Change to Industries and the Economy
The Emancipation Proclamation changed the United States economy by shifting the most prosperous region of the country from the south to the north.
Before the Emancipation Proclamation:
The United States economy was almost entirely based on agriculture before the Civil War era. The farming and selling of agricultural products made up the majority of livelihoods for most southern Americans, and it was highly dependent on slavery.
Enslaved farm worker in Tennessee
The American Industrial Revolution
"The Industrial Revolution transformed economies that had been based on agriculture and handicrafts into economies based on large-scale industry, mechanized manufacturing, and the factory system. New machines, new power sources, and new ways of organizing work made existing industries more productive and efficient." - The Editors of Encyclopedia Britannica
"Cotton gin, machine for cleaning cotton of its seeds, invented in the United States by Eli Whitney in 1793." - Jeannette Mirsky and The Editors of Encyclopedia Britannica
The Cotton Gin
With the help of the cotton gin, and the industrial revolution, the south was able to continue to use enslaved labor to run new machinery in order to continue their role as the most beneficial region of the United States to the American economy. The civil war, and more specifically, the Emancipation Proclamation caused this to change.
After the Emancipation Proclamation:
Following the Proclamation, newly freed Black Americans who managed to escape the south, traveled to northern cities and primarily enlisted in the Union army and other war efforts for work. This strengthened the Union's manpower, economy, and diminished the power of the Confederate army as their labor at the Homefront was significantly decreased.
Formerly enslaved Americans joining the Union Army
Following the Union victory, the formerly enslaved black Americans who had joined the army or assisted in the Union war effort remained in the northern region of the United States. These Americans joined industrial work in northern agriculture and other industries, increasing northern impact on the economy.
Southern industries suffered from the war. The loss meant agricultural workers could not use slavery to increase production, this created a large dip in the formerly growing southern farming economy. This dip fell further with other industries as much of the southern economy was spent toward reconstruction.
The Emancipation Proclamation caused formerly enslaved Black Americans to leave the south in large numbers to contribute to the Union army and eventually, the northern economy, leaving the south with no economic and industrial system or dependency. This, along with the impact of the industrial revolution on the country, caused the most prosperous region of the United States to shift from the south to the north.