Answer :

The New South was actually lagging far behind the rest of the country. After reconstruction, industrialisation was one angle that was in the process of implementation. This process completely failed as the New South continued its dependence on agriculture. Some of the cities like Atlanta and Charleston did accept industrialisation, but these were really segregated cases. The discrimination towards the African Americans continued and this had a direct impact on the social structure. These factors made it very hard to overcome the downturn in the economy of the south.