The second industrial revolution and its socio-economic consequences.
Plan:
The second industrial revolution: its essence, stages and results.
Socio-political, cultural consequences of the second industrial revolution.
1. The second industrial revolution is the technological changes of the 70s - 90s of the nineteenth century. This is the period when a number of important inventions were made, continuing the development of those socio-economic changes that were started by the first industrial revolution. It is almost impossible to list all the inventions, but we must know the most important of them: first of all, this is the invention of electricity and the construction of the first steam power plants in the 80s and 90s. The telephone is a new means of communication, the telegraph appeared a little earlier (as did photography in 1937). The telephone and radio were invented in the 1970s and 1990s. Many of these inventions were made simultaneously in the most different countries world or by different scientists of one country, regardless of each other. The third group of inventions is related to the use of new types of fuel: primarily oil and gas. Oil and gas in late XIX centuries are still used only for lighting, and on turn of XIX- In the 20th century, gasoline appears as a fuel for internal combustion engines. The next group of inventions is just connected with the appearance of the first cars, which were built independently of each other by Benz and Chrysler in Germany, Ford in America. At the beginning of the 20th century, the first Russian car, Yakovlev and Frize, appeared. In 1896, at the Nizhny Novgorod fair, they presented the first car, which caused more indignation than admiration. At the beginning of the 20th century, the first airplanes appeared, the invention of which is attributed to the Wright brothers. From this moment, i.e. from the 70s - 90s of the nineteenth century, technical and then scientific and technical inventions follow one after another, constantly changing not only industry, not only production, but also the everyday life of people . Almost such an avalanche comes when it seemed that technology could cope with all problems, when a person lived in an ever-changing pace and in an ever-changing world. Since then we have been living like this.
The second industrial revolution had one of the features that was already mentioned above - the mass nature of inventions - simultaneity, the parallelism of the invention of the same product in different countries. This testified to the fact that no longer separate, but many countries had entered the age of industrial civilization.
Most European countries the first and second industrial revolutions merge and act as a single process. With the development of industrialization, Europe is losing its hegemony in the development of technology. The United States of America, as well as some Asian countries and, first of all, Japan, embarked on the path of modernization, embarked on the path of industrialization.
Of the European countries, the second industrial revolution or industrialization develops most rapidly in Germany, which finally unites in the seventies. A strong national-patriotic movement grows up in it, and the idea of nationalism becomes one of the leading ideas. In terms of the rate of industrialization, Germany during this period surpasses all other European countries. France is a little behind. This is connected with the Paris Commune, the world's first socialist revolution and the Franco-Prussian war that followed its defeat.
A surge of nationalism, of course, we note in all countries, not only in Germany, but, for example, in France. The creator of one of the first cars, Benz, was of German origin, but was born and lived for many years in France, and he felt in his own skin what nationalism is. During the Franco-Prussian war, his family was forced to go back to Germany, because it became impossible for the Germans to live in France. And he will make his main invention already in Germany.
The second industrial revolution covers the period from the 70s of the 19th century to the 60s of the 20th century. It is not homogeneous, we will divide it into two stages. The first stage - the stage of industrialization, which continues until the 30s of the XX century, leads to the formation of developed capitalist societies, where the bourgeois class and the working class become the leading social groups. The second stage of the second industrial revolution is the so-called scientific and technological revolution. The most important inventions, indicating the entry of the industrial revolution into a new phase, were made in the 20s and 30s, but they were widely used in industry and everyday life mainly after the Second World War, so in our literature one can often find selection as the second stage was precisely 1945, especially since at one time Nikita Sergeevich Khrushchev at one of the party congresses said so: after the Second World War, the Soviet Union was entering the era of the scientific and technological revolution.
Unfortunately, even among scientists there is no consensus on these classifications. In real history, all these changes go in a continuous diffuse stream, and the division into stages, periods is conditional. This is done to facilitate the educational process and scientific work. V real life it is extremely difficult to separate the first industrial, the second industrial, scientific and technical, computer revolutions. And this is the reason for the controversy on this issue. Although social and political changes clearly indicate the presence of such periods, such stages.
The scientific and technological revolution is associated, first of all, with the automation and robotization of production, to a certain extent with the replacement of human labor by machine labor, i.e. with the transition of production to the production of machines that create machines. In addition, the scientific and technological revolution is associated with revolutionary changes in the field of communications, with the discovery and use of television, with the transmission of video and sound information over a distance. The first television set was invented in the late 1920s by engineer Zworykin, of course, an American. He himself writes in his memoirs: "Russia gave me the broadest education, thanks to which I was able to work in science, and America gave me the material opportunity to put my ideas into practice." In 1936, television broadcasting began in America for the first time, but the development of television had already begun on a massive scale in the post-war period. Actually, Zworykin's merit is not in the creation of television, as such, but in the creation of an electronic tube that could transmit, perceive an image. All other components of television were made by other scientists.
A feature of the scientific and technological revolution is that now the most important inventions are made not by individuals, but by groups of scientists of various specializations. From the beginning of the twentieth century, powerful research laboratories and scientific institutes appeared in France, but at the beginning of the century there were few of them. From the mid-1930s, the mass creation of research institutes and laboratories began, both by individual firms and as state institutions or created by academies of sciences. It was the need of the times. The specialization of scientists during the 19th century led to the fact that already in the 1920s and 1930s, scientists of even close specialties ceased to understand each other. Each particular science has developed its own unfamiliar and incomprehensible language for other sciences. These laboratories, institutes, scientific and problem groups brought together scientists from different specialties, integrated the language of similar and related specialties, and, most importantly, gave excellent results.
The widespread use of rocket technology during the Second World War led to the emergence of automatic lines in production to replace the conveyor, and the conveyor is associated with the name of Taylor, although in practice the conveyor was used in ancient times, but it was a conveyor of a different type. Taylor is an engineer who worked at Ford factories. At the end of World War II, a new type of energy appears - atomic Energy, which was initially used for military purposes and only from the mid-50s, early 60s for peaceful purposes. At the same time, electronics began to develop, although the first computers were also created at the turn of the 20s and 30s, but they were tube-based, very bulky with very little memory, and they were intended mainly for industrial purposes. The development of computers will be discussed in lectures on the information revolution. The scientific and technological revolution in many ways prepared the information revolution, and hence the transition of industrial civilization to a completely new stage, the so-called post-industrial or information society, which was already talked about in the late 50s and early 60s.
The rapid pace of industrialization led to a sharp differentiation between the countries that have embarked on the path of industrial civilization, which are its leaders, and countries that have not embarked on an industrial civilization. This was the economic basis for the division of colonial empires. Great Britain was the leading colonial power of the 19th century. As other countries enter the era of industrial civilization, a redistribution, primarily economic, of the colonies begins. Particularly active in the struggle for colonies are such countries as the United States of America, Germany and Japan. In the United States, this problem was solved quite simply, thanks to the penetration of American industrial goods into the Central and latin america and displacement, at least in economic sphere from there the former colonialists, Spain and Portugal, which, in terms of pace economic development were the weakest in Europe.
The second stage of the second industrial revolution led to the fact that the number of wage laborers increased significantly. The peak of the working class in world history, i.e. wage laborers employed in industry falls on the 30s of the XX century (in all countries except Soviet Union). At that time, the working class made up 30% - 35% of the working-age population - much more than at the end of the 19th century, and much more than in our time. During the period of the second industrial revolution, the crisis phenomena inherent in capitalism as such intensify. The first economic crises appear as early as the 20s of the 19th century, but they were, as a rule, of a one-national character. Until the 1950s, they affected mainly the UK. Since the late 1950s, crises have spread to several countries at once. The most severe world economic crisis begins the XX century 1901-1903. The causes of economic crises, in general, are elementary. The increase in industrial production does not find its consumer, due to the fact that the total cost of the goods produced is much greater than the purchasing power of the population, i.e. there is a gap between the price of goods and the value of work force.
Among the first major entrepreneurs were people who perfectly understood the inadmissibility of such a situation. Among these people, first of all, it is necessary to name Henry Ford. This was the only person who set as his goal the creation of not just a car, but the creation of a cheap car, such a car that any employee of the Ford factories was able to buy with his salary. But the Ford company lived in conditions of fierce competition and had to reckon with general level prices. As a result of this idea, Ford managed to achieve it only in the 30s, relying on the support of the talented American President Franklin Delano Roosevelt. The second economic crisis of 1900-1903, and for Russia 1901-1903, showed that capitalist society had entered a new stage in its development, called the era of imperialism.
The theory of imperialism is developed first of all by the English economist Hilferding, secondly by Rosa Luxemburg, and thirdly by Vladimir Ilyich Lenin, who wrote a work in his characteristic spirit, very strict, very precise, where everything was laid out point by point. How is imperialism different from classical capitalism? First, it is the formation of monopolies, i.e. creation of associations of a number of large, medium, small enterprises that develop a single industrial cycle. For example, the production of automobiles: from the production of metal, individual parts to the production of finished cars; oil companies: from oil production to production finished products, including, say, artificial fabrics that are prepared on the basis of oil. Monopolies were not united, they took various forms: cartels, syndicates, trusts. The second sign of imperialism, according to Lenin, is the unification of the industrial and banking elite, the formation of the so-called financial oligarchy. During the years of the second industrial revolution, the role of banks greatly increased. The vast majority of inventors of new technology were not wealthy people. To implement their ideas, they needed material resources, and the finances were in the hands of the former feudal nobility in most countries of the world, who were not able to use these finances properly. The intermediaries between these finances and inventors are banks that consider invention projects and issue targeted loans for the construction of one or another industrial enterprise, under Scientific research in one area or another, naturally, claiming profit this enterprise or profit from this invention.
Banks have played another amazing role. Due to the fact that most of the inventions of the second industrial revolution were made simultaneously in many countries, at the end of the 19th century, lawsuits between scientists and technicians against each other became a normal and constant phenomenon. Of all the inventors, the most sued a famous person, like Thomas Edison, and Diesel, but as a result of litigation, Diesel committed suicide, unable to prove his priority in the invention of these motors. For these lawsuits, the role of banks was colossal, because. any lawsuit was expensive, but the sale of a patent and the rights to an invention was even more expensive. Inventions and their industrial development brought enormous profits, very rarely to the inventors themselves, much more often to the same banks and owners industrial enterprises who used these inventions. The combination of inventive, engineering and entrepreneurial abilities in one person was extremely rare. Perhaps only Ford and Taylor. The second sign suggests that at the beginning of the 20th century, especially during the global economic crisis, banks simultaneously became the owners of industrial enterprises. Original empires were created within the industry, first in one country, and then on an international scale. A classic example is a banker like Morgan who bought up a number of oil wells in the Midwest of the United States and began building oil refineries, providing financing for this production by his banks. The exact opposite example is the Rockefeller family. During the global economic crisis, the largest oil producers are buying up whole line bankrupt banks and become both industrialists and bankers, i.e. creating, as it were, separate, their own states within a state. Naturally, this financial oligarchy begins to strive for political power as well. Often, family members of these oligarchs run for presidential and parliamentary positions, even more often they buy politicians or nominate them from among their employees, create massive lobbying groups in the parliaments of countries. The third sign is that the territorial division of the world is ending. The fourth and fifth are connected with the beginning struggle for the redistribution of the world, first economic, and then political, i.e. World War I was inevitable. It corresponded to the economic laws of the development of the world. Naturally, these economic processes led to fairly serious socio-political changes. In the course of the second industrial revolution, we notice some deceleration of the processes characteristic of the first industrial revolution. The process of urbanization continues, but at a slower pace: by the beginning of the 20th century, 50% of the population in developed countries lived in cities; today, about 75% live, i.e. urbanization is clearly slowing down. On the other hand, demographic indicators are also changing, primarily such the most important indicator as the average life expectancy of the population. It grows from 45 to 65 years in the mid-60s, despite the consequences of the Second World War, which sharply reduced this figure. Currently, the average life expectancy is 75-80 years, in more developed countries - 83 years. Our country, in this regard, is a phenomenon, over the past ten years, the average life expectancy of men has decreased by twelve years, and the gap between the average life expectancy of men and women was 14 years (in ten years, the number of murders has increased 30 times). Demographic indicators and their change are associated not only with an increase in life expectancy, but also with a slowdown in growth rates in developed countries. Since the 1920s and 1930s, and in most countries since the beginning of the 20th century, birth rates have been falling. Big families are going out of fashion. Decline in the birth rate is observed in all European countries up to today, except for one developed country, starting from the 45th year, the birth rate in the United States of America increases. The growth in the US population is observed not only due to a large influx of immigrants, but also due to a sharp increase in the birth rate.
In 1915, and in the 1970s, it was introduced into wide use by the American economist David Landis.
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In the second half of the XIX century. the importance of railways has surpassed the role of canals in transport infrastructure. Their construction was facilitated by the advent of inexpensive steel rails, which were significantly more durable than the cast-iron rails previously used, which lasted no more than 10 years. As a result, the cost of transportation fell by more than 25 times. Due to the wide distribution of railways along them, many cities arose and the urban population as a whole grew. In addition to the iron cities, many highways, the quality of which was improved during the era of the first industrial revolution, largely due to the innovations of the British engineer John Mac-Adam. The paved road network became widespread in the United States and Western Europe after the invention of the bicycle, which became a popular form of transportation in the 1890s. In shipbuilding, the appearance of cheap sheet steel allowed metal ships with engines to completely replace wooden sailboats.
A car with a gasoline internal combustion engine was first patented by Karl Benz in 1886. Henry Ford's first car appeared in 1896, and his Ford Motor Company was founded in 1903. At first it was an expensive mode of transport, but Ford fought hard to make it mass-produced. The reduction in the cost of production was eventually achieved through the creation of a production line. This was the first example of the creation of units of about five thousand parts on a scale of hundreds of thousands of pieces annually. As a result, the price of the Ford T fell from $780 in 1910 to $360 in 1916.
The role of science
By the middle of the XIX century. the foundation of modern chemistry and thermodynamics was laid, and by the end of the century both of these sciences had acquired a modern state, which in turn made it possible to lay the foundation of modern physical chemistry. The development of these scientific disciplines became the basis for the development of the chemical industry and the production of aniline dyes. Another consequence of the development of chemistry was the improvement of steel production, both at the stage of enrichment of iron ore, and in the creation of steel alloys with chromium, molybdenum, titanium, vanadium and nickel. For example, an alloy of steel with vanadium is not subject to corrosion and has increased strength, as a result of which it has found application in the manufacture of automobiles.
One of the most important industrial applications of inorganic chemistry was the process for the synthesis of ammonia from atmospheric nitrogen, developed by 1913 and widely introduced into practice after the First World War. Modern agriculture is heavily dependent on cheap nitrogen fertilizer produced by this chemical process.
The first gasoline internal combustion engine, which found a relatively wide application, appeared in 1876. It was used in small enterprises for which powerful steam engines were not needed, and small-sized steam engines were inefficient. Subsequently, such an engine began to be installed on cars. In 1897, Rudolf Diesel developed a diesel engine based on the principles of thermodynamics, which was much more powerful and efficient. At first it was used in shipbuilding, and then - in locomotives.
One of the most important scientific achievements is the unification of knowledge about light, electricity and magnetism in Maxwell's electromagnetic theory. It became the basis for the development of dynamos, electric generators, motors and transformers. In 1887, Heinrich Hertz investigated electromagnetic waves predicted by Maxwell, which led to the invention of radio. For the development of broadcasting in 1906-1908. The vacuum tube was invented, which made it possible to amplify the radio signal and produce ever more powerful radio transmitters. By 1920, commercial broadcasting had begun. Electric lamp remained in wide use until the middle of the twentieth century, when it was replaced by transistors.
By 1884, improvements in the steam engine had led to the development of the steam turbine, which was first used in shipbuilding and later in power generation.
Economic and social consequences
In industrialized countries, the period 1870-1890 was the era of the most rapid economic growth in their entire history. As a result of a sharp increase in labor productivity and falling prices for consumer goods, lifestyles have been significantly improved. At the same time, due to the replacement of workers by machines, unemployment increased and social stratification intensified. Many factories, ships and other expensive property became obsolete and lost their value in a short period of time, which led to the ruin of their owners. However, the improvement of transport and the acceleration of trade now prevented famine in the event of crop failure in certain regions.
By 1870, steam engines began to replace the muscular energy of animals and people as engines. However, horses and mules continued to be used in agriculture until the advent of tractors at the end of the second industrial revolution. As steam engines became more efficient and economical, their number in the economy continued to increase, which led to an increase in coal consumption.
The increase in factory production led to further urbanization and the emergence of a large middle class of skilled and relatively well-paid workers, while child labor gradually fell into disuse.
By 1900, the United States was the leader in industrial growth (24% of the increase in world production). They were followed by the UK (19%), Germany (13%), Russia (9%) and France (7%). Nevertheless, in general, Europe remained the leader of industrialization (62% in total).
The era of the technological revolution in the United States
During the last decades of the second industrial revolution, the United States experienced the fastest economic growth in its history. The American Gilded Age was a period of heavy industry, factories, railroads, and the coal-mining economy. Its beginning is associated with the opening in 1869 of the first transcontinental railroad, through which people and goods could get from the east coast to San Francisco in six days. At this time, the volume industrial production The US has overtaken the UK to become world number one. Length of railroads between 1860 and 1880 tripled, and by 1920 it had increased three times more. The construction and operation of railways stimulated the development of coal mining and steel production. The need to raise capital and the high profitability of the railroads contributed to the consolidation of the American financial market on Wall Street. By 1900, the concentration of capital had reached the stage of creating large corporations and trusts. They dominated steel production, engineering, oil extraction and refining, and other industries. The first corporation with a capital of more than a million dollars was "U.S. Steel", created by financier John Morgan in 1901. He bought up and merged a number of steel companies, including the Carnegie Steel Company founded by multimillionaire Andrew Carnegie. Other notable corporations were John Rockefeller's Standard Oil and Cornelius Vanderbilt's railroad and steamship companies.
The creation of large enterprises required the involvement of a large number of workers. Most of of them had low qualifications and performed simple repetitive operations under the guidance of experienced engineers and technologists. The need for workers and engineers has led to an increase in the cost of labor and wages. There are many engineering colleges in the country. Railroads and large corporations demanded complex system directorates who hired young people aged 18-21 in the lowest positions in their internal hierarchy and gradually upgraded their skills and wages until they reached the status of an engineer, conductor or station master by the age of 40. Similar career schemes were used in production, finance and trade. Such employees, along with small business owners, constituted a rapidly growing middle class, especially in the cities of the American North.
From 1860 to 1890 about 500,000 new invention patents were filed in the United States, ten times more than in the previous seventy years. Among them, the most famous is the Westinghouse air brake, which significantly increased safety. railway transport, AC power lines developed by Tesla and Westinghouse, power plants and many devices for the transmission, distribution and use of electricity, proposed by Thomas Edison and others.
Second Industrial Revolution in the British Empire
In the second half of the XIX century. Great Britain continued to be the leader of the Industrial Revolution. During this era, the emergence of new products and services contributed to the prosperity of international trade in general and especially the British Empire, whose colonies were located in almost all parts of the world. The relatively slow and wind-dependent English sailboats were replaced by steel ocean liners driven by improved steam engines. At the same time, in terms of investment in science and technology, the UK lagged behind the United States and Germany, which were rapidly catching up with it in industrial development.
Outstanding scientists who made the maximum contribution to the development of the scientific theory of electricity, Michael Faraday and James Maxwell, worked in the UK. Distribution of electric lighting on British Isles and then in Europe it was started by the efforts of Joseph Swan, the inventor of the British electric light bulb. The Bessemer process of steel production was also invented by the Englishman Henry Bessemer. The revolution in steel production not only contributed to the emergence of a new type of ship, the spread of railways, electrification, telegraph and telephone communications, but also allowed the construction of previously unseen warships that became armored floating fortresses that were equipped with more powerful guns. The steam turbine invented by the Englishman Charles Parsons began to replace the piston systems used on early steam engines, which made it possible to further increase the power of steam engines, as well as to use turbines in electric generators for the production of electric current. In addition, the development of tanks began, first tested in the battles of the First World War.
At the same time with positive aspects the technological revolution brought the UK and a number of other European countries and economic turmoil. The emergence of in-line production and a sharp increase in labor productivity led to an overproduction of goods that Great Britain had previously exported and could not use for domestic consumption, even taking into account the growing needs of its overseas territories. The subsequent fall in prices and economic instability in 1873-1896. replaced a long period of depression, when production no longer brought high incomes and often became unprofitable.
Industrial Revolution in other countries
By 1900 the German chemical industry dominated the global synthetic dye market. Three German corporations, BASF, Bayer and Hoechst, along with small firms, produced hundreds of dyes and by 1913 controlled up to 90% of the world's dye production, of which 80% was exported. In addition to dyes, these firms also produced biologically active substances, photographic film and substances produced by an electrochemical method.
In the Russian Empire
In Austria-Hungary
Notes
- Smil, Vaclav. Creating the Twentieth Century: Technical Innovations of 1867–1914 and Their Lasting Impact. - Oxford; New York: Oxford University Press, 2005. - ISBN 0195168747.
- James Hull, The Second Industrial Revolution: The History of a Concept, Storia Della Storiografia, 1999, Issue 36, pp. 81-90
- Yergin, Daniel. The Prize: The Epic Quest for Oil, Money $ Power. - 1992.
- Hubbard, Geoffrey (1965) Cooke and Wheatstone and the Invention of the Electric Telegraph, Routledge & Kegan Paul, London p. 78
- Wilson, Arthur (1994). The Living Rock: The Story of Metals Since Earliest Times and Their Impact on Civilization. p. 203 Woodhead Publishing
- Richard John, Network Nation: Inventing American Telecommunications (2010)
- Ford, Henry. My Life and Work: An Autobiography of Henry Ford . - 1922.
- Ford, Henry. Edison as I Know Him. - Cosmopolitan Book Company, 1930. - P. 30.
- McNeil, Ian. An Encyclopedia of the History of Technology. - London: Routledge, 1990. - ISBN 0415147921 .
- Grubler, Arnulf. The Rise and Fall of Infrastructures . - 1990.
- Vogel, Robert W. Railroads and American Economic Growth: Essays in Econometric History. - Baltimore and London: The Johns Hopkins Press, 1964. - ISBN 0801811481 .
The main trend in the development of the economy at the end of the XIX century. - the transition from capitalism, based on free competition of independent enterprises, to monopoly. The basis of the transition is the changes in the productive forces caused by the rapid development of science and technology, that is, the second technological revolution that unfolded in the last quarter of the 19th century. and continued until the global economic crisis of the late 20s - early 30s of the XX century.
Reason two technological revolution - change in the energy base of production. Steam energy is replaced by electricity, the electrification of production begins, new industries are created: electrochemistry, electrometallurgy, electric transport.
Main features:
· 1885 - built the first car (Daimler, Benz). The use of an internal combustion engine in transport and military equipment, mechanization of agriculture. In the 80s of the XIX century. the steam turbine was invented, and as a result of its connection into a single unit with a dynamo machine, a turbogenerator was created.
· The development of the chemical industry (the appearance of artificial dyes, plastics, artificial rubber), new effective technologies for the production of sulfuric acid, soda, etc. were developed.
· Development of metallurgy (development of new methods of obtaining steel, which reduced the cost and increased production. The transition from the "iron" to the "steel" age). In metallurgy, as a result of the use of Bessemer and Thomas converters, an important sub-sector has emerged steelmaking production; electric welding, forging, and smelting of metals were developed. At the factories of G. Ford in 1912-1913. conveyor was used for the first time.
· The growth of mechanical engineering due to the increase in steel smelting, conditions are being created for enhanced railway construction and the development of ocean shipping.
· Electrification of railway transport, emergence of tankers and airships, development of aviation. arose new industries– electrochemistry, electrometallurgy, electric transport.
· The appearance in the military field of automatic small arms, poisonous substances, an increase in the power of explosives.
· 1895 - the invention of radio (Popov), the use of telephone communications.
· The leading industries at the turn of the century were: oil production and oil refining, electric power and electrical engineering, new modes of transport.
Consequences:
· Acceleration technical progress, the rapid expansion of industrial production contributed to the formation of the economic inequality of countries and the change of the world leader (1 - USA, 2 - Germany, 3 - England).
· The technological revolution has changed the sectoral structure of industry. The branches of heavy industry came to the fore, significantly outstripping light industry in terms of growth rates.
· Emergence of a new form of organization of capital - corporatization, which made it possible to create large enterprises in terms of the size of their products. V USA - railway transport. V Germany - mountain and metallurgical industry, construction and railways. V England the growth of joint-stock companies falls on 1885-1905, when, to attract the savings of the population, it was allowed to issue small shares with a par value of up to 1 pound sterling. In France joint-stock companies arose in the 70s of the XIX century. first in the metallurgical and military.
The complication of economic life contributed to the expansion of forms of ownership, the emergence and development of state (at the expense of the state budget and the nationalization of private enterprises), cooperative (the basis of the voluntary association of capital and means of production of small producers; served as a form of protection for them from exploitation by intermediaries and large entrepreneurs) and municipal property (with the development of socio-economic infrastructure (transport, electricity, gas, schools, hospitals) in cities and countryside).
· Consolidation of production, the complexity of the structure of the economy led to the transition to a monopoly (the simplest forms of monopoly - corner, pool, ring, convention; more mature - cartel, syndicate, trust, concern, holding).
· Small banks were pushed aside and absorbed by large ones, included in a single "concern" through the purchase or exchange of shares between banks, the system of debt relations. Banking capital merged with industrial capital into finance capital. in the USA, where banks, financing various companies, established control over them, subordinated them by buying shares, sent their representatives to the boards of trusts, and sometimes formed new trusts. J. Morgan: the largest corporations in energy and electrical engineering (General Electric), telegraph and telephone communications (ATT), automotive industry (General Motors), etc. Morgan created the world's first company with a billion-dollar turnover - United States Steel , which controlled 3/5 of American steel production. Often industrialists turned into bankers. For example, P. Rockefeller, having made huge profits in the oil business, used them to create the National City Bank of New York, which became the basis of the modern Chase Manhattan Bank.
formation world economy. The most important link in the system has become the exchanges of the world's largest cities, which daily record changes in world prices under the influence of world supply and demand.
At the beginning of the 20th century, when the development of monopolies actually destroyed competition within the state, it remained at the world level as competition for spheres of influence. At the world level, any methods of competitive struggle were used - from lowering prices by raising them in the domestic market to industrial espionage. The state was actively involved in the competitive struggle, changing customs duties and railway tariffs in the interests of the monopolies.
In agriculture: farm path, which is particularly pronounced in the United States and Canada, and prussian way capitalist evolution of landlord farms.
The formation of the world economy was accompanied territorial expansion - the creation of colonial empires and the subjugation of independent states. In the last quarter of the XIX century. the struggle of industrial states for territories in Asia, Africa, pacific ocean.
Thus, at the end of the XIX century. completed the process of formation of an industrial capitalist society in Western and Central Europe and North America. It was a zone of accelerated, "advanced" development of capitalism, its "first echelon". Eastern Europe, including Russia, and in Asia, Japan, which embarked on the path of reforms, represented a zone of "catch-up development." The era of structural and institutional changes at the beginning of the 20th century. defined as "imperialism"
The main trend in the development of the economy at the end of the XIX century. there was a transition from capitalism based on free competition of individual independent enterprises to one based on monopoly or oligopoly. This transition was based on changes in the productive forces caused by the rapid development of science. and techniques in the late XIX - early XX centuries, called second technological revolution. The first technological revolution was the industrial revolution. The second technological revolution unfolded in the last third of the 19th century. and continued until the First World War (1914-1918).
It was of paramount importance change in the energy base production: steam energy was replaced by electrical energy, the electrification of production began, and the technology for generating, transmitting and receiving electricity was developed. In the 80s. 19th century was invented steam turbine, and as a result of its connection into a single unit with a dynamo, a turbogenerator was created. arose new industries - electrochemistry, electrometallurgy, electric transport. Appeared internal combustion engines, worked from the energy received at combustion of gases of gasoline (N. Otto) and oil (R. Diesel). In 1885 the first automobile(G. Daimler, K. Benz). The internal combustion engine began to be widely used in transport, in military equipment, and accelerated the mechanization of agriculture.
Significantly advanced chemical industry: the production of artificial (aniline) dyes, plastics, artificial rubber began; new efficient technologies for the production of sulfuric acid, soda, etc. were developed. Widespread use in agriculture mineral fertilizers.
In metallurgy, as a result of the use of Bessemer and Thomas converters, a separate, very significant sub-sector has emerged steel production; electric welding, forging and melting of metals were developed. At the factories of G. Ford in 1912-1913. was first applied conveyor.
The growth of industrial production and trade led to the development transport. The power, traction force and speed of steam locomotives increased. Ship designs improved. The electrification of railway transport has begun, new vehicles have appeared - tankers (oil tankers) and airships. Aviation took the first steps.
In 1895, the Russian scientist A.S. Popov invented radio, started using telephone connection; the length of telegraph lines has increased.
V military area automatic small arms appeared, the power of explosives increased, poisonous substances began to be manufactured.
Leading industries at the turn of the century became: oil production and oil refining, electric power industry and electrical engineering, new species transport.
The technological revolution has changed sectoral structure of the industry. The branches of heavy industry came to the fore, significantly outstripping light industry in terms of growth rates. Structural shifts caused a sharp increase in the minimum amount of capital required to create and operate a separate enterprise. Attracting additional capital was achieved through the issuance of shares and the creation joint-stock companies
V USA joint-stock companies arose primarily in railway transport. Of the 150,000 miles of railroads, six companies controlled 100,000 miles. In 1913, enterprises owned by joint-stock companies (28% of all enterprises) employed 80% of workers.
V Germany the formation of joint-stock companies covered primarily the mining and metallurgical industries, construction and railways.
V England The growth of joint-stock companies fell on 1885-1905, when, in order to attract the savings of the population, it was allowed to issue small shares with a par value of up to 1 pound sterling.
In France joint-stock companies arose in the 70s. 19th century first in the metallurgical and military, and then in other industries, but the intensity of this process here was lower than in the USA and Germany.
In addition to joint stock, there were other forms of ownership: state, cooperative, municipal.
State property was formed in two main ways: at the expense of the state budget and the nationalization of private enterprises. At the end of XIX - beginning of XX century. the first way was more common in most countries of the Old World, the second was used in the countries of resettlement capitalism. cooperative property arose on the basis of the voluntary pooling of capital and means of production of small commodity producers, served as a form of protection for them from the exploitation of intermediaries and large entrepreneurs. From the middle of the XIX century. and until 1914, the main types of cooperation arose: consumer, credit, agricultural, housing. By the beginning of the First World War, Russia ranked first in the world in terms of the number of participants in the cooperative movement (24 million people), united in 63 thousand cooperatives. In Western Europe, 120,000 cooperatives united 20 million people; in the USA, 600 cooperatives employed 70,000 people.
municipal property and the economy arose in connection with the development of socio-economic infrastructure (transport, electricity, gas, schools, hospitals) in cities and rural areas in the last third of the 19th century.
The enlargement of production, the complication of the structure of the economy led to the transition to a new form of organization of production - monopoly. The simplest forms of monopolies were pool, convention, corner, ring; more mature - cartel, syndicate, trust, concern.
The reasons for the monopolization of the market, in addition to the increase in the minimum amount of capital required for the operation of an individual enterprise, were the desire of entrepreneurs to extract maximum profit by ousting competitors and establishing barriers to entry into the industry, the emergence of natural monopolies (the government granting any one company an exclusive privilege to supply gas fuel, electricity, telephone services, etc.) in connection with the development of public utilities, the formation of patent law, various kinds of fraud and abuse up to blackmail and outright robbery.
Structural shifts in industry led not only to the concentration of production, but also to the centralization of capital. The needs of entrepreneurs for borrowed funds to expand production and upgrade fixed capital contributed to the centralization of banking. Gradually the role of banks in the economy has changed - From a passive intermediary in payments, banks turned into active market participants. Small banks were pushed aside and absorbed by large ones and included in a single "concern" through the purchase or exchange of shares between banks, a system of debt relations, etc. With the increasing concentration of banks, the circle of institutions to which one could apply for credit at all was reduced, the consequence of which was an increase in the dependence of large industry on a few banking groups. In turn, the banks themselves invested part of their capital in industry, acting as organizers of production.
Thus, banking capital merged with industrial capital in financial capital. This process was especially intense in the USA, where banks, financing various companies, established control over them, subordinated them by buying shares, delegated their representatives to the boards of trusts, and sometimes formed new trusts. For example, the largest corporations in energy and electrical engineering (General Electric), telegraph and telephone communications (ATT), automotive industry (General Motors), etc. fell under the control of J. Morgan's bank. Morgan created the world's first company with a billion-dollar turnover - United States Steel, which controlled 3/5 of American steel production. Often industrialists turned into bankers. For example, J. Rockefeller, having made huge profits in the oil business, used them to create the National City Bank of New York, which became the basis of the modern Chase Manhattan Bank.
The strengthening of the position of finance capital led to the formation of a financial oligarchy from among the most influential bankers and entrepreneurs.
For the 1850-1900s. Coal production in the world increased by more than 10 times, oil production - 25 times, steel smelting in the 1870s-1900s. increased by more than 50 times. The growth of the scale of production, the increase in the volume of manufactured products inevitably required the expansion of the market. The importance of foreign trade has increased.
From 1891 to 1910, exports increased by 77% to the USA, 52% to England, 107% to Germany, 54% to France, and all international trade 1.5 times. The strengthening and expansion of international economic ties laid the foundation for formation of the world economy as a single mechanism, connecting all regions of the earth. The most important link in the system has become the exchanges of the largest cities in the world, daily registering changes in world prices under the influence of world supply and demand. International exchange turned into a necessary condition for the further development of the market. Activated not only world movement goods (foreign trade), but also labor (emigration and migration) and capital.
Capital export carried out in various forms Key words: state and municipal loans, direct investments, credits. The first form was most developed in France; it was not without reason that this country was called the “world usurer”. In addition to interest on the loan, the exporting country, as a rule, received additional benefits. For example, having provided Turkey with a loan of 2.2 billion francs, France received a concession for the construction of railways, established control over the most important Turkish seaports, and influenced the work of the country's main bank, the Ottoman one. Turkey has actually become a semi-colony of France.
Great Britain was the leading country in the export of direct investments. By 1900, its investments abroad amounted to 20 billion dollars, France took out 10 billion dollars, Germany - 5 billion dollars, the USA - only 0.5 billion dollars. The United States still remained in debt to Europe.
At the beginning of the 20th century, when the development of monopolies actually destroyed competition within the state, it persisted at the world level as competition for spheres of influence. An example is the competition between the two largest electric companies in the world - the American General Electric and the German AEG. The latter managed a capital of 1.5 billion marks, being a giant combined enterprise with the production of various products - from cables and insulators to cars and aircraft. In 1907, these companies entered into an agreement on the division of markets. General Electric received the markets of the USA and Canada for its products, AEG - Europe and parts of Asia.
At the world level, any methods of competitive struggle were used - from lowering prices by raising them in the domestic market to industrial espionage. States were actively involved in the competitive struggle, changing customs duties and railway tariffs in the interests of the monopolies.
The development of capitalism in agriculture has determined two options for managing: farm path, which is particularly pronounced in the United States and Canada, and prussian way capitalist evolution of landlord farms. However, Europe is characterized by a combination of both ways of developing capitalism in the agricultural sector. The result was a growing marketability of agricultural production based on higher labor productivity and efficient farming techniques.
The formation of the world economy was accompanied territorial expansion - the creation of colonial empires and the subjugation of independent states. In the last quarter of the XIX century. the struggle of industrial states for territories in Asia, Africa, and the Pacific Ocean began. Great Britain, France, USA, Japan, smaller states - Belgium, Holland, Portugal, Spain took part in colonial conquests and the creation of colonial empires. More than others, England succeeded in this, which in 1884-1900. purchased 3.7 million sq. miles with a population of 57 million people. France is a little behind, capturing a territory of 3.6 million square meters. miles with a population of over 36 million people. Germany got less - 1 million square meters. miles with 16 million people. By the beginning of the XX century. the territorial division of the world by a handful of states was basically completed. Africa was the main object of colonial expansion at that time. The largest African countries became British colonies: Nigeria, Kenya, Tanganyika. England occupied Egypt and Sudan, and created the colony of Rhodesia in the south of the continent. France took over Tunisia western part Central Africa, Madagascar. Germany got the lands of the so-called German East and South-West Africa (Togo, Cameroon).
Many formally independent states in Asia and Latin America fell into the sphere of capital expansion.
Thus, at the end of the XIX century. completed the process of formation of an industrial capitalist society in Western and Central Europe and North America. It was a zone of accelerated, "advanced" development of capitalism, its "first echelon". Eastern Europe, including Russia, and in Asia - Japan, which embarked on the path of reforms, represented a zone of "catch-up development". The era of structural and institutional changes in the late XIX - early XX century. defined as "imperialism". Later, the term became more common. monopoly capitalism.
The Frankfurt Peace Treaty of 1871, which ended the Franco-Prussian War, did not lead to the stabilization of international relations in Europe. On the contrary, a powerful economic breakthrough in Germany allowed Bismarck in the 70-80s. 19th century fight for German hegemony in Europe. This is the reason for the policy of militarization of the country, the creation of a constant military threat, especially to France, as well as attempts to create pro-German military-political blocs. In 1898, Germany set about building a large navy in a direct challenge to Great Britain and other countries.
Europe in the last third of the 19th century. the main contours of the opposing coalitions were outlined. They finally took shape at the beginning of the 20th century. and led the European nations to the First World War.
The second industrial revolution, also called the technological revolution, is a phase of the industrial revolution covering the second half of the 19th and early 20th centuries.
It began with the introduction of the Bessemer method of steelmaking in the 1860s, and culminated in the spread of in-line production and production lines. In the 1860-1870s. the technological revolution quickly swept Western Europe, the USA, Russia and Japan.The concept of the second industrial revolution was introduced by the British sociologist Patrick Geddes in 1915, and in the 1970s was introduced into wide use by the American economist David Landis.
Unlike the first industrial revolution, which was based on innovations in iron production, steam engines, and the development of the textile industry, the technological revolution was based on the production of high-quality steel, the spread of railways, electricity, and chemicals.In the era of the second industrial revolution, the development of the economy was predominantly based on scientific achievements, and not just successful inventions.
The change in the energy base of production was of great importance.
Steam energy was replaced by electricity, electrification began, and the technology for the production, transmission and reception of electricity spread. In the 80s of the XIX century. the steam turbine was invented and the turbogenerator was created.
New industries emerged - electrochemistry, electrometallurgy, and electric transport. There were internal combustion engines.The growth of industrial production and trade led to the development of transport. Electric welding has been developed. In mechanical engineering, conveyors began to be used. In 1885 the first car was built. The internal combustion engine has become widely used in transport. The designs of steam locomotives and steamships were improved. The electrification of railway transport began, new vehicles appeared - tankers and airships. Aviation took the first steps. Radio was invented, the use of telephone communications began, and the length of telegraph lines increased.
In the military field, automatic small arms appeared, the power of explosives increased, and poisonous substances began to be manufactured.
The technological revolution has changed the sectoral structure of industry. The development of heavy industry accelerated, significantly outpacing light industry in terms of growth rates. Structural shifts have caused an increase in the minimum amount of capital required to create and operate a separate enterprise. Attracting additional capital was achieved through the creation of joint-stock companies. An important trend in the development of the economy in many industries has been the transition from free competition to monopoly or oligopoly.