New York

Early History

Starting in the colonial era, New York held an important position due to the strategic position of Manhattan Island, which became a focal point of trade both within the 13 colonies as well as with Great Britain and the rest of Europe. Upstate New York was also an important zone for agriculture, fur trading, and—as the population moved westward—access to the Great Lakes became crucial. Much of the goods consumed came from local farming and fishing because of the high cost of imported products and the lack of manufacturing. The growth of New York City was accelerated after the colonial era because of its excellent natural harbor and vibrant commercial activity in Lower Manhattan. Cities in upstate New York gained geographic importance after the completion of the Erie Canal in 1825. This canal connected the Great Lakes with the Atlantic Ocean in what was the largest public works in the history of the United States at the time. The canal increased the manufacturing potential of cities like Albany and Buffalo and created new investment in industry in many upstate cities, drawing mostly immigrant laborers from New York City.

Economic Growth

As the composition of New York State changed after the Civil War from primarily agricultural production to a mix of farming and industry, consumption patterns also changed. Newly wealthy industrialists began importing goods from Europe and building elaborate homes in New York City, which required extensive amounts of stone and timber. While large homes were built in neighborhoods such as Lower Fifth Avenue, there was also a rush to provide dwellings for the tens of thousands of immigrants who arrived each year and were often housed in densely populated row houses and tenements. New York began to utilize previously underdeveloped spaces for housing, while Manhattan became a hub for trade, light industry, and shipping. The textile industry became particularly important as consumer demand for clothing increased and cheap immigrant labor combined with new sewing technology allowed for quicker and cheaper output. Garment workshops, mostly employing women in crowded and often-dangerous conditions, became prevalent in Lower Manhattan starting in the 1870s. As New York City became the country's premier metropolis and its most important center for trade, upstate New York rose as a powerful industrial corridor. Following the Hudson River and the Erie Canal, factories were built that became centers of U.S. manufacturing, aided by hydroelectric power and high demand in New York City and for export to Europe.

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