During the early 1800s, America was a young nation whose political and economic structure was not as strong as it is today. As a result America had to face crop, insuarance and banking failures together with drops in the price of the cotton and the stock market and a crisis of credit and cash. It brought what was known as the economic panics.
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crop failures, insurance and banking failures,drops in cotton prices,rapid speculation in land,sudden plunges in the stock market and currency and credit crises etc caused the economic panics in 1800s the United States of America during this period was very young nation and thus these panics devastated her economy
