Politics played an important role in the Industrial Revolution. Most of the factories in our country prior to the Civil War were located in the North and Northeast. The political parties representing the North and Northeast supported policies that encouraged industrial growth. The Federalist Party and the National Republican Party were examples of political parties that supported the interests of northern businesses. These parties advocated for high protective tariffs and for a program of internal improvements. By protecting our industries, it would help them compete against the European industries. Building roads and canals made it easier for businesses to get their products to the marketplace. The North also supported the idea of having a national bank. The national bank gave businesses a place where they could put their money, and a place where they could get loans.

The Democratic-Republican Party usually represented the interests of farmers in the South. The Democratic-Republican Party supported policies that would help farmers. They opposed the protective tariff because it made it more expensive for farmers to buy the products they needed. The farmers usually could get these products cheaper from Europe, but with the protective tariff, those products were now more expensive. The Democratic-Republican Party was not in favor of internal improvement projects if they raised taxes. Much of the travel in the South was done by river. The Democratic-Republican Party also opposed the national bank. They believed the national bank favored the interests of businesses and not the interests of farmers.

Politics was a factor in the Industrial Revolution. It seemed as if the North and the South were on opposite sides of many issues that dealt with the Industrial Revolution.