Chronological History of the American Civil War

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Inflation during the Civil War A few facts you might not know about the Great American Civil War. Chronic inflation hit the South especially hard. By January 1864, basic foodstuff was 28 times more expensive in the South than in 1861. During the same time, wages only went up by 3 to 4 times. The South tried to finance the war through bonds and treasury notes-paper without any gold or money to support it. The Confederacy printed their own money to cover more than half its expenses. This was a problem of its own, because their paper mills were primitive, counterfeiting was easy and rampant. Even the U.S. government got into counterfeiting Confederate money and flooded the market so much, that even cotton buyers stopped accepting Confederate money. The result was a 700% inflation rate in the Civil War's first two years and a rate exceeding 9,000% by its end. In May 1861, one dollar’s worth of gold cost $1.10 in Richmond, Virginia. By January 1864, that same one dollar’s worth of gold cost $20. As the war carried on without end, the Southern government printed more money. With so much money in circulation caused prices to rise even more. Shortages of food and supplies forced the rate of inflation even higher, yet. A Richmond newspaper estimated that it cost $6.55 in 1860 to feed a small family. In 1863, it was estimated to cost $68.25 to feed the same family. Hoarding, shortages, and black markets spread relentlessly. Manufacturers were less and less willing to accept Confederate money in payment for goods. By the end of the war, Lee’s Army of Northern Virginia was out of food, out of supplies and out of alternatives except to surrender. The Chinese has a saying, “Wars are fought with silver bullets.” In other words, the side with the greater financial resources usually wins. Callaway County Missouri Recognized by U.S. as a sovereign state A few facts you might not know about the Great American Civil War. Located in the middle of Missouri, Callaway County becomes the “Kingdom.” In early October 1861, 600 Federal troops began their mission to subdue rebel Callaway County. A lawyer and former State Representative, Jefferson F. Jones, with the help of many subordinates, quickly gathered 600 troops to defend the county from the Federal invasion. They congregated at Brown’s Spring, in north central Callaway County to train and prepared for the Union to advance. With nothing more than squirrel rifles, they painted logs black and hid them in the brush with wagon wheels to give the appearance of artillery. Spies reported to Union General John B. Henderson (U.S.) of their activities and the invasion was postponed. Meanwhile, Jefferson Jones sends an envoy to the general with a letter stating that Jones’ force was formed in self- defense and that if the Federal Army would not invade Callaway County, nor molest or arrest any of its citizens, Jones would disband his army. General Henderson (U.S.) agreed to the terms rather than risk a loss in battle to this “well trained and armed” force of men. A treaty was signed on October 27, 1861. The general had allowed Callaway County to negotiate a treaty as a sovereign state with the Federal Government. This treaty recognized their independence and granted Callaway its own right to govern itself and Callaway County became known as “The Kingdom of Callaway.” Alas, this agreement was soon broken, and Callaway was frequently occupied by Union troops. But not before Callaway became legend as the “kingdom” that had forged a separate peace with the United States. After the war was over the ‘Kingdom’ still refused to be reconstructed and be governed by outside forces. Significance of the Mason-Dixon Line A few facts you might not know about the Great American Civil War. The Mason-Dixon Line … Because of disputed boundaries between English colonies in America, arising from conflicting statements in colonial charters issued by various kings of England in the seventeenth and eighteenth centuries, English surveyors and astronomers were sent to North America to locate and establish legal boundaries. During the years 1763 through 1767, Charles Mason and Jeremiah Dixon surveyed the boundaries of three colonies, Delaware, Maryland, and Pennsylvania. The line of the latter two was surveyed westward 244 miles. Opposition by Indian tribes delayed its completion until 1784. The survey cost $75,000 and was paid by William Penn and Lord Baltimore. An eight-foot wide vista was cut through the forests and