Question

How did the Erie Canal affect the United States?

Westward expansion was aided.
The price Midwestern farmers got for their crops fell.
Shipping costs between the Great Lakes and New York City were cut to a tenth.
More employees were available for northeastern factories.
Canals stopped being built because they could not compete.

Answer 1

Here’s which statements are correct and why:

- Westward expansion was aided. — True. By linking the Atlantic to the Great Lakes, the Erie Canal opened up the Old Northwest to settlement and trade, making migration and development cheaper and faster.

- The price Midwestern farmers got for their crops fell. — False (misleading). The canal lowered transport costs and opened Eastern markets to Midwestern farmers, generally improving their access and net returns. (Consumers paid lower food prices; competition and regional price adjustments had complex effects, but farmers overall gained market access.)

- Shipping costs between the Great Lakes and New York City were cut to a tenth. — True. The canal drastically reduced freight costs (often cited as about a 90% drop), making transport far cheaper.

- More employees were available for northeastern factories. — True. Cheaper food and transport, plus faster movement of people and goods, supported industrial growth in the Northeast and increased the available workforce for factories.

- Canals stopped being built because they could not compete. — False (as an immediate effect of the Erie Canal). The Erie Canal actually sparked a wave of canal-building. Only later did railroads outcompete canals and slow new canal construction.