The Embargo of
1807
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n a desperate attempt to
avert war, the United States imposed an embargo on foreign trade. Jefferson
regarded the embargo as an idealistic experiment—a moral alternative to war. He
believed that economic coercion would convince Britain and France to respect
America’s neutral rights.
The embargo was an
unpopular and costly failure. It hurt the American economy far more than the
British or French, and resulted in widespread smuggling. Exports fell from $108
million in 1807 to just $22 million in 1808.
Farm prices fell sharply. Shippers also suffered. Harbors filled with
idle ships and nearly 30,000 sailors found themselves jobless.
Jefferson believed that
Americans would cooperate with the embargo out of a sense of patriotism.
Instead, smuggling flourished, particularly through Canada. To enforce the
embargo, Jefferson took steps that infringed on his most cherished principles:
individual liberties and opposition to a strong central government. He
mobilized the army and navy to enforce the blockade, and declared the Lake
Champlain region of New York, along the Canadian border, in a state of
insurrection.
Pressure to abandon the
embargo mounted, and early in 1809, just 3 days before Jefferson left office,
Congress repealed the embargo. In effect for 15 months, the embargo exacted no
political concessions from either France or Britain. But it had produced
economic hardship, evasion of the law, and political dissension at home. Upset
by the failure of his policies, the 65‑year‑old Jefferson looked
forward to his retirement: ``Never did a prisoner, released from his chains,
feel such relief as I shall on shaking off the shackles of power.''
The problem of defending
American right on the high seas now fell to Jefferson's hand‑picked
successor, James Madison. In 1809, Congress replaced the failed embargo with
the Non‑Intercourse Act, which re‑opened trade with all nations
except Britain and France. Then in 1810, Congress replaced the Non‑Intercourse
Act with a new measure, Macon's Bill No. 2. This policy reopened trade with
France and Britain. It stated, however, that if either Britain or France agreed
to respect America's neutral rights, the United States would immediately stop
trade with the other nation.
Napoleon seized on this
new policy in an effort to entangle the United States in his war with Britain.
He announced repeal of all French restrictions on American trade. Even though
France continued to seize American ships and cargoes, President Madison snapped
at the bait. In early 1811, he cut off trade with Britain and recalled the
American minister.
For 19 months, the British went without American trade. Food shortages, mounting unemployment, and increasing inventories of unsold manufactured goods finally convinced Britain to end their restrictions on American trade. But the decision came too late. On June 1, 1812, President Madison asked Congress for a declaration of war. A divided House and Senate concurred. The House voted to declare war on Britain by a vote of 79 to 49; the Senate by a vote of 19 to 13.