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How Did The Railroad Affect The South's Agricultural Economy?

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The railroad helped increase industrial production by allowing to speed deliever products to factories and create new products out of it to consumers. Also, the railroad help developed new towns. In the North, there was a lead of corruption in business and government. For instance, in 1869, Wall Street financiers Jay Gould and James Fisk obtained to help President Grant's brother-in-law in a scheme to cover the gold market. By 1873, the North was heavily affected by the Panic of 1873, where thousands of Northern laborers had became jobless and homeless. Over Speculation by financier and overbuilding by industry and railroads led to widespread business failures and depression. The South’s agricultural economy was affected after the Civil War

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