How did the economic development of the northern and southern states differ?

The northern states were undergoing an industrial revolution and capitalism was developing rapidly. Manufacturing was replaced by factory production with the use of hired labor, the latest scientific and technical achievements of Europe were used. Farming developed in large areas of the northwest. Hired labor began to be used here as well.
In the southern states, cotton was “ruled”. The southern states accounted for two-thirds of the world’s production of this crop. The plantation economy was based on the labor of black slaves.

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