CHAPTER VI

THE NATURE OF AMERICAN INDUSTRY

52. MAGNITUDE OF AMERICAN INDUSTRY.--In colonial times the major part

of American industry was concentrated along the Atlantic seaboard; to-

day it extends over a large part of the continent. A century and a

half ago our industrial system was still a relatively simple one,

giving rise to few pressing problems of national importance; at the

present time it is a vast and complicated affair, closely bound up

with many of the most vital problems which confront American

democracy. The activities which are commonly grouped under the head of

"American industry" are so numerous and so varied that a description

of all of them would carry us beyond the limits of this chapter.

Nevertheless, it is important that we secure some understanding of

these activities. A few pages may profitably be spent, therefore, in

discussing certain basic facts of American industry.

53. FAVORABLE LOCATION OF THE UNITED STATES.--Let us commence by

noting that the location of the United States is favorable to the

development of industry. Of the two American continents, the northern

has the greater natural advantages. Each continent is roughly in the

form of a triangle with the apex or smaller end pointing southward,

but whereas the larger end of the South American triangle is within

the tropic zone and only the tapering end is within the more favorable

temperate zone, the greater part of the North American triangle is

within the temperate zone. With regard to location for world trade the

northern continent again has the advantage: the ports of South America

face a relatively empty ocean on the west and the little-developed

continent of Africa on the east; the ports of North America, in

addition to being more numerous and more suitable for commerce than

those of the southern continent, face the teeming Orient on the west,

and the great markets of Europe on the east. Moreover, the United

States occupies the choicest portions of the North American continent.

Our neighbor Canada has a cold and snow-bound frontier on her north,

while on our south Mexico and the Central American countries lie near

the tropics. The heart of temperate America, on the other hand, is

included within the territory of the United States.

54. POPULATION.--Scarcely less important than the favorable location

of the United States is the character of the people occupying the

country. From less than four million in 1790, our population has

increased so rapidly that in 1920 there were 105,710,620 people within

the bounds of continental United States. As the population has

increased, it has spread over the Appalachians, into the great

Mississippi basin, and westward to the Pacific Ocean. Accompanying the

increase and westward spread of the population has come a greater

variety of racial types. Although our population was varied in

colonial times, the great majority of the settlers were from the

British Isles and northwestern Europe. In the latter part of the

nineteenth century immigration from northern Europe declined and more

and more immigrants began to come from southern and southeastern

Europe. So universal has been the attraction of America, that our

present population includes elements from every important country in

the world. From the industrial standpoint, the dominant

Characteristics of this composite American people are energy and

versatility.

55. NATIONAL WEALTH.--Generations of industrious people have helped to

make the United States the wealthiest nation in the world. It has been

estimated that in 1850 our national wealth amounted to $8,000,000,000.

By 1900 the remarkable progress of American industry had increased

this figure to more than $88,000,000,000. In 1912 our wealth was

probably in excess of $180,000,000,000. Industrial and financial

disturbances during the period of the World War make later estimates

hazardous, nevertheless it is interesting to note that in 1921 the

wealth of the United States was estimated as being between

$350,000,000,000 and $400,000,000,000. According to this estimate, the

wealth of this country exceeded, in 1921, the combined wealth of Great

Britain, France, Germany, Italy, and Belgium. In weighing the value of

this comparison, however, we must take into consideration the heavy

destruction of wealth in western Europe because of the World War.

56. WHAT THE AMERICAN PEOPLE ARE DOING.--A large percentage of the

inhabitants of the United States are engaged in some form of

productive work. According to the most recent estimates there are

approximately fifty million persons, male and female, over ten years

of age, engaged in gainful occupations in this country. Of these about

fourteen million are engaged in agriculture and allied industries,

while more than eleven million are busy in manufacturing pursuits.

Almost four million are found in some form of trade, and another four

million are employed in domestic and personal service. Transportation,

clerical work, and professional callings utilize the services of

several additional million. The great majority of those employed in

American industry are men, although the number of women in industry is

steadily increasing. Children have been found in industrial pursuits

since colonial times, but of recent years there is a growing movement

to restrict or prohibit the employment of children in gainful

occupations.

57. FORESTS AND MINERALS.--The natural resources of the United States

play a large part in our industrial life. One fourth of the territory

of the United States is still covered with timber. We are abundantly

supplied with coal and iron, the two most important industrial

minerals. Our coal deposits outrank, both in quantity and in quality,

those of any other country. Iron is found in most of the states in the

Union, the high-grade deposits of the Lake Superior area being of

special importance. We produce more than half of the world's supply of

copper, which, after coal and iron, is the most important industrial

mineral. Our supply of petroleum and natural gas is large, and in

spite of the waste which has characterized our use of these important

commodities, our production of both is still great. Gold, silver,

zinc, lead and phosphates are produced in the United States in large

quantities. Indeed, we have ample supplies of practically all of the

minerals of importance to industry, except platinum, tin, and nickel.

58. AGRICULTURE.--Until very recently, at least, agriculture has been

by far our most important industry. Of the two billion acres

comprising continental United States, approximately half are under

cultivation. In most sections of the country the quality of the soil

is good, and rainfall is ample. We have long led the world in the

value of farm crops grown. Our production of wheat, corn, oats,

barley, rye, and dairy products totals an enormous figure. The steady

enclosure of lands formerly used for grazing stock is restricting our

production of food animals, but we are still important as a producer

of meats. Most of the world's tobacco is grown in this country. The

world's supply of cotton is derived mainly from southern United

States. Finally, our soil is of such variety, and our climate so

diversified, that the danger of a general crop failure is slight. A

loss in one part of the country is almost certain to be offset by good

crops in another.

59. MANUFACTURING.--In colonial times American manufactures were

subjected to more or less restraint by Great Britain, but after the

Revolution these industries entered upon a period of free and rapid

development. Modern machinery was introduced rapidly after 1800, large

scale production was developed, transportation was fostered, and

larger and larger markets were supplied with the products of American

manufacturers. Particularly since the Civil War has the importance of

our manufactures increased. This increase has been due chiefly to the

large scale production of foodstuffs, including meats and flour;

textiles; iron and steel products; shoes; chemicals; and agricultural

machinery. According to recent census figures it would appear that we

are passing from a predominantly agricultural life to a stage in which

manufacturing is of relatively greater importance.

60. TRANSPORTATION AND COMMUNICATION.--The physical geography of the

United States encourages the development of adequate means of

transportation and communication. The St. Lawrence-Great Lakes system

gives easy access to the most fertile section of the continent. The

Mississippi and its tributaries drain a million square miles of farm

land. We have, in addition to 18,000 miles of navigable rivers, a

greater coast line available for commerce than has the whole of

Europe. New York is the world's greatest seaport.

Few mountain ranges hamper the development of transcontinental

railroads in this country, and of these only one, the Rockies, is a

serious obstacle to effective transportation. Our railroad mileage is

enormous, a half dozen transcontinental lines being supplemented by

numerous smaller roads and feeding lines. We have more than 2000 miles

of canals in operation. Cheap and rapid transportation between the

different parts of the country, supplemented by adequate means of

communication by telephone, telegraph, and the postal service,

undoubtedly has been one of the greatest factors in our national

prosperity.

61. DOMESTIC AND FOREIGN TRADE.--The great majority of our products

are not shipped to foreign markets, but are utilized within the

country. We are still so young and so undeveloped a country that our

manufacturers have been kept busy supplying the domestic market. This

fact, together with the American manufacturer's lack of knowledge

concerning the possibilities of foreign trade, explains our neglect of

foreign markets. In proportion as our manufacturers catch up with the

domestic market, and in proportion as their knowledge of foreign

markets increases, it is likely that they will give more and more

attention to customers in other countries.

But though a very small proportion of our products are sent abroad,

the foreign trade of the United States exceeds in value the foreign

trade of any other country. This predominance is due, not so much to

our search for foreign markets, as to the steady demand in other

countries for three classes of goods in the production of which we

have a distinct advantage. These three classes of goods are, first,

raw materials of which we have a great abundance, such as cotton and

copper; second, specialties invented and patented by Americans, such

as inexpensive automobiles, typewriters, and phonographs; and, third,

commodities which may be advantageously produced by large-scale

methods, such as agricultural machinery and the cheaper grades of

textiles.

62. SUMMARY AND FORECAST.--We have very briefly surveyed some of the

basic facts of American industry. On the one hand, the favorable

location and the rich natural resources of the United States have

furnished a substantial basis for industrial progress. On the other

hand, we must note that the American people are energetic and

versatile,--combining, to a happy degree, the qualities of initiative

and originality, perseverance and adaptability. The great wealth and

prosperity of the country as a whole have been the result of the

combination of a favorable land and an able people.

This is not the whole of the story, of course. It must be admitted

that, with all of our wealth, we continue to face serious charges of

poverty and industrial maladjustment. These charges are of great

importance, but it should be remembered that no problem can be solved,

or even intelligently attacked, until the essential facts are well in

hand. We have briefly described the nature of American industry. What

we have now to do, as a preliminary to considering the problem of

poverty and industrial reform, is to analyze the economic laws in

accordance with which American industry has developed. The essential

facts of the next four chapters cannot be weighed too carefully.

QUESTIONS ON THE TEXT

1. To what extent has the character of American industry changed in

the last century and a half?

2. Compare North America with South America with respect to natural

advantages.

3. Outline the changes which have occurred in the population of the

United States since 1790.

4. Trace briefly the increase in our national wealth since 1850.

5. What are the chief occupations of the American people?

6. Name three important industrial minerals, and comment on our supply

of each.

7. What are the chief characteristics of American agriculture?

8. Outline the growth of our manufacturing industries.

9. How are transportation and communication encouraged by the physical

geography of the United States?

10. Why is our domestic trade of relatively greater importance than

our foreign trade?

11. To what three types of goods is our predominance in foreign

markets due?

12. What qualities of the American people have contributed to their

industrial success?

REQUIRED READINGS

1. Williamson, _Readings in American Democracy,_ chapter vi.

Or all of the following:

2. Bishop and Keller, _Industry and Trade,_ chapters i and ii.

3. Bogart, _Economic History of the United States,_ chapter i.

4. Fetter, _Modern Economic Problems,_ chapter i.

5. King, _Wealth and Income of the People of the United States,_

chapter iii.

QUESTIONS ON THE REQUIRED READINGS

1. Describe briefly each of the six regions into which continental

United States may be divided. (Bogart, pages 11-12.)

2. Why has the animal life of the North American continent declined in

significance since colonial times? (Bogart, page 8.)

3. Into what five divisions may the forests of the United States be

classified? (Bishop and Keller, pages 27-28.)

4. What may be said as to the temperature of the United States?

(Bogart, pages 12-13.)

5. What may be said as to the extent of rainfall in the United States?

(Bogart, page 13.)

6. Explain the importance of water power in the United States.

(Bogart, pages 3-4.)

7. What changes in farm land values have been brought about in the

last century? (King, pages 22-27.)

8. Discuss the value of urban land in the United States. (King, pages

15-21.)

9. Why is it extremely difficult to measure the wealth of the United

States? (Fetter, pages 6-10.)

TOPICS FOR INVESTIGATION AND REPORT

I

1. Trace the growth in the population of your state since 1880. What

have been the chief sources of this increase?

2. To what extent has the population of your state been affected by

immigration from Europe? What attracts immigrants to your state? Have

there been any changes in the character of this immigration since

1880?

3. Classify the population of your state on the basis of occupation.

(Secure data from the State Board of Labor, or State Bureau of

Statistics.)

4. Estimate the material wealth of your community. What light does the

result throw upon the difficulties of summarizing the wealth of the

nation?

5. Discuss the importance in the economic life of your section of

(a) Agriculture,

(b) Mining,

(c) Forestry,

(d) Manufacturing.

II

6. The economic geography of your section. (Consult Dryer, _Elementary

Economic Geography_.)

7. A comparison of America three hundred years ago with the America of

to-day. (Price, _The Land We Live In_, chapters i and ii.)

8. Character of the American population. (Burch and Patterson,

_American Social Problems_, chapter ix.)

9. An analysis of the American character. (Bryce, _The American

Commonwealth_, vol. ii, chapters cxiv and cxv.)

10. Ways of getting a living. (Carver, _Elementary Economics_, chapter

xv.)

11. Geographical distribution of cities and industries in the United

States. (Semple, _American History and Its Geographic Conditions,_

chapter xvi.)

12. Agricultural industries in the United States. (Bishop and Keller,

_Industry and Trade,_ part ii. Smith, _Commerce and Industry,_

chapters i, in, iv, v, and vi.)

13. Animal industries in the United States. (Bishop and Keller,

_Industry and Trade,_ part iii. Smith, _Commerce and Industry_,

chapter ii.)

14. Power. (Smith, _Commerce and Industry_, chapter ix.)

15. Mineral industries in the United States. (Bishop and Keller,

Industry and Trade, part iv. Smith, _Commerce and Industry_, chapters

viii, xiii, xiv, and xv.)

16. Manufacturing industries in the United States. (Bishop and Keller,

_Industry and Trade_, part v.)

17. Trade routes of North America. (Smith, _Commerce and Industry_,

chapter xvi.)

18. The foreign trade of the United States. (Dryer, _Elementary

Economic Geography_, chapter xxxii. See also any other recently

published text on this general field.)

Problems in American Democracy · 第 2 / 17 章