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Because the Union naval blockade became steadily more effective, and they were unable to export their plentiful cotton in exchange for war supplies.

Also most of the battles were in the South, and the farms and railroads suffered increasing damage, especially when Sherman launched his March to the Sea.

All of this wrecked the economy, and the Confederate dollar was down to five cents by early-1864.

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Q: Why the economy of the South become so bad during the Civil War?
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Related questions

What were the conditions of the economy in the south during the civil war?

bad.


What was the economy of the north during the civil war?

it wasn't as badly affected as the south.


Us region whose economy was destroyed during the civil war?

In the south


Was there an economy for both north and south during the civil war?

yes the south agriculture the north industrial


What was the economy in the South based during and after the Civil War in the California?

California was not considered part of the South. In the South Cotton controled the economy. In California gold was the chief economic element.


How was the south brought to economy ruin during the civil war?

The south was not allowed to import or export any goods during this blockade which lasted most of the Civil War.


South economy after civil war?

Their Economy Flourished.


During the civil war did the southern economy become devastated?

The South (The Confederacy) was primarily an economy based on agriculture, which was hardput to finance a war. Further, the Union conducted a naval blockade of southern ports, preventing needed supplies from getting in.


During the Civil War, the South's economy?

deteriorated


Who had more factories during the civil war?

The North had more factories than the South because the South relied on their agricultural based economy.


One disadvantage for both the north and the south during the civil war?

The north had very little knowledge of the south's land. The south had an extremely poor economy.


What was the agricultural status of the southern states during the Civil War?

The agricultural status of the Southern states was extremely high. Over 80% of the South's economy came from agriculture. Whilst industrially, it was in the dumps, while the North's industrial economy was boosting. That was a huge disadvantage for the South during the civil war.