How did the government get railroad companies to build the railroad?
Receiving millions of acres of public lands from Congress, the railroads were assured land on which to lay the tracks and land to sell, the proceeds of which helped companies finance the construction of their railroads. Not all railroads were built with government assistance, however.
Who hired workers to build the railroad?
Chinese workers
Chinese workers made up most of the workforce between roughly 700 miles of train tracks between Sacramento, California, and Promontory, Utah. During the 19th century, more than 2.5 million Chinese citizens left their country and were hired in 1864 after a labor shortage threatened the railroad’s completion.
How did the government pay the two companies building the railroad?
Construction was financed by both state and US government subsidy bonds as well as by company issued mortgage bonds. The Central Pacific Railroad Company of California (CPRR) constructed 690 mi (1,110 km) eastward from Sacramento to Promontory Summit, Utah Territory.
How was the building of railroads financed?
The rail line was built by three private companies over public lands provided by extensive US land grants. Construction was financed by both state and US government subsidy bonds as well as by company issued mortgage bonds.
What were the benefits of the transcontinental railroad?
Some of the benefits of the Transcontinental Railroad was that new land was discovered, trade can expand to the west and people don’t have to risk their lives to go to the west.
What was the impact of the transcontinental railroad?
The transcontinental railroad had major effects on America, both good and bad. The railroads helped westward expansion, making travel across the continent safer and quicker. What was once a journey of around six months became a short trip of less than one week.