Describe the radical change in growth for the South following the Civil War. How might this relate to institutional changes and changes in political power?

Before the Civil War, the southern states were doing extremely well with their slave based cotton farms. American cotton became such an important commodity that it even influenced the industrialization of the north in the form of cotton mills. But this prosperity of the South was cut short by the Civil War. By the end of the Civil War there was widespread destruction of infrastructure in the southern states. The Southerners also suffered a great loss in human resources as many enterprising young men lost their lives during the War and slaves were freed. The end of the Civil war also introduced a new series of social, political and institutional arrangements under in the name of reconstruction (1865-1877), together these factors impacted the growth of the American South. 

The reconstruction era saw several radical changes in the southern States. The emergence of Jim Crow Laws, the Civil rights Act, the Reconstruction act and militarization of the southern States under a Northern officer are indicators of the direction of this change. Gradually even the political structure and public systems such as educational institutions and taxing systems also improved. Let us now look specifically at growth related changes in the South. 

The most hard-hit area stalling Southern growth was growing cotton without slave labor (institutional change). Scores of southerners returned to yeoman farming as the required capital, equipment’s, and manpower to grow cotton was not to be had easily. The greatest trouble for growth was the scarcity of capital to get the economy rolling again. Addressing this, the agricultural lien law that was passed by the Georgia assembly is an example of an institutional measure by which farmers could get some capital to grow cash crops.  

Another serious issue was the disruption of trade connections and infrastructure for the transmission of goods which resulted in empty stores. The South had earlier depended on a system of supply and credit known as the factorage system (institutional change), but this disappeared after the War. In its place came a system of general stores (supplied by the North with had an excess of manufactured goods) where one could find all goods in every corner of the south. These stores soon became a source of much entrepreneurial activity in the South.