Economies of North and South During American Civil War

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The economies of the North and South were vastly different leading up to the Civil War. Money was equivalent to power in both regions. For the North, the economy was based on industry as they were more modern and self-aware. They realized that industrialization was progress and it could help rid the country of slave labor as it was wrong. The North’s population had a class system but citizens could move within the system, provided they made the money that would allow them to move up in class. The class system was not as rigid as it was in the South. By comparison, the South wanted to hold on to its economic policy. In doing so, the practice of slavery kept the social order firmly in place. The economic factors, social issues and a growing animosity between the two regions helped to induce the Civil War. The population of the North consisted of forward thinking individuals. They realized that a change had to be made from agriculture to industry if they were to prosper and for them to use free labor to accomplish prosperity would be to take a step backwards. This ushered in an small and early Industrial Revolution. Factories and mills that produced finished goods sprung up all over the Northern United States along major waterways. These factories produced fabric, iron, machinery, weapons. Raw materials such as cotton was bought from the South and then sold back to them in the form of clothes. Iron workers made iron railroad ties for the growing railroads across the country. More machinery was being built than ever before. These machines were able to multiply the work that could be accomplished. These industries drew in people from rural areas because they were paying for work. As more people came, they settled around the factori... ... middle of paper ... the largest and most complete history site on the web. Retrieved November 12, 2010, from Kelly, M. (n.d.). Overview of the American Civil War . American History From About. Retrieved November 14, 2010, from London, B. (n.d.). A Changing Economy. Georgia and the American Experience. Retrieved November 15, 2010, from London, B. (n.d.). Henry Grady: The South's Best Salesman. Georgia and the American Experience. Retrieved November 16, 2010, from Tariff - Definition and More from the Free Merriam-Webster Dictionary. (n.d.). Merriam-Webster Online. Retrieved November 14, 2010, from

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