Born Bankrupt

America was born bankrupt. We won the revolution, but lost everything else. Our economy was dependent on Great Britain. We produced raw material, but Great Britain turned those materials into goods for the world’s markets.

Battle of Lexington and Concord revolution

Not merely did we depend on the British to supply us with finished goods we could not produce ourselves, we depended on British banks, British shipping, and British trade routes.

Everything has a price and we had no money. We had hoped we could reach an agreement with England short of war and had there been a less intransigent monarch on the throne at the time, we might have been able to do so. Despite the Massachusetts “Sam Adams faction” who were hellbent for battle, most colonists felt at least some allegiance to England.

We had no “American identity” because there was no America with which to identify. Nor was the yearning to breathe free burning in every heart. What the colonists of North America wanted were the rights of free Englishmen. We wanted seats in Parliament. We wanted to vote on taxes and other policies that affected colonial life. A deal could have been reached, but George III was not that kind of king.

The result? A war, the staggering loss to England of its wealthiest colony, and the birth of a new nation.

Winning the war was remarkable. We had no army or navy. We were sparsely populated. Existing militias were untrained, undisciplined, little better than rabble. That George Washington could turn this into an army was no small feat. No wonder they wanted him to be the first President.

And then, there were the French whose military support enabled us to beat the British. It was a loan, not a gift. We agreed to pay it back. The French revolution was an unexpected but gratifying development. It was like having the bank that holds your mortgage disappear taking your mortgage with it. It vastly improved our debt to income ratio. When Napoleon came to power and suggested we repay our war debt, we said “What debt?”

Our shipping industry was in its infancy. We had very few ships or sailors and minimal access to world trade. The British ruled the seas and being soreheads, refused to share it with us. It would take years before we could challenge their ascendancy on the seas.

What Did We Have?

Slaves and land. Sugar and rum.

If you who think slavery was an entirely southern institution, you’re wrong. Although slaves lived mostly in the southern colonies, they were brought to these shores by New England sea captains, held in New York, Boston, and other northern cities, sold to slavers at markets in the north, then sent south to be sold again to individual owners. The entire economy of the nascent country was based on slaves and their labor. The institution of slavery could not have persisted had it not been supported by business interests in the north.

The new-born United States had, for all practical purposes, no economy. We were pre-industrial when European countries were well into the modern industrial period. We had no factories. We had no national bank, currency, credit, courts, laws or central government. Our only thriving industry were slaves.

Although there was an abolitionist movement, it was tiny, more sentimental than real.

North and south, slaves made people rich. Not the slaves, of course, but other people. North and south, fortunes were made selling human beings, then profiting from their labor. When it came time to write the Constitution, to turn a bunch of individual colonies into one country, the Devil’s compromise was needed. Abolishing slavery would doom any attempt to pass the constitution … so slavery became law and the groundwork was laid for the bloodiest war America would ever fight.

It would twist and distort American history, shape our politics, society, culture, and social alignments. Its legacy remains with us today and probably always will.

Why Didn’t We Find a Better Way?

Question: If our Founding Fathers were so smart, how come they didn’t see that slavery would come back to bite us in the ass?

Answer: They knew it was wrong and knew that it would result in civil war. In other words, they did knew it would bite us in the ass. They could keep slavery and form a strong nation — or eliminate slavery and end up with two weak countries, one slave, one free. They chose what they thought was the lesser of the two evils.

Was it the lesser evil? Hard to say and a bit late to second guess it. It was clear from the get-go there was no way we were going to form a nation if slavery was illegal. From private writings by members of the continental congress, it’s clear they knew the issue of slavery would be resolved by war. They hoped they’d be dead by then. Long before 1776, slavery was the polarizing issue in the colonies.

“The Great Compromise” was put into place. The Constitution was approved. Ninety years later, the war without end was fought. More than 630,000 lives was the butcher’s bill. An ocean of blood would be the cost of ending America’s traffic in human lives. Many more years would pass before this country’s non-white population would see anything resembling justice, much less equality. When you dine with the Devil, bring a long spoon.

Was it worth it? I used to be sure I knew the answer. Now, I’m not so sure.


Slaves, rum, and sugar — the triangle of trade that kept America’s economy alive — was profitable for plantation owners, sea captains, and other slave traders, but it didn’t generate a whole lot of entry-level job opportunities for average working people. A lot of people needed work, even more needed trade goods. Dependable sources of income were slow in coming and the U.S. stayed in the preindustrial world 100 years longer than England.

Most people didn’t own ships. If they did, they might be disinclined to take up slaving. Regarded as an economic necessity by many, it was never anyone’s idea of a good way to make a living. Decent people might live off the labor of slaves, but the actual process of buying and selling human beings was more than they could stomach.

Slaterville Mill -- oldest mill in the Blackstone Valley

As great political and legal minds gathered in Philadelphia to draft the document to build a nation, other great minds were seeking ways to make money. That’s the American way.

In one of the stranger coincidences of history, the Constitution went into effect on March 4, 1789 while simultaneously, the American Industrial Revolution was born on the Blackstone River.

Moses Brown had been fighting his own war. He was battling the Blackstone. With a 450 foot drop over a 46-mile course — an average drop of about 10 feet per mile — the Blackstone River is a powerhouse. Not a wide river, its sharp drop combined with its narrowness and meandering path give it much more energy than a river of this size would normally generate.

It invited development. The question was how.

Through 1789, as the Constitution was gaining approval throughout the former British colonies, Brown wrangled the river, trying to build a cotton thread factory in Pawtucket, RI at the falls on the Blackstone River. He was sure he could harness the river to power his mill, but as the end of the 1789 approached, the score stood at Blackstone River – 1, Moses Brown – 0.

America had her welcome mat out in those days. We needed people, especially people with industrial skills. We weren’t picky. All immigrants were welcome. This turned out to be a stroke of luck for Moses Brown.

In December 1789, Samuel Slater — a new immigrant from England — began working for Brown. Slater had spent years working at an English textile mill. He recognized that Brown’s machinery was never going to work. Slater had fine engineering skills. In under a year, he’d redesigned and built a working mill on the Blackstone River.

By 1790, Slater’s Mill was up and running, the first successful water-powered cotton-spinning factory in the United States. Slater’s Mill proved you could make money in New England doing something other than whaling, fishing, or running rum and slaves. Entrepreneurs hopped on the idea like fleas on a dog. Mills were an immediate success. New England was inhospitable to agriculture, but fertile for factories.

Mills grew along the Blackstone from Worcester to Providence, then sprouted by the Merrimack in Lowell, and eventually, throughout New England. Wherever the rivers ran, mills and factories followed.

The Blackstone Canal

On the Blackstone, mill owners urgently sought a better way to move their goods.

The features that made the Blackstone a natural for generating power made it useless for shipping. The only other choice — horse-drawn wagons — was slow and expensive. The trip took between 2 and 3 days over dirt roads from Worcester to Providence. In heavy snow, it was impossible.

All of which led to the building of the Blackstone Canal. Meant as a long-term solution, it actually turned out to be no more than a short-term temporary fix … but it was an impressive undertaking.

What Does This Have To Do With Slavery?

Mills brought employment to the north. It created a real industrial base that would give the north the ability to fight the civil war … and win. It started with a river, continued with a canal, expanded with the railroads. Which is why the Blackstone Valley is a National Historic Corridor and known as the birthplace of the American Industrial Revolution … a revolution that brought the U.S. into the modern world and positioned us to become a top dog on the international scene.

Building the Canal

The Blackstone Canal took 4 years to build, from 1824 to 1828. The main canal runs alongside the Blackstone. In some places, the canal and the river are one. There is an extensive network of small canals, many on tributary rivers like the Mumford. The main canal was designed to handle large barges. It travels in a relatively straight line from Worcester to Providence. Smaller canals, built between the river and the big canal, could move cargo in towns and between mill.

Big barges were faster and cheaper than horse-drawn wagons. A single barge could haul as much as 35 tons of cargo and only needed two horses going downstream.

The canal system remains largely intact. Trails along the canals where horses towed barges have become walking paths. The barges are gone, but small boats can enjoy the open stretches of canal and river.


Ultimately, railroads were the game-changer. As soon as rails from Worcester to Boston, and Worcester to Providence were built, the canals were abandoned. Business boomed. The Blackstone River was lined with mills and factories at the end of the 1800s. The Blackstone supplied the hydro power and in return, the river was used to dispose of industrial waste and sewage.

By the early 1900s, the Blackstone River in Massachusetts was grossly polluted. Fortunately for the river, though not necessarily for the valley’s residents, this was also the beginning of the end of the textile industry in the northeast.

As of 1923, the majority of nation’s cotton was grown, spun and woven down south. Without its mills and factories, the valley’s population began to shrink.


In 1971, the Blackstone River was labeled “one of America’s most polluted rivers” by Audubon magazine. It was a low point for the region. It was time to clean up the mess.

We’re still cleaning up. Although not as polluted as it was, the watershed has a long way to go. The river’s tributaries are less polluted than the Blackstone itself because against all logic and reason, waste-water is still being discharged from a sewage treatment plant in Millbury. It’s hard to fathom what reasoning, if any, those who favor pouring sewage into our river are using. The fight never ends.

Good news? The birds and fish are back. American eagles nest in the woods. Herons and egrets wade in the shallows. Fishing is legal and in some places, even swimming is allowed. The river is alive despite man’s best efforts to kill it.


    1. We all think we are very important. The U.S. was important. Then, we had an election.

      Yes, England is going through something similar to what WE are going through. It’s an international thing, I guess.

      Our valley was important, 250 years ago.

      Liked by 1 person

  1. Fascinating post, although repugnant at its base. Whatever. It looks now as if nothing much will matter as the child-in-charge sets out to pollute the entire country – aided and abetted by cowardly, Midas-minded politicians who, no doubt, hope they are dead before civil war comes to our shores anew.
    (Madelyn Griffith-Haynie – ADDandSoMuchMORE dot com)
    ADD Coach Training Field founder; ADD Coaching co-founder
    “It takes a village to educate a world!”


    1. Well, I can tell you it won’t happen here. We don’t have factories or mills or anything that could pollute. All that stuff left for other parts of the country years ago. But elsewhere — in the west, south, sections of the mid west? All are in serious danger, and it’s so STUPID.

      Liked by 1 person

  2. Very Informative Post! ( and i love those pics!) 😉 Well written.

    We grew our own slaves ( UK prisoners deported to Penal Colony) and kept ties (and paid taxes) to Mother England – even after declaring ourselves a New Nation, 130 years after first UK landing here. Thus saving ourselves from both Civil War and Bankruptcy.

    The ties gave us benefit but also came with a cost that we bore grudgingly. Even today The Queen is our notional Head Of State, and we are a Constitutional Monarchy, despite the strong, but as yet ineffective, republican movement here.

    Apart from that your story and ours have remarkable parallels. 🙂

    (But that is probably more due to a long history of self-deprecation and kow-towing to authority and a grudging yet denied desire to be at the ‘Top of the world’ like your country that we have copied far more than we ever admit – We have states not counties, Our capital city is not our most populous and has it’s own seperate territory, We have dollars not pounds, etc).



    1. I like writing about history and hardly anyone knows much about this region, even though it was very important … a long time ago. Yes, Australia is similar to us in many ways … and I think there’s a good chance that time will bring you a lot closer than you ever wanted to be. Be better than us.

      Liked by 1 person

      1. Personally i think a lot of Aus is already closer to US than i’d prefer it to be 😉
        Be better? – We’d definitely be different – but better? Hmmmm…. not sure my optimism extends quite that far 🙂

        Looking forward to learning more about your history (with Pics!).



  3. I think we are in a whole new de-industrialization revolution. With the focus on trade the multinationals picked up and move the employment off shore. The subsequent loss of jobs has made us dependant upon cheap goods produced elsewhere. Now even those things are too expensive. Maybe it’s time for us to get back to manufacturing more of our goods. We also have artificial intelligence and robotics to contend with.

    Liked by 1 person

    1. Robots are already a far superior to human workforce and are improving almost daily (unlike humans). The belief that we will have more jobs to employ more people, even if we try to manufacture here is a fallacy, but one most people refuse to accept. Business leaders – employers know and accept it.

      Economically, the only hope we have is to all learn how to make money for ourselves and not rely upon someone employing us.

      AI, or the version known as ASI, is an even bigger disaster coming soon which will see even more massive social disruption in all our lives. Humans are actively and deliberately creating machines that will out think them and out perform them on every possible level. Machines are being taught to think for and learn from themselves which leads to exponential rates of improvement and will ultimately lead to a form of machine consciousness. This may not be something we recognise as consciousness and is unlikely to be something that feels the same ways we do, but it will be superior to just about everything we know currently. When that day comes – and it could easily be before the end of this century, before your kids die – we will no longer be in control of this planet or our own destiny.

      We ain’t seen nothin as far as change goes – Yet!


      Liked by 1 person

        1. There’s some good and some bad in just about everything; it’s a matter of your personal perspective, mostly.

          But this is something the world has never ever known before and so is impossible to accurately assess.

          We (scientists/entrepreneurs) are creating something(s) with the likely potential to be in every way possible the most superior thing (life-form) on the planet.

          That has been us for as long as we have existed (to the best of our not-so-perfect knowledge! Douglas Adams suggested otherwise. 🙂 )

          What are we going to do/think/feel when we all know we are second best at best?

          Do we REALLY want to find out?
          We could stop it if we all wanted to.


          Liked by 1 person

            1. I never said it would be easy to – it would take a lot of effort from a lot of people, but people like Stephen Hawking ( Physicist ) Elon Musk ( Tesla) and Bill gates are thinking about it right now.!

              We have hope.


              Liked by 1 person

      1. I know. I’m from the hi tech biz. That’s what I did for the past 40 odd years. It doesn’t matter how many times they try to revive dying industries. They will die anyway. But there are a zillion MIDDLE level jobs for people who know how to do skilled things and not nearly enough people to do them. And no one to train them, either.


        1. Those jobs might be around for a few more years, but we still work on improving automation designed to do ANY job better than we can.

          Who’s going to pay a person when their competitors are paying an automaton less and it does a better job than 3 (30?300?) humans?

          Low level Jobs are dying/have died out in many cases. Middle level jobs are now able to be replaced by current automation, Senior level jobs will be the next and then what? Automation will be improving Itself!

          What will be left for us and who will be paying all of us?

          Can we shut Pandora’s Box before we no longer have the choice?

          This worries me greatly.


          Liked by 1 person

          1. I know what you mean, but there “middle” jobs are often “made to order” things. I used to work at a place that made the parts to create steel mills. Turns out, steel mills are one of a kind. Each one slightly different. The people who operate the machinery to make these unique and hugely expensive parts get paid a LOT of money. The machines actually ARE robots already.

            There will always be work, but it will be different. The long lines of people in factories — that’s disappearing now. But there will always be stuff that has to be made precisely to a specific job. It’s actually cheaper to use a person to do it and as long as that is true, people will do that work. But most of the rest of it? Not much will remain.

            Liked by 1 person

            1. Would LOVE to spend an evening or two discussing the topic – am sure it would amuse us both and no doubt we would both learn a lot and see new viewpoints on some things.

              For now, i’ll give everyone a break and shut up and go make lunch! 🙂

              I’ll leave with one last thought…. It is probably a mistake to predict what has not yet happened on the basis of what already has… but what else have we got?



  4. I’ve never read history with eye to a river’s impact. This was a new view–a longer view–on what divides and brings a country together. With the current political situation regarding the EPA, I expect the Blackstone will have more to say about our nation’s direction. As the river goes, so goes the country?


    1. Probably true, though now less the Blackstone and more the Mississippi and Missouri. Those two rivers power tons of stuff and also provide drinking water to huge numbers of people. If you want to study Egypt, study the Nile. India? The Ganges. England? The Thames. Europe has many more, of course … Rivers matter.

      Wherever the rivers run, that’s where industry and people will live. Rivers are power. Industry. Water. Life.


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