As this complaint suggests, although many Americans welcomed the market revolution, others felt threatened by its consequences. Surviving members of the revolutionary generation feared that the obsession with personal economic gain was undermining devotion to the public good. “Commerce, luxury, and avarice,” warned John Adams, “have destroyed every republican government.” In the 1820s, as he neared the end of his life, Jefferson was denouncing “stockjobbers,” financiers, speculators, and others for leading the nation away from his idealized virtuous agrarian republic.

Many Americans experienced the market revolution not as an enhancement of the power to shape their own lives, but as a loss of freedom. The period between the War of 1812 and 1840 witnessed a sharp economic downturn in 1819, a full-fledged depression starting in 1837, and numerous ups and downs in between, during which employment was irregular and numerous businesses failed. For every aspiring American who rode the tide of economic progress, another seemed to sink beneath the waves. The economic transformation produced an explosive growth in the nation’s output and trade and a rise in the general standard of living. But especially in the growing cities of the Northeast, it significantly widened the gap between wealthy merchants and industrialists on the one hand and impoverished factory workers, unskilled dockworkers, and seamstresses laboring at home on the other. In Massachusetts, the most industrialized state in the country, the richest 5 percent of the population owned more than half the wealth. Inequality was even more pronounced in Philadelphia, where the top 1 percent possessed more wealth than the rest of the population combined. Bankruptcy was a common fact of life, and men unable to pay their debts filled the prisons of major cities.

Alarmed at the erosion of traditional skills and the threat of being reduced to the status of dependent wage earners, skilled craftsmen in the late 1820s created the world’s first Workingmen’s Parties, short-lived political organizations that sought to mobilize lower-class support for candidates who would press for free public education, an end to imprisonment for debt, and legislation limiting work to ten hours per day. In the 1830s, a time of rapidly rising prices, union organization spread and strikes became commonplace. Along with demands for higher wages and shorter hours, the early labor movement called for free homesteads for settlers on public land and an end to the imprisonment of union leaders for conspiracy.

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