Independence and Statehood

Because of the influence of a powerful group loyal to the British Crown, Georgia did not officially join the Revolutionary cause until 1775. The loyalists were led by Governor John Wright and included longtime residents, recent arrivals from Britain, and Anglicans, who were members of the colony's established church. The radical group. which took issue with British rule, was headed by Savannah merchants and artisans and was composed predominantly of persons born in America. Among the radical group were many Congregationalists, who opposed the established church. Backcountry settlers, who depended on the royal government to help protect against the Indians, at first were reluctant to oppose Britain but later sided with the revolutionaries.

In 1776, Georgia was declared a state, and the following year a constitution was adopted. British troops captured Savannah in 1778 and went on to occupy much of the state. In 1779, Colonial troops, aided by a French fleet, laid siege to Savannah but failed to free the city. In 1781, the Continental Army recaptured Augusta. The British were forced to withdraw from Georgia in 1782, and Governor John Martin reestablished state government. Augusta was chosen as the new capital in 1785.

In the 1790's, Georgia entered a period of prosperity with the introduction of the cotton gin, invented by Eli Whitney while living near Savannah. Georgia's trade was predominantly with Charleston, the British West Indies, and the northern states. Lumber products, naval stores, rice, and tobacco were exported; imports were mainly supplies for plantation operations and some luxury goods.

Georgia claimed territory reaching to the Mississippi River, and speculation in the western lands resulted in a scandal known as the Yazoo Fraud in the mid-1790's. Relations with the Indians deteriorated as the settlers wanted more of the rich Piedmont lands occupied by the Indians. In 1802, Georgia surrendered all claims to lands west of the Chattahoochee River to the federal government, which, in exchange, promised to remove the Indians from Georgia. By the late 1830's, most of the Creeks and Cherokees had been moved to lands west of the Mississippi. Settlement of the former Indian lands and the introduction of cotton cultivation there brought increased prosperity. In 1837, Atlanta was founded as a railroad terminus.

In the mid-19th century, prior to the Civil War, Georgia's economy was supported by the plantation system. Georgia had more large plantations than any other state—some 6,000 planters owned 20 or more slaves. Most farm holdings, however, were small, and their owners generally had no slaves. Cotton and rice were the main cash crops.