A major difference between the Northern and Southern economics was cash crops. A cash crop is an agricultural crop which is grown for sale to return a profit. Because of the different cash crops in the North and South, they had very dissimilar economies. 
In the south an important cash crop was tobacco. This was the crop that saved Jamestown and was very successful. In Jamestown in 1613 John Rolfe experimented by cross breeding tobacco from Brazil with a strain of weed grown by the Native Americans and created “brown gold” which was another name for high quality tobacco. By the 1620s about 1.5 million pounds of “brown gold” was shipped to England every year. Eventually tobacco was also grown in Maryland and North Carolina. Other cash crops benefited the south included rice and indigo. These cash crops could be found in South Carolina and Georgia.
Because of these cash crops, the south developed a very rural economy. Plantations started developing. Plantation owners provided themselves with what they needed, so it wasn’t necessary for cities filled with stores, bakeries, or markets. The southern society was mainly based on agriculture, which meant more indentured servants or slaves were needed for labor of maintaining these cash crops.
The Northern economy produced several cash crops, unlike the south who only produced one main cash crop. The north had difficulties farming because of its cold weather, which forced the north to have smaller farms. A few crops and livestock produced on these farms included wheat, corn, cattle, and hogs. They produced so much that their surplus was exported to the West Indies for a profit. Since the North had smaller farms, they didn’t need as many laborers. The number of indentured servants and slaves decline in the North.
The Northern economy developed to be very commercial. Grinding wheat, harvesting fish, sawing lumber, and ship building became major industries. Because of the trade and commerce, merchants prospered in the New England region. The trading also allowed cities to form. One major port city was Philadelphia. Philadelphia became the second largest city in the British empire. Philadelphia was laid out in a grid- like street plan and had parks, paved streets, and sidewalks. 
The Northern and Southern economies were very different, mainly because of the difference in cash crops. The production of mainly tobacco made the south mostly rural with several plantations. On the other hand, the North became urban and industrial based on the production of a variety of cash crops.
emilyegan18 