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AP U.S. History: Unit 5.3
Teacher’s Edition
Politics and Economics during the Civil War
I. President Abraham Lincoln (1861-1865)
A. First Inaugural Address, March 4,1861
1. He vowed to preserve the Union and to “hold, occupy, and
possess” Federal property in the South.
 “Physically speaking, we cannot separate”
2. He was careful not to offend the border slave states with
hawkish rhetoric.
3. Republicans and Democratic unionists supported the speech.
4. The lower South saw it as a war message.
Concept
Outline
5.3.IA
B. Lincoln’s Cabinet
1. William H. Seward, Secretary of State
a. One of America’s all-time most effective secretaries of state
b. In 1850 he had argued against the Compromise of 1850,
especially the Fugitive Slave Law, arguing there was a
“higher law” than the Constitution.
2. Salmon P. Chase, Secretary of the Treasury
a. A leading abolitionist, he had presidential hopes that were
dashed by Lincoln’s success.
b. He oversaw a significant transformation of the nation’s
financial system.
c. Eventually, he was appointed by Lincoln as the Chief Justice
to the Supreme Court
3. Edwin M. Stanton, Secretary of War
a. He was a “War Democrat” who was later appointed as
secretary of war to gain the support of pro-Union Democrats.
b. He oversaw the eventual success of the Union army over the
Confederacy
4. The cabinet was often at odds with each other or with Lincoln.
C. Lincoln proved to be an able and savvy leader
1. He was perceptive at interpreting public opinion and acting
accordingly.
2. He was charitable toward South and patient with feuding cabinet
members.
3. Despite deep differences with some of his cabinet members, he
shrewdly presided over the cabinet to achieve his goals
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Objectives
POL-5
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Unit 5.3: Civil War Politics
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II. Attack on Fort Sumter (April 12, 1861)
A. Located at mouth of Charleston Harbor, Ft. Sumter was one of
the two last remaining federal forts in the South.
B. Lincoln’s dilemma and decision
1. The day after his inauguration, Lincoln was notified by Major
Robert Anderson that supplies to the fort would soon run out
and he would be forced to surrender.
 Confederate General P. G. T. Beauregard gave Anderson an
ultimatum to give up the fort or face an attack.
2. Lincoln was faced with choices that were all bad.
a. Providing no supplies would mean surrender; this would ruin
his credibility to “hold, possess, and occupy” federal forts
b. Sending reinforcements would surely provoke the South
into a civil war with the North seen as the aggressor.
 Moreover, Union detachments were not available on such
short notice thus limiting Lincoln’s military options.
c. Solution: Lincoln notified South Carolinians of an
expedition to send supplies to the fort, not to reinforce it
with men or weapons
 If a war were to begin, Lincoln would let the South fire the
first shot.
3. April 9, 1861: A ship carrying supplies for Fort Sumter
sailed from New York.
 South Carolina saw it as an act of aggression; military
“reinforcement”
C. April 12: Fort Sumter was bombarded by more than 70
Confederate cannon.
1. Signaled the beginning of the Civil War
 Anderson’s garrison held for 34 hours until he surrendered at
2:30 P.M. the next day.
 Anderson’s men were allowed to return north.
 No loss of life during the bombardment; fort heavily
damaged
D. Lincoln’s Response
1. Before the attack , many northerners felt that the South had the
right to secede and should not be forced to stay.
2. The attack on Fort Sumter provoked the North to fight for their
honor and the Union.
 Lincoln’s strategy paid off; the South was seen as the
aggressor while the North was seen as the victim.
3. April 15, Lincoln issued a call to the states for 75,000
militiamen for 90 days of service
4. April 19, Lincoln proclaimed a blockade of Southern seaports
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Unit 5.3: Civil War Politics
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 Initially ineffective; but eventually strangled the South.
5. May 3, Lincoln issued a call for 3-year volunteers; the 90-day
militia would not be sufficient
6. Until April 25, Washington D.C. was virtually under siege and a
Confederate attack on the capital was expected (but never came).
E. Four more states seceded from the Union: VA, AK, TN, NC
1. Northern calls for troops aroused the Middle South who viewed
Lincoln as waging war.
2. Richmond replaced Montgomery as the Confederate capital.
III. The Border Slave States (MO, KY, MD, later WV)
A. They remained in the Union as the North did not start the war.
1. Crucial to the Union cause; sent 300,000 soldiers to the Union
Army
a. “Mountain white” population in the South sent 50,000 soldiers
to the Union army.
b. Lincoln: Hoped to have God on his side but he had to “have
Kentucky”
2. West Virginia left Virginia in mid-1861 to join the Union; it had
a large “mountain white” population.
3. Border South had over 50% of the South’s white population and
fewest number of slaves.
4. Thus, the war began with slaveholders on both sides.
 Brothers and family members were often split and fought on
opposite sides
B. Lincoln used force at times to maintain control of the border states.
1. He declared martial law in Maryland in certain areas and sent
troops since some Marylanders threatened to cut off
Washington, D.C. from the North.
2. Troops were also sent to West Virginia and Missouri (where a
mini-civil war raged).
C. Politically, Lincoln had to keep the border states in mind when
making public statements.
1. He declared the primary purpose of the war was to preserve the
Union at all costs.
2. He declared the North was not fighting to free the slaves.
a. An emancipation edict would have driven the border states to
the South.
b. Lincoln was heavily criticized by abolitionists who saw him
as a sell-out.
 Lincoln in Aug. 22, 1862 to Horace Greeley: “My
paramount object is to save the Union, and is not either to
save or destroy slavery... If I could save the Union without
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Unit 5.3: Civil War Politics
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freeing any slave I would do it, and if I could save it by
freeing all the slaves I would do it, and if I could save it
by freeing some and leaving others alone, I would also do
that.”
IV. Confederate Assets
A. Possessed the advantage of a defensive war strategy
1. They only needed a stalemate, not outright victory; fewer troops
could defend a larger invading northern army.
2. The Union would have to invade, conquer, occupy and
reintegrate the South into the Union.
B. Until the emancipation proclamations of 1862 & 1863, many felt
the South had the superior moral cause, slavery notwithstanding.
 Confederates fought for self-determination, its culture, its
homeland and freedoms (for whites)
C. The Confederate army had superb military officers
1. Robert E. Lee: one of greatest military leaders in U.S. history
a. Ironically, he was opposed to slavery and spoke against
secession in January 1861.
b. Lincoln had offered Lee command of the Union armies but
Lee decided to protect his native Virginia after she seceded.
2. Thomas J. “Stonewall” Jackson
 Lee’s chief lieutenant and premier cavalry officer.
3. Top Union generals in the east were inept during the first 3 years
of the war until replaced by more able generals from the west.
D. Southern men made strong cavalry and infantrymen.
 Accustomed to a hard life and management of horses and guns
while large numbers of northerners moved away from
agriculture during the “Market Revolution”
V. Confederate Weaknesses
A. Lack of significant industrial capacity was a crucial disadvantage
as the South was primarily agricultural.
B. As the war dragged on, severe shortages of shoes, uniforms, and
blankets adversely impacted Rebel soldiers.
C. Southern railroads were cut or destroyed by the Union army.
D. The Confederacy didn't get its much-needed foreign intervention
E. Confederates might have won if:
1. one or more border states had seceded
2. upper Mississippi Valley states had turned against the Union
3. northern public opinion demanded a peace treaty
(e.g. the “Copperheads”)
4. England and France broke the Union blockade and recognized
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Unit 5.3: Civil War Politics
the Confederacy
VI. Northern Advantages
A. Enjoyed a population of 22 million (including border states) and
800,000 new immigrants between 1861-63
1. The South only had 9 million people including 3.5 million
slaves.
2. Union Army’s numerical advantages over Lee were 3 to 2 or
even 3 to 1
3. 20% of the Union Army was foreign-born
 Thousands of Irish immigrants were recruited for the Union
army as soon as they disembarked their ships
B. The Union had 3/4 of the nation’s wealth.
 Overwhelming superiority in manufacturing, shipping, and
banking.
C. The North had 75% of nation’s railroads and could easily repair
and replace rails.
D. The Union controlled the sea through its blockade of southern
ports.
E. The ideal of Union aroused the North against the South; “Union
Forever”
1. This was significant in keeping the border states and upper
Mississippi states from seceding.
2. The cry for Union gave the North a strong moral issue until the
emancipation of slaves was added to it later.
F. The Union had much better logistical planning in the army and
better weaponry.
VII. The Confederate States of America
A. The Confederates drafted a constitution that was in many ways
identical to that of the Union.
 Fatal flaw: the Confederacy was created by secession, it could
not deny future secession if a southern slave state sought to go
its own way.
B. Jefferson Davis’ idea of a strong central gov’t was bitterly
opposed by states’ rights advocates.
 Some states didn’t want their troops to fight outside their own
borders.
C. Davis was often at odds with his Congress; in danger of being
impeached at one point.
D. Davis lacked Lincoln’s political savvy.
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HistorySage.com APUSH Lecture Notes
Unit 5.3: Civil War Politics
VIII. European Diplomacy during the War
A. The monarchies of England, France, and Austria-Hungary
supported the Confederate cause.
1. Democracy was hated by aristocrats as the Union was a
powerful symbol of democracy.
a. Democracy was a threat to the old order (e.g. the Revolutions
of 1848 throughout Europe).
b. Britain sympathized with the aristocratic society of the
South.
c. They sought to break up the United States.
2. Europeans sold weapons, warships and supplies to the
Confederates.
3. At times, they considered direct intervention on behalf of the
South, especially Britain.
4. British industrial and commercial centers wanted an
independent Confederacy.
a. Wanted a safe cotton supply without the Union’s blockade
or interference
b. British shippers and manufacturers could then bypass
Union tariffs.
B. Why did “King Cotton” fail the South?
1. In 1861, Britain had an oversupply of cotton.
2. By the time Britain badly needed cotton again, Lincoln had
issued the Emancipation Proclamation giving the North the
superior moral cause.
3. Working people in England, and to some degree France,
supported the North and hated slavery; they influenced their
governments to stay neutral.
4. As Union armies captured the South, the North shipped
huge supplies of cotton to England.
5. Booming war industries in England that supplied the North and
South alleviated British unemployment.
6. Huge amounts of northern grain was shipped to Britain who
had suffered through bad harvests.
C. Britain maintained a policy of neutrality (with a few notable
exceptions).
1. Trent Affair (1861)
a. A Union warship north of Cuba stopped a British ship en route
to England and apprehended two Confederate diplomats.
 The U.S. captain erred as he should have brought the ship
to port for proper judgment.
b. In response, Britain prepared for war against the U.S.; sent
troops to Canada.
c. Lincoln decided reluctantly to release the diplomats as he
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HistorySage.com APUSH Lecture Notes
Unit 5.3: Civil War Politics
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did not want to fight a second war.
2. Britain was an unofficial naval base for the Confederacy until
1863.
a. Confederate commerce-raiders, such as the C.S.S. Alabama,
were being built in Britain.
b. Over 250 U.S. merchant ships were captured by the
Confederates.
 Yet, the Union’s war effort was not crippled by
Confederate commerce-raiders.
C. French diplomacy
1. French leader Napoleon III treated the Union with contempt.
2. 1863, Napoleon III sent troops to conquer Mexico in violation
of the Monroe Doctrine.
3. During Civil War, the U.S. was cautious toward France.
 Did not want to fight a world war.
4. After the Civil War, Secretary of State Seward prepared to send
U.S. forces to Mexico to drive out the French.
a. Napoleon III abandoned Mexico and she once again became
independent.
b. Bolstered the prestige of the Monroe Doctrine
IX. Raising Armies: North and South
A. Northern troops
1. Initially northern armies were comprised of volunteers
with each state given a quota based on population.
 Comprised 90% of the Union army.
2. 1863, Congress passed the first-ever federal conscription law
in U.S. history.
a. It needed to make up for fewer numbers of volunteers.
b. The policy was unfair as wealthier youth could hire
substitutes for $300.
c. The draft was most hated in the Democratic strongholds of
the North.
 The New York Draft Riot in 1863 was sparked by Irish
Americans (against blacks) that resulted in nearly 500 lives
lost and many buildings burned.
3. Large bounties for enlistment were also offered by federal,
state, and local authorities.
4. About 200,000 deserters of all classes avoided military
service; the South experienced similar problems with desertion.
B. The South initially relied on volunteers (similar to the North)
1. Its smaller population meant numbers of troops were smaller.
2. The Confederacy was forced to conscript men between ages of
17 and 50 as early as April, 1862; a year earlier than the Union.
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3. Rich men could hire substitutes or purchase an exemption.
4. Mountain whites refused to enlist.
C. African-American soldiers in the North.
1. About 180,000 blacks served in the Union armies; about 10%
of total Union enlistments; 38,000 died during the war
 Most came from slave states but many came from northern
states as well.
2. Black volunteers were initially rejected.
a. The initial war aim of the Union was not to end slavery
(but to preserve the Union).
b. Many whites were overcome by racism and fear in arming
blacks.
3. By 1862, the need for soldiers and impending emancipation
opened door to black volunteers.
4. Lincoln later claimed the Union’s victory was largely due to
the impact of the black regiments.
5. Black soldiers were particularly inspired to fight for the
freedom of their families or for increased rights after the war.
D. The Confederacy did not enlist slaves until a month before the war
ended (too little, too late)
1. Thousands of slaves were forced into labor battalions, building
fortifications, supplying armies, and other war-connected
activities.
2. Slaves kept the southern farms going while the southern white
men fought.
3. Ironically, slaves didn’t revolt back home (despite learning of
the Emancipation Proclamation).
4. Many slaves abandoned plantations when Union armies arrived.
E. Native Americans
1. Indian Territory: most of the Five Civilized Tribes sided with
the Confederacy including the Cherokee, Creek, Choctaw,
Chickasaw, and Seminoles
 The Creek and Choctaw owned slaves
2. Nearly 29,000 Native Americans served in the Union and
Confederate armies.
X. Civil War Economics
A. Northern revenues
1. The first income tax in the nation’s history was passed by
Congress in 1862.
 Relatively small but it paid for 2/3 of the war’s cost.
2. Excise taxes on tobacco and alcohol were substantially
increased by Congress.
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Unit 5.3: Civil War Politics
3. Morrill Tariff Act of 1861: raised the low Tariff of 1857 about
10%
a. It was about the level of the Walker Tariff of 1846.
b. Tariff rates were later raised significantly due to demands of
revenue and protection during war.
c. The protective tariff came to be associated with Republicans
for the next 70 years and became the dominant issue in
post-Civil War politics during the 1870s and 1890s.
4. Sale of bonds through the U.S. Treasury were marketed through
the private banking house of Jay Cooke & Co. which earned
enormous monies from commissions.
5. National Banking System was authorized by Congress in 1863.
a. It was designed to establish a standard bank-note currency.
 At the outset of the war, the North was flooded with
depreciated “rag money” issued by unreliable bankers.
b. Greenbacks became America’s first national currency.
 About $450 million was issued at face value to replace
gold.
 Greenbacks were supported by gold; their value was
determined by the nation’s credit.
 Though fluctuating during the war, Greenbacks held their
value well after the Union’s victory.
c. The National Banking system also sold gov’t bonds.
d. Banks that joined the National Banking System could buy
bonds and issue sound paper money backed by the system.
e. The new bank constituted the first national bank since
Jackson killed the BUS in 1832.
 It lasted 50 years until the creation of the Federal Reserve
System in 1913.
B. Southern finances
1. Customs duties were cut-off due to the Union.
2. The gov’t issued about $400 million of bonds sold at home and
abroad.
3. Significantly increased taxes, including a 10% tax on farm
products.
a. Most states’ rights Southerners hated heavy direct taxation
by the Confederate gov’t.
b. Yet, direct taxation accounted for only 1% of gov’t revenues.
4. Biggest source of revenue: Confederacy printed large amounts of
paper money
a. “Runaway inflation” occurred as the treasury cranked out
more than $1 billion.
b. Inflation of currency coupled with taxes on farm produce
actually worked until the end of the war.
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HistorySage.com APUSH Lecture Notes
Unit 5.3: Civil War Politics
C. War-time prosperity in the North
1. The Civil War produced the first millionaire class in U.S.
history.
a. New factories protected by the new tariff emerged.
b. Marked the beginning of the “Gilded Age” dominated by
“Captains of Industry” (“Robber Barons”)
2. New labor-saving machinery spurred expansion while the best
laborers were fighting in the war.
a. Sewing machine
b. Mechanical reapers numbered 250,000 by 1865.
3. The petroleum industry was born in Pennsylvania in 1859 that
led to the vast production of kerosene for lighting lamps.
4. Westward movement
a. Homestead Act of 1862
 Provided free land to pioneers heading to unsettled lands
out west.
 Many pioneers headed west to escape the draft.
 By 1865, 20,000 settlers had moved west.
 After the war, a flood of settlers moved west; many were
veterans of the war.
b. Gold seekers in Nevada and California would later constitute
a formidable mining frontier with the completion of the
transcontinental railroad.
c. Morrill Land Grant Act of 1862
 Each state received 30,000 acres of public lands for each
senator and congressman in Congress.
 Profits from sale of lands financed agricultural and
mechanical colleges in each state.
 Southern states who rejoined the Union enjoyed the same
terms.
 The law became the foundation of state college systems
throughout the West in the late-19th and 20th centuries.
d. Pacific Railway Act (1862)
 Commissioned a transcontinental railroad to be built
connecting the northern states and territories to California.
 Completed in 1869, the transcontinental railroad became
perhaps the most important economic and technological
event of the 19th century.
o Stimulated the development of major industries (e.g.
steel, ranching, mining, agricultural production)
5. The only Northern industry to suffer was overseas shipping due
to Confederate commerce-raiders.
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Unit 5.3: Civil War Politics
Page 11
MEMORY AID: SUCCESS OF REPUBLICAN AGENDA
DURING CIVIL WAR
A
P
H istory
M akes
Me
Nauseous
Abolition of slavery (13th Amendment)
Pacific Railway Act
Homestead Act
Morrill Tariff
Morrill Land Grant Act
National Banking Act
D. Demise of the Cotton Kingdom
1. The Union blockade resulted in severe shortage of metals and
other materials for military purposes.
2. The destruction done by Union armies ruined the southern
economy.
 The southern rail system was destroyed.
3. The South was eclipsed by the new 2nd Industrial Revolution of
the North.
4. The logistical superiority of the Union, especially the use of its
vast railroad network, eventually overwhelmed the South.
XI. Lincoln and the suspension of civil liberties
A. As a war-time president, Lincoln bent the Constitution and
suspended certain civil liberties.
1. Motive: Saving the Union required circumventing some areas of
the Constitution.
2. Congress generally accepted or approved Lincoln’s acts.
3. The suspension of liberties was not total but more than any other
period of U.S. history.
4. Lincoln fully intended to restore civil liberties once the
Union was preserved.
B. The Blockade (Anaconda Plan) was proclaimed by Lincoln when
Congress was not in session (shortly after Fort Sumter).
 Lincoln’s action was later upheld by Supreme Court.
C. He increased size of federal army and navy (without Congressional
approval).
1. The Constitution states that only Congress can do this.
2. His actions were later approved by Congress who actually
increased appropriations and the size of the army.
D. He extended volunteer enlistments to three years (without
Congressional approval).
E. He advanced $2 million to three private citizens for military
purposes (without Congressional approval).
F. He suspended the writ of habeas corpus so that anti-Unionists
could be arrested and kept in prison.
1. Ex Parte Merryman, 1861: Chief Justice Roger Taney ruled that
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habeas corpus could only be set aside by Congress.
a. 864 people were held without a trial during the first nine
months of the war.
b. Lincoln ignored Taney’s report and took no action.
c. Significance: During the crisis of wartime, the President could
bend the law for the welfare of the country, including
suspending the Court’s authority.
2. In 1863, Congress approved Lincoln’s action.
3. After 1862, arrests increased for spies, smugglers, blockaderunners, and foreigners.
G. He arranged for the Union Army to oversee voting in Border
States.
1. Voters holding colored ballots indicating party preference had
to walk between two lines of armed troops who were protecting
against election fraud and voter intimidation by pro-southerners
2. Democrats and pro-southern critics claimed that this
“supervised” voting actually intimidated voters who were not
Republican or who had southern sympathies.
H. Federal officials also suspended certain newspapers and arrested
their editors for obstructing the Union war cause.
 This can be viewed as a direct violation of the First Amendment
to the Constitution.
I. Lincoln signed a bill outlawing slavery in all the national territories
even though it conflicted with the Dred Scott decision.
J. In general, civil liberties and constitutional rights were respected
during the war.
 Few political opponents were arrested; this is a stark contrast to
the way dissenters were dealt with in Europe in Europe’s
numerous 19th-century revolutions.
K. Jefferson Davis, unlike Lincoln, was unable to exercise arbitrary
power.
 The South seemed more willing to lose the war than surrendering
state or local rights.
XII. The Civil War was the first “modern” war (“total war”)
A. Civilians eventually became targets of enemy armies.
1. Southern plantations were intentionally destroyed by Union
armies.
2. Some southern cities experienced utter destruction.
B. Much of society’s resources were allocated to the war effort.
C. Massive size of Civil War armies foreshadowed 20th century wars
D. Modern technology and logistics
1. The Minie ball used in both Union and Confederate muskets
were devastating to soldiers.
2. Ironclads foreshadowed steel navies
3. The railroad transformed war logistics
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Unit 5.3: Civil War Politics
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Terms to Know
President Abraham Lincoln
First Inaugural Address
William H. Seward
Salmon P. Chase
Edwin M. Stanton
Ft. Sumter, April 12, 1861
Lincoln’s call for volunteers
secession of Middle South
Border Slave States
Robert E. Lee
Thomas “Stonewall” Jackson
Confederate States of
America
Jefferson Davis
Trent Affair
federal conscription laws
New York Draft Riot
African American soldiers
Morrill Tariff
Greenbacks
National Banking System
Homestead Act
Morrill Land Grant Act
Pacific Railway Act
Union blockade
Ex Parte Merryman, habeas
corpus
Essay Questions
Note: This sub-unit is a low probability area for the AP
exam. In the past 10 years, 2 questions have come
wholly or in part from the material in this chapter. Below
are some questions that will help you study the topics
that have appeared on previous exams.
1. Lincoln’s administration and the Republican Party
created one of the most successful economic programs
in American history (after the South seceded):
 Pacific Railway Act (1863) created the
transcontinental railroad by 1869
 Homestead Act (1862) opened millions of acres of
land for free to pioneers
 Morrill Tariff (1861) raised tariffs—a trend that
continued until the 20th century and became a
dominant issue in politics during much of the postCivil War era.
 National Banking Act (1862) created a new
national bank that would last until 1913
 Morrill Land Grant Act (1862) resulted in
agricultural and mechanical colleges in the west
 Abolition of slavery altered Southern economics
Be able to discuss how the above laws paved the way for
economic expansion after the Civil War (the Gilded Age)
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HistorySage.com APUSH Lecture Notes
Unit 5.3: Civil War Politics
2. Suspension of civil liberties occurred during the Civil
War. Be able to argue whether or not Lincoln was
justified in bending the Constitution to achieve his war
objectives.
3. Analyze how the advantages and disadvantages each
side had during the war affected its final outcome?
Overarching Questions and Themes from the AP®
Curriculum Framework for Unit 5.3
How have Americans agreed on or argued over the values that
guide the political system as well as who is part of the political
process?
POL-5: Analyze how arguments over the meaning and interpretation of the
Constitution have affected U.S. politics since 1787. (5.3.I)

How and why have moral, philosophical, and cultural values
changed in what would become the United States?
CUL-2: Analyze how emerging conceptions of national identity and
democratic ideals shaped value systems, gender roles, and cultural
movements in the late 18th century and the 19th century. (5.3.I)

How did interactions with the natural environment shape the
institutions and values of various groups living on the North
American continent?
ENV-3: Analyze the role of environmental factors in contributing to regional
economic and political identities in the 19th century and how they affected
conflicts such as the American Revolution and the Civil War. (5.3.I)

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HistorySage.com APUSH Lecture Notes
Unit 5.3: Civil War Politics
Bibliography:
College Board, AP United States History Course and Exam Description
(Including the Curriculum Framework), 2014: History, New York:
College Board, 2014
Donald, David Herbert, Lincoln, New York: Touchstone, 1995
Foner, Eric & Garraty, John A. editors: The Reader’s Companion to
American History, Boston: Houghton Mifflin Company, 1991
Hofstadter, Richard, The American Political Tradition, New York:
Alfred Knopf, 1948
Kennedy, David M., Cohen, Lizabeth, Bailey, Thomas A., The
American Pageant (AP Edition), 13th edition, Boston: Houghton
Mifflin, 2006
McPherson, James, Abraham Lincoln and the Second American
Revolution, New York: Oxford University Press, 1991
_______________, Battle Cry of Freedom, New York: Balantine Books,
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