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Every post-war situation differs in relation to factors such as: the causes of the outbreak of conflict and the way it was resolved; the complete (or not) cessation of hostilities in the entire territory of the country; the initial economic conditions and the level of development of the country; the extent of international political support to the settlement; and the donor interest in the country (del Castillo 2008, 9-12). http://www.unglobalcompact.org/docs/issues_doc/Peace_and_Business/Economics_and_Violent_Conflict.pdf. Davies. The volume of stocks traded rose sharply with corporations' need for investment capital and the development of new technologies. Journal of Peace Research40, no. He was assassinated three days later, however, and it would fall to his successor to put plans for Reconstruction in place. del Castillo, Graciana. The Ku Klux Klan and other white supremacist organizations targeted local Republican leaders, white and Black, and other African Americans who challenged white authority. See also: Civil War (Economic Causes of), Homestead Act. Reconstruction before the Marshall Plan. World War I (1914-18) triggered tremendous changes in the state's economic and social affairs. By 1900, U.S. factories employed 4.5 million people, most working long hours for low wages in often unhealthful conditions. 2008. The term post-conflict does not signify the obliteration of the root causes of the outbreak of conflict in the first place. Hegemony, Modernisation and Post-war Reconstruction. Illinois was among the big economic winners during the Civil War and Reconstruction, as Americans moved west. Development in Practice15, no. This was not to say that Republican policy worked for everyone. A century later, the legacy of Reconstruction would be revived during the civil rights movement of the 1960s, as African Americans fought for the political, economic and social equality that had long been denied them. Addison, Tony, Philippe Le Billon and S. Mansoob Murshed. Cambridge, MA: Harvard School of Public Health, Conflict Prevention Initiative, Program on Humanitarian Policy and Conflict Research. Yet the transition from slave labor to free labor was never so clear. Bigombe, Betty, Paul Collier and Nicholas Sambanis. Addison, Tony and S. Mansoob Murshed. Austrian reconstruction entailed the suspension of reparation payments, the initiation of economic reforms and the appointment of a High Commissioner for the countrys economy. 4: 85-96. As a result, most of the devastation of the war affected the South and its people to a much greater extent than people in the North. But the war did prove beneficial to wealthy northern farmers who could afford new technologies. New York: Center on International Cooperation, New York University. In February 1869, Congress approved the 15th Amendment (adopted in 1870), which guaranteed that a citizens right to vote would not be denied on account of race, color, or previous condition of servitude.. 3: 485-504. Such was certainly the case in the period after the U.S. Civil War. Above all, donors ascribed to more interventionist practices. Peacebuilding and the Limits of Liberal Internationalism. In late 1861, Congress created the nations first fiat currency, called greenbacks. 1 Contrary to popular belief Southern poverty has been a longer-lasting Civil War legacy than has Jim Crow or segregation. Though often in conflict, these communities forged a distinctive regional identity that survives to the present. Planters Racism was still a potent force in both South and North, and Republicans became more conservative and less egalitarian as the decade continued. Development48, no. Moreover, foreign professionals receive salaries several times higher than those of the local population and live in reconstructed pockets of affluence inside cities while the rest of population frequently struggles with dysfunctional infrastructure and poor quality of services (Guttal 2005, 79). Some scholars study the impact of aid flows on post-conflict reconstruction. A similar but less extensive work was subsequently carried out in Hungary, while the third international reconstruction program of the interwar period focused on the repatriation of expelled ethnic Greeks from Turkey after the 1922 war (Williams 2005, 546-8). The Battle Over Reconstruction. Life after slavery for African Americans (article) | Khan Academy The U.S. economy grew rapidly after the Civil War, fueled by an astounding rise in wealth, wages, production, and corporate mergers, along with limited government regulation. Black men voted and even . But this new form of servitude, which continued until World War II, was only the most extreme example of an array of economic injustices. But the aftermath of the war left portions of the Confederacy in ruins. The Rise of the Relief-and-Reconstruction Complex. Please refer to the appropriate style manual or other sources if you have any questions. Accessibility StatementFor more information contact us atinfo@libretexts.org. The U.S. economy grew rapidly after the Civil War, fueled by an astounding rise in wealth, wages, production, and corporate mergers, along with limited government regulation. The war years forged a close relationship between government and the business elite, a relationship that sometimes resulted in corruption and catastrophe, as it did when markets crashed on Black Friday, September 24, 1869. The end of mandate of international missions and the termination of external post-conflict operations are questions that have predominantly preoccupied analysts focusing on political and military reconstruction. In 1859 and 1860, wealthy southern planters were flush after producing record cotton crops. In many cases, Confederate officials dispensed with taxes paid in cash and simply impressed the food and materials needed from their citizens. The Marshall Plan: Historys Most Successful Structural Adjustment Program. A World Bank (1999, 6.5) study also underscores the importance of rebuilding the agricultural sector owing to its potential to contribute to the subsistence of rural population as well as offer job opportunities to demobilized ex-combatants. Many NGOs have become ambulance chasers who deploy in crisis situations with little or no funding in order to provide services to donors (Chesterman 2004, 186). As a result, aid commitments should spread over time and increase gradually between the fourth and the seventh year of peace and return to normal levels after a decade (Collier and Hoeffler 2002, Elbadawi, Kaltani and Schmidt-Hebbel 2008). For the South as a whole, the war and Reconstruction marked the start of a period of deep poverty that would last until at least the New Deal of the 1930s. The volume of stocks traded rose sharply with corporations need for investment capital and the development of new technologies. 2004. Reconstruction and Reconciliation: Whats Economics Got to Do With It? With the creation of the national banking system and greenbacks, Congress replaced hundreds of state bank notes with a system of federal currency that accelerated trade and exchange. White planters had most of their capital tied up in slaves, and so lost most of their wealth. Berlin: Berghof Research Center for Constructive Conflict Management, Berghof Handbook on Conflict Transformation. Farther west, mining and agriculture were the mainstays of life. The federal government gradually pushed the tribes to more isolated areas, offering U.S. citizenship, but few opportunities, to those who agreed to accept allotments of land on reservations. The Bureau presented questions . The World Bank Economic Review22, no. This new relationship created a political backlash, especially in the West and South, against Washingtons perceived eastern and industrial bias. Immediately after the Civil War, they sought to give meaning to freedom by reuniting families separated under slavery, establishing their own churches and schools, seeking economic autonomy, and demanding equal civil and political rights. As a result, international administrations are prompted to be attentive to the needs and requests of local societies and make some resources directly available to local institutions in order to cultivate a sense of ownership of the reconstruction process (Chesterman 2004, 196-200). Economic Theories of Peace and War. Sharecropping and Changes in the Southern Economy - PBS Gift of James Edgar Mead and Virginia Lee Mead, Harvester and Self-Raking Reaper Patent Model, 1877. Some analysts suggest the imperative of reducing horizontal inequalities (i.e., inequalities between groups defined by region/ethnicity/class/religion) through specially-targeted programs aiming at stimulating broad development (Addison, Le Billon and Murshed 2001, 6, Humphreys 2003, 20, Stewart 2009). 2002. International Peacebuilding and the mission civilisatrice. And foreign investors are reluctant to enter markets in which, local authorities might anytime reverse policies that were initiated by transitional administrations (del Castillo 2008, 43). The Confederacy in 1861 had 297 towns and cities, with a total population of 835,000 people; of these, 162, with 681,000 people . World Development36, no. Du Bois once described as their "brief moment . Learning Objectives Explain the economic changes in America in the aftermath of the Civil War The Pre-Civil War Economy The Civil War transformed both the Northern and Southern economies. 4: 343-360. Mining, ranching, and farming drew waves of settlers, and cities and commerce followed. Under the administration of President Andrew Johnson in 1865 and 1866, new southern state legislatures passed restrictive Black Codes to control the labor and behavior of former enslaved people and other African Americans. Collier, Paul and Anke Hoeffler. After the Civil War, the United States rapidly transformed into an industrial, urbanized nation. David Ricardo examined in 1815 the subject of post-war economic recovery and dealt with issues such as the reorientation of capital flows towards peace activities (Coulomb 2004, 92-94). Nevertheless, the recovery needs of states emerging out of civil wars do not resemble to the needs either of countries afflicted by natural disasters, or of the Western European states following the end of the Second World War. Reconstruction was the period of time after the Civil War, beginning in 1865. Washington DC: The World Bank. The program achieved all of its targets as inflation, unemployment and budget deficits were significantly reduced, the GDP of the recipient states grew by 35% and intra-European trade increased by 80% (de Long and Eichengreen 1993, Lewarne and Snelbecker 2004, 55). Tzifakis, Nikolaos and Charalambos Tsardanidis. With several notable exceptions, most of the fighting during the Civil War took place in the South. The Institutional Prerequisites for Post-Conflict Reconstruction. Nonetheless, the question of the completion of economic reconstruction has not received equal scholarly attention. Sharecropping often led to cycles of debt that kept families bound to the land.38. Workers organized local and national unions in response, leading to an intense period of political activity, strikes, and sometimes violent clashes in the fight for labor rights. Carl Moneyhon is a leading expert on the Civil War and Reconstruction in Arkansas and Texas. Among the other achievements of Reconstruction were the Souths first state-funded public school systems, more equitable taxation legislation, laws against racial discrimination in public transport and accommodations and ambitious economic development programs (including aid to railroads and other enterprises). While Germany received about $200 per capita (in constant 2001 $US) during the first two post-war years, Bosnia and Herzegovina was the recipient of over $1,400 per capita following the signing of the Dayton agreement (Lewarne and Snelbecker 2004, 21). Reconstruction and the turbulent post-Civil War era explained Wartime laws also transformed the relationship between the federal government and the American economy. One of the most dramatic improvements occurred in artificial lighting. In this respect, some argue that immediate priority should be given to small-scale reforms such as the reduction of inflation and the designation of a monetary policy (Lewarne and Snelbecker 2004, 39). Although economic reconstruction is usually a decade-long effort, aid availability is supply-driven, lasting for as long as a recipient country is on the media spotlight (Chesterman 2004). Another study suggests that aid to the budget of war-shattered countries can have very positive results. 2: 195-211. His Texas After the Civil War gives a succinct overview of the westernmost Confederate state from 1865 until the late 1870s. Thomas Edison helped usher in an age of organized research in support of commerce and industry that reshaped American life. The Travails of Reconstruction | Civil War and Reconstruction, 1861 Prior to this, generations of American children had been prevented from crawling on all fours, an activity then associated with animals and the insane. The United States Government and Post-Conflict Economic Reconstruction. After Johnson vetoed the billscausing a permanent rupture in his relationship with Congress that would culminate in his impeachment in 1868the Civil Rights Act became the first major bill to become law over presidential veto. But it was marred by tragedy and political infightingand ended with a disastrous backlash . 1: 67-84. In the 1870s, changing notions of childhood meant that Anglo American parents had only recently accepted crawling, or creeping, as a natural stage in a babys development rather than a bad habit. Civil War, Economic Impact of (Issue) | Encyclopedia.com Thanks in part to the railroad providing access to new land for farming, agricultural production doubled in the 1870s, which in turn increased railroad traffic. Post-Civil War America was a new world. When Democrats waged a campaign of violence to take control of Mississippi in 1875, Grant refused to send federal troops, marking the end of federal support for Reconstruction-era state governments in the South. Foreign Policy Analysis2, no. 1998. Toward Postconflict Reconstruction. Reconstruction. Economic reconstruction - Wikipedia Obstacles to Peacebuilding. [1] For a discussion of the initial attempts of the IFIs to adjust their policies to the needs of post-conflict emergencies see Boyce (2004). Differences in policy outcomes are also owed to the increased complexity of reconstructing failed or weak states in which governance capacity should additionally be rebuilt. USAID, The Services Group (TSG). World Bank. The LibreTexts libraries arePowered by NICE CXone Expertand are supported by the Department of Education Open Textbook Pilot Project, the UC Davis Office of the Provost, the UC Davis Library, the California State University Affordable Learning Solutions Program, and Merlot. HISTORY.com works with a wide range of writers and editors to create accurate and informative content. Aid, Policy, and Growth in Post-Conflict Societies. By 1876, only Florida, Louisiana and South Carolina were still in Republican hands. This helped end Reconstruction. Specialized machines took the place of manual taskssuch as sewing buttonholes for ready-made clothingspeeding up the work to meet the growing demands of a nation of consumers. War-affected countries should occasionally adopt sub-optimal economic policies (e.g. Library of Congress. Notwithstanding that donors have in recent times participated in numerous post-conflict reconstruction programs, the Western Europes recovery following the end of the Second World War has been considered as the most successful story. American goods were increasingly made in factories as companies adopted large-scale, standardized production methods in the late 1800s. The Civil War destroyed and then transformed the American economy. 4: 637-56. de Soto, Alvaro and Graciana del Castillo. Interim administrations, however, lack the legitimacy to adopt key economic decisions. Though relatively brief, Reconstruction transformed the state politically, socially, and economically. It refers to the fact that private contractors, consultancy firms, and national and international NGOs currently become recipients of hundreds of millions of dollars for the implementation of almost every reconstruction task from construction activities to the distribution of food and training programs (Bello 2006, 281-96). Gift of General Electric Lighting Company, through Terry K. McGowan. America's Reconstruction: People and Politics After the Civil War During Reconstruction, the 12 years following the end of the Civil War and the abolition of slavery, former slaves made meaningful political, social and economic gains. 2008. The Morrill Land Grant helped create colleges such as the University of California, the University of Illinois, and the University of Wisconsin. Gift of Union Pacific Railroad, Mr. A. E. Stoddard, President, Made by the Western Union Telegraph Company. Moreover, some analysts examine the problem of debt arrears of these countries and recommend different policies to the creditors on the best timing and the most efficient way for its resolution (Alvarez-Plata and Brck 2008, del Castillo 2008, 89-93, Addison and Murshed 2003). HISTORY reviews and updates its content regularly to ensure it is complete and accurate. Coyne, Christopher J. World Bank. The United Nations established in 2005 a Peacebuilding Commission (and a Peacebuilding Support Office and a Peacebuilding Fund) with the aim of bringing together and improving coordination among all relevant actors who get involved in a reconstruction effort. Review of International Studies31, no. Arguably, the international community is concerned with the large costs of sizeable international contingents, the danger of conflict resumption, and the problems of political legitimacy that were explained before. Alvarez-Plata, Patricia and Tilman Brck. Although most recipient countries usually need extensive structural adjustments, the international community should proceed cautiously to the adoption of relevant policies in order not to steer social discontent and renewed hostilities. For Tim Jacoby, international reconstruction assistance is guided by entirely different motives. Chesterman, Simon. Finance in Conflict and Reconstruction. Washington DC: The World Bank. Made by Levi Strauss & Co., San Franscisco. Aftermath of the Civil War As the Civil War ended in early May 1865, Georgia's Confederate governor, Joseph E. Brown, surrendered to Union authorities and was paroled. Any account of the war must consider the tangled web of politics, battles, and economics that occurred between 1861 and 1865. What was the economic impact of the Civil War on American life? At the outset of the Civil War, to the dismay of the more radical abolitionists in the North, President Abraham Lincoln did not make abolition of slavery a goal of the Union war effort. They commonly identify the most critical tasks underpinning the reconstruction of war-torn states and seek to discover the essential conditions for success of this type of operations. State governments were mired in debt. Policies for Building Post-conflict Peace. Between 1870 and 1900 over 430 million acres were settled in the United States, most of them in the West. The Politics of Post-war/post-Conflict Reconstruction. During Reconstruction, attempts were made to rebuild the country after the bloody Civil War, bring the former Confederate states back into the United States, . To pay their troops and keep the economy alive, the Confederate Congress turned to printing paper money that quickly sank in value and led to rapid inflation. The most impressive post-war reconstruction effort was carried out following the end of the Second World War. Moreover, when the United States announced the Marshall Plan, the outcome of the Second World War was universally recognized. InMaking Peace Work: The Challenges of Social and Economic Reconstruction, ed. After northern voters rejected Johnsons policies in the congressional elections in late 1866, Radical Republicans in Congress took firm hold of Reconstruction in the South. Under Johnsons Presidential Reconstruction, all land that had been confiscated by the Union Army and distributed to the formerly enslaved people by the army or the Freedmens Bureau (established by Congress in 1865) reverted to its prewar owners. 2000. Constitution Avenue, NW 2: 54-89. In some cases, they seriously delayed, or even failed to deliver substantial amounts of aid that they have earlier pledged to provide. Hampshire: Palgrave Macmillan. Finally, the limited success of contemporary reconstruction programs is explicated by the emergence of the relief and reconstruction complex. It concerns repairs to the physical infrastructure such as medical facilities, schools, sanitation infrastructure, houses and roads and provisions for immediate distribution of humanitarian assistance such as food, health care and temporary shelter (World Bank 1999, 3.12). 2003. InPostwar Economic Reconstruction and Lessons for the East Today, ed. In the late 1800s, black Americans gained citizenship and the vote, while immigrants from Europe and Asia came to the country in record numbers.