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The First Phase of the Empire State’s “Triple Transition”: Banks’ Influence on the Market, Democracy, and Federalism in New York, 1776–1838
Published online by Cambridge University Press: 04 January 2016
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The story usually goes something like this: Colonial Americans lived in a world very different from that of the generation that fought the Civil War. Locals wielded the tools of government most of the time; rarely did distant officials attempt control, and when they did they were usually roundly rebuffed. Politicians “stood” for positions of honor rather than “running” for lucrative posts. A man’s surname was a crucial determinant of his socioeconomic well-being. Artisans and yeomen deferred to gentlemen. Barter predominated as little “cash” circulated. Custom and family, not market forces, dictated the allocation of credit. Change of all types occurred slowly. By Martin Van Buren’s presidency some threescore years later, America was a very different place. Though still evolving, the United States exuded modernity, at least in its general outlines. Politicians and bureaucrats in state capitals, and even Washington, increasingly affected Americans’ everyday lives. Party politics and patronage took on increased importance as plutocrats plied for patronage posts. A man’s bank account meant more than his lineage. Gentlemen feared the artisans and yeomen they once easily ruled. Cash was abundant, and the market determined most access to credit. Societal conditions changed apace. Generally speaking, over these decades America is described as becoming less “aristocratic” and “mercantile,” or even “feudal,” and more “democratic” and “capitalist.”
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