Question

Briefly explain one important difference between the economic systems of the north and the south in the period 1790-1840

Answer 1

Answer:

The main difference between the economic system that we are looking into is post Civil war in the now United states. As the situations after the civil war drastically changed.

The main differences are going to be discussed below.

Explanation:

High Tariffs: After many companies landed in America, there was concerned of imposing high tariffs on there supplied goods. As the northern region was in favor to impose high tariffs on the goods they supplied. The northern congressman were in favor of high tariff. As then imported goods would be out of reach of any local and the American's would tend to buy cheap American made goods, which would in return make the economy more strong.

But the southern region had other ideas in mind as they were accompanied by the foreign partners to do more business and they did not wanted there partner companies(which were mainly British Companies) to leave the business due to high tariffs on them.So, for that reason the southern region were not in favor to impose high tariffs.

Skilled Workers- Each firm that want to grow needs skilled labor to work for them as for that reason the northern region had a staggering 90 percent of the skilled workers in the region, which made it more easy for any company to establish themselves in that very zone. The economy of the northern region even boosted more after the immigrants arrived in the north and added value to their work.

These are two main differences which made the northern region more economically strong and had more industrial zones as compared to the south.

Answer 2

The South based its economy on the use of slaves for agricultural production of things like cotton and tobacco. The North had significant amounts of industry and other finished goods. The South could supply some of the raw materials for the industry of the North. Regardless, the North relied on paid labor.