Located along the Wabash River, Terre Haute's initial settlers were French-Canadian explorers and fur trappers. Arriving in the early 18th century, the initial settlement's location along the upper banks of the river inspired the town's name, which means "highland" in French. Simultaneously claimed by both the British and French, the region operated as a borderland between the American colonies and New France.
As part of the Northwest Ordinance of 1787, the United States encouraged settlement in the region. After the partitioning of Ohio from the Northwest Territory in 1800, the rest of the territory became the Indiana Territory. Settlement along the Wabash River increased when neighboring town Vincennes became the territorial capital. By 1811, Fort Harrison opened, establishing the first permanent European settlement in Terre Haute. When Illinois split off from the Indiana Territory, the Wabash River became the border between the two territories.
As the county seat of the newly formed Vigo County, Terre Haute quickly grew, reaching a population of 1,000 by the time it incorporated in 1832. Early industry centered around farming, milling, and pork processing; and the Wabash River and National Road connected the city to the broader region. Eventually steel mills, iron work, coal mines, and railroads supported Terre Haute's growth and by the late-19th century it was the second largest city in western Indiana.
The first Jews to arrive into the area that became Terre Haute followed the fur trade west. Jewish firms in Pennsylvania sent expeditions westward into the Northwest Territory. Jewish settlement, however, was slow to follow this trade. By 1818, town proprietors in Terre Haute were so disappointed with the town's growth that they advertised in eastern newspapers for settlers. This would be what broought the first Jewish resident to Terre Haute, Samuel Goodman, a general merchandise and liquor peddler. Later that year, Caleb Arnold, a land speculator also arrived in Terre Haute. There are conflicting reports as to the Jewishness of these two men, but their arrival was closely followed by Samuel Jacobs and Mr. Levy, both of whom were certainly Jewish. Levy and Jacobs opened the first Jewish business in Terre Haute shortly after their arrival, but the business was relatively short lived, having been sold by 1826.
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