British Industrial Revolution: Origins and Impact
From Proto-Industry to Modern Industry
The Industrial Revolution, a pivotal transition from an agrarian to an industrial society, involved a significant transformation of the manufacturing sector, shifting from craft workshops to factories. England pioneered this change.
It was a gradual process that unfolded differently across regions and time periods.
Proto-industrialization was a possible phase in the development of modern industrial economies, preceding and creating conditions for fully industrial societies. It was marked by the increasing involvement of agrarian families in market-oriented craft production, primarily through the putting-out system. In the putting-out system, a central agent contracted work to subcontractors who completed it in off-site facilities, either in their own homes or in workshops. Merchant capitalists organized this system. Its limitations eventually stimulated the emergence of the modern factory.
The silk spinning industry, and subsequently the cotton industry, was the driving force of the Industrial Revolution. The Calico Acts (1690–1721) initially banned the import of textiles into England and later restricted the sale of most cotton textiles. The English East India Company quickly adapted to the demand for calico, importing exotic textiles from around the globe, creating competition for domestic woolen textiles. In the 1720s, the UK was importing 1.5 million pounds of cotton; by the 1790s, this figure had surged to 30 million pounds annually, primarily from India.
The transformation of the cotton industry instigated significant changes.
The Great Transformations
There was a notable increase in food production, leading to demographic growth.
A significant migration occurred from the countryside to industrial centers (cities) and foreign countries. The agrarian working population in the UK decreased substantially.
Craft workshops couldn’t compete with new factories and machinery, and fixed capital acquired great importance (economies of scale).
Working conditions and social structures underwent profound changes, leading to a different organization of labor and working relations (depersonalization).
Industrial cities developed distinct social classes: the middle-upper industrial class and the working class.
Cheaper energy became available due to the expansion of the metal industry.
The market expanded, and the division of labor became more pronounced.
The diffusion of the first industrialization was gradual, with pre-industrial structures surviving for many years.
Prerequisites of the Industrial Revolution
Intellectual changes (increased alphabetization of the British population, influence of scientific improvements) and institutional changes (the process towards Parliamentary Monarchy) were crucial.
Agrarian transformations, including Dutch innovations, enclosure, and consolidation of fields, significantly increased productivity.
London evolved into a major commercial and financial center. In 1694, the Bank of England received the legal monopoly for issuing banknotes in London. This development, combined with the rise of “country banks,” improved trade and financial organization.
Significant advancements were made in internal transportation facilities, including the construction of canals (3000 miles of navigable waterways) and turnpikes (from 3400 to 15000 miles of roads).
As Adam Smith stated, “The division of labor is limited by the extent of the market.”
Social and Economic Effects
The living standard of the British population grew considerably from 1750 to 1950, primarily due to increased productivity. In the long run, industrialization benefited the British population as a whole.
However, short-term problems, such as migrations, poor conditions in cities and factories, and unemployment caused by new technologies (although they also benefited many), sparked a long-lasting debate between optimists and pessimists.
Marx and Engels’s negative view fostered a critical perception of the Industrial Revolution. However, a “proletarian revolution” did not occur in the UK, the wealthiest nation in the 19th century.
Pessimists, like John Hammond, argued that the Industrial Revolution worsened labor conditions. In contrast, optimists, like John Clapham, claimed that factory workers’ real wages grew by 60% from 1790 to 1850.
The consensus is that workers’ conditions improved after the Industrial Revolution.
Movements emerged to improve workers’ conditions. The Combination Acts, promulgated in 1800, initially forbade trade unions and employers’ associations. However, the workers’ movement successfully campaigned for the abolition of these Acts, leading to the rise of Chartism.
Robert Owen advocated for limiting the benefits and interests of capital, replacing competition with an equitable exchange of products in “stores of work,” and combining agricultural and manufacturing production in community villages of approximately 1,200 people.
The Factory Acts were promulgated, and factories were inspected to enforce these regulations.
The industrializing process ultimately improved living standards.
Britain emerged as the greatest economic power in the 19th century, boasting the highest GDP per capita and serving as a major exporter of technology, iron, and coal. This achievement would have been impossible without the Industrial Revolution.