Chapter 14 Section 2 &3

First Banking in Texas

In 1822, the Mexican government set up the first bank in Texas.

In 1889 James Everett McAshan founded the first National Bank.

Texas has problems with banksTexas had cases of loans going bad and when they used the money they lost their farms

Private Banks Private banks became most common type of

bank during the Civil War.Most of them were wealthy cotton farmer’s.They were unregulated by state.Texans demand a better banking system.

State-Chartered BanksGovernment would regulate state-chartered

banks.Ranchers and Business people needed credit.Could also issue paper currency that retained

its value.They needed these services to grow.

Call for A State Banking SystemMain goal to change laws against state

chartered banks.Have both State and National banks in 1904.State banks began under Governor Thomas B.

Love.Law makers made Department of Insurance

and Banking to supervise banking.

Chapter 15 Section 3

Section 3 Texas IndustriesThe Lumber industry boom after the civil war

to build houses.As older industries grew, new ones sprang up.These including textiles, cottonseed oil

production, mining, and meatpacking.

Gristmills Milling WoodGristmills take grain and grind it.Sawmills operated in Texas.A sawmill is a machine that cuts timber into

boards.

Growth of Industry After the Civil War

Gristmills remain vital after the civil war.Flour and gristmills products comprised the

top industry in Texas in 1880