Economic history of the United States
The 325-mile Erie Canal, which connected Albany, New York, on the Hudson River with Buffalo, New York, on Lake Erie, began operation in 1825. Wagon cost from Buffalo to New York City in 1817 was 19.2 cents per ton-mile. By Erie Canal c. 1857 to 1860 the cost was 0.81 cents. The Erie Canal was a great commercial success and had a large regional economic impact.
Erie Railroad
The New York and Erie Rail Road was chartered April 24, 1832 by Governor of New York, Enos T. Throop to connect the Hudson River at Piermont, north of New York City, west to Lake Erie at Dunkirk. On February 16, 1841 the railroad was authorized to cross into the northeast corner of Pennsylvania on the west side of the Delaware River. Construction began in 1836, and it opened from Piermont to Goshen on September 23, 1841. After some financial problems, construction resumed in August 1846, and the next section, to Port Jervis, opened on January 7, 1848. Further extensions opened to Binghamton December 27, 1848, Owego January 1, 1849, and the full length to Dunkirk May 19, 1851. At Dunkirk steamboats continued across Lake Erie to Detroit, Michigan.