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When the slaves got emancipated, all value of land the average plantation owner had was about one-fourth of it’s antebellum value. In 1865 the Banking Act was put into effect, which made it almost impossible for banks to be established in the south because of it’s minimum requirements for paid-in capital and restrictions on making mortgage lending...
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The banks that were established were difficult to keep open, and by 1869, four of them closed mostly because of a rate that was six times the national average.
The social/economic problem that the south created for itself was that of not advancing with technology and industry. The south based its system on slave labor, while in the north, industry took root and technology made work easier for the fewer men that were able to work...
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