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Week 4 part2 cnr canadian northern railway summer

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Week 4 Part2 CNR-Canadian Northern Railway Summer 1917: The Railway Mess War was costing Canadian casualties and Military services Act in 1917 led to riot and demand for money and manpower to support the war Temporary Income tax was established Problem of the Railway mess: Three transcontinental railways served a population of just over eight million which resulted in excessive capacity related to demand Royal commission recommended that the government take over the failing Canadian Northern Railway The Prime Minister Borden accepted government taken over the CNR and consolidate several other railway lines. The process led to the Largest Crown corporation in Canadian history: Canadian National Railway (CN) Sir Wilfrid Laurier’s Railway Policy 1896 Liberal Party was elected to form the government of Canada for the first time in 20 years. Laurier is the first French Canadian prime minister in Canadian history After elected Laurier adopted most of the National Policy from Sir John A. Macdonald: protective tariff, settlement of the west, and a national railway the Canadian Pacific Laurier was so optimistic about the country’s future and pronounced the 20s century belongs to Canada and authorized the construction of the second transcontinental railway. Such decision to build a second transcontinental railway (National Transcontinental) led to both short term and long term problems. Two entrepreneurs Donald Mann and William Mackenzie (original CPR contractors) we redeveloping a new prairie network and aggressively to obtain a charter to extend their western railway lines into transcontinental railways.
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Grand truck railway in the east adopted a policy of western expansion Laurier opposed to government operating railways (and he did not choose to merge GTR with Mackenzie and Mann railways) so he decide to choose Grand Truck to build this railway and on completion the National Transcontinental was to be leased to Grand Truck Pacific which was a subsidiary of the Grand Truck Railway on very favorable term. In long term such decision of building second transcontinental system set of an unrealistic building boom and led to proliferation of railways and much waste of public money in support of building more. A Flood Tide of Railway Construction Laurier’s commitment to reciprocity with the US in 1911 which led to the legislative authority and financial assistance for Mackenzie and Mann’s Canadian Northern Railways to build a third transcontinental line. After the election of 1911, Borden’s Conservative party come to power and indicated the “Railway Mess” problem- three transcontinental railways in a country with less than 7.5 million populations. After the GTR president Charles Melville Hays went down with the titanic in April 1912, the
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Week 4 Part2 CNR Canadian Northern Railway Summer 1917 The...

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