Final answer:
The Confederacy had political unity, military expertise, and economic resources from cotton exports and Upper South industrial assets but faced significant disadvantages including a Union blockade, limited industrial capacity, inflation, and a smaller population compared to the Union's larger manpower and more robust rail system.
Step-by-step explanation:
The Confederate States had certain political, military, and economic advantages early in the Civil War, despite facing significant challenges as the war progressed. On the political front, the creation of a new Constitution and government represented an initial unified front. Militarily, the Confederacy benefitted from waging a defensive war, being familiar with the terrain, possessing shorter supply lines, and having skilled military leaders, many from West Point, who could leverage the combat experience of southern recruits accustomed to using firearms and riding horses. Economically, the South initially relied on cotton exports and later added vital natural resources and industrial capability with the secession of the Upper South states.
However, the Confederate advantages were overshadowed by significant disadvantages such as a heavy reliance on cotton exports affected by the Union blockade, limited industrial capability, lack of extensive railroad infrastructure, rampant inflation due to printing money, and a smaller population compared to the Union. These factors, combined with the Union's larger population, industrial capacity, and efficient rail system, made the Confederacy's position increasingly difficult as the war dragged on.