Railroad Companies' Profit from Building the Transcontinental Railroad
How did railroad companies profit from the building of the transcontinental railroad?
A. by selling railroad lines back to the federal government at a profit
B. by renting land to settlers who moved in after construction was done
C. by selling advance tickets to settlers who planned to move west
D. by selling their own government-granted land to farmers
Answer:
The correct answer is D) by selling their own government-granted land to farmers.
Railroad companies profit from the building of the transcontinental railroad by selling their own government-granted land to farmers.
Background:
With the passing of the Pacific Railway Act of 1862, the United States government authorized two companies to build the Transcontinental Road: the Union Pacific and the Central Pacific. These companies made possible the connection of the East with the West of the United States. The works ended in 1869, when both railroads met at Promontory, Utah, on May the 10th.