Factors
A cotton brokers to whom planters were selling their crops
Real World Example
Factors were middlemen in the South from 1790-1860 who played a crucial role by connecting cotton planters with buyers, often in distant markets. They helped planters secure loans, manage shipping, and negotiate prices, which were essential for the economic growth of the Southern cotton industry. Their work mattered because they facilitated the expansion of cotton as a dominant crop, impacting the regional and national economies significantly. Today, their legacy can be seen in how modern supply chain managers and brokers operate, ensuring products reach markets efficiently. For example, a local farmer using an online platform to sell produce directly to consumers mirrors how factors connected different parts of the economy, highlighting the enduring importance of intermediaries in trade.
Practice Version
