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8+ Factory System APUSH Definition: Key Facts & Impact

The industrial organization that arose primarily during the Industrial Revolution, characterized by the concentration of labor and machinery in a single, often large, building. This setup facilitates mass production through the use of standardized processes and specialized tasks. A significant example is the textile mills of Lowell, Massachusetts, which employed young women and integrated all aspects of cloth production under one roof.

Its emergence marked a pivotal shift from earlier cottage industries and artisan production, fundamentally altering economic and social structures. The system fostered unprecedented levels of output and economic growth. However, it also led to new social problems, including harsh working conditions, long hours, and the rise of a wage-dependent labor force. Its development significantly contributed to urbanization as people migrated from rural areas to find employment.

9+ Best Putting-Out System Definition Examples

This arrangement, also known as the domestic system, represents a means of subcontracting work. A central agent provides raw materials to individuals or families who work on them in their homes. These workers then return the finished or semi-finished goods to the agent for payment. This decentralized production model relies on a network of independent laborers rather than centralized factory production. For instance, in the textile industry, a merchant might supply wool to spinners and weavers who work from their cottages, subsequently collecting the woven cloth for sale.

The significance of this structure lies in its capacity to provide employment opportunities, particularly in rural areas, and to circumvent the rigid regulations of guilds that often constrained production within urban centers. It offered flexibility for both workers and merchants, allowing for adjustments in output based on demand. Historically, this production method predates the factory system and played a crucial role in the transition from agrarian economies to industrialized societies. The dispersal of production allowed for capital accumulation and the development of entrepreneurial skills that would later fuel the Industrial Revolution.