THE MARKET REVOLUTION 1790-1830
THE RISE OF A MARKET ECONOMY
 DUE TO CHANGES IN TRANSPORTATION A NEW ECONOMIC SYSTEM WILL
DEVELOP
 FARM INCOME INCREASED BECAUSE TRANSPORTATION COSTS DECLINED
 1800-1815 HOMES CONSUMED MOST OF WHAT THEY GREW
 1820’S BEGIN TO SEE FARM FAMILIES PRODUCE SOME GOODS FOR MARKET
 MORE SETTLEMENT OUT WEST AS A RESULT OF TRANSPORTATION
 1800-40 AGRICULTURAL OUTPUT INCREASED ANNUALLY ABOUT 3%
 BETTER TECHNOLOGY, IRON TOOLS, LED TO IMPROVED YIELDS
 IMPROVED VARIETIES OF CROPS & LIVESTOCK
 AVAILABILITY OF GOOD LAND
WESTWARD EXPANSION – GO WEST YOUNG MAN
 1790 WEST WAS EAST OF
APPALACHIANS
 1840 1/3 US POPULATION LIVED
BETWEEN APPALACHIANS & MISSISSIPPI RIVER
 MOVE AS FAMILIES, CREATE OWN
CULTURE, LIFE HARD INITIALLY
 SEE EAST AS CORRUPT & WEST AS
HONEST & DEMOCRATIC
 VERMONTVILLE, MI- INCREASED
POWER OF FED GOV’T, RUTHLESS
INDIAN REMOVAL, INCREASE IN
AG PRICES POST 1812
 NEW STATES OUT OF LA PURCHASE
THE DOMESTIC SYSTEM
TO TRACE THE CHANGES FROM HOUSEHOLD MANUFACTURING TO FACTORIES
BY LOOKING AT CIRCUMSTANCES THAT FORCED TECHNOLOGICAL CHANGE
 1800-1815 MANUFACTURING AT
HOME FOR PERSONAL
CONSUMPTION
 IMPROVED TRANSPORT INCREASED
FARM INCOME & STIMULATED
COMMERCIAL AGRICULTURE
 DOMESTIC SYSTEM CREATED
CHANGE IN DISTRIBUTION
 WORK DURING OFF SEASON
 1800-1840 AG OUTPUT INCREASED
ANNUALLY ABOUT 3%
TEXTILES AND THE FIRST FACTORIES
 GREAT BRITAIN “WORKSHOP OF THE
WORLD”
 SIMPLE FACTORIES: PAWTUCKET, RI
1790, SAMUEL SLATER, SPUN
COTTON INTO THREAD
 F.C. LOWELL & BOSTON ASSOCIATES
1813 - CREATE WALTHAM SYSTEM
 COMBINE OPERATION, PRODUCTION
& MANAGEMENT IN CENTRAL
LOCATION
 THREAD INTO COTTON CLOTH
THE WALTHAM SYSTEM & LOWELL MILL GIRLS
 SOUTHERN NEW ENGLAND FIRST U.S.
MAJOR MANUFACTURING CENTER
 FACTORIES RUN ON WATER POWER
 MID 1820’S – LOWELL GIRLS WORK IN
FACTORIES
 COMPARED TO EUROPE CONDITIONS
RELATIVELY GOOD INITIALLY
 AS VORACIOUS APPETITE FOR
COTTON CLOTHING SKYROCKETS
DEMANDS FOR PRODUCTION
INCREASE, SO DOES PRESSURE TO
PERFORM & CONDITIONS
DETERIORATE
 STRIKES 1834 & 1836
KING COTTON
 MOST IMPORTANT INDIRECT EFFECT OF
INDUSTRIALIZATION OCCURRED IN THE
SOUTH
 INDUSTRY, TRANSPORTATION &
IMPROVED AGRICULTURAL YIELDS LED
TO SPECIALIZATION OF CROPS – COTTON
 EXCHANGE NETWORK ENCOURAGED
REGIONAL CONCENTRATION &
DEVELOPMENT OF CREDIT & GROWTH
OF BANKS (MORE LATER)
 DEMAND FOR COTTON ASTRONOMICAL
 COTTON GIN 1793 SOLIDIFIES SLAVERY
IN THE SOUTH
 1820 ½ COTTON FROM ALA & MISS
BLACK BELTS – SLAVERY MOVES WEST
 ALABAMA FEVER
 1830 $50/ACRE; 2/3 AMERICAN
EXPORTS – COTTON
 COTTON STIMULATES REST OF
ECONOMY
 NORTH CONTROLS COTTON ONCE
IT LEAVES PLANTATION & SOUTH
RESENTS THENORTH – TENSION
 MISSOURI COMPROMISE,
PROPERTY RIGHTS, VIRGINIA SELLS
6K 1832
 SLAVE PRICES DOUBLE, INTERSTATE
SLAVE TRADE FLOURISHES