What kinds of economic impact might a railroad strike cause?

Without freight rail, many U.S. industries would shut down. A strike would cause $2 billion a day in lost economic output, according to the Association of American Railroads, which lobbies on behalf of rail companies. Rail transports about 40% of the nation's long-distance freight and one-third of exports.



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Makers of food, fuel, cars and chemicals would all feel the squeeze, as would their customers. Commuters would be left stranded because many passenger railroads use tracks owned by the freight railroads.

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Here are some of the expected impacts of a rail strike:
  • $2 BILLION A DAY. Railroads haul about 40 percent of the nation's freight each year. ...
  • CHEMICALS RUN DRY. ...
  • PASSENGER PROBLEMS. ...
  • FOOD FEARS. ...
  • HUNGRY HERDS. ...
  • RETAIL RISKS. ...
  • AUTOMOBILE ANGST.


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The Great Railroad Strike of 1877 led to the rise of certain political parties including the Workingmen's Party of the United States, The Greenback-Labor Party, and the Populist Party. The strike ultimately led to increased membership in the Knights of Labor as well.

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The railroad opened the way for the settlement of the West, provided new economic opportunities, stimulated the development of town and communities, and generally tied the country together.

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What was the main reason the United States government intervened in the Great Railroad Strike of 1877? The government took action to end the strike in response to public demands in support of the railroad companies. The government sided with the labor unions and sent troops to protect railroad workers.

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In the summer of 1867, thousands of Chinese workers organized the largest labor stoppage in America up to that date to demand both equal pay and better working conditions. Railroad bosses ultimately broke the strike by withholding food rations and threatening violence, and the workers' demands were denied.

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The size and scale of the 1877 strike rattled company executives and elected officials. Nearly two decades later, the American Railway Union—considered the first major railroad union—played a pivotal role in the 1894 Pullman Strike and marked a turning point in national labor organizing.

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The Great Railroad Strike of 1877 began on July 17, 1877, in Martinsburg, West Virginia. Workers for the Baltimore & Ohio Railroad went on strike, because the company had reduced workers' wages twice over the previous year.

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The nation's supply of food could take a hit if railroad workers go on strike, driving up prices at the grocery store and limiting U.S. grain exports to countries facing famine.

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The nation's supply of food could take a hit if railroad workers go on strike, driving up prices at the grocery store and limiting U.S. grain exports to countries facing famine.

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It was caused by a 10 percent wage cut which resulted in the workers deciding no train leaves the station until the wage cut was eliminated. Police were forced to take control after a crowd had gathered in support of the railroad workers.

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Railroads had a significant impact when they were introduced to the American West in the 1870s. Rail access spurred white migration and land occupation, altered the cattle industry, and affected the soil ecosystem.

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