<P> Only 100 miles of canals had been built in the U.S. by 1816, and only a few were longer than two miles . The early canals were typically financially successful, such as those carrying coal in eastern Pennsylvania, where canal building was concentrated until 1820 . </P> <P> 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 . </P> <P> The Delaware and Raritan Canal was also very successful . Also important was the 2.5 - mile canal bypassing the falls on the Ohio River at Louisville, which opened in 1830 . </P> <P> The success of some of the early canals led to a canal building boom, during which work began on many canals which would prove to be financially unsuccessful . As the canal boom was underway in the late 1820s, a small number of horse railways were being built . These were quickly followed by the first steam railways in the 1830s . </P>

How did the american economy change during the 1800s