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Explore how railroads transformed Texas in the late 19th century, leading to a cotton boom, commercial farming, and economic cycles.
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Railroads Wanted • Railroad lines expand West and make their way through Texas. • Promised cheap, reliable, and fast transportation. • Texas cities eager for railroad lines.
Railroad Boom • Government aided railroad development. • Railroad companies begin to race West. • Farmers followed railroads in search of cheap land. • Population of Jack County: • 1870 – 61,000 • 1900 – 350,000 • Texas is now connected to the rest of the country. • No need for cattle drives • Farming can move crops to far away markets
Railroad Commission • James Hogg elected Governor in 1890. • Enforced laws that regulated business – Hogg Laws • Created the Texas Railroad Commission – regulate and set rules for RRs
Farmers Move West • Railroads encouraged settlement near new tracks for farmers – hoping to make money by selling land • Railroad companies created advertisements using city development plans to attract settlers
Farming in the West • The soil in West Texas differs from the soil in East Texas • Farmers will face limited water resources West East
Farming and Technology • Windmills helped with irrigation by tapping into the underground water supply. • And Many farmers switched to crops that needed less water than cotton, such as wheat. • New dry farming techniques were adopted such as terracing, ridges or multiple levels to catch rainfall and prevent soil erosion.
Commercial Farming • Increase of agriculture lead to commercial farming – large scale growth of crops to sell for profit. • Machinery inventions aided large scale farming. • Steam powered tractors • Threshers – machines that separated grain or seeds from plants • Steel-tipped plows
Steel Tipped Plow John Deere
McCormick’s Reaper Cyrus McCormick
Cotton Gin Eli Whitney
Cotton BOOM - Cotton is King • Cotton was the most profitable crop • Many farmers switched to growing ONLY cotton • Pesticides kept insects like boll weevils from damaging crops
Cotton BOOM - Cotton is King • Cotton contributed to town growth • Commercial farming draws European immigrants • Town merchants support farmers • Need for manufacturing of cotton and cotton seed oil
Supply and Demand • Boom in crop production leads to a bust in prices. • Supply began to exceed demand, causing prices to fall – economic law of supply and demand.
Supply and Demand Scenario 1… Scenario 2… LOW SUPPLY leads to HIGH DEMAND(& prices) HIGH SUPPLY leads to LOW DEMAND(& prices)
Boom & BUST Cycle for Cotton • Cotton prices fell from 11 cents to 6 cents per pound. • Farmland went from $10/acre to $500/acre. • Being a cotton farmer was TOUGH.
How do you PREDICT the TX ECONOMY will be affected by the Railroad Boom?