The New York 's Old Money, Merchants, And Banking

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What issues divided the New York’s “old money” merchants (trade and banking) from its “new money” manufacturers? Merchants were important part of the history; they took advantage of New Yorks large, protected port port as a trade tool within United States and foreign countries. At first, they bought cotton from South for transport to Liverpool then to Britain. Trade was important to “old” merchants and was pride of New York. They made New York the center of nations trade, information transportation and networks. “New York represented the largest and most diverse segment of nations economic elite surpassing in wealthy power and diversity.” p.19. Merchants were one of the oldest and most numerous segments of the city economic elite. 1850 was golden age of investment and planning, primary profit was cotton and slave labor system, then dry goods and hardware commence, later on corn and wheat then long distance trade by sending ships to remotest corners in the world from India (tea), China (silk) and Brazil (rubber). Banking was another way of growing New Yorks economy; it shifted from the “world of trading goods to the world of finance …” p 24.The innovation of banks was to allow merchants to discount promissory notes. Banking was more beneficial then manufacturing due to higher profits. Later they some started to invest in railroads, factories, mine and utilities and others risked investing in real state. To keep the family business and pass it to next generation they

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