So, In 1862 Canada began work on a railway. The idea was gotten form the U.S.A. and how it was successful there. Over the years of 1862 and 1872 the railway was given roughly 100 million acres of land. The railways had financial difficulties as it grew. They were put in a position where public expenditure, cash grants, land grants etc were needed.July 20th 1871, the agreement was made that the transcontinental railway will begin construction in 2 years and be finished in 10 years. Every time Canada tried to sell wheat but the buyer would back out, they tried selling to the maritime countries but they also soon backed out. Canada joined with the Maritime countries to sell the wheat.
In shorter terms, the early railway projects were constantly hitting financial problems. They were constantly in need of government assistance and in the end they did fill the gaps. They were focusing on government assistance more than how realistic some of the project was.
You show an understanding of the role of the railways in encouraging Confederation. Make sure you fully understand what the Corn Laws and the Reciprocity Treaty were and how they encourage Confederation.
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