economy, and the best methods of marketing. Truly, the industrial revolution applies not to factories alone.
The Building of the City.—The modern industrial development has forced upon the landscape the great city. ”

“ The Working Grind.—There are many manufacturing towns and small cities that are built on one industry. Thousands of workers, young and old, answer the morning summons of the whistle and pour into the factory for a day's labor at the machine. ”

“ The invention of the steam engine had brought to an end the mediæval system of industry. The old, individual, household era of labor, where every man could be his own master and supply his own capital, ceased to exist; costly labor-saving machines, needing large accumulations of capital, came into use; great buildings and the centralization of labor became necessary; and the factory system, which has had such an immense development in the nineteenth century, began its remarkable career. ”

“ The factory system first applied to the cotton industry has been applied to all manufactures as well as to agriculture and has become the central fact in modern industrial life.
We are now to take up the question of how the establishment of the factory affected England’s laboring poor, and to study a little more in detail the social effects of the Industrial Revolution. In preparing the way for this discussion we should remember that the factory was not the sole cause of the Industrial Revolution, although it was a very important one. ”

“ The technical basis of the greater industry is revolutionary. "Through machinery, chemical processes and other methods, the functions of the working class and the social labor process are revolutionized along with the technical basis of production. The division of labor is also revolutionized and masses of capital and labor are hurled incontinently from one branch of industry to another. The nature of the greater industry demands mobility of labor, a fluidity of functions and a complete adaptibility on the part of the laborers. ”

“ We have almost everything needed by modern industry; the bulk of our imports are luxuries—coffee and bananas and music and French fashions. We have forty-two millions of workers, all carefully trained to their jobs, and we have the most highly organized industrial system. We produce 40 per cent of the world’s iron and steel, 52 per cent of its coal, 60 per cent of its copper, 75 per cent of its corn, 85 per cent of its automobiles, and so on through a long list. ”

“ The factory system was the child of the "industrial revolution," and until capital had accumulated in masses capable of giving solidity to large bodies of labour, manufactures were necessarily carried on by scattered individuals, who combined a handicraft with agriculture. ”

“ Nothing in modern times has exerted a more profound or far-reaching influence upon the general course of civilization. The factory is the symbol of a new economic order. It has been said, and rightly, that three things,—steam, steel, and credit,—have revolutionized industry during the past hundred years.
Industrial Organization of Today.—In the days of hand-industry men needed no large amounts of capital in order to engage in the production of goods. ”

“ The hand worker with his old tools was more and more at a disadvantage compared with the workman who produced commodities by machinery. The result was inevitable, namely, that domestic industry was supplanted by the factory. ”

“ In centralizing manufacturing plants in cities, certain industrial economies are secured, such as: (1) economy in motor power, whether it be water or coal; (2) economy in machinery—it is not necessary to duplicate machines ”

“ In mining, railway transportation and building we have positive evidence of diminished efficiency of labor, which in the aggregate is not offset by the improvements of management, or but barely. There remains but manufacturing as the other great branch of producing industry, apart from agriculture. ”

“ Capital had, therefore, to be brought into manufacturing which had been previously used in trade or other employments. Capital was in reality abundant relatively to existing opportunities for investment, and the early machine spinners and weavers drew into partnership moneyed men from the towns who had previously no connection with manufacturing. Again, the new industry required bodies of laborers working regular hours under the control of their employers and in the buildings where the machines were placed and the (p. 213) power provided. ”

“ Strewn among the hills and valleys lay bits of industry that had been passed by technical progress, as so many damned, spooklike spots; and yet those, who vegetated, worked and gradually perished here, were compelled to compete with the great productive giants of steel and iron machinery. ”

“ In the hurry of the Industrial Revolution, invention proceeded at an accelerating pace, and the introduction of some new appliance into a single industry might reduce the demand for labour by a quarter, or a half, or even three-quarters, and almost depopulate a town at a single blow. ”

“ The beginning of the nineteenth century witnessed a marvellous expansion of manufacturing industry, not so much caused by new discoveries as by the energetic application of those made at the end of the last century, by the growth of the factory-system, and, above all, by the monopoly of English-made goods during the great war. ”

“ Under the stimulus of this the wheels of industry hummed. Factories covered the land. National production grew to a colossal size and the whole outer world seemed laid under a tribute to the great industry. ”

“ Industrial America is a product of the decades succeeding the Civil War; yet even in 1865 we were a large manufacturing nation. The leading characteristic of our industries, as compared with present conditions, was that they were individualized. Nearly all had outgrown the household stage, the factory system had gained a foothold in nearly every line, even the corporation had made its appearance, yet small-scale production prevailed in practically every field. ”

“ The change, at first view, is not striking, for the manufacturing was still done by petty artisans working at home with their own tools. The ownership of the raw material, however, had passed from the artisans to an employer, who took the risk of the manufacture and reaped profits corresponding to his success in conducting it.
Brain power now took a place in manufactures above hand power. The new class of employers were men who could devote their energy entirely to studying the larger questions212 of production. ”

“ The manufacturing industry is continually passing under the management of fewer individuals, while the number of operatives in each factory tends to increase. With concentration of management goes concentration of wealth, and the gap widens between rich and poor. Out of the modern factory system has come the industrial problem with all its varieties of skilled and unskilled work, woman and child labor, sweating, wages, hours and conditions of labor, unemployment, and other difficulties. ”

“ Industry will never progress to vigorous and healthy development unless our conception of the relationship between industry and the nation is radically revised. That conception to-day is mean, stunted, and utterly devoid of any power of inspiration. Industry I have defined, in the language of economics, as the production of commodities and services for the purpose of satisfying the wants and desires of men. ”

“ And this third great party should be given its proper share of any gain. In fact, a glance at industrial history shows that in the end the whole people receive the greater part of the benefit coming from industrial improvements. In the past hundred years, for example, the greatest factor tending toward increasing the output, and thereby the prosperity of the civilized world, has been the introduction of machinery to replace hand labor. And without doubt the greatest gain through this change has come to the whole people—the consumer. ”

“ To this we must add the changes produced by the discovery of steam and the invention of machinery, which rapidly changed England from an agricultural to a manufacturing nation, introduced the factory system, and caused this period to be known as the Age of Industrial Revolution. ”

“ A normal working day for modern industry only dates from the Factory Act of 1833, which included cotton, wool, flax, and silk factories. Nothing is more characteristic of the spirit of capital than the history of the English Factory Acts from 1833 to 1864. ”

“ We are already making good progress in various branches of agriculture, granite and marble work, and in various branches of manufacturing of wood, textiles and metal, but a direct comparison with our manufacturing states shows that we do not bring into the state an adequate return for our labor. ”

“ The principle, carried out in the factory system, of analysing the process of production into its constituent phases, and of solving the problems thus proposed by the application of mechanics, of chemistry, and of the whole range of the natural sciences, becomes the determining principle everywhere. Hence, machinery squeezes itself into the manufacturing industries first for one detail process, then for another. Thus the solid crystal of their organisation, based on the old division of labour, becomes dissolved, and makes way for constant changes. ”

“ In the first place, division of labor—the first and most powerful of all cheapeners of production, but for which there is in extractive industry but very limited scope—finds in manufacturing industry an almost unbounded range for its application; and, secondly, it is in manufacturing industry also that machinery, the other great cheapener of production, admits of being employed on the largest scale, and has, in fact, been employed with the most signal success. ”

“ Thus the English manufacturer is bettered, for he has a new market for his manufactures, which he exchanges for cheap provisions; and the dealer in eggs and poultry has a new impulse to this branch of industry, because it enables him to give clothes to his wife and children. This exchange of benefits—this advancement in the condition of both parties—this creation of produce and of profitable labour—this increase of the number of labourers—could not have taken place without machinery. ”

“ At the period when we started manufactures upon modern lines, all the industries, not of this country alone, but of the world, had been, up till then, hand industries. From about 1770 until about 1850, thanks to our new energies, and in spite of the terrible evils in our social system, we drew clearly ahead, having almost a monopoly in manufactures. During the thirty years after the latter date, the world was busy imitating us, using our capital to erect factories, and modelling their machinery and methods upon our own. ”

“ But the industrial revolution had the effect of bringing coal, iron, and water-power into enormous demand, and after 1775 the industrial center, and likewise the population center, of the country was shifted rapidly toward the north. ”

“ Trusting to the reports of our exhibitions of industrial skill, I was ready to swear that we had left our neighbours of England a hundred leagues behind, and that their manufacturers, to avoid being reduced to beggary by our competition, would soon be obliged to come over to learn how to smelt and refine iron, how to spin cotton, how to manufacture steel, how to manage the most gigantic establishments in the most economical manner, how to despatch mountains of merchandise beyond sea most expeditiously. ”

“ Closely allied with the manufacturing occupations are those branches of industry classified in the census reports under the heading: "trading and transportation." They comprise all commercial activities. Merchants, clerks, bookkeepers, salesmen and women, typewriters, telegraph and telephone operators, etc., are enumerated in this class. Flourishing industries are invariably accompanied by flourishing commerce, and the capitalistic system of production depends upon a constant expansion of trade. ”