American Economy: The First Industrial Revolution, the American System, and Slavery

Practice flashcards in Q&A style covering the First Industrial Revolution, regional economic specialization, slavery's expansion, and Henry Clay's American System.

What time period spanned the First Industrial Revolution in the United States?

Late 1700s to mid-1800s

In which region of the United States did the First Industrial Revolution primarily take place?

The Northeast

What geographic and economic factors made the Northeast the center of early American industrialization?

Fast-moving rivers for water power, proximity to ports, capital, and labor, along with a dense population.

What industry led the way in U.S. industrialization during the First Industrial Revolution?

Textile manufacturing

What system made young unmarried women work in textile mills, live in company-owned housing, and follow strict rules while earning higher wages than farm work?

The Lowell System

What manufacturing innovation was especially used in firearms to increase speed and efficiency during industrialization?

Interchangeable parts

What shift in energy sources occurred during early U.S. industrialization?

A transition from water power to early steam power.

Which specific canal played a key role in connecting farms to markets during the Transportation Revolution?

The Erie Canal

How did regional economic specialization divide the North, South, and West during the First Industrial Revolution?

The North specialized in manufacturing, the South in cash crops (cotton), and the West in food production (wheat, corn, oats…).

How did Northern industrialization impact the economy and system of slavery in the South?

Northern textile production increased the demand for cotton, leading to the dramatic expansion of slavery, growth of plantations, and westward spread of slavery.

What was the American System, and who promoted it?

An economic plan promoted by Henry Clay to strengthen the U.S. economy and bind the nation together.

What were the three key features of Henry Clay's American System?

1- Protective Tariffs, 2- National Bank, 3- Internal Improvements

What was the purpose of protective tariffs in the American System, and which region opposed them?

To protect U.S. manufacturers from foreign competition by raising prices on imported goods; they angered the South, which relied on imports and exports.

What was the primary role of the Second Bank of the United States within the American System?

To regulate currency and credit, promote economic stability and investment, and support business growth and industrial expansion.

What types of internal improvements received federal funding under the American System, and what is one named example?

Federal funding was provided for roads (e.g., National Road), canals, bridges, and ports to link the West to Eastern markets.