The New South
The term “New South” is used to demark the postbellum period in the South, when the region saw a shift from a single-crop agricultural economy toward industrialization. During these years, southern states managed to diversify their economies, leveraging natural resources found in their territories. Coal mining and lumber became significant while the construction of railroads allowed the goods to be shipped to northern states. This paper will provide an overview of the New South and how it emerged.
The Need for Reform
The end of the Civil War marked a turning point in the economic development of the southern states. During the pre-war era, these regions prospered because of the free labor provided by the institution of slavery (Billings, 2017). However, after the Union Army defeated the Confederates, slavery was abolished, which led to challenging times for the Southern population (Billings, 2017). The economy of the South relied primarily on cotton, and free labor in the form of slaves had allowed plantation owners to profit for many years (Billings, 2017). With no slaves to work on fields, the white population was forced to grow the crops for themselves. Not many people could afford to buy lands and plant cotton, which led to the development of sharecropping and tenant farming.
Under sharecropping, former plantation owners made agreements with local farmers so that the latter work on the fields. At the end of the season, yielded crops were divided between the landlord and farmers (Billings, 2017). In other words, crops were used as payment for farmers’ services. All the necessary equipment, land, seeds, and other capital were usually provided by landlords, and farmers were only responsible for physical work on the fields and growing crops (Billings, 2017). Sharecropping became popular due to the abundance of low-skill workers in the South after the Civil War.
Those people who could afford to rent land were called tenant farmers. Under tenant farming, landlords were not responsible for providing any equipment or seeds (Billings, 2017). They only leased their land for a fixed fee and for a fixed period of time. Farmers were responsible for attaining seeds, equipment, and any capital required for growing crops (Billings, 2017). Despite looking like a reasonable option, tenant farming soon became challenging due to economic infeasibility. The reason is that tenant farming often led to debt cycles when renters could not even pay their debt at the end of cropping seasons (Billings, 2017). For instance, if a farmer receives 300 dollars in debt to grow cotton, but manages to sell their crops for 200, the farmer still owes 100. Season-wide personal efforts and physical work should also be accounted for. This debt peonage became ubiquitous in the South of the postbellum period, which indicated the systemic issues of the Southern economy and hinted at the need for structural reform.
Grady’s Vision
While the Southern part of the nation was struggling with rural poverty, the North was nourishing. After the end of the Civil War, the Northern states were experiencing an industrial revolution (Billings, 2017). The economy of these states was based on manufacturing and technological advancement. The fact that this progress bypassed the areas in the South played a pivotal role. Some individuals started agitating for industrialization and reform in the economy (Billings, 2017). Among these people was Henry Grady, editor of a newspaper called the Atlanta Constitution, who used his position and power in the press to advance his vision of what was later named as the New South.
Grady’s vision served as a blueprint for devising a plan of mending the impoverished economy of the South. He proposed that if the Southern states take a step-by-step approach, they could reach the same level of success as the Northern states. The primary element of the plan was to diversify the economy by building on what is currently available (Billings, 2017). Only after that, the states would turn toward industrial endeavors. Therefore, the diversification of the agricultural sector was the first step in Grady’s vision. He believed that the South had the potential to grow other crops besides cotton, which would be more profitable (Billings, 2017). As proof that the South had the potential to transcend from agriculture to industrialization, Grady used claims about the abundance of natural resources (Billings, 2017). According to Grady, these reserves could serve as a foundation for commerce and technological advancement (Billings, 2017). Encouraged by the positive vision of this managing editor, people of the South started taking action toward change.
Diversification and Restructure
As envisioned by Grady, southern farmers first attempted the endeavor of alternative crops. Tobacco was the second popular crop during the antebellum period, and the Civil War opened new opportunities for its growth. Southerners started exporting several unique varieties of tobacco to the Northern states, which contributed to the post-war economy (Billings, 2017). Agriculture education was also striving, and farmers, equipped with a scientifically proven body of knowledge, learned how to select crops that would be most appropriate for a given soil (Billings, 2017). This reliance on education led to the popularization of rice and sugar cane (Billings, 2017). Despite the presence of numerous alternatives, southerners did not abandon the cotton industry completely. Some plantations continued to grow cotton despite financial losses. This decision turned out to be correct – with the gradual industrialization of the southern economy, the number of cotton mills surged (Billings, 2017). As a result, the demand for cotton increased drastically, which affected cotton prices positively (Billings, 2017). Cotton farmers were given the opportunity to break the cycle of debt and turn cotton cropping into a profitable business once again.
Another factor that affected the cotton industry in the South is communication. Rail service improved substantially during the post-war period, which allowed farmers to ship their goods to the North (Billings, 2017). The presence of railroads incentivized farmers because the northern market was an opportunity to make a generous profit. As the rail service developed, more southern products ended up in the states of the North. Agriculture was not the only sector to benefit from the advancements in transportation, however. Trains of those periods were primarily fueled by the energy of coal, which turned the coal reserves of the South into economic opportunity. Alabama of the late 1800s is known for its massive production and export of coal (Billings, 2017). The presence of such natural resources contributed significantly to the industrialization process.
The South invested in other sources of energy besides coal. During the times of Reconstruction, southerners learned to attain electricity from water by using Pelton water wheels, invented by Lester Allan Pelton in the late 1870s (International Hydropower Association, 2020). This invention facilitated the industrialization process because it provided factories with an alternative source of energy. Hydropower was not a new technology, but its usage increased dramatically in the postbellum period. According to the data from the International Hydropower Association (2020), the use of hydropower technologies was negligible until the 1870s. With the development of turbine technology, which encompasses the Pelton water wheels, the usage of hydropower started to increase.
The South was rich with pine trees, which were perceived as another economic opportunity. However, instead of cutting all trees down and turning the area into a wasteland, the Southerners once again relied on the power of education (Shi & Tindall, 2016). Learning about techniques of restoring the state of forests, the southerners managed to export large volumes of pine trees while sustaining the number of living trees (Shi & Tindall, 2016). Forestry schools started to open, which allowed unemployed individuals to attain professional expertise and start working.
Persisting Issues
Despite the reconstruction of the agricultural industry and the overall positive economic shift, challenges existed for many individuals in the South. The industrialization process involved only a minority of the population of the southern states. Almost 90% of people remained in fields, relying on the established practices of sharecropping and tenant farming (Dixon, 2016). The price increase facilitated by the rising number of cotton mills continued only until the 1880s (Dixon, 2016). The decade of 1880-1890 is known for continuous cotton price drops (Dixon, 2016). Many people working in plantations believed that the systems of sharecropping and tenant farming were not disadvantageous. Freed slaves and white farmers comprised the majority of the population, and this overabundance of unskilled workers was the primary reason why the region still relied on agriculture (Dixon, 2016). The issue was two-fold; landowners could not pay salaries because of economic circumstances, and the farmers did not have money to purchase their own land.
Issues also existed beyond cropping fields of the southern states. For instance, there was a ubiquitous problem of working conditions and employee-employer relationships (Billings, 2017). Some of these problems manifested themselves in protests and strikes (Shi & Tindall, 2016). It became evident that the industrialization process will eventually lead to changes within the political landscape. Political changes were necessary for facilitating the systemic reconstruction of the economies of southern states.
Politics
After the Civil War, Republicans retained power in most of the states. Lincoln’s party was dominant due to massive support on behalf of African Americans. Despite the efforts of southern Democrats to reverse the development ensured by the Civil War, the Republican Party managed to contain these pro-slavery attitudes. However, this control of the government remained only until the mid-1870s (Shi & Tindall, 2016). The issues were caused not by Democrats, but by internal conflict between the members of the Republican Party. Lewis Parsons was an advocate of white supremacy, and his opinion sparked controversy within the party (Shi & Tindall, 2016). Republicans divided, which offered Democrats an opportunity to promote its agenda.
The Northern presence in the South severely limited local control, which made many political activists demand the autonomy to make decisions without substantial restraint on behalf of the federal government. These proponents of the laissez-faire government were called the Redeemers, local leaders with a vision of freeing the South from the Northern direction (Shi & Tindall, 2016). They believed that education was essential but did not advocate for public schools. The reason was that states did not have any financial resources to sustain public education. However, several businesspeople opened charity funds and donated millions of dollars to finance public schools in the South. Jabez Lamar Monroe Curry was assigned to manage these funds, and the politician developed many educational programs that uplifted literacy rates both among whites and blacks (Shi & Tindall, 2016). This gradual development introduced changes to interracial interactions and relationships.
Race Relations
The landscape of race relations changed after the Civil War. Despite the fact that the southern politicians promoted the idea of white supremacy, this movement did not result in hate crimes. More and more people practiced tolerance toward African Americans and even allowed blacks to play an active sociopolitical role (Shi & Tindall, 2016). The only requirement was that the blacks did not intervene with the lives of white people (Shi & Tindall, 2016). In other words, African Americans could emerge as leaders of only of their own race. Although black children were allowed to attend public schools, these and other venues were separated (Dixon, 2016). African American children could only go to black schools, while whites attended separate institutions. The issue of segregation was not limited to the division of schools and other public systems. A more subtle element was the fact that landowners charged high payments for the rent of fields and accommodation (Dixon, 2016). Freed slaves often could not afford to pay and were forced to offer household services in exchange (Dixon, 2016). Despite being technically free, emancipated slaves were often servants in the houses of white landlords.
Toward the Great Depression
Industrialization of the South is considered to be a crucial period in American history. Diversification and increase of production contributed to the development of the transportation system, including railroads, which in turn facilitated export and economic growth. At the same time, the South focused on education, which was significant for a majority of industries, including the growing of crops and lumber. Motivated by Grady’s vision, southerners invested substantial amounts of both energy and resources to increase production rates. By the beginning of the 1920s, production reached its peak in the South (Dixon, 2016). Most people believed that sustaining this rate was a warrant for success (Dixon, 2016). However, southerners did not realize that constant output without accounting for demand would put the region into an economic crisis. Today, it is considered that production rates that overpassed consumption capabilities were one of the reasons for the market collapse of 1929 (Dixon, 2016). The Great Depression marked the end of the New South era, a period of unprecedented economic and technological advancement in the South.
Conclusion
Devastated by the outcome of the Civil War and the emancipation of slaves, the economy of the south experienced an uplift during the years of the New South era. Encouraged by the vision of Henry Grady, southerners led their economy from being cotton-based to becoming highly industrialized. The political landscape also changed, with Democrats taking over the majority of states and promoting the idea of white supremacy. Economic development continued for several decades until coming to an end with the appearance of the Great Depression.
References
Billings, D. B. (2017). Planters and the making of a “New South”: Class, politics, and development in North Carolina, 1865-1900. UNC Press Books.
Dixon, R. (2016). New South era. Encyclopedia of Alabama. Web.
International Hydropower Association. (2020). A brief history of hydropower. IHA. Web.
Shi, D. E., & Tindall, G. B. (2016). America: A narrative history. WW Norton & Company.