THE COST OF THE WAR
The Civil War transformed fundamental
aspects of the postwar South, leaving the
region impoverished and politically weak
compared to the rest of the country.
THE NEW SOUTH
The Civil War brought an end to slavery and
Reconstruction would give further rights and
freedoms to former slaves 338–39 ❯❯.
Free-labor relations replaced slavery, and blacks
received a share of the returns for their work.
“Sharecropping” allowed laborers to work the
lands of others for a share of the crop. The South
would remain mainly agricultural but railroad
development, manufacturing, and urbanization
would increase dramatically 340-41 ❯❯.
The wealth of this “New South” went largely
to Northern investors or white Southern merchants
and businessmen. For whites and blacks at the
bottom of society, the postwar years were
marked by poverty. Beset by crop failures,
white owners of small farms found themselves
increasingly reliant on cotton to pay debts.
But overproduction lowered prices and indebted
the farmers. The main consequence was the loss
of political influence—not to return until the
20th century.
in the South with dramatic
impact. Armies swept over the
countryside, consuming food
and wood at the expense of
local inhabitants, with perhaps
40 percent of Southern livestock
taken for military purposes. An
unknown number of civilians
died and hundreds of thousands
of whites and blacks became
refugees. Confederates returned
to a devastated South.
War destroyed two-thirds
of the wealth of the South,
most in the value of slaves. The
Southern economy became a
shambles. Reliance on printed
currency led to astronomical
inflation (over 9,000 percent)
and worthless Confederate
money. Southern banks
held insufficient capital for
rebuilding. And the Confederate
government had increasingly seized
much-needed supplies from its people in
exchange for worthless currency.
The ravaged South
Half of the South’s farm machinery had
been destroyed along with hundreds
of miles of railroad track. Additionally,
large portions of Richmond, Mobile,
Columbia, and Atlanta were damaged
by fire. The “hard hand of war” fell
unevenly on the Confederacy and
those hardest hit were in the path of
Sherman’s March or Sheridan’s raid
in the Shenandoah Valley. Republican
politician and German émigré Carl
Schurz saw the devastation of the march
and wrote that South Carolina “looked
for many miles like a
broad black streak of
ruin and desolation—the
fences all gone; lonesome
smoke stacks, surrounded by
dark heaps of ashes and
cinders, marking the spots
where human habitations
had stood; the fields along the
road wildly overgrown by
weeds.” This was not the norm,
however, and in other parts of the
South, the Union army acted with
more restraint.
The economic impact of the
conflict was felt long after the
fighting ended. Manufacturing and
transportation had largely recovered
by the 1870s, but agriculturally the
South would remain a stagnant region
of relative poverty for decades to come.
The effects in the North
While Union forces suffered up to
a third more casualties than the
Confederates, the war had a less
damaging effect on the North. Only half
of the military-aged men had enlisted
in the army or navy, one-quarter of
them immigrants. In contrast to the
Confederates, a lower proportion died
in actual service—roughly one-sixth.
The North had far greater financial,
agricultural, and industrial resources.
A better managed economy, including
increased taxes, national currency, and
successful bonds drives, contained
wartime inflation to 80 percent.
Suffering was largely offset by high
employment and a
rise in wages. Food
production rose
to meet military
demand and
voluntary efforts
by civilians supplemented war needs
for rations, clothing, and medical
supplies. The remaining war debts
were a fraction of those incurred by the
Confederacy and no large impediment
to the postwar economy. The war slowed
immigration and industrial growth but
only temporarily, as the Union economy
emerged stronger from the conflict.
The greatest lingering costs were the
pensions to hundreds of thousands of
veterans, totaling 40 percent of the
Federal budget in the 1890s.
The new nation
A key legacy was a new American
nationalism in which the Union was
deemed perpetual. Symbolically, the
name “The United States” became a
singular noun and a stronger national
government came forth. In wartime, the
nation had instituted compulsory national
conscription, direct
federal income tax,
greenback (paper)
currency, and a
suspension of civil
liberties. In support
of these powers, Republicans had
worked to fashion a new sense of
patriotism emphasizing unconditional
loyalty to the government.
Though many expanded authorities
faded during peacetime, the precedent
of national administration remained.
To ease reconciliation, the Union
government conducted no treason
trials. In May 1865, Jefferson Davis
was imprisoned for two years in Fort
Monroe, Virginia, but released without
trial. General Robert E. Lee was never
arrested. The only high-profile case
was that of Captain Henry Wirz. The
commander of Andersonville Prison,
Wirz was hanged on November 10,
1865, for crimes of mismanagement.
Union soldiers at his execution chanted,
“Wirz, remember Andersonville.”
AFTER
Most Confederates were ultimately
restored to rights by the end of
Reconstruction. However, postwar
Republican dominance did have other
consequences. One was Southern
political and economic marginalization.
Another was the United States’ entry
into an expansive era of industrial
growth with little government
oversight, famously described by Mark
Twain as the “Gilded Age.”
Locomotive in ruins
At the Richmond and Petersburg Railroad depot a
wrecked engine is surveyed. Damage both by the
Confederates in retreat and the advancing Union army
added to the heavy postwar cost borne by the South.
A home destroyed
Henry Mosler’s painting, The Lost Cause, portrays a
war-weary soldier returning home to find a devastated
homestead and his family gone. Mosler sketched the
conflict regularly for the magazine, Harper’s Weekly.
Mosby’s crutches
Confederate Commander John S.
Mosby found the war brutal, as his repeated
need for crutches attested: “They were first
used in August 1863 ... I again used them
in September 1864 and December 1864.”
The estimated
number of soldiers
who entered the Confederate military. The
First Conscription Act was passed in 1862.
850,000