CHAPTER 9: Creating the Cotton Economy

9.1 - Creating the Cotton Economy

• Cotton became the US's leading export, driven by European demand.

• The cotton gin dramatically increased cotton processing efficiency, going from 1 pound per day for one worker to 50 pounds.

• The "Black Belt," encompassing Alabama, Mississippi, Louisiana, and Tennessee, became the South's dominant agricultural region, highly reliant on enslaved labor for cotton production.

• Working conditions on cotton plantations were harsh, with excessively long hours and frequent abuse.

• Resistance, whether through rebellion or escape, was prevalent, but carrying high risks.

• Despite hardship, enslaved communities maintained cultural connections.

• Large plantations symbolized the South's overwhelming reliance on enslaved labor.

• Most enslaved people labored on smaller farms, not just large plantations.

• The North emerged as a manufacturing powerhouse, focused on factories and textiles.

• Corporations like Lowell Mills transformed cotton into fabric for export.

• Young, unmarried women were employed in these factories, offering a glimpse of independence.

• New York City became the American hub for cotton trade, experiencing significant economic growth.

• The New York Stock Exchange facilitated investments in rapidly expanding industries.

• The Panic of 1819 exposed the fragility of US economic expansion, triggered by decreased European demand for American goods following Napoleon's defeat.

• Banks, including the Bank of the US and state banks, offered excessive loans.

• The interconnected national economy meant the recession affected everyone, leading to widespread debt defaults.

• By 1825, the economy largely recovered, though new issues arose.

9.2 - Commerce, Technology, and Transportation

• Americans in the Great Lakes region utilized the Mississippi River for trade.
• The Erie Canal created a direct route from the interior to the Atlantic via New York City.
• Steamboats made upstream travel on the Mississippi River possible, greatly boosting Southern trade.
• The National Road, also known as the Cumberland Road, a federally funded interstate network, was completed in 1818.
• Improvements in transportation led to faster communication, leading to increased national awareness in urban centers.
• Corporations arose as commerce became too large for individuals to manage independently.
• Banks became established throughout populated areas.
• Stockholder-oriented businesses fostered broader investment, lowered personal risk, and were promoted by the government.

9.3 - From the Era of Good Feelings to the Politics of Division

• Federalists lost political influence during the "Era of Good Feelings" (1817-1825).

• James Monroe and the Democratic-Republicans dominated elections.

• Federalist Chief Justice John Marshall significantly expanded the power of the federal government.

• Important Supreme Court decisions (Dartmouth College v. Woodward, McCulloch v. Maryland, and Gibbons v. Ogden) solidified federal authority, upholding contracts, regulating the Bank of the United States, and granting federal intervention in interstate commerce.

• The balance between free and slave states shifted, especially with the growing Northern population.

• Missouri applied for statehood, and the North opposed its admission as a slave state.

• The Missouri Compromise ensured a balance in the Senate by admitting Maine as a free state and Missouri as a slave state, while also excluding slavery from the Louisiana Purchase territory above 36° 30′ north latitude.

• The Election of 1824 was contentious and produced a divided outcome.

• Four candidates vied for presidency (Jackson, Adams, Clay, and Crawford).

• Jackson received the most electoral votes, but no one won a majority, leading to a House election.

• Henry Clay's influence was crucial in the House decision, which selected John Quincy Adams.

• This "Corrupt Bargain" led to the formation of opposing groups: Adams/Clay supporters became Whigs, and Jackson supporters became Democrats.

• Adams pursued policies aligned with Federalist principles, including the "American System" (federal funding of internal improvements, a protective tariff) – highly popular in the North but unpopular in the South and West.

• The Jacksonian era saw an upsurge in voter participation.

• The era saw the rise of politicians appealing directly to the masses, exemplified by Andrew Jackson.

• The election of Jackson in 1828 marked a shift in political leadership.

• While the era is called the "age of the common man," it fell short of true economic and social equality for most people at the time.