USA HISTORY

Detailed explanation-1: -Peonage, also called debt slavery or debt servitude, is a system where an employer compels a worker to pay off a debt with work. Legally, peonage was outlawed by Congress in 1867.

Detailed explanation-2: -Labeled “debt slavery” by those critical of it, debt peonage is a general term for several categories of coerced or controlled labor resulting from the advancement of money or goods to individuals or groups who find themselves unable or unwilling to repay their debt quickly.

Detailed explanation-3: -What was the main effect of the system of debt peonage that emerged in the South during the late 19th century? African Americans labored in a system that was nearly the same as slavery. Debt peonage requires that a person’s debt be paid off through work.