| A | B |
|---|
| Industrial Revolution | Shift, beginning in England, in 18th century from handmade to machine made goods; from farm to cities; from domestic to factory |
| Agricultural revolution (Agrarian Revolution) | 18th century changes when machines were introduced to the farms; increased production and decreased the number of farmers needed |
| Enclosure | late 18th century; Fencing off of common pastures by wealthy landowners; forced small farmers out farming due to loss of common pasture lands |
| Crop Rotation | (scientific farming) rotate crops to increase production |
| Industrialization | the development of industries for the machine production of goods; use of the factory system |
| Factors of Production | Resources (land), labor, and capital ($); “ingredients” needed to industrialize (capital; talent; natural resources; infrastructure – transportation and communication systems) |
| Urbanization | the growth of cities and the migration into them; especially during the industrial revolution |
| Middle Class/Bourgeoisie | A social class made up of skilled workers, professionals, business people, and wealthy farmers; term used by Marx to describe wealthy factory owners; capitalists |
| Effects of Industrialization | Cities increase, living conditions decrease; working conditions poor, etc. (Early stages of industrialization) |
| Laissez – faire | Economic system; idea that government should not interfere with or regulate industries and businesses; Adam Smith’s theory, replaced mercantilism; |
| Capitalism | economic system; free market economy; private ownership/private enterprise;consumers detemine price; supply and demand. |
| Socialism | economic system; mixed economy; some private and some government ownership of business |
| Communism/Marxism | economic system; command economy; government owns all/everything and (ideally) distributes equally to all people |
| Collective bargaining | negotiations between workers (unions) and their employees |
| Adam Smith | England – Free economy; free market system; father of laissez-faire capitalism; wrote “Wealth of Nations” 1776; government should stay out of the economy and give people total freedom to make profit |
| Thomas Malthus | England – “An Essay on the Principles of Population”; argued that population would increase more rapidly than the food supply |
| David Ricardo | Italy – wrote “Principal of Political Economy and Taxation”; society will always have poor people; supports laissez-faire capitalism; believed wages would go down as population increased |
| Karl Marx | Germany – wrote “Communist Manifesto”; ideas of communism/Marxism; called for total government ownership of business; total equality for all – all people treated the same |
| Fredrich Engels | Germany – wrote with Marx “Communist Manifesto”; said industrial revolution enriched the wealthy and impoverished the poor |
| James Watt | England/Scotland – Improved the steam engine |
