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"With the extension of railways over every part of the country, each industrial organization has the whole land, we might also say the whole world, before it, as a possible market for its products."

SIMON NEWCOMB, economist (1880)

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On May 10, 1869, a ceremonial golden spike was nailed into a railroad tie at Promontory Summit, marking the completion of the first transcontinental railroad. Over the next 20 years, the U.S. added tens of thousands of miles of track, which provided industrialists access to end markets and the nation's abundant natural resources. Many railroads were built by immigrants arriving from throughout the world. Conditions were brutal, pay was meager, and many laborers died before their work was completed. Tragically, none appreciated the vital role their work would play in saving the nation from a totalitarian alliance in the mid-20th century.

On May 10, 1940 -- exactly 71 years after the laying of the golden spike -- Nazi forces invaded western Europe, ending the "Phony War" that began when the British and French declared war on Germany on September 3, 1939. Employing blitzkrieg techniques, the Nazis defeated Dutch and Belgian forces within a week. Meanwhile, a thin line of French defenses was quickly overwhelmed by a surprise German assault through the Ardennes Forest. By May 24, the German military had surrounded 400,000 British and French troops on the beaches of Dunkirk. Then, Hitler committed a fateful error by pausing the advance and allowing most of the besieged forces to escape to safety across the English Channel.

Soon after the fall of western Europe, General George C. Marshall informed President Franklin Roosevelt that not only was Great Britain at risk of falling into Nazi hands, but the U.S itself was also vulnerable to invasion. Marshall warned Roosevelt that "if five German divisions landed anywhere on the coast, they could go anywhere they wished."

Upon hearing Marshall's warning, Roosevelt began preparing the country for total war at a scale that exceeded even the most extreme estimates. Over the next five years, the nation mobilized the full power of its industry, government, scientists, and brave citizens to produce a tidal wave of war materiel to supply both the U.S. and its allies. Dubbed the "Arsenal of Democracy," the seemingly limitless productive power of the United States provided the energy behind the Allied victory in 1945.

At the foundation of the Arsenal of Democracy was the nation's vast network of railroads, which were built by Americans who aspired only to provide their children with a chance at a better future. Little did they know that their sacrifice would spare all Americans from the horrors inflicted on those who fell under control of Nazi Germany and Imperial Japan. It is admittedly belated, but I hope this post honors their sacrifice.

 


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Mark Higgins
Written By Mark Higgins

Senior Vice President, Institutional Advisor

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