Chapter 284: Chapter 33, The Economic Crisis Erupts

Negotiations on all fronts were still underway when a crisis quietly emerged. The overproduction of the capitalist world had spilled over into the market, and in order to offload their excess stock, British capitalists intensified their dumping in countries around the world.

The Americans were the first to suffer the consequences. Even though Franz's butterfly effect diverted a portion of international capital to Austria, it could not resolve the crisis in the United States.

From 1848 to 1858, Americans built 25,000 kilometers of railroad, 8,000 kilometers less than in history, so the railroad bubble was not as severe as it had been.

Regrettably, while the American railroad industry was booming, the surrounding industries were not stimulated. Under competition from British goods, both the metallurgical and the cotton spinning industries saw a slowdown in growth.