05-09-2009, 08:26 PM
On the subject of railroads and the government...and the imperfect union of them in the 19th century's most famous gov't stimulus fiasco...the transcontinental railroad...
The UP had nice long mainline...with very little local business...and not a prayer at profitability...as it was only built because congress was subsidizing it. So, they (or more specifically, Jay Gould) began acquiring feeder lines which popped up in the decade after Promontory. My beloved Denver, South Park, and Pacific Railroad was one that Jay Gould took over, gave to the UP, and royally screwed it up (from deep black to deep red in less than 5 years!). Throughout this period, congress used the UP as a political football...setting it up, but not helping it thrive (amtrak-esc)...and demanding to be repaid of their loans. Not something I really care too much about, nor am I careful to remember it clearly...but...the point of this was a congressional hearing about the unprofitability of the UP with one of the executives and his description of the DSP&P's financial troubles:
Paraphrasing:
The railroads of Colorado were built during a wave of enthusiasm for digging holes in the ground. The railroads were built to haul people and supplies in, and dirt out. After a few years, the enthusiasm waned when people realized that it wasn't very profitable to dig holes in the ground. And so, the railroads no longer were hauling people in or dirt out, and so they have been impoverished ever since.
The transcript is published in the CRA "The South Park Line" which is currently sitting in my dad's library and so I can't copy it verbatim.
The UP had nice long mainline...with very little local business...and not a prayer at profitability...as it was only built because congress was subsidizing it. So, they (or more specifically, Jay Gould) began acquiring feeder lines which popped up in the decade after Promontory. My beloved Denver, South Park, and Pacific Railroad was one that Jay Gould took over, gave to the UP, and royally screwed it up (from deep black to deep red in less than 5 years!). Throughout this period, congress used the UP as a political football...setting it up, but not helping it thrive (amtrak-esc)...and demanding to be repaid of their loans. Not something I really care too much about, nor am I careful to remember it clearly...but...the point of this was a congressional hearing about the unprofitability of the UP with one of the executives and his description of the DSP&P's financial troubles:
Paraphrasing:
The railroads of Colorado were built during a wave of enthusiasm for digging holes in the ground. The railroads were built to haul people and supplies in, and dirt out. After a few years, the enthusiasm waned when people realized that it wasn't very profitable to dig holes in the ground. And so, the railroads no longer were hauling people in or dirt out, and so they have been impoverished ever since.
The transcript is published in the CRA "The South Park Line" which is currently sitting in my dad's library and so I can't copy it verbatim.
Michael
My primary goal is a large Oahu Railway layout in On3
My secondary interests are modeling the Denver, South Park, & Pacific in On3 and NKP in HO
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My primary goal is a large Oahu Railway layout in On3
My secondary interests are modeling the Denver, South Park, & Pacific in On3 and NKP in HO
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