Fordism
Discuss the major components of the "new capitalism" that emerges during the 1920s: the alliance between state and industrial capital, Taylorism, and Fordism. How do these affect workers? In 1920, America was fresh out of World War 1 and carrying a boisterous attitude. From the War, Americans realized that industry meant power in the overall scheme of the world. By 1920, a "new capitalism" was known in industry. The major components of this new capitalism were: an alliance between state and industrial capital, Taylorism, and Fordism. These components, as well as how they affect workers will be discussed in this essay. After the war, workers began returning to factories to assume their old positions. What they found were owners of large corporations gaining more and more control over employees. Owners were proposing to crush the striking power of the working class in turn for higher wages, and increased benefits. These higher wages led to a "new capitalism" which is as Greene describes (Greene, 1998:111), "a new era of harmony between capital and labor." At the start of 1920, industry was the largest contributor to the GMP, 200 companies contributed to over half of this country's wealth. During the war, it was indu
One way to ensure that the government could help industry was to help intervene in strikes that had become widespread throughout factories. By using a conveyor belt to move parts throughout the factory, Ford was able to set up a network on the shop floor with different branches producing different parts. Their application of scientific management forever changed the way factories operated. It was felt that with high wages, employees would be less apt to quit and work elsewhere, regardless of factory conditions. There was also an issue with the conveyors. Library of Congress Catalog in Publicattion Data, 1974. There were more injunctions issued in the 1920s than ever before. The focus has shifted slightly from war, but money still controls government, and the people that make the most money run the big factories. The assembly line built upon that which Taylor had recognized. The moving assembly brought work to the worker, as a moving conveyor belt transported automobile parts throughout the factory. Piece wages did not last long in most companies however, as another man would soon change industry. The network described earlier allowed many workers to perform repetitive functions to produce at a rate that was unmatched by any single worker. Managers were used to conduct these studies, which allowed them to become more familiar with the labor process.
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