The Civil War disrupted the Southern economy badly. First of all, it freed the slaves, thus removing the bulk of the Southern work force and forcing the South to readjust its economy. Destruction of things like railroad tracks caused short-term damage to the South's economy.
Then, how was the economy of the Old South different from the economy of the New South?
One of those changes dealt with the economy of the South. Before the Civil War, the South had very little industry. Because of the mild climate and fertile soil, the vast majority of southerners were farmers. They grew various products including tobacco, wheat, rice, and cotton.
What happened to the Southern economy during reconstruction?
The most difficult task confronting many Southerners during Reconstruction was devising a new system of labor to replace the shattered world of slavery. The economic lives of planters, former slaves, and nonslaveholding whites, were transformed after the Civil War.
How was the South affected by the civil war?
The South was affected by the Civil War in many ways. One way was that slavery and all that slavery represented came to an end. As a result, the South had to be rebuilt after the Civil War ended. This led to a diversification of the southern economy as more industries were built in the South.