16 G. S. CALLENDER 



supplied the market which created their prosperity. Of course, 

 the founding of many of the colonies was due to other than 

 economic motives; but the subsequent progress of these col- 

 onies in wealth was due to the rise of markets for their prod- 

 ucts. The same thing is true also of the great colonies and 

 new countries of the nineteenth century, like Australia, South 

 Africa, the Canadian northwest, California, and Argentina, 

 whose economic progress has been primarily due to the rise 

 of a market in old countries for wheat, meats, cotton, wool, 

 and such commodities. There has always been a demand for 

 gold and silver, and that accounts for the great part which 

 their production has played in the settlement of new coun- 

 tries. 



Let us see now what were the conditions existing in the 

 west before 1812, and how far they correspond to those we 

 have found to be necessary to secure the prosperity of a new 

 community. Separated from the eastern seaboard by com- 

 plete lack of water communication, the western people were 

 unable to send any of their produce to the eastern cities, ex- 

 cept a few cattle, hogs, and horses, which could be driven to 

 market over long distances, and a few commodities like furs, 

 which could stand the expense of land carriage. They were 

 compelled, therefore, to depend almost wholly upon such mar- 

 kets as could be found at the mouth of the Mississippi. With 

 the exception of a small amount that went from northern 

 Ohio and western New York, nearly all western produce was 

 sent down the rivers to New Orleans. Not only was this an 

 expensive and dangerous voyage before the days of steam- 

 boats, but there was very little demand for the produce of 

 the west when it arrived at New Orleans. The population on 

 the lower Mississippi was very small, and required little, if 

 any, western produce for its own consumption. The rest of 

 the produce had to be sent around by sea to the Atlantic cities 

 or exported to the West Indies, Mexico, or Europe. The 

 total value of the produce received at New Orleans in 1807 

 was only $5,370,000, and by 1816 it had increased to only 

 $8,773,000. Thirty nine per cent of this in the latter year 

 came, however, from Louisiana and the lower Mississippi. 

 The remainder represents the chief part of the exports of an 



