The Growth of Nyc

Growth of NYC Business

For a number of reasons, business enterprise in New York grew by leaps and bounds between 1825 and 1860.

New York's growth between the years 1825 and 1860 can be attributed to a number of factors. These include but cannot be limited to the construction of the Erie Canal, the invention of the telegraph, the development of the railroads, the establishment of Wall Street and banking, the textile, shipping, agriculture and newspaper industries, the development of steam power and the use of iron products. On October 26, 1825 the Erie Canal was opened. The canal immediately became an important commercial route connecting the East with the Ohio and Mississippi Valleys. With the time of travel cut to one-third and the cost of shipping freight cut to one-tenth of the previous figures, commerce via the canal soon made New York City the chief port of the Atlantic. The growing urban population and the construction of canals, railroads and factories stimulated the demand for raw materials and food stuffs. In 1836 four-fifths of the tonnage over the Erie Canal came from western New York (North, 105). Much of this cargo was in the form of agriculture goods.

The farmer become a shrewd businessman of sorts as he tended to produce whatever products would leave him the greatest profit margin. The rise of the dairy industry was by far the most significant development in the agricultural history of the state between 1825 and 1860. Farmers discovered that cows were their most reliable money-makers, since both the domestic and foreign market kept demanding more dairy products (Ellis, 273). Price fluctuations became increasingly important for the farming population between 1825 and 1860. Prices rose from the low level of the early 1820's until the middle 1830's and the farmer's shared in the general prosperity (271). Although the rapid industrialization and urbanization of New York had a great deal to do with the success of agricultural markets sporadic demand...