Spanish Railroad Construction and Economic Transformation (1855-1873)
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Railroad Construction in Spain (1855-1873)
The laying of the railway network in Spain began in 1855, following the approval of the General Law of Railways.
Stages of Expansion and Crisis
The first major expansion of the route required a much greater mobilization of capital compared to other initiatives of that century. However, the financial crisis of 1866 led to a period of suspension of construction, evidenced by the low returns on rail investment. Profits were very low, and stock values plummeted.
A new stage began in 1873, aimed at completing the layout of the network, which had been paralyzed as a result of the previous crisis that had dissolved most construction companies.
Economic Effects of the 1855 Railway Law
The 1855 law established the... Continue reading "Spanish Railroad Construction and Economic Transformation (1855-1873)" »