Major Business




The Mississippi

Before the Civil War had ended, however, the transformation of the United States from a nation of farmers and small-scale manufacturers to a highly organized industrial state had begun. Probably the most important single influence was the War itself. Those four years of bitter conflict illustrate, perhaps more graphically than any similar event in history, the power which military operations may exercise in stimulating all the productive forces of a people. In thickly settled nations, with few dormant resources and with practically no areas of unoccupied land, a long war usually produces industrial disorganization and financial exhaustion. The Napoleonic wars had this effect in Europe; in particular they caused a period of social and industrial distress in England. The few years immediately following Waterloo marked a period when starving mobs rioted in the streets of London, setting fire to the houses of the aristocracy and stoning the Prince Regent whenever he dared to show his head in public, when cotton spindles ceased to turn, when collieries closed down, when jails and workhouses were overflowing with a wretched proletariat, and when gaunt and homeless women and children crowded the country highways. No such disorders followed the Civil War in this country, at least in the North and West. Spiritually the struggle accomplished much in awakening the nation to a consciousness of its great opportunities. The fact that we could spend more than a million dollars a day--expenditures that hardly seem startling in amount now, but which were almost unprecedented then--and that soon after hostilities ceased we rapidly paid off our large debt, directed the attention of foreign capitalists to our resources, and gave them the utmost confidence in this new investment field. Immigration, too, started after the war at a rate hitherto without parallel in our annals. The Germans who had come in the years preceding the Civil War had been largely political refugees and democratic idealists, but now, in much larger numbers, began the influx of north and south Germans whose dominating motive was economic. These Germans began to find their way to the farms of the Mississippi Valley; the Irish began once more to crowd our cities; the Slavs gravitated towards the mines of Pennsylvania; the Scandinavians settled whole counties of certain northwestern States; while the Jews began that conquest of the tailoring industries that was ultimately to make them the clothiers of a hundred million people. For this industrial development, America supplied the land, the resources, and the business leaders, while Europe furnished the liquid capital and the laborers.

Even more directly did the War stimulate our industrial development. Perhaps the greatest effect was the way in which it changed our transportation system. The mere necessity of constantly transporting hundreds of thousands of troops and war supplies demanded reconstruction and reequipment on an extensive scale. The American Civil War was the first great conflict in which railroads played a conspicuous military part, and their development during those four years naturally left them in a strong position to meet the new necessities of peace. One of the first effects of the War was to close the Mississippi River; consequently the products of the Western farms had to go east by railroad, and this fact led to that preeminence of the great trunk lines which they retain to this day. Almost overnight Chicago became the great Western shipping center, and though the river boats lingered for a time on the Ohio and the Mississippi they grew fewer year by year. Prosperity, greater than the country had ever known, prevailed everywhere in the North throughout the last two years of the War.

So, too, feeding and supplying an army of millions of men laid the foundation of many of our greatest industries. The Northern soldiers in the early days of the war were clothed in garments so variegated that they sometimes had trouble in telling friend from foe, and not infrequently they shot at one another; so inadequately were our woolen mills prepared to supply their uniforms! But larger government contracts enabled the proprietors to reconstruct their mills, install modern machines, and build up an organization and a prosperous business that still endures. Making boots and shoes for Northern soldiers laid the foundation of America's great shoe industry. Machinery had already been applied to shoe manufacture, but only to a limited extent; under the pressure of war conditions, however, American inventive skill found ways of performing mechanically almost all the operations that had formerly been done by hand. The McKay sewing machine, one of the greatest of our inventions, which was perfected in the second year of the war, did as much perhaps as any single device to keep our soldiers well shod and comfortable. The necessity of feeding these same armies created our great packing plants. Though McCormick had invented his reaper several years before the war, the new agricultural machinery had made no great headway. Without this machinery, however, our Western farmers could never have harvested the gigantic crops which not only fed our soldiers but laid the basis of our economic prosperity. Thus the War directly established one of the greatest, and certainly one of the most romantic, of our industries--that of agricultural machinery.

Above all, however, the victory at Appomattox threw upon the country more than a million unemployed men. Our European critics predicted that their return to civil life would produce dire social and political consequences. But these critics were thinking in terms of their own countries; they failed to consider that the United States had an immense unoccupied domain which was waiting for development. The men who fought the Civil War had demonstrated precisely the adventurous, hardy instincts which were most needed in this great enterprise. Even before the War ended, a great immigration started towards the mines and farms of the trans-Mississippi country. There was probably no important town or district west of the Alleghanies that did not absorb a considerable number. In most instances, too, our ex-soldiers became leaders in these new communities. Perhaps this movement has its most typical and picturesque illustration in the extent to which the Northern soldiers opened up the oil-producing regions of western Pennsylvania. Venango County, where this great development started, boasted that it had more ex-soldiers than any similar section of the United States.
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