The Industrial Revolutions: Societal and Economic Transformations
Industrial Revolution (18th Century)
The Industrial Revolution was a result of a set of economic and technological changes that occurred first in the UK, which resulted in profound economic and social transformations. It later expanded to other countries.
Demographic Revolution
The population doubled over the century. The causes were increased food production and progress in hygiene and medicine. This led to decreased mortality and increased birth rates and life expectancy (from 38 to 50 years).
Agricultural Revolution
Population growth increased the demand for food and led to a rise in agricultural prices. Consequently, land was privatized, and new farming techniques were applied. The fallow system was replaced by the Norfolk system, which did not allow any piece of land to remain at rest and obtained arable crops for livestock. Some agricultural tasks were mechanized (e.g., reapers). The land became private property where owners could make any changes they desired. New crops like corn and potatoes were introduced, and livestock farming expanded.
Technological Innovation
Machines replaced manual labor, increasing productivity, lowering costs, and therefore generating greater profit. The first machines were powered by human strength or hydraulic power. In 1769, James Watt invented the steam engine, which used coal as fuel and allowed the abandonment of traditional energy sources, becoming the symbol of the Industrial Revolution. It drove the factory system of production, namely the creation of factories where workers operated machines and the work was divided.
Textiles
The British government banned the import of cotton, which stimulated domestic production. Innovations included the flying shuttle (increased speed), new spinning machines (Water Frame, Jenny, etc., which increased thread production), and the mechanical loom.
Steel
The invention that led to increased iron production was coking coal, which had a high calorific value. Bessemer invented a converter to transform iron into steel. New processes included the removal of slag, puddling (beating the glowing metal mass to gain more malleable iron), and the manufacture of iron sheets.
Transport Revolution
Railways were initially used in mines to transport minerals in rail wagons. Stephenson’s innovation (1829) was the locomotive, which operated the rail by a steam engine. A railway network was built in Europe, resulting in reduced travel time, increased safety, increased payload, and reduced costs. Steamboats, made from iron, replaced sailing ships. Production shifted from personal consumption to market sales. The improvement of domestic trade increased transport.
Industrial Capitalism
Capitalism was the economic model, and liberalism was the political doctrine that supported it. Adam Smith set out the principles: the pursuit of maximum profits, the adjustment of supply to demand, and the belief that the state should not intervene in the functioning of the economy. Therefore, the means of production were the private property of the bourgeoisie, and workers worked in exchange for a wage. The lack of planning and increased production caused economic crises, increasing worker unemployment.
Banks became very important institutions because they supplied capital to companies, acted as direct investors, and facilitated payments. Corporations arose, through which a company’s needed capital was divided into parts (shares) bought and sold on the stock exchange. Use value refers to an object that has the ability to satisfy a need, while exchange value refers to an object or living being that can be used to make exchanges.
Second Industrial Revolution (19th Century)
The UK’s economic leadership was shared with Germany, the United States, and Japan. The invention of the dynamo allowed the production of electricity in power stations, and the transformer and alternator allowed the transfer of power. Oil was used to fuel automobiles, was applied to vessels (increasing their speed), and for aircraft. The metallurgical industry gained a big boost from the production of new metals such as aluminum, and chemicals were used for the manufacture of pesticides and other chemical products. Thanks to reinforced concrete, the first skyscrapers were built.
Production was oriented towards the production chain (Taylorism method) to increase productivity, reduce time spent, and lower costs. Companies became larger, and new forms of business organization emerged: the cartel (agreement between companies), the trust (merger), the holding company (financial group that owns most of the shares of a group of companies and banks), and the monopoly (exclusive right of a company to market a product).
Bourgeoisie
The bourgeoisie owned industries and businesses. There was a big bourgeoisie (bankers and owners of large enterprises), an average bourgeoisie (liberal professionals, officials, etc.), and a petty bourgeoisie (shopkeepers, etc.).
Workers
Workers formed the industrial proletariat. They were the largest and most deprived group. The workday lasted 12 to 14 hours, making it difficult to support families. Children and women had to work, although they earned less. Workshops were unhygienic, leading to increased disease among workers. Protests were conveyed by destroying machines and burning shops. To defend their interests, workers’ organizations were created, and after the repeal of laws that forbade unions, the first unions were formed. The aim was to improve the working conditions of workers. Initial claims included the reduction of working hours, wage improvements, and the regulation of child labor.
Marxism
Karl Marx and Friedrich Engels denounced the exploitation of the working class and defended the need for a revolution to destroy capitalism and social classes. They proposed the creation of socialist workers’ parties.
Anarchism
Anarchism brought together a group of thinkers (Proudhon, Bakunin, and Kropotkin) who shared three basic principles: the exaltation of individual freedom, the critique of private property, and the rejection of authority. They defended the workers’ revolution to destroy the state and create a collectivist and egalitarian society.
Internationalism
The International Workingmen’s Association (First International) was created, but ideological differences between Marxists and anarchists made it impractical. In 1889, the Second International, a solely socialist organization, was established in Paris.
David Ricardo: What is paid to workers is to guarantee them the minimum subsistence.
Robert Malthus: The population grows at a faster rate than resources. Birth rates must be reduced if social problems are not to worsen.