Vocab
A company that owns & controls all production & sales of a particular good or service is considered to be
The main reasons businesses employed child labor
They were cheap - could pay them very little
In a free market system, when demand is low and supply is high, prices are ...
low
He invented the lightbulb and electrical power station
Thomas Edison
Captains of Industry were also known as these, because of their ruthless & unethical practices
Money that is earned after subtracting costs. It is the incentive for risk-taking.
Profit
In a free market system, when supply is low and demand is high, prices are ...
High
A theory that business works best when government does NOT get involved
Laissez-Faire Economics
He invented a new way of making steel that was quicker and cheaper
Henry Bessemer
THREE industries/businesses that commonly employed child labor
coal mines, factories, agriculture, chimney sweeps, selling newspapers
Examples of these include stocks, bonds & retirement accounts
Investments
A company that owns all their suppliers and distributors in order to control all steps leading to a final product.
Vertical Integration
A business that sells portions of ownership called stocks to investors - they use the money their receive to expand their businesses
Corporations
Henry Ford
In order to combat unsafe working environments & unfair pay, unions engaged in this tactic to demand better working conditions
Collective Bargaining
This is the direct impact of city areas growing - generally due to economic (job) opportunities
Urbanization
A business strategy used by a company - they purchase other companies that are similar to theirs to control the market
Horizontal Integration
Groups of businesses that unite under a single Board of Directors & often lead to a monopoly.
Trusts
He built the largest steel company in the world using vertical integration & monopolies
Andrew Carnegie
These two groups of children were often "apprenticed" by factory owners during the Industrial Revolution in Europe
Orphans & children of poor parents
Because wealthy capitalists lived like royalty & the number of millionaires in the US grew from 4 to 400, the years between 1860 & 1892 are called this ...
The Gilded Age
An example of the turn of the century trust that utilized both horizontal & vertical to create a monopoly
Standard Oil (JDR)
The THREE reasons why monopolies are harmful
the eliminate competition, prices go up, no incentive to improve quality of product
He started the Standard Oil Company and ultimately owned 90% of all oil refineries using horizontal integration, trusts & monopolies
JD Rockefeller
These are the THREE negative impacts of child labor
mental, physical, sacrifice of childhood