The Nature and Extent of the Obligations of the Pacific Railroad Companies to the Government, In Reference to the Bonds Issued by the United States in Aid of the Construction of the Union Pacific Railroad and its Branches…

8vo, pamphlet, original printed wrappers, 24pp. Missing the back wrapper, rubber stamped number on front wrapper, a few small chips to front wrapper, a piece from the margin is missing from the last page, but not affecting text, notations and underlining of text, normal aging and browning. This pamphlet relates to the financing of a railroad and telegraph from Missouri River to the Pacific Ocean. To make a long story short, despite the fact that the bonds were issued by the U. S. Government, because they were issued for the benefit of a private enterprise, the bonds were ultimately the obligation of the railroad company. If they failed to pay off the debt, the government has the right to seize their assets. However, at this point in time, railroad securities were considered an excellent investment. Despite the fact that they could have 50, or even 100 year maturities, they were typically given very high credit ratings by rating agencies, and defaults were rare.