Two ways the United States changed between 1800 and 1860 were size
Factors of the economy and reasons the North grew so
1908 Money and credit
The Labor Factor
||8% of U.S. population lived in cities of 8,000 or more.
||16% of population...
||33% of population...
Immigrants from Europe were
the largest group of people to move to the Northern cities. Immigrants
in the 1880's were different from earlier immigrants because they
were uneducated and had few skills. They looked for factory, construction,
and railroad jobs.
The Transportation Factor: Regional and National Transportation
- Before Civil War: Barges moved wheat and corn across canals, lakes,
- After Civil War: Railroads replaced barges, ships became most important
form of transportation.
||35,000 miles of railroad tracks
||200,000 miles of railroad tracks
- City transportation systems were needed in the cities to move workers
to and from work. Street cars allowed office workers, managers, and
professionals to move to quiet, less crowded urban
|Starting in 1800's:
||Horses pulled wagons slow, inefficient, created sanitary
||Elevated Trains were dirty and noisy.
||Cable cars had limited driving range.
|Later in the 1880's:
||Street cars were quick, efficient,
"inter-urban" and ran between cities.
The Money and Credit Factor: Private Banks
- Largest private banks were in New York, & Philadelphia.
- J.P. Morgan: Wealthy banker. Owned banks that had connections with
London and Paris.
- Private banks helped government and big businesses obtain loans
- Bankers could own railroads because the railroad owner would take
out a loan and not be able to pay it back, so the bankers began to
own their railroads.
The Demand Factor: Demand for consumer
Products in demand after Civil war:
- Rails and railroad cars
- Factory machinery
- The name of the mass-produced, standard-sized clothing company
Demand for Services.
- City people demanded indoor plumbing, electricity for home usage,
gas for lighting, public parks, amusements.
The Profit Factor
Businesses in the North were in a position to make large profits
after the Civil War because of a large supply of cheap
labor, good transportation that provided access to natural resources
and markets, and large companies that could get money and credit to
buy good equipment and tools. Demand for products was great.