HIST-1302 Study Guide - Quiz Guide: Homestead Acts, Regressive Tax, Crop Yield
Document Summary
During the civil war, farmers had done very well. An army"s need for food as well as an inflationary economy to keep debt manageable had made the war economically good for farmers. Once the war was over, though, the end of government purchases and the influx of hundreds of thousands of veterans most of whom wanted to return to farming meant economic collapse for farmers. A post-war agricultural recession followed by deflation sent farmers into extraordinary difficulties. As businessmen took over government their situation only worsened. Their problems got so severe, they it was finally the farmers who rose up in political rebellion and fought back against business dominated government and shook up the parties and brought realignment and action back to washington. 1) overproduction too many farmers grew too much produce, causing the prices to go into decline. To cope, they increased crop yield, causing prices to continue to decline.
