Question

As economic conditions declined during the 1870s, the most common way for railroad companies to cut costs was to

A.) lower workers’ wages.
B.) raise passenger ticket prices.
C.) raise freight shipping prices.
D.) reduce the number of trains in service.

Answer 1

The answer should be "A.) lower workers' wages."

Answer 2

The correct answer is A) lower workers, lower wages.

As economic conditions declined during the 1870s, the most common way for railroad companies to cut costs was to lower workers, lower wages.

With the financial problems of the bank Jim Cook and Company in September 1873, almost 89 of the railroad companies in the United States went bankrupt. These financial problems impacted most of the economy of the United States. But specifically, the railroad’s companies. Unemployment grew to maximum levels in the country. Those economic conditions in the 1870s made the railroad companies to cut costs. The decision was lower workers, lower wages.