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Question
of the following problems, which was the biggest one that farmers faced in the late 1800s?
high railroad fees
competition from abroad
drought
crop lien system
In the late 1800s, the crop lien system trapped many farmers in a cycle of debt. Farmers, especially in the South, had to borrow supplies from merchants using future crops as collateral. High interest rates and unfair pricing meant they often could not pay off their debts, leading to a perpetual cycle of dependency and poverty. While other issues like high railroad fees, drought, and foreign competition were challenges, the crop lien system created a systemic, ongoing financial crisis that was the most impactful for a large number of farmers.
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crop lien system