Economy of The Confederate States of America - Long Term Weaknesses

Long Term Weaknesses

By 1863, after two years of warfare, the North finally was mobilizing its economy full steam, while the South had crested and was falling back. General William T. Sherman, an acute observer of the war, had predicted this development even before Sumter, telling a rebel acquaintance in late 1860:

The North can make a steam-engine, locomotive or railway car; hardly a yard of cloth or a pair of shoes can you make. You are rushing into war with one of the most powerful, ingeniously mechanical and determined people on earth--right at your doors. You are bound to fail. Only in your spirit and determination are you prepared for war. In all else you are totally unprepared. . . . At first you will make headway, but as your limited resources begin to fail, and shut out from the markets of Europe by blockade as you will be, your cause will begin to wane.

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