Economic
Raising money from abroad

It is 1861. Both the Confederates and the Unionists will require large amounts of money to pay for soldiers and weapons. The Confederate economy is based on cotton. The Unionist economy is based on grain. Both sides want to sell their produce abroad at the highest possible price. The question is: what is the best way of getting the highest price from foreign buyers?

Confederate Options
Burn the cotton and continue doing so every year until European countries agree to provide us with their support.
Export as much cotton to Europe as possible. This will earn lots of money for the Confederacy.
Stockpile the cotton. The shortage of cotton in Europe will drive up prices and we will make more money when we sell it to them.

Union Options
Export as much grain to Europe as possible. This will earn lots of money for the Union.
Stockpile the grain. The shortage of cotton in Europe will drive up prices and we will make more money when we sell it to them.
Burn the grain and continue doing so every year until European countries agree to provide us with their support.

Outcomes
The Confederates stockpiled their cotton at first, then even started burning it. President Jefferson Davis hoped that this would blackmail the countries of Europe into paying more for cotton, but it turned out to be a bad decision – it wasted valuable resources and Europe bought the cotton from elswhere.<p>The Unionists instead sold their grain to Europe straight away, providing it with lots of money.

Quiz Questions
What was the main export of the Confederate States of America?*Cotton*Grain*Steel*Wool
What was the main export of the United States of America?*Grain*Cotton*Steel*Wool