Macroeconomics of Slavery
Sales of Slaves
Slaves were freely bought and sold across the antebellum South. Southern law offered greater protection to slave buyers than to buyers of other goods, in part because slaves were complex commodities with characteristics not easily ascertained by inspection. Slave sellers were responsible for their representations, required to disclose known defects, and often liable for unknown defects, as well as bound by explicit contractual language.
Hiring Out Slaves
Slaves faced the possibility of being hired out by their masters as well as being sold. Hired slaves frequently worked in manufacturing, construction, mining, and domestic service, often labored side by side with free persons. Bond and free workers both faced a legal burden to behave responsibly on the job. Yet the law of the workplace differed significantly for the two. Employers were far more responsible in cases of injuries to slaves. However, nineteenth-century free laborers received at least partial compensation for the risks of jobs. Whereas free persons had direct work and contractual relations with their bosses, slaves worked under terms designed by others. Free workers arguably could have walked out or insisted on different conditions or wages. Slaves could not. The law therefore offered substitute protections. Still, the powerful interests of slave owners also may mean that they simply were more successful at shaping the law.
MARKETS AND PRICES
Market prices for slaves reflect their substantial economic value. Prime field hands went for four to six hundred dollars in the U.S. in 1800, thirteen to fifteen hundred dollars in 1850, and up to three thousand dollars just before Fort Sumter fell. Even controlling for inflatio...
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...ves could raise and sell, confining them to corn or brown cotton, for example. In Louisiana, slaves even had under their control a sum of money called a peculium. This served as a sort of working capital, enabling slaves to establish thriving businesses that often benefited their masters as well. Yet these practices may have helped lead to the downfall of slavery, for they gave slaves a taste of freedom that left them longing for more.
Profit Estimates
Slavery never generated superprofits, because people always had the option of putting their money elsewhere. Nevertheless, investment in slaves offered a rate of return -- about 10 percent -- that was comparable to returns on other assets. Slave-owners were not the only ones to reap rewards, however. So too did cotton consumers who enjoyed low prices and Northern entrepreneurs who helped finance plantation operations.
The predominantly agrarian South had few forms of liquid wealth; slaves and land comprised the majority of southern capital. The cultivation of cotton and the profits made by its sales was paramount to the economy and so with the loss of northern buyers, the Confederate’s economic status was destined for failure.
According to a chart on slavery and cotton production in America, cotton and slavery are directly proportional (Doc B). For example, in 1840 the number of slaves in America was 25,00000 slaves, while the number of bales was 125,0000 bales. Another economic reason that made slavery a dominating reality of Southern life in the antebellum period was slave auctions. On the auction block, families were often sundered, due to economic reasons. These economic reasons included insolvency or the segregation of “property” among successors. The separation of families was one of slavery’s biggest psychological nightmares. The poster from 1823 promoted a slave auction (Doc A). The point of view of the poster is in favor of slavery. In this poster, the slaves are described in terms of their capability to do tasks. Slaves would be inspected like an animal by potential buyers. Potential buyers would have slaves open their mouths, and would also prod them with sticks. The younger and healthier the slave was, the more expensive he/she
During the era of 1789-1850, the South was an agricultural society. This is where tobacco, rice, sugar, cotton, and wheat were grown for economic resources. Because of labor shortage and the upkeeps of the farm to maintain the sale of merchandise property-owners purchased black people as slaves to work their agricultural estate, also low- key sharecroppers often used slave work as their resources as well. As the South developed, profits and businesses grew too, especially those expected to build up the local crops or remove natural resources. Conversely, these trades regularly hire non-landowning whites as well as slaves either claimed or chartered. With that being said, the African culture played a significant role as slaves in the south
In “Slaves and the ‘Commerce’ of the Slave Trade,” Walter Johnson describes the main form of antebellum, or pre-Civil War, slavery in the South being in the slave market through domestic, or internal, slave trade. The slave trade involves the chattel principle, which said that slaves are comparable to chattels, personal property that is movable and can be bought or sold. Johnson identified the chattel principle as being central to the emergence and expansion of slavery, as it meant that slaves were considered inferior to everyone else. As a result, Johnson argued that slaves weren’t seen as human beings and were continually being mistreated by their owners. Additionally, thanks to the chattel principle, black inferiority was inscribed
Slavery had a big impact on the market, but most of it was centered on the main slave crop, cotton. Primarily, the south regulated the cotton distribution because it was the main source of income in the south and conditions were nearly perfect for growing it. Cheap slave labor made it that much more profitable and it grew quickly as well. Since the development in textile industry in the north and in Britain, cotton became high in demand all over the world. The south at one point, was responsible for producing “eighty percent of the world’s cotton”. Even though the South had a “labor force of eighty-four percent working, it only produced nine percent of the nations manufactured goods”, (Davidson 246). This statistic shows that the South had an complete advantage in manpower since slavery wasn’t prohibited. In the rural South, it was easy for plantation owners to hire slaves to gather cotton be...
Everybody has something they feel that makes their lives easier, something a person becomes so accustomed to they could not live without it. This is what African slaves were to the Southern colonists. Slavery was a huge factor in the Southerner’s lives. Originally the colonists used indentured servants to work in their homes and on their plantations. This situation was not ideal because the Southern farmers wanted more control over their workers (orange). Virginian farmers heard about the success of slavery in the Caribbean and thought it would be a good solution to their problems (blue). The southern colonists had a very different way of earning a living than in the north. They needed people to work through “the harsh realities of a land-rich, but labor-scarce economy…” (Purple). The plantation owners had all the land and resources, but no one to work on their grounds long term. Throughout the years 1607-1775, slavery rose as an important contributor to the South’s economy due to social, geographic and economic aspects.
Slavery allowed the American economy to flourish for over 300 years. It allowed many Southern states to grow at a furious pace without significantly diversifying their economy. The South relied on the harvesting of cash crops such as tobacco and cotton, which were very labor intensive. Without much cheap labor, slaves were relied on to harvest the crops; this provided enormous value to farmers and plantation owners in the region. However, the institution of slavery was challenged in the 18th century by decades of Enlightenment thought, newfound religious ideals, and larger abolitionist groups. After the American Revolution many states would ban the practice of slavery completely and only a few would maintain the “peculiar institution”.
Slavery might have had better conditions like: clothes and medical care, according to New York Historical Society but, Wage laborers could leave work and go...
The slave trade into the United States began in 1620 with the sale of nineteen Africans to a colony called “Virginia”. These slaves were brought to America on a Dutch ship and were sold as indentured slaves. An Indentured slave is a person who has an agreement to serve for a specific amount of time and will no longer be a servant once that time has passed, they would be “free”. Some indentured slaves were not only Africans but poor or imprisoned whites from England. The price of their freedom did not come free.
Within the economy a great development had been achieved when the upper south handed its power to the lower south all due to the rise of an agricultural production. This expansion was led by the excessive growth of cotton in the southern areas. It spread rapidly throughout America and especially in the South. During these times it gave another reason to keep the slavery at its all time high. Many wealthy planters started a ‘business’ by having their slaves work the cotton plantations, which this was one of a few ways slavery was still in full effect. Not only were there wealthy planters, at this time even if you were a small slave-holder you were still making money. While all of this had been put into the works, Americans had approximately 410,000 slaves move from the upper south to the ‘cotton states’. This in turn created a sale of slaves in the economy to boom throughout the Southwest. If there is a question as to ‘why’, then lets break it d...
The Southerners viewed slavery as a luxury and a necessity. Financial gain was one of the reasons slavery was tremendously popular. Slaves were required to work in various places for little or no money. Therefore, this helped the slave owners achieve their goal of increasing their profits because they did not have to pay for labor costs. With lower labor costs, the Southerners had more disposable income. This extra money allowed them to pay their taxes, to buy more land, and to even possibly purchase more slaves.
After reading the narrative that Fredrick Douglass wrote about his life in slavery, escaping, and ultimately living a free life, I believe that slave owners could have treated slaves better, yet still have gotten the same amount of work from the slaves. If the slaves had adequate amount of food and clothing and were not whipped, they would have gotten more work done. If slaves had been treated like this, I believe the word “slave” would not have the same meaning but rather as a human employed for work. The abolition of slavery has given humans the ability to freely choose how we live and spend our everyday life.
Once the introduction to slavery was introduced to America, a firestorm of maltreatment towards human kind ensued. Slaves were an alternative to indentured servants, which proved to be a very popular and cost effective solution to the labor problem amongst farmers. Americans began to import enslaved African workers by the thousands and sold them to land owners as lifelong property. With the indentured population diminished, and due to the low cost of African slaves, popularity and widespread African slavery grew.
Slavery has been a part of human practices for centuries and dates back to the world’s ancient civilizations. In order for us to recognize modern day slavery we must take a look and understand slavery in the American south before the 1860’s, also known as antebellum slavery. Bouvier’s Law Dictionary defines a slave as, “a man who is by law deprived of his liberty for life, and becomes the property of another” (B.J.R, pg. 479). In the period of antebellum slavery, African Americans were enslaved on small farms, large plantations, in cities and towns, homes, out on fields, industries and transportation. By law, slaves were the perso...
Slave Life The warm climate, boundless fields of fertile soil, long growing seasons, and numerous waterways provided favorable conditions for farming plantations in the South (Foster). The richness of the South depended on the productivity of the plantations (Katz 3-5). With the invention of the cotton gin, expansion of the country occurred. This called for the spread of slavery (Foster). Slaves, owned by one in four families, were controlled from birth to death by their white owners. Black men, women, and children toiled in the fields and houses under horrible conditions (Katz 3-5). The slave system attempted to destroy black family structure and take away human dignity (Starobin 101). Slaves led a hard life on the Southern plantations. Most slaves were brought from Africa, either kidnapped or sold by their tribes to slave catchers for violating a tribal command. Some were even traded for tobacco, sugar, and other useful products (Cowan and Maguire 5:18). Those not killed or lucky enough to escape the slave-catching raids were chained together (Foster). The slaves had no understanding of what was happening to them. They were from different tribes and of different speaking languages. Most captured blacks had never seen the white skinned foreigners who came on long, strange boats to journey them across the ocean. They would never see their families or native lands again. These unfortunate people were shackled and crammed tightly into the holds of ships for weeks. Some refused to eat and others committed suicide by jumping overboard (Foster). When the ships reached American ports, slaves were unloaded into pens to be sold at auctions to the highest bidder. One high-priced slave compared auction prices with another, saying, "You wouldn’t fetch ‘bout fifty dollas, but I’m wuth a thousand" (qtd. in Foster). At the auctions, potential buyers would examine the captives’ muscles and teeth. Men’s and women’s bodies were exposed to look for lash marks. No marks on a body meant that he or she was an obedient person. The slaves were required to dance or jump around to prove their limberness. Young, fair-skinned muttaloes, barely clothed and ready to be sold to brothel owners, were kept in private rooms (Foster). It was profitable to teach the slaves skills so that during the crop off-season they could be hired out to work. Although they were not being paid, some were doing more skilled work than poor whites were.