Transcontinental railroad Term Paper Example | Topics and Well Written Essays - 2500 words

Transcontinental railroad - Term Paper Example Such policies are implemented by regulatory authorities through budgets and other rules and regulations. However, there are some factors that affect the economy on the very basic level. One of those factors is infrastructure of a country. Infrastructure of a country can play an important role in the strengthening of the economy of a country. This paper analyses one such example of the effects of infrastructure on the economy. The example is that of the First Transcontinental Railroad. This railroad is said to be the first communication revolution of America. The railroad reduced the time of travel between east and west costs from six months to one week and it was indeed a huge achievement. This paper examines the problems faced by the entities engaged in the construction of the railroad and the effects of the railroad on the economy of the country (Heintz, 2009). Infrastructure can enhance the growth of the economy of a country at a very fast pace, specifically in case of developing countries. Developing companies usually have weak economic environment because of lack of sufficient infrastructure. Infrastructure can boost trade in a country which results in accelerated economic activities in the country. This scenario can best be explained with the example of the First Transcontinental Railroad that was constructed between the years 1863 and 1869 in the United States of America. The railroad was built by the Central Pacific Railroad of California and Union Pacific Railroad. These two entities were chartered by the Pacific Railway Act, 1862. This railroad connected the already developed railway network of the Eastern cost with California that was in its developing stages. The railroad was completed in May, 1869 when it changed the economic scenario of the American West for good. The railroad initiated a new series of trade and communication that triggered the economic growth in the USA. Planning for Construction of the Transcontinental Railroad In the year 1862, it was determined that the companies that would carry out the construction of the Transcontinental Railroad would be Central Pacific Railroad and Union Pacific Railroad. The companies started construction from their respective points. Central Pacific started building the railroad eastward from Sacramento, California and Union Pacific started building the railroad westward from Council Bluffs, Iowa. Although the companies had been assigned the task and they had started constructing the railroad, the point where both the railroads would meet was not determined. There were a number of problems that hindered the construction of the railroad resulting from the lack of adequate planning. The construction also slowed down due to the Civil War between the years 1861 and 1865. This factor also added to the problems already present due to the lack of planning. However, a point in the Mormon territory of Utah was determined to the Promontory Point where the railroads being constructed by the two companies would meet. The construction completed on 10 May, 1869 when the two railroads met at the Promontory Point. Problems Faced in Construction A railroad connecting the east and west cost of the USA had always been a dream but it was shaped into reality by the President Abraham Lincoln. However, the railroad was completed after four years of his death. The construction of the railroad was not independent of any problems. There were a num