The market revolution occurred In the early sass and caused a lot of change In the country. Improvements In transportation were among the most beneficial of these changes. During this time period factories became more popular In the north and women began to hold paying jobs. Controversy over the national bank was among the most detrimental changes in the country. Although the banks helped the country economy at times it also caused the worst economic depressions the country had ever seen. The market revolution was a very important part of the placement of the united States.
Throughout the early sass’s transportation in the country was improved immensely. Railroads were built connecting the east and the west and provided a means of transporting goods and people across the country. John Stevens, the father of American railroads, charted the first railroad In 1815. The Baltimore and Ohio railroad was the first completed railroad In the country, 1830. Two other significant railroads included the Saratoga, which Improved trade with the Native Americans, and the Transcontinental railroad, which was Joined by the golden spike.
In 1862 the railroad act was passed. Benefits of the railroads Included an improved postal service, improvements in making, transportation and trade between the east and the west was easier and quicker, and westward expansion was made easier. Adverse effects of the railroads included, Buffalo being killed and air pollution was increased. Steamboats were also an important innovation of the sass’s. Robert Fulton invented the steam powered Claremont. This innovation provided a faster trip from New York to Albany.
Robert Livingston funded resources for the production of some steamboats. The engines built in England, where industrialization was beginning to take place, and shipped to the united States to be assembled. By the sass’s about 700 steamboats were In operation and water travel had been transformed. Some benefits of the steamboats were that they were a faster means of transporting goods and people, they were an Inexpensive means of transportation that allowed the west to have access to goods from the East, some towns like SST.
Louis experienced and expansion of fur trade and lead industries, and many jobs were created. Some negative affects of the steamboat were, mistrust was reared with the native Americans because Natives worried that the white were encroaching on their lands, the boilers in the steamboats often exploded and killed people, therefore safety regulations were created to protect the state governments, forests were damaged due to need for timber, and a lot of deforestation and pollution occurred.
Roads had been in place in America for a long time but they were not very good roads and were often confusing and were not coordinated between states. During the market revolution roads were Improved and built across the country to make It faster and cheaper to ship goods wealth the country. The amount of roads was doubled and shipping costs were halved by the creation of turnpikes and interstate roads. The national road was built between Baltimore and Wheeling small towns.
The downsides of the new roads were that a struggle for money and power over turnpikes began, there were conflicts over roads that intersected causing issues with tolls, and there was an uneven economic benefit. Canals were also built to help transport large amounts of cargo up hill using multiple locks that raised water levels. One well-known canal is the Erie Canal that went from Albany to buffalo. Benefits of the canals were that it was cheaper to transport goods and it was easier to transport heavy loads over water then over land.
Negative effects of the canals were that they were expensive to build and it took a lot of resources to try to build the canals through trial and error. The increased use of factories especially in the north was another large part of the market revolution. Factories were built because of a desire for economic growth after the war of 1812, to strengthen the industry, to help the country rely less of imports from the rest of the world, and to put into place utter manufacturing technology. Leading industries that used factories were textiles and shoes.
Textile mills were usually built near the rivers because some of the equipment was powered by water wheels. The earliest factory was started by Samuel Slater in 1790 in Rhode Island to produce thread and yarn faster. Social affects of the Factories were the depletion of the yeoman farmer, sectionalism became popular with more factories in the north and slaves in the south and female workers became a huge part of factories. Young females were sought to work in factories at this time cause they could be paid low wages and were easily expendable.
Working conditions in the factories were terrible because there was such a huge supply of workers especially when immigrants started to come to the United States. The factories were able to produce a lot of goods very fast and make a huge profit because they pad the women so little. The women tried to fight for better wages ad working conditions but were disregarded and replaced. Mill girls, as they were called, were unmarried young women that worked for low beginner wages for a few years and then left to be married before their wages could be increased.
These workers were only paid about 2-3 dollars and hour for a 72-hour workweek. In the sass the shift to immigrant workers began. The third major part of the market revolution was the chartering of and the conflict over the national bank. The bank had a huge influence on society. The bank funded the ventures of the entrepreneurs, borrowers were also given loans in the form of banknotes, and neither federal nor state governments issued paper money.
Banknotes were certificates unique to a bank that had a specific hard money value. Hard money was the gold or silver that backed the hard notes. A specie payment is when a banknote is traded in for hard money. Many people tried to counterfeit the banknotes so they were made more intricate. Hard money democrats wanted to get rid of the banknotes completely and were beneficial to the economy because they required banks to have a certain amount of hard money in order to be able to issue banknotes.
The board of directors was a group of the most powerful bankers. They decided who got loans, what the discount rates were, and the regulated the printing of paper money. In 1811 the charter for the bank expired so a new 20 year charter was issued. When the charter was about to expire again Andrew Jackson, the president of the time, was set on getting rid of the national bank because of a bad speculation that caused him to loose all of his money recharging of the bank.
Nicholas Bridle was another key banker that made it harder for businessmen to get loans in hope of gaining their support. There were many booms and busts of the market revolution. The market went through a series of growth and depression for years and continues to follow the same pattern; “What goes up must come down”. The panic of 1819 was the first significant economic oppression after a period of growth and made everyone poor and poorer. The panic blamed the second bank for the collapse of the economy.
At the time the British economy was also suffering which made it harder for farmers to support themselves. We see a trend in the series of booms and busts that our economy is greatly affected by Britain’s economy. The panic led to another period of stability and growth when jobs were created, transportation was improved, and industry was increased. The Panic of 1837 was the next bust caused by the bank calling back loans, the national ann. was gone, Britain’s economy was suffering and banks stopped taking coins at face value.