With the war entering a more deadly phase, both sides must raise fresh revenue: this time from their own people rather than from abroad. Confederate Options I will raise money for the war by printing off as many banknotes as you need. I will raise money for the war by selling bonds (people give you money, you promise to pay them back with interest after the war). I will raise money for the war by increasing taxes on wages and produce in the south. Union Options I will raise money for the war by increasing taxes on wages and produce in the north. I will raise money for the war by selling bonds (people give you money, you promise to pay them back with interest after the war). I will raise money for the war by printing off as many banknotes as you need. Outcomes The Confederate President Jefferson Davis sold some bonds, but mainly relied on printing paper money, which just led prices to spiral upwards - by the end of the war the currency was only 1% of its pre-war value. Because it believed in 'state rights' the Confederacy didn’t want to raise a 'national' tax because this would have been too politically divisive. In the Southern Bread Riots of 1862, more than a thousand women marched and rioted in Richmond, shouting 'bread or blood'.
The Unionist President Abraham Lincoln, because he believed in a strong centralised government, had less of a problem increasing taxes. He also sold lots of bonds. Quiz Questions Who led the Union forces in the Second Battle of Bull Run?*General Pope*General Jackson*General Beauregard*General McClellan*General Grant What did the women shout during the Richmond Bread Riots of 1862?*Bread or Blood*Grain and Freedom*Victory or Death*President Jefferson Davis or Death