History 146: Lecture 14 - Consumerism and Early Industrialization in the United States

Post-American Revolution Trade and Neutrality

• Post-Revolution, the US aimed for political, economic, and social stability.
• Trade Relations:
  • US wanted to remain neutral but had strong ties with both Britain and France.
  • Britain and France were in conflict, seeking US support.
  • British imposed restrictions on American ships that traded with France.
  • Britain's impressment policy: Royal Navy forced American sailors into service.

Embargo of 1807

• President Jefferson's Response:
  • Imposed the second most restrictive trade policy in US history.
  • Banned trade with Britain to pressure them to stop impressment.
• Economic Impact:
  • Reduced American trade by 80%.
  • Severely affected both US and British economies.

Embargo of 1813

• Context: US entered the War of 1812 with Britain.
• President Madison's Policy:
  • Implemented the most restrictive trade embargo against Britain.
  • Total trade ban; violators faced charges of treason and possible execution.

Rise of American Industrialization

• Textile Shortages: American consumer addiction to British textiles led to shortages.
• Francis Cabot Lowell:
  • Covertly studied British textile factories.
  • Improved textile manufacturing technology; established Lowell Textile Mill in Waltham, MA.
  • Pioneered the US Industrial Revolution.

The Cotton Gin and Slavery

• Invention: Eli Whitney's cotton gin in 1794 automated seed removal from cotton.
• Impact: Made cotton profitable again and entrenched slavery in the South.

The Era of Good Feelings

• Economic Harmony: North's industrial output and South's cotton production were interdependent.
• Economic Challenges: Falling wages and growing class divide in the 1830s.

Transportation Innovations

• Erie Canal (1817-1825): Connected Atlantic Ocean to Great Lakes, facilitating trade.
• Railroads: Provided faster, more efficient transport than steamships.

Social Changes and Democratization

• Economic Disparities: Growing divide between wealthy and poor fueled democratization.
• Westward Expansion: Settlement in Spanish territories and California.

California Gold Rush

• Discovery at Sutter's Mill: Initiated by John Sutter and James Wilson Marshall.
• Sam Brannan: Capitalized on gold rush by supplying miners.
• Impact on California:
  • Rapid population growth and economic opportunities.
  • Racial tensions and the foreign miners' tax aimed at Mexicans and Chinese.
  • California statehood achieved in 1853.

Conclusion

• Transition from mercantilism to capitalism and the rise of the US industrial economy.
• Lecture ends with a preview of post-Civil War changes and Second Industrial Revolution.