Module 4
Module 4
Context
• The Industrialization of Europe, occurred between 1780 and 1914,
starting in Britain.
The Second
phase (1840-
1870)
• France
• German States
• U.S.A.
General Causes of Industrial Revolution
• Prior to the mid-18th century all European economies were marked by a
large agrarian sector and craft manufacturing carried out by manual
household labour, within the house, for local or regional markets.
What Changed?
Reason
• Political stability
• Parliamentary System • Banking System and Commercial
• Constitutional Monarchy Development
English Protestants
• Anglican Nation
• Minimal intervention
• Cosmopolitan
• Cotton was the first sector to industrialize as, firstly cotton fibre was easier to mechanize that
wool and linen (the traditional textiles produced in Britain)
• Secondly cotton had a large market in Asia, especially India, a British colony, it also had a
growing domestic market in Europe as it was a novel cloth and could be coloured brightly.
• Thirdly raw cotton could to imported at low rates into Britain from its colonies in India and
America
• Finally British workers were open to training from scratch in cotton production as it was a new
textile industry.
Phase II
• The second sector after cotton textiles which began to mechanize and increase
output rapidly was the metallurgy and mining sector.
• Rise of Iron Industries- From producing just 25,000 tons of pig iron in 1720, the
industry grew to produce 2,50,000 tons by 1804 and 4 million tons by 1860.
• Growth in the Iron Industry stimulated two other major sectors-(i) Coal mining
and (ii) Machine Building.
• Coal mining surged, providing fuel for smelting iron and steam engines. Coal
production increased from 24 million tons in 1830, to 110 million tons by
1870(half the worlds production). Mining also caused advances in
transportation, as metal rails were laid to haul coal out of mine faster by
animal/human power
Impact
Factory System of production
• Mass production – cheaper goods – Better quality of life for the middle class
• Boost to Internal and International trade
• Need to raise more money as debt – Stock exchange, banks, financing agencies
Social impact
• Division of society in two classes – Capitalist class and Working class (Proletariat)
• Factory towns as new urban centers (Leeds, Manchester, Lancashire etc)
• Rural to Urban migration - Urban Slums
• Dislocation of Old Family ties
• Exploitation of working class – Long working hours, inhuman conditions, Child
labour
The Second Phase (1840-1870)
France
• In 1815 the French economy was in shambles after the Napoleonic Wars, as its
rich colonial and Mediterranean trade was disrupted by a British blockade, it
was cut off from British industrial technology and its agriculture was disrupted.
Phase I
Thus the French developed a unique model which differed from Britain model,
and was marked by three main feature:
• Economic growth was brought about by small scale agriculture and traditional
style labour intensive manufacturing rather than through agrarian
consolidation and at factories as in Britain.
• Slow Population growth subsequently and low demand-French population
increased by only 30% between 1880-1850 as compared to Britain where
population doubled now. By 1880s population growth stagnated in France.
• An active role played by the State in the French economy, as
opposed to Britain where a policy of free trade.
• France focused on coal mining and iron industry-coal output increased thirteen fold between
1820-1870 while iron production sextupled.
• The French government bribed British entrepreneurs to set up modern metallurgical factories in
France.
• French businesses hired British skilled workers to train their work force- thus in 1830 there were
15,000 British workers in French metallurgical and textile plants.
• Textile industry too mechanized with new inventions like the mechanical loom and jacquard loom
being introduced.
• Railways was another very important sector that the government focused on from the 1840s.
Unique Features
• Protectionist policies-protection of French manufacturers through
imposing tariffs, quotas and prohibitions on foreign imports.
• This was growth was due to the industrial sector that focused on heavy
industries especially- railways, production of coal, iron and steel.
• Nations that industrialized after Britain, had to develop a different emphasis, to compete with
industrialized nations and Germany did this successfully, as it developed larger and more
technologically advanced industrial concerns than Britain, due to its ‘latecomer’ advantage.
• Coal mining output doubled in 1830s alone and expanded seven fold between 1840-70, as
deep mines were sunk in the Ruhr valley.
• In the 1870s Germany acquired France’s coal rich regions- Alsace and Lorraine. Coal was used
to produce steam power and coke to smelt iron.
• Iron and steel industry flourished from 1850s onward, causing advances in engineering as
pressed steel, metal pipers, boilers and factory machines were produced.
Unique Features
• Fastest industrial growth and focused mainly on the heavy industries unlike Britain and France. This
was because of its large raw material-coal and iron deposits, unlike in France.
• Active role of the State in German, even though it was less than the role of the state in France but
greater than in Britain.
• Finally development of banking and commerce was another unique feature- joint stock companies
raised public capital, important joint stock banks- Deustche bank, Dresdner, Dramstadter all
channelled savings into domestic industry.
• From the 1870s banks and industry developed close ties and this was the hallmark of German
industrial capitalism.
• The agrarian sector and traditional manufacture still played an important role, which was lesser than
in France but greater than in Britain. 49% of labour still worked in Agri sector and 30% in industry.
America
• Advantages – Natural resources, Transport, Cheap labour (African Slaves),
American society
By 1914 foremost Industrial power
• Napoleonic wars – Cut off supply of machines
Plant
• Later technology centric industrial growth
• Rise of business conglomerates (Zaibatsu) – Mitsui, Mitsubishi, Yasuda
• Reverse engineering – Improvisation and invention
• Japanese state – Promotion of technical education Efficient Machines
• Japanese Work Ethic – Discipline, Work as religion, Integrity
General Impact of Industrial Revolutions
• Social Differentiation
Weapons of mass destruction