Railroad Mania

Railroad Mania was a period during the 19th century, especially in the United States and Britain, characterized by rapid growth and investment in railroad expansion. Entrepreneurs, investors, and governments eagerly financed railway projects, believing they would transform transportation and stimulate economic growth. This intense enthusiasm led to a speculative bubble, with railroad companies overvalued and many projects poorly managed or unprofitable. When confidence waned, it caused financial crashes, exposing over-speculation and misjudgments. Overall, Railroad Mania exemplifies a historic cycle of speculative frenzy fueled by optimism about future profits, followed by economic correction.