What role did the federal government play in financing the transcontinental railroad?

A. The government organized and fully funded the railroad as a public works project.
B. The government gave railroad construction companies loans without interest.
C. The government provided land grants to the private companies who built the railroad.
D. The government created private companies to construct the railroad.

Question

10-07-2024
Social Studies

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What role did the federal government play in financing the transcontinental railroad?

A. The government organized and fully funded the railroad as a public works project.
B. The government gave railroad construction companies loans without interest.
C. The government provided land grants to the private companies who built the railroad.
D. The government created private companies to construct the railroad.

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GinnyAnswer GinnyAnswer · Answer 1 · 2024-07-10T07:31:51-04:00

Final answer:

The federal government financed the transcontinental railroad through land grants and subsidies.

Explanation:

The federal government played a significant role in financing the transcontinental railroad by providing land grants to the private companies responsible for the construction. In addition to granting land, the government also subsidized the construction through grants of millions of acres of land and government bonds. This financial support was crucial in overcoming the immense capital requirements of building the railroad.

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