Editing Gadsden Purchase (section)

=== Stephen Douglas and land grants ===
The [[Compromise of 1850]], which created the [[Utah Territory]] and the [[New Mexico Territory]], would facilitate a southern route to the [[West Coast of the United States|West Coast]] since all territory for the railroad was now organized and would allow for federal land grants as a financing measure. Competing northern or central routes championed, respectively, by [[United States Senate|U.S. Senators]] [[Stephen A. Douglas|Stephen Douglas]] of [[Illinois]] and [[Thomas Hart Benton (politician)|Thomas Hart Benton]] of [[Missouri]], would still need to go through unorganized territories.<ref>{{harvp|Kluger|2007|p= 487}}; {{harvp|Roberson|1974|p= 169}}.</ref> [[Millard Fillmore]] established a precedent for using federal land grants when he signed a bill promoted by Douglas that allowed a south to north, [[Mobile, Alabama|Mobile]] to [[Chicago]] railroad to be financed by "federal land grants for the specific purpose of railroad construction".<ref>{{harvp|Roberson|1974|p= 168}}.</ref> To satisfy Southern opposition to the general principle of federally supported [[internal improvements]], the land grants would first be transferred to the appropriate state or territorial government, which would oversee the final transfer to private developers.<ref>{{harvp|Kluger|2007|p= 487}}.</ref>

By 1850, however, the majority of the South was not interested in exploiting its advantages in developing a transcontinental railroad or railroads in general. Businessmen like Gadsden, who advocated economic diversification, were in the minority. The Southern economy was based on cotton exports, and then-current transportation networks met the plantation system's needs. There was little home market for an intra-South trade. In the short term, the best use for capital was to invest it in more slaves and land rather than in taxing it to support canals, railroads, roads, or in dredging rivers.<ref>{{harvp|Kluger|2007|p= 488}}.</ref> Historian Jere W. Roberson wrote:<ref>{{harvp|Roberson|1974|p=169}}.</ref>

{{blockquote|Southerners might have gained a great deal under the 1850 land grant act had they concentrated their efforts. But continued opposition to Federal aid, filibustering, an unenthusiastic President, the spirit of "Young America", and efforts to build railroads and canals across [[Central America]] and the [[Isthmus of Tehuantepec]] in [[Mexico]] divided their forces, leaving a lot of time for the Pacific railroad. Moreover, the Compromise of 1850 encouraged Southerners not to antagonize opponents by resurrecting the railroad controversy.|Jere W. Roberson|"The South and the Pacific Railroad, 1845–1855"}}