Yeah, that lasted all of three months. In May 1861 the confederate congress passed a tariff legislation that placed a 25% tariff on tobacco and tobacco products. Tobacco, as you may remember, was an important crop in Virginia and North Carolina. It placed a 20% duty on sugar, coincidentally raised in Louisiana. It placed a 20% duty on molasses, produced in several of the deep south states. It placed a 2 cent tariff on each bushel of salt, another southern product. Apparently tariffs weren't all that bad after all, and protectionism not that evil when it protected southern producers.
But then again history has shown that the confederacy paid lip service to the constitution time and again, ignoring it when convenient.
I've shown time and time again that the Confederacy did not outlaw tariffs but rather outlawed using them for pork projects. The South had half the population of the North and not near the resources. How did you think they were going to raise an army? Magic?
Even so, one of my previous posts linked out to an article at Oxford's website by two scholars who claim the Confederate general tariff rate was on the low end of the Laffer specturm, unlike the Union one. We're talking 20% vs over 40% and this in a country that has to war with another nation that has twice the population and many more resources.
Speaking of money...
TRIVIA MOMENT:
The Confederate States of America had a $500 bill. None other than Stonewall Jackson was on it! One just sold on ebay for about $276. That's nothing IMHO. I'm going to get one in the future.
http://cgi.ebay.com/Confederate-500-note-Stonewall-Jackson_W0QQitemZ170050268775QQihZ007QQcategoryZ3414QQcmdZViewItem