How Did The Transcontinental Railroad Affect The Economy

There was no stopping the forward progress of the railroads in the 1800s. Trains, even before the mid-century, went twenty miles per hour; that was twice as fast as the stagecoach and four times as fast as the canal boat. To the entrepreneur that meant one thing: profit. These profit-minded Americans wasted no time in laying down track in America. The Transcontinental Railroad was one of these important railroads contributing to trade and economy; it was connected by the Central and Union Pacific Railroads. The completion of the Transcontinental Railroad, changed the economy of the nation, created unity between the east and west, and helped transport passengers and freight across the country in a matter of days. The construction of the Transcontinental Railroad was one of America's greatest technological achievements. Before the Transcontinental Railroad was completed, travel over land by stagecoach, cost $1000, took five to six months, and involved crossing rugged mountains and deserts. The alternative routes for traveling to the west were to travel by sea or to cross the Isthmus of Panama. However, the Transcontinental Railroad made it possible to complete a trip to the west in five days at a cost of $150 for a first class

In 1863, the Central Pacific and Union Pacific began building their track across the country. The Central Pacific built east from Sacramento, California, while the Union Pacific built west from Omaha, Nebraska. The Government gave each company $16,000 to $48,000 per mile of track laid. At first, the Union Pacific raced ahead due to its flat surface, while the Central Pacific ran the track through the Sierra Nevada Mountains. On May 10, 1869 at Promontory Point, Utah, a golden spike was hammered into the final