The railroad expansion in the late 19th century in the United States was primarily funded by a combination of private investors and government subsidies. Private individuals and corporations invested significant amounts of money into building and operating railroads as they saw it as a profitable business opportunity. Additionally, the government provided various forms of financial assistance, such as land grants and loans, to encourage and support the construction of railroads. The Pacific Railroad Acts of 1862 and 1864, for example, granted vast land tracts to railroad companies in exchange for building rail lines.
