Introduction:
From our last article, we learned about the establishment of the United States Post Office Department and the impact of that on the future of the real estate industry. We also learned about the entry of Kentucky as the 15th state of the United States. For today’s Realty Time Capsule, we will be looking at the development of the real estate industry during 1793.
Three Key Points
1. United States Declares Neutrality: Revolutionary France declared war on Great Britain by February 1793. It was effectively fighting a war against the entire Europe that was keen on keeping monarchy in place as the main type of government. Eager to avoid being drawn into the conflict, George Washington’s government proclaimed its neutrality as soon as possible. The proclamation threatened legal proceedings against any individual who would provide assistance to any belligerent in the conflict.
2. The Cornerstone of the United States Capitol Is Laid: Progress was being made into turning Washington D.C. into the great capital that was envisioned for it. The cornerstone laying for the Capitol building was purely ceremonial and performed by Freemasons, including George Washington. It marked the growth of the capital city.
3. Patent Application for the Cotton Gin: In October of 1793, Eli Whitney filed a patent application for his invention, the cotton gin. The device was simple as it was ingenious and it would have a large impact on the United States and how lands were used particularly in the South. The machine separated the cotton seeds from the fiber and was a tremendous boost to cotton farming.
Headline Real Estate News Stories in 1793
The biggest headline of 1793 which has an impact on real estate in the United States, although it may be indirect was the laying of the cornerstone of the United States Capitol. The development of Washington D.C. is significant because it would become one of the most valuable cities in the United States in terms of real estate even today.
What Historic Real Estate Events Shaped 1793?
The year 1793 was quite eventful but it was the fruit of several historic events that had happened in the past. For example, choosing Washington D.C. as the capital of the country was a major historical event that had an impact on the real estate development of the area.
Economic Factors, Supply, and Demand
Europe is being engulfed in warfare that will not end for many years. The United States declared its neutrality but it was inevitable it would have some effect on the economy of the country. However, instead of harming the American economy, the fighting in Europe served as a stimulus for it. What happened then helped to boost American businesses and different industries. There was a high demand for American surplus during the period.
Government Policies and Interventions
The decision to stay neutral which was proclaimed in 1793 was a major government policy decision that had a lasting effect on the country. It allowed the United States to stay out of the devastating fighting. It also gave time for the real estate industry to develop. More importantly, it helped to stimulate the demand for American products since Europe could not meet the demand of the market.
Demographic Factors
By 1793, most of the American population still lived in rural areas and relied on farming. Cities were slowly being developed but they were still a long way from becoming the massive urban centers that they would become. Philadelphia was the largest city back then with a population of over 50,000.
Societal Preferences and Trends
Most Americans in 1793 still earned their living through farming. As such, the vast bulk of the population lived outside of the cities. Little has changed from the start of the Revolutionary War and industrialization has not started yet.
Technological Innovations
The year 1793 was notable for several technological innovations that happened. Jean-Pierre Blanchard conducted the first gas balloon flight. He flew from Philadelphia to New Jersey and the feat was witnessed by George Washington and Thomas Jefferson among others. Gas balloons would not have a very big impact on transportation but the flight showed the potential of human flight. Perhaps the biggest technological innovation of the year was the cotton gin. This machine would revolutionize the way that cotton is processed turning it into a real cash crop that would make the lands in the Southern United States even more valuable.
Environmental Factors
During this period, most of the land of the United States was untouched and even unexplored. Vast parts of the continent have not been explored and it would take years before the full potential of the land will be recognized.
Transportation and Infrastructure
As mentioned, this was the year that the first gas balloon flight in the Western Hemisphere took place. While gas balloons will never become a means of public transportation even when the technology developed, it opened up ways for innovative transportation ideas that would come later on.
You have just read the Realty Time Capsule for 1793. Each year is packed with events and personalities that had an impact on the history of the United States and its real estate. You can be sure that the following years will be even more exciting as Americans become more aware of the potential of their land.
For a deeper understanding and look into these topics check out these titles:
Cotton Gin
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“Inventing the Cotton Gin: Machine and Myth in Antebellum America (Johns Hopkins Studies in the History of Technology)”by Angela Lakwete
Capitol Building
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The United States Capitol Building: The History and Legacy of the Seat of Congress by Charles River Editors
