The railway system contributed greatly to America’s development. Great use of the rail began during the industrial revolution. It flourished rapidly and contributed to the speedy growth and development of America in the years after 1828. America enjoyed the continued growth until 1873 when most companies were forced to close down due to bankruptcy. By this time, the rail had penetrated most of the areas. It was significantly used to transport goods from the farm to the market. It was most dominant in the cotton regions. Above eighty percent of all the cotton farms were in a limit of at least eight kilometers from a railway link. They used the rail to take the cotton to the river and ocean ports for transport to the national and international market. After the bankruptcy scare, many companies that were in the railway business exited the industry. Only a few were left and the government had to take over long rail distance services. This was not efficient and it significantly affected the civil war.
Change in Industrial Organization Influenced by the Railway
The railway system was a significant boost to the economy of America. It thus continued to grow since it was introduced. With time, it was widespread all over America and was becoming complex. People started dedicating career developments in the line of railway. With the diesel locomotives, operations became intense and there was a need to employ more people to work on the rail lines and at service stations. Management was getting complicated. By the 19th century, there was a need to have a system to manage all the resources of the rail industry. There was dial need to supervise the employed persons and handle capital. This brought about the designation of responsibilities. Authority set in the system and communication was an important aspect. With time, other sectors started copying the railway management system. Things have remained this way since then with improvements being made according to the change in times.
Modern Era Railway
The operations of the railroad in America have improved a lot. Subways have been created and electric trains have come into play. It is now faster and cheap to use the railway as a means of transport. It is also seen as an important economy drive for America. It is used to transport coal and oil. Time schedules have been developed to enhance service to the people. Most people now rely on the railway as a means to connect to various locations in America.