USA HISTORY

Detailed explanation-1: -The people who really made money on the California Gold Rush were merchants. Take Levi Strauss. When he heard news of the California Gold Rush, he headed to San Francisco where he established his wholesale dry goods business in 1853.

Detailed explanation-2: -Sam Brannan was the great beneficiary of this new found wealth. Prices increased rapidly and during this period his store had a turnover of $150, 000 a month (almost $4 million in today’s money). Josiah Belden was another man who made his fortune from the gold rush.

Detailed explanation-3: -Who benefited least? People who benefited the most from the California Gold Rush were artisans who were selling necessities to the miners. While not all miners found lots of gold, every the last one of them had to buy shovels, shoes, or jackets.

Detailed explanation-4: -The influx of gold resulted in the expansion of manufacturing and the service industries, as many entrepreneurial newcomers took advantage of the demand for mining materials, lumber, clothing and transportation.

Detailed explanation-5: -During the 1850s and 1860s Brannan was known as the richest man in California. The chaos of the gold rush had played to his personality and business instincts, but he plunged into some schemes with the care of a gambler.