Industrialization Challenges in 19th-Century Spain
Railways and Market Development
The Construction of the Railroad
The construction of the railroad network was promoted by the Ley General de Ferrocarriles (General Railway Law) of 1855. Previously, only two railway lines existed: Barcelona-Mataró and Madrid-Aranjuez.
The first major expansion included lines connecting:
- Madrid to Alicante
- Seville
- Cadiz
- Barcelona
- Zaragoza
- Madrid to Irun
However, the financial crisis of 1866 led to the suspension of construction due to the low profitability of the railways.
A significant effect on the economy was the choice of a wider rail gauge, which hampered trade with the rest of Europe.
Internal Market
Guilds were abolished to increase the number of producers, and fees and indirect taxes on trade were eliminated. The...