Did the north or south have factory production?

The northern colonies and later states did not have the climate and soil for vast commercial farming, and so had always been a society of small farms and towns with more manufactories than the South. The North needed grain from the Mid-Atlantic region, which needed the business of the North for it's grain production, but the South was self-sustaining in food production. The big business of the South was tobacco farming until the invention of the cotton gin, and then cotton became an economically viable mass product.

Explanation:

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profound political, administrative, and social changes in the british isles.

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