Outline of the development of the internal commerce of the United States: 1789-1900Van Metre, Thurman William
History
Outline of the development of the internal commerce of the United States: 1789-1900
Van Metre, Thurman William
United States -- Commerce -- History
The immediate success of this road was a signal for the beginning of
more extensive railway construction, and the decade from 1850 to 1860
witnessed the entrance of the trunk line roads as competitors with the
canals for traffic between the East and the West. The failure of the
Pennsylvania Canal and the growing prosperity of Boston incited the
people of Pennsylvania to take decisive steps to win back some of the
trade lost by Philadelphia and in 1846 the Pennsylvania Railroad
Company was chartered for the purpose of completing steam railway
connection between Philadelphia and Pittsburgh. By 1854, this line, the
Erie, the New York Central and the Baltimore and Ohio all reached the
Ohio River or Lake Erie. During the next six years these four lines
took over two-thirds of the flour traffic and practically all the
merchandise and live-stock traffic between the eastern cities and the
trans-Alleghany region, leaving to the Erie Canal the forest products
and grain. In addition to capturing a large share of the canal freight
the railroads easily secured most of the traffic that was accustomed to
go from the cities along the Ohio River to the eastern coast and to
Europe by way of New Orleans. The lakes and canals had previously made
some inroad on the commerce down the Mississippi, but notwithstanding
their influence the river cities of Ohio and Kentucky continued to send
the largest part of their exports southward until the railroads gave
them a through route to the East. After 1855 the shipments down the
river from Cincinnati and other important ports on the Ohio shrunk
rapidly in volume and even before the war broke out their commerce with
the East was much larger than their river trade to the South.
While the railroads in the North were making such marked changes in the
course of internal trade, a similar transformation was occurring in the
South. Trade between the eastern and western sections of the cotton
states before 1849, aside from some traffic in slaves, was almost
negligible. In 1849 when the Western Atlantic Railroad began to run
trains from Chattanooga to the Atlantic coast, the planters of Northern
Alabama and Tennessee, who had always sent their cotton to New Orleans
and Mobile, turned to the markets at Charleston and Savannah. The
cotton receipts at those two ports doubled in a single year, while the
receipts at New Orleans fell off nearly 100,000 bales. The shifting of
the center of cotton production farther westward enabled New Orleans to
make up for its losses, but the South Atlantic ports easily maintained
and increased their trade. They also competed with New Orleans and the
cities on the Ohio River for the merchandise trade of Alabama,
Mississippi and Tennessee, and the provisions for Georgia and South
Carolina began to enter the states overland from the West, the coasting
trade on the Atlantic seaboard both gaining and losing by the changes.
2. TRADE BETWEEN THE NORTH AND SOUTH
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