With the close of this war and the conclusion of peace, the non-slaveholding section took on fresh industrial life and embarked then upon that career of material exploitation and development which has placed it and the wonderful achievements of its diversified industries in the front rank of rivals in the markets of the world. From this period dates the beginning of our national policy of protection of domestic industries, and the rise of a powerful monied class in politics which bore to the new industrial interests similar relations to those sustained by the slave power to Southern labor and institutions. The early policy of a tariff for revenue with incidental encouragement inaugurated by Hamilton, was now readapted to the growing needs of the new industrialism, and the growing demands of its champions. The principle of protection was made as elastic in its practical application to tariff legislation as Northern industrial interests would, from time to time, and in their stages of rapid progress, seem to require.

The labor employed by the new industrialism was free white labor, each unit of which as wage earner and citizen was vitally concerned in whatever made for its safety and prosperity. The universal prevalence of the principle of popular education, and the remarkable educational function exercised upon the mental and moral faculties of the people by a right to a voice in the government, gave to this section in due time the most intelligent, energetic and productive labor in the world. Indeed, it is now well understood that modern industrialism attains its highest efficiency as a system of production in that society where popular education is best provided for, and where participation of the masses in the business of government reaches its fullest and freest expression. The freer and the more intelligent a people, all things else being equal, the more productive will be their labor over that of a rival’s who may be wanting in these regards. The early and unexpected revival and expansion of slavery in the South was thus followed and met by a rapid counterexpansion of free industrialism at the North on an extraordinary scale.

This conflictive situation evolved presently industrial complications and disturbances of the gravest national importance. Following the treaty of Ghent, the South fell into financial difficulties, and experienced quite generally an increasing pressure of hard times. Although wealthy and prosperous heretofore, it then began to exhibit symptoms of industrial weakness, and to assume more and more a dependent attitude toward the monied classes of the free States. On the other hand, the free industrialism of those States waxed bolder in demands for national protection with the thing it fed on. Its cry was always for more, and so the tariff of 1816 was followed by that of 1824, and it in turn by the one of 1828, during which period industrial depression reached a crisis in the South, producing widespread distress among its slave-planting interests.

Here is Benton’s gloomy picture of that section in 1828: “In place of wealth a universal pressure for money was felt; not enough for common expenses; the price of all property down; the country drooping and languishing; towns and cities decaying, and the frugal habits of the people pushed to the verge of universal self-denial for the preservation of their family estates.” What was the cause of all this misfortune and misery? Benton found it, and other Southern leaders also, in the unequal action of federal fiscal legislation. “Under this legislation,” he shrewdly remarks, “the exports of the South have been made the basis of the federal revenue. The twenty-odd millions annually levied upon imported goods are deducted out of the price of their cotton, rice and tobacco, either in the diminished prices which they receive for these staples in foreign ports, or in the increased price which they pay for the articles they have to consume at home.”

The storm centre of this area of industrial depression passed over Virginia, the Carolinas and Georgia. The very heart of the slave system was thus attacked by the unequal fiscal action of the general government. The South needed for its great staples of cotton, rice and tobacco the freest access to the markets of the world, and unrestricted competition of the world in its own market, and this the principle of protection denied to it. For the grand purpose of the new policy of protection was to occupy and retain as far and as fast as practicable, and in some cases a little farther and faster, a monopoly of the home market for the products of the new industrialism, and therefore to exclude foreign buyers and sellers therefrom on equal terms with their domestic rivals. Owing to the limitations of its peculiar labor the South was disabled from adapting itself, as the North had just done, to changing circumstances and new economic conditions, and so was deprived of participation in the benefits of a high tariff. Its slave system and industrial prosperity were accordingly caught by the free industrialism of the North at a fatal disadvantage and pressed mercilessly to the wall.

And so it happened that the protective tariff which was welcomed as a boon by one set of industrial interests in the Union was by another set at the same time denounced as an abomination. But when the struggle between them grew fierce and threatened to disrupt the sections a compromise was hit upon and a sort of growling truce established for a season whereby the industrial rivals were persuaded that, in spite of the existence of bitter differences and memories, they could nevertheless live in peace and prosperity under the same general government. The soul of the compromise measures of 1833, which provided for the gradual abolishment, during nine years, of the specific features of the high tariff objectionable to the South, failed, however, to reach the real seat of the trouble, namely, the counterexpanding movements of the two systems, with their mutual inclinations during the operation, to encroach the one upon the other, and a natural tendency on the part of the stronger to destroy the weaker in an incessant conflict for survivorship, which would persist with the certainty and constancy of a law of nature, compromise acts by Congress to the contrary notwithstanding. And so the struggle for existence between the two industrial forces went on beneath the surface of things. Meanwhile modern industrialism was gaining steadily over its slave competitor in social strength and political importance and power.

This conflict for industrial domination developed logically in an industrial republic into one for political domination. It was unavoidable, under the circumstances, that the strife between our two opposing systems of labor should gather about the federal government and rage fiercest for its possession as a supreme coign of vantage. The power which was devoted to the protection of slavery and the power which was devoted to the protection of the new industrialism here locked horns in a succession of engagements for position and final mastery. It seems to have been early understood by a sort of national instinct, popular intuition, that as this issue between the contesting systems happened to be decided the Union would thereupon be put in the way of becoming eventually either wholly free or wholly slave, as the case might be. Wherefore the two sections massed in time their opposing forces for the long struggle at this quarter of the field of action.

It has already been noted that certain advantages had accrued to the South from the original distribution of political power under the national Constitution, and from sundry cessions of territory to the general government after the adoption of that instrument. But while the South secured indeed the lion’s share of those early advantages, the North got at least two of considerable moment, viz., the Constitutional provision for the abolition of the African slave trade, in 1808, which imposed, after that year and from that source, a check upon the numerical increase of slaves within the Union, and, secondly, the Ordinance of 1787, which excluded forever the peculiar labor of the South from spreading into or taking root in the Northwest territory, and, therefore, in that direction placed a limit to its territorial expansion. Together they proved eventually of immense utility to free industrialism in its strife with the slave industrial system, the first operating in its favor negatively, and the second positively in the five populous and prosperous commonwealths which were subsequently organized out of this domain, and in which free labor grew and multiplied apace.

The struggle over the admission of Missouri into the Union terminated in a drawn battle, in which both sides gained and lost. The slave system obtained in esse an additional slave State and two others in posse, out of the Louisiana territory, while free industrialism secured the erection of an imaginary fence through this land, to the north of which its slave rival was never to settle. Maine was also admitted to preserve the status quo and balance of political forces between the sections. Alas! however, for the foresight of statesmen who build for the present only, and are too much engrossed by the cares and fears of a day to see far into national realities, or to follow beneath the surface of things the action of moral and economic laws and to deduce therefrom the trend of national life. The slave wall of 1820, confidently counted upon by its famous builders to constitute thenceforth a permanent guarantee of peace between the rivals, disappointed these calculations, for it developed ultimately into a fresh source of discord and strife. And in view of the unavoidable conflict of our counterexpanding systems of labor, their constant tendency to encroach the one upon the other in the operation, and the bitter and ever-enduring dread and increasing demands of the weaker, it was impossible for the compromise of 1820 to prove otherwise.

The South, under the leadership of Calhoun, came presently to regard the Missouri arrangement as a capital blunder on its part, and from the standpoint of that section this conclusion seems strictly logical. For the location of a slave line upon the Louisiana territory operated in fact as a decided check to the expansion of slavery as a social rival and a political power at one and the same time, while it added immensely to the potential strength of the rapidly expanding forces of modern industrialism in its contest for social and political supremacy in the Union.