I. The Industrial Revolution in Britain
A. Eighteenth-Century Origins
1. Social and economic factors influenced England’s takeoff.
a. Colonial markets for manufactured goods contributed.
b. The canal network constructed in Britain after 1770 contributed.
c. Productive English agriculture meant capital available for investment and spending money for ordinary people to purchase industrial goods.
2. A stable government and an effective central bank also fostered industrial growth in England.
B. The First Factories
1. A growing demand for textiles led to the creation of the world’s first large factories.
2. The putting-out system could not keep up with the demand.
C. The Problem of Energy
1. The cotton textile industry could not have continued to grow using existing energy sources.
2. Britain experienced an energy shortage as the wood supply shrank.
D. The Steam Engine Breakthrough
1. Part of the general revolution was the transformation from wood burning to coal burning.
2. Transportation and manufacturing were revolutionized by steam power.
3. The early steam engines of Savery and Newcomen converted coal into energy.
4. James Watt increased the efficiency of the steam engine.
5. Steam power was used in many industries.
E. The Coming of the Railroads
1. Beginning in the 1830s, railroads transformed the economy, society, and culture.
2. Railroads reduced the cost and uncertainty of overland shipping.
3. The construction of railroads created demand for unskilled labor.
F. Industry and Population
1. In 1860 Britain produced 20 percent of the world’s industrial goods.
2. Increases in production led to increases in GDP and a population boom.
3. Industrialization and the growth of an urban working class led to the theories of Malthus and Ricardo about the likely consequences of overpopulation and the likely stagnation of workers’ standard of living (“the iron law of wages”).
II. Industrialization in Continental Europe