Panama Canal
France began work on the canal in 1881, but stopped due to engineering problems and a high worker mortality rate. The United States took over the project in 1904 and opened the canal on August 15, 1914. One of the largest and most difficult engineering projects ever undertaken, the Panama Canal shortcut greatly reduced the time for ships to travel between the Atlantic and Pacific Oceans, enabling them to avoid the lengthy, hazardous Cape Horn route around the southernmost tip of South America via the Drake Passage or Strait of Magellan.
History of the Panama Canal
By 1885 it had become clear to many that a sea-level canal was impractical, and an elevated canal with locks was preferable; de Lesseps resisted, and a lock canal plan was not adopted until October 1887. By this time increasing mortality rates, as well as financial and engineering problems coupled with frequent floods and mudslides, indicated that the project was in serious trouble. Work continued under the new plan until May 15, 1889, when the company went bankrupt and the project was suspended. After eight years the canal was about two-fifths completed, and about $234.8 million had been spent.
The company's collapse was a scandal in France, and the antisemitic Edouard Drumont exploited the role of two Jewish speculators in the affair. One hundred and four legislators were found to have been involved in the corruption, and Jean Jaurès was commissioned by the French parliament to conduct an inquiry which was completed in 1893.