Evolution of the Nation

Evolution of the Nation A major stinting reversal began in Europe and reached the United States in the fall of 1873. The signal resultant role on this side of the Atlantic was the failure of Jay Cooke and Company, the untaughts superior investment banking concern. The firm was the principal backer of the Northern peace-loving Railroad and had handled most of the governments wartime loans. (Bancroft, 1902). Cookes fall touched glowering a series of events that encompassed the entire state of matter. The New York Stock veer was unsympathetic for 10 days. Credit dried up, foreclosures were common and banks failed. Factories closed their doors, costing thousands of workers jobs. The volume of destitute people soon overwhelmed the abilities of charities to function. almost of the major railroads failed. (Bancroft, 1902). The public tended to blame President Grant and sexual relation for mishandling the economy. The causes were much broader, however. The postwar period was one of frenetic, unregulated appendage with the government playing no role in bridle abuses. More than any other single event, the extreme overbuilding of the nations railroad system laid the groundwork of the Panic and the effect that followed. (Bancroft, 1902).

The blow was felt for years in impaired credit, hale for payment of dues, the lowering of securities and general dread of even unafraid enterprises. United States bonds fell from five to ten per cent. Savings were spent and many banks went under. Labor felt the cruel stroke for foresightful afterwards in the shutting down of factories and the half-time employment. The country was in a state of alarm and disgust at the bitter consequences of questionable acts in Congress. (Bancroft, 1902). The expansion and prosperity enjoyed in the period following the Civil War was followed by the economic collapse of the Panic of 1873, brought on by rapid industrial expansion and inflated credit. The enormous railroad expansion after the war, as well as other... If you want to get a full essay, order it on our website: Ordercustompaper.com

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