The Transcontinental Railroad And Its Impact On America’s Economy

The Pacific Railway Act, which President Lincoln signed in the middle of 1800 was intended to link the Eastern and Western hemispheres of America by railroad. Because of the civil war’s severity, major railroad construction was not feasible. Although smaller railroads were established to link the North, South, and Midwest, it was difficult to transport goods throughout the country. The Act was signed by Lincoln and the nation began to improve. The United States was on its way to industrialization. This included a smoother process of industrialization, greater efficiency in transportation, more jobs and dominance in the natural resources industries. The Transcontinental Railroad is a topic that has been discussed many times. The Transcontinental Railroad was a long-term project that created many jobs. Many immigrant, emigrant, and Chinese workers were employed on the frontier by the railroad’s construction. [footnoteRef.0] The government was more involved in economic support of the railroad when the Union Pacific Company (and Central Pacific) were called into action. Soon after the act’s signing, various sections of the Union Pacific Railroad as well as the Central Pacific Railroad were completed in different parts. Congress was responsible for overseeing both railroad companies’ progress and gave each company a generous sum of 50 million dollars. The government’s support for the railroad was met with resistance from the officially hired Irish laborers. The majority of labor on the railroad’s parts came from Irish immigrants who were mainly from Northern slums and low-paying jobs. The Irish, though illiterate and unskilled were willing to do the work. But their indiscretion and drunkenness led to strike action and a halt to track development. Co-owners were left with few options when they faced labor shortage. Due to the presence of Chinese immigrants in San Francisco, the bosses began to doubt their decision and turned to Chinese labor. San Francisco’s low-paying dirty jobs included gardeners, cooks, maids, and servants. Chinese merchants spread pamphlets about railroad jobs to inform Chinese immigrants. [footnoteRef.3] The Central Pacific’s track crews grew in number as more Chinese immigrated. Many had come from China to work on the railroad. Because of the utility of Chinese laborers, the Central Pacific was able to rely less on the Irish Immigrants. Although the Chinese laborers did not speak much English, they made adjustments to their disadvantages. Chinese workers set up labor gangs to distribute and collect wages, receive orders from Crocker and translate them. The labor shortage was ended in large part due to the independence and efficiency of the Chinese workers in their new environment. Relationship between Immigrants, Railroads was directly proportional. Construction progressed faster when there were more immigrants. This was beneficial because Immigrants required jobs and employers needed reliable workers. About seven thousand Chinese workers were working hard on the Central Pacific Railroad when it closed in 1865. [footnoteRef.5] Because of the slow construction of the railroad, there was a demand for labor. This led to more opportunities for immigrants to come to America and get jobs and better wages. It is well-known and acknowledged that the Transcontinental Railroad wouldn’t have been possible without immigrants. However, their perseverance and endurance made the project a reality. The United States saw a significant increase in natural resources and shipping. There was clearly a separation between East-West markets prior to construction of the railroad. The North and South had been based on Agriculture and Textile. This was beneficial as they were physically close and could transport goods and textiles between one another. The railroad brought the west coast states to the East’s Industrial relationship. California was home to many successful markets, including the Rockies. Nevada, along with other mountainous areas in the west, was able to conquer the Rocky mountains. Railroad construction allowed companies with Nevada mines to access more common metals ores such as copper or iron for shipment east. [footnoteRef.8] Nevada miners were forced to mine rare and less popular ores before construction. This was because they had the highest profit margins. Because copper is a reliable and affordable commodity, business owners could only send the best, if they were lucky. Transcontinental Railroad was a way for mine owners and miners to transport these valuable and common minerals. It eliminated the need for costly transportation. This allowed companies to maximize their profits and stop being restricted in their choice of products due to the lack of railroad infrastructure. Copper was soon a significant resource that investors were interested in in the east. The copper-dependent electrical delivery systems generated electricity. Nevada and Wyoming were not far behind. Other states also enjoyed the railroad’s benefits, as was Colorado and Wyoming. Both Wyoming and Colorado had the chance to export their goods just like Nevada. Since the completion of the railroad, both states were able to ship beef and coal more easily. [footnoteRef.10] With more resources available for efficient, cheaper transport, both the East-West industries prospered. The East was able to access the West’s limited resources and make them affordable for transport. The success of the Transcontinental Railroad made it the dominant transportation and trade company in America for fifty years. The nation would not have made significant progress in their industrial fields without the railroad. The Transcontinental Railroad’s development was key to opening the west for America’s citizens. In the early 1800’s, Americans east from the Mississippi River began to think about Manifest Destiny. Manifest Destiny was a belief in the American Citizen’s duty to expand westwards and claim as many land parcels as possible. Prior to the advent of the railroad, the possibilities for anyone who wanted to achieve Manifest destiny was limited. The East had limited technology so citizens had to travel the middle west by stagecoach or boat through panama in order to travel westward. Due to the numerous risks, many Manifest Destiny believers were unable fulfill their dreams. Although Stagecoach was the most commonly used option, the passengers were at risk of being attacked by the Cheyenne Indians. [footnoteRef.12] With the physical improvement of the railroad, there was no risk to the eaterns settlers. Many saw the completion the railroad as a chance to live their faith and cultivate new land. Transcontinental lines made it possible to travel across the country in a relaxed manner, rather than as a strenuous task. The stagecoach journey was unpredictable and took a long time because of unpredicted factors such as the horses’ health and shortages. Because of the limited resources available, travelers had to choose and decide what they would bring. The railroad’s non-stop, one-way route eliminated unpredicted factors. The original journey took six to eight weeks. It now takes eight days, with stops. Rail travelers used the expression, “You don’t even get time to bathe” when they traveled by railroad. The journey westward was dangerous and long before the railroad. 300,000 settlers made it westward within a decade. This fulfilled their hopes for Manifest Destiny. The railroad’s future and success were obvious shortly after it opened passenger service. It took around one year for 150,000 passengers to travel from the East via the newly constructed railroad. The Transcontinental Railroad transported half as many passengers in its first year and took 10 years less. The railroad had a huge impact on westward growth. This is evident in the stark differences in passenger transportation and years. With the railroad, what would have taken 10 years was now only half the time. The railroad’s completion made Manifest Destiny easier to achieve. The railroad was completed and new territories were claimed. This led to the expansion of the country and the beginning of industrialization. Because freight expenses were cheaper, transcontinental railroads stimulated American industry. The nation, companies and individuals were able to save more money. The cost of traveling across the continent was approximately $1,000 before the railroad was built. However, it was not possible to guarantee your arrival. It cost $136 to get a first-class seat and $110 to get a second-class seat. A third-class or emigrant seat costs $65. [footnoteRef.16] Basic seating now costs less than 100 dollars from what was once a high-priced option. As society does today, the cost of travel can be affordable for all classes, including those who are wealthy, middle-class, or poor. Mail, books and magazines, which are not essential for living, were expensive and took a while to arrive. These items were shipped at a cost of $1 per ounce until the advent of railroads. The use of the line reduced the time it took to arrive and allowed you to send magazines, books, and mail for pennies. Transcontinental lines had opened the doors to a continent-wide economy. The railroad’s completion was an important step in the development and growth of new cities. [footnoteRef.18] Government money was not wasted on the railroad. Transport was the result of the 50 million dollar investment made in the middle 1800’s. Around 50 million pounds of freight were being transported annually from East coast to West coast every year by 1880. The 19th-century’s keystone was the completion the Transcontinental Railroad. The Central Pacific railroad, Union Pacific railroad, and Promontory, Utah met on May 10, 1869 to lay their final spikes and complete the job. Because it was driven into the dirt, the last spike in the track was called the Golden spike. Its significance is what made it the Golden spike. This final piece of the long-term project was a reflection of all the hard work and dedication that went into it. Promontory hosted a huge celebration to mark the completion of the track. Confederate soldiers and union troops stood side by side at the Golden-spike ceremony. Both whites as well as immigrants cheered. Business owners also congratulated one other on the accomplishment of this railroad. It was connected to the West and East, and also to its citizens. The Transcontinental Railroad drove the United State to greater westward mobility, increased employment and improved industries. The Railroad was dubbed “The Eighth Wonder of the World” as well as “The Greatest Achievement Ever”. Both were rightfully awarded these titles.

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  • sofiamiller

    I am Sofia Miller, a 21-year-old blogger and student. I love writing, and I'm passionate about education and learning. I blog about a variety of educational topics, from student life to university admissions. I also write about parenting and lifestyle topics.

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