This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Is Technology A Job Killer? A Few History Lessons

In 1831, Cyrus McCormick invented a reaper that cut wheat stalks as it was pulled by horses and piled them on a platform. Farmers could harvest faster.

In 1837, John Deere stuck the blade of a steel saw onto a plow and invented the steel-edged plow to replace cast-iron ones. Farmers could cut a furrow in the earth more easily and sow faster.

And so began a series of inventions that made farming efficient, and began to drain farms of people. In 1800, two-thirds of Americans worked on farms; today, 2 percent do.

THE SECOND INDUSTRIAL REVOLUTION

Life sped up more in this second period of innovation, from the mid-19th century to the early 20th century, an age of steel and electric power, expanding railroads and the automobile.

In 1856, an Englishman discovered a way of making steel fast and cheap, and other inventors soon improved the process. Railroad companies started using steel for their rails instead of wrought iron, which bent easily and needed to be replaced often. Trains could carry heavier loads, which meant businesses could send more products to distant markets. Sales increased, and so did jobs.

In 1861, a telegraph line was strung from coast to coast in the U.S., vastly improving communication. It also wiped out the Pony Express delivery service; it went out of business the same year.

In 1879, Thomas Edison made a light bulb that wouldn't burn out in a few hours. Factories replaced gas lights, reducing the number of fires.

In quick succession came a string of breakthroughs â¿¿ the automobile, an automatic typesetting machine for printing, a tractor propelled by an internal combustion engine instead of pulled by horses and the Wright brothers' airplane.

Henry Ford started his eponymous car company in 1903. He put men and their tools in stationary positions and had a car being assembled roll from one man to the next. The moving assembly line was born, and cars could be made faster and cheaper. As with textiles earlier, car prices plummeted and demand soared, creating new kinds of jobs in a new industry â¿¿ and helping to wipe out 100,000 jobs for carriage and harness makers.

2 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,712.66 +34.43 0.19%
S&P 500 2,061.02 +4.87 0.24%
NASDAQ 4,891.2190 +27.8570 0.57%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs