What economic changes occured in the north and south as a result of civil war?

The US Civil War widened the economic gap between the North and the South. The Northern economy boomed, as the region produced many different kinds of goods. The Southern economy, however, had collapsed. The labor system of slavery was gone. Southern industry and railroads were destroyed. Many farms also lay in ruins. As a result, The South would remain poor for many decades.

The North took advantage of the western frontiers and railroads hastened the growth of populations that settled in California and in the plains states. While the Northern economy had placed the war in its rear view mirror, the South languished in the Reconstruction Era. Also, instead of focusing on economic growth, many Southerners focused on racial supremacy issues. They sought to have whites regain their political power and they forced the Black population into a state of fear. White supremacy was the order of the day, and many Black people were denied access to voting polls and lynch mobs curtailed Blacks from full citizenship.