Adam Smith - answerThe main prophet of the laissez-faire economics who wrote The Wealth of Nations. Attested to the importance of the free market, or the unregulated exchange of goods and services. He believed that free market would benefit members of all social classes, not just the rich, and produce more goods at lower prices, making them more affordable to everyone. He also believed that free market would encourage capitalists to invest more money in new economic ventures. Bourgeoisie - answerThe middle class. During the Industrial Revolution, a new middle class came into power. Entrepreneurs, including merchants, investors, artisans, and factory owners, formed this new wealthy middle class. Middle class families lived in nice homes, dressed well, ate well, and even gained power in Parliament. Women were encouraged to become "ladies" and live lifestyles similar to nobles by taking up activities like drawing, embroidery, or playing the piano. Daughters were educated to maintain happy, well furnished homes for their future husbands while sons gained education to become businessmen. This new middle class valued hard work and determination and offered little sympathy to the poor, as they believed their misfortune was their own doing. Capitalism - answerAn economic system by which the factors of production are privately owned and money is invested into business ventures to make a profit. Similar to the ideas of Laissez Faire and helped bring about the ideas of the Industrial Revolution. British economists Thomas Malthus, David Ricardo, and University professor Adam Smith all supported Capitalism and believed that natural laws governed economic life. Capitalist - answerPerson who supports capitalism. Some influential were Adam Smith, Thomas Malthus, and David Ricardo. Their ideas were set on the foundation of laissez faire capitalism. They believed that natural laws governed economic life, opposed government efforts to help the poor, and also opposed minimum wage laws and better working conditions. Class Struggle - answerThe Industrial Revolution greatly widened the gap between the classes. The new middle class, comprised of entrepreneurs, greatly benefitted from the Revolution. Some of these entrereneurs-including merchants, inventors, and skilled artisans who developed new technologies- rose from "rags to riches". They lived in well furnished homes, dressed well, gained influence in Parliament, and lived like the nobles. The worker class however, lived in very different conditions. Workers worked long, harsh hours in poor conditions with little pay and when they came home they were forced to reside in areas of filth that had no developmental plans, sanitary codes, or building codes. They lacked adequate housing, education, and police protection for peope who came from the countryside seeking jobs. They recieved no help from the middle class and were resentful towards them. Communism - answerAn economic system proposed by Karl Marx that was a form of complete socialism in which the means of production-all lands, mines, factories, railroads, and businesses-would be owned by the people. Formed from the ideas of socialism, but was more extreme. Marx believed that communism was the only way to promote equality, abolish poverty, and create a stable economy and government. Private property would cease to exist and all goods and services would be shared equally. Marx wrote "The Communist Manifesto" in 1848 as a guide to the proper way of living. Corporation - answerA business owned by stockholders who share its profits but are not personally reponsible for its debts. Large businesses become corporations raise money to buy items like industrial equipment. Corporations sought to gain monopolies as a result of their newfound money source. Businesses also earned money by lowering their prices in goods due to the increase in production and new money source. However, workers still earned low wages for long hours while stockholders earned large profits and corporate leaders make fortunes. Crop Rotations - answerThe system of growing a different crop in a field each years to preserve the fertility of the land. One of the best developments by scientific farmers that improved upon older methods like the medival three-field system. Farmers might plant wheat one year to exhaust soil nutrients, turnips the next to restore nutrients, then barley, then clover, etc. David Ricardo - answerA wealthy stockbroker who wrote "The Principles of Political Economy and Taxation" in 1817. Laissez Faire thinker who supported capitalism and had ideas similar to Adam Smith and Thomas Malthus. Believed that a permanent underclass would always be poor but that wages would be forced down as the population increased. Believed that in a market system, if there many workers and resources, then labor and resources are cheap. If there are few workers and scarce resources, they are expensive. Also composed the Iron Law of Wages. Dictatorship of the Proletariat - answerTheory proposed by Marx where, in a communist society, the workers would control the government. Marx believed that the large proletariat, being cheated by capitalism and the Revolution, would revolt and seize the factories and mills from capitalists. The workers would control the government until people began to understand how to live in a communist society and, after a period of cooperative living and education, the state or government would wither away as a classless society developed.