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CHAPTER XXXV.
THE PUBLIC LANDS – THEIR PROPER DISPOSITION – GRADUATED PRICES – PRE-EMPTION RIGHTS – DONATIONS TO SETTLERS

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About the year 1785 the celebrated Edmund Burke brought a bill into the British House of Commons for the sale of the crown lands, in which he laid down principles in political economy, in relation to such property, profoundly sagacious in themselves, applicable to all sovereign landed possessions, whether of kings or republics – applicable in all countries – and nowhere more applicable and less known or observed, than in the United States. In the course of the speech in support of his bill he said:

"Lands sell at the current rate, and nothing can sell for more. But be the price what it may; a great object is always answered, whenever any property is transferred from hands which are not fit for that property, to those that are. The buyer and the seller must mutually profit by such a bargain; and, what rarely happens in matters of revenue, the relief of the subject will go hand in hand with the profit of the Exchequer. * * * The revenue to be derived from the sale of the forest lands will not be so considerable as many have imagined; and I conceive it would be unwise to screw it up to the utmost, or even to suffer bidders to enhance, according to their eagerness, the purchase of objects, wherein the expense of that purchase may weaken the capital to be employed in their cultivation. * * * The principal revenue which I propose to draw from these uncultivated wastes, is to spring from the improvement and population of the kingdom; events infinitely more advantageous to the revenues of the crown than the rents of the best landed estate which it can hold. * * * It is thus I would dispose of the unprofitable landed estates of the crown: throw them into the mass of private property: by which they will come, through the course of circulation and through the political secretions of the State into well-regulated revenue. * * * Thus would fall an expensive agency, with all the influence which attends it."

I do not know how old, or rather, how young I was, when I first took up the notion that sales of land by a government to its own citizens, and to the highest bidder, was false policy; and that gratuitous grants to actual settlers was the true policy, and their labor the true way of extracting national wealth and strength from the soil. It might have been in childhood, when reading the Bible, and seeing the division of the promised land among the children of Israel: it might have been later, and in learning the operation of the feudal system in giving lands to those who would defend them: it might have been in early life in Tennessee, in seeing the fortunes and respectability of many families derived from the 640 acre head-rights which the State of North Carolina had bestowed upon the first settlers. It was certainly before I had read the speech of Burke from which the extract above is taken; for I did not see that speech until 1826; and seventeen years before that time, when a very young member of the General Assembly of Tennessee, I was fully imbued with the doctrine of donations to settlers, and acted upon the principle that was in me, as far as the case admitted, in advocating the pre-emption claims of the settlers on Big and Little Pigeon, French Broad, and Nolichucky. And when I came to the then Territory of Missouri in 1815, and saw land exposed to sale to the highest bidder, and lead mines and salt springs reserved from sale, and rented out for the profit of the federal treasury, I felt repugnance to the whole system, and determined to make war upon it whenever I should have the power. The time came round with my election to the Senate of the United States in 1820: and the years 1824, '26, and '28, found me doing battle for an ameliorated system of disposing of our public lands; and with some success. The pre-emption system was established, though at first the pre-emption claimant was stigmatized as a trespasser, and repulsed as a criminal; the reserved lead mines and salt springs, in the State of Missouri, were brought into market, like other lands; iron ore lands, intended to have been withheld from sale, were rescued from that fate, and brought into market. Still the two repulsive features of the federal land system – sales to the highest bidder, and donations to no one – with an arbitrary minimum price which placed the cost of all lands, good and bad, at the same uniform rate (after the auctions were over), at one dollar twenty-five cents per acre. I resolved to move against the whole system, and especially in favor of graduated prices, and donations to actual and destitute settlers. I did so in a bill, renewed annually for a long time; and in speeches which had more effect upon the public mind than upon the federal legislation – counteracted as my plan was by schemes of dividing the public lands, or the money arising from their sale, among the States. It was in support of one of these bills that I produced the authority of Burke in the extract quoted; and no one took its spirit and letter more promptly and entirely than President Jackson. He adopted the principle fully, and in one of his annual messages to Congress recommended that, as soon as the public (revolutionary) debt should be discharged (to the payment of which the lands ceded by the States were pledged), that they should CEASE TO BE A SUBJECT OF REVENUE, AND BE DISPOSED OF CHIEFLY WITH A VIEW TO SETTLEMENT AND CULTIVATION. His terms of service expired soon after the extinction of the debt, so that he had not an opportunity to carry out his wise and beneficent design.

Mr. Burke considered the revenue derived from the sale of crown lands as a trifle, and of no account, compared to the amount of revenue derivable from the same lands through their settlement and cultivation. He was profoundly right! and provably so, both upon reason and experience. The sale of the land is a single operation. Some money is received, and the cultivation is disabled to that extent from its improvement and cultivation. The cultivation is perennial, and the improved condition of the farmer enables him to pay taxes, and consume dutiable goods, and to sell the products which command the imports which pay duties to the government, and this is the "well-regulated revenue" which comes through the course of circulation, and through the "political secretions" of the State, and which Mr. Burke commends above all revenue derived from the sale of lands. Does any one know the comparative amount of revenue derived respectively from the sales and from the cultivation of lands in any one of our new States where the federal government was the proprietor, and the auctioneer, of the lands? and can he tell which mode of raising money has been most productive? Take Alabama, for example. How much has the treasury received for lands sold within her limits? and how much in duties paid on imports purchased with the exports derived from her soil? Perfect exactitude cannot be attained in the answer, but exact enough to know that the latter already exceeds the former several times, ten times over; and is perennial and increasing for ever! while the sale of the land has been a single operation, performed once, and not to be repeated; and disabling the cultivator by the loss of the money it took from him. Taken on a large scale, and applied to the whole United States, and the answer becomes more definite – but still not entirely exact. The whole annual receipts from land sales at this time (1850) are about two millions of dollars: the annual receipts from customs, founded almost entirely upon the direct or indirect productions of the earth, exceed fifty millions of dollars! giving a comparative difference of twenty-five to one for cultivation over sales; and triumphantly sustaining Mr. Burke's theory. I have looked into the respective amounts of federal revenue, received into the treasury from these two sources, since the establishment of the federal government; and find the customs to have yielded, in that time, a fraction over one thousand millions of dollars net – the lands to have yielded a little less than one hundred and thirty millions gross, not forty millions clear after paying all expenses of surveys, sales and management. This is a difference of twenty-five to one – with the further difference of endless future production from one, and no future production from the land once sold; that is to say, the same acre of land is paying for ever through cultivation, and pays but once for itself in purchase.

Thus far I have considered Mr. Burke's theory only under one of its aspects – the revenue aspect: he presents another – that of population – and here all measure of comparison ceases. The sale of land brings no people: cultivation produces population: and people are the true wealth and strength of nations. These various views were presented, and often enforced, in the course of the several speeches which I made in support of my graduation and donation bills: and, on the point of population, and of freeholders, against tenants, I gave utterance to these sentiments:

"Tenantry is unfavorable to freedom. It lays the foundation for separate orders in society, annihilates the love of country, and weakens the spirit of independence. The farming tenant has, in fact, no country, no hearth, no domestic altar, no household god. The freeholder, on the contrary, is the natural supporter of a free government; and it should be the policy of republics to multiply their freeholders, as it is the policy of monarchies to multiply tenants. We are a republic, and we wish to continue so: then multiply the class of freeholders; pass the public lands cheaply and easily into the hands of the people; sell, for a reasonable price, to those who are able to pay; and give, without price, to those who are not. I say give, without price, to those who are not able to pay; and that which is given, I consider as sold for the best of prices; for a price above gold and silver; a price which cannot be carried away by delinquent officers, nor lost in failing banks, nor stolen by thieves, nor squandered by an improvident and extravagant administration. It brings a price above rubies – a race of virtuous and independent laborers, the true supporters of their country, and the stock from which its best defenders must be drawn.

"'What constitutes a State?

Not high-rais'd battlements, nor labored mound,

Thick wall, nor moated gate;

Nor cities proud, with spires and turrets crown'd,

Nor starr'd and spangled courts,

Where low-born baseness wafts perfume to pride:

But MEN! high-minded men,

Who their duties know, but know their RIGHTS,

And, knowing, dare maintain them.'"


In favor of low prices, and donations, I quoted the example and condition of the Atlantic States of this Union – all settled under liberal systems of land distribution which dispensed almost (or altogether in many instances) with sales for money. I said:

"These Atlantic States were donations from the British crown; and the great proprietors distributed out their possessions with a free and generous hand. A few shillings for a hundred acres, a nominal quitrent, and gifts of a hundred, five hundred, and a thousand acres, to actual settlers: such were the terms on which they dealt out the soil which is now covered by a nation of freemen. Provinces, which now form sovereign States, were sold from hand to hand, for a less sum than the federal government now demands for an area of two miles square. I could name instances. I could name the State of Maine – a name, for more reasons than one, familiar and agreeable to Missouri, and whose pristine territory was sold by Sir Ferdinando Gorges to the proprietors of the Massachusetts Bay, for twelve hundred pounds, provincial money. And well it was for Maine that she was so sold; well it was for her that the modern policy of waiting for the rise, and sticking at a minimum of $1 25, was not then in vogue, or else Maine would have been a desert now. Instead of a numerous, intelligent, and virtuous population, we should have had trees and wild beasts. My respectable friend, the senator from that State (Gen. Chandler), would not have been here to watch so steadily the interest of the public, and to oppose the bills which I bring in for the relief of the land claimants. And I mention this to have an opportunity to do justice to the integrity of his heart, and to the soundness of his understanding – qualities in which he is excelled by no senator – and to express my belief that we will come together upon the final passage of this bill: for the cardinal points in our policy are the same – economy in the public expenditures, and the prompt extinction of the public debt. I say, well it was for Maine that she was sold for the federal price of four sections of Alabama pine, Louisiana swamp, or Missouri prairie. Well it was for every State in this Union, that their soil was sold for a song, or given as a gift to whomsoever would take it. Happy for them, and for the liberty of the human race, that the kings of England and the "Lords Proprietors," did not conceive the luminous idea of waiting for the rise, and sticking to a minimum of $1 25 per acre. Happy for Kentucky, Tennessee, and Ohio, that they were settled under States, and not under the federal government. To this happy exemption they owe their present greatness and prosperity. When they were settled, the State laws prevailed in the acquisition of lands; and donations, pre-emptions, and settlement rights, and sales at two cents the acre, were the order of the day. I include Ohio, and I do it with a knowledge of what I say: for ten millions of her soil, – that which now constitutes her chief wealth and strength, – were settled upon the liberal principles which I mention. The federal system only fell upon fifteen millions of her soil; and, of that quantity, the one half now lies waste and useless, paying no tax to the State, yielding nothing to agriculture, desert spots in the midst of a smiling garden, "waiting for the rise," and exhibiting, in high and bold relief, the miserable folly of prescribing an arbitrary minimum upon that article which is the gift of God to man, and which no parental government has ever attempted to convert into a source of revenue and an article of merchandise."

Against the policy of holding up refuse lands until they should rise to the price of good land, and against the reservation of saline and mineral lands, and making money by boiling salt water, and digging lead ore, or holding a body of tenantry to boil and dig, I delivered these sentiments:

"I do trust and believe, Mr. President, that the Executive of this free government will not be second to George the Third in patriotism, nor an American Congress prove itself inferior to a British Parliament in political wisdom. I do trust and believe that this whole system of holding up land for the rise, endeavoring to make revenue out of the soil of the country, leasing and renting lead mines, salt springs, and iron banks, with all its train of penal laws and civil and military agents, will be condemned and abolished. I trust that the President himself will give the subject a place in his next message, and lend the aid of his recommendation to the success of so great an object. The mining operations, especially, should fix the attention of the Congress. They are a reproach to the age in which we live. National mining is condemned by every dictate of prudence, by every maxim of political economy, and by the voice of experience in every age and country. And yet we are engaged in that business. This splendid federal government, created for great national purposes, has gone to work among the lead mines of Upper Louisiana, to give us a second edition, no doubt, of the celebrated "Mississippi Scheme" of John Law. For that scheme was nothing more nor less than a project of making money out of the same identical mines. Yes, Mr. President, upon the same identical theatre, among the same holes and pits, dug by John Law's men in 1720; among the cinders, ashes, broken picks, and mouldering furnaces, of that celebrated projector, is our federal government now at work; and, that no circumstance should be wanting to complete the folly of such an undertaking, the task of extracting "revenue" from these operations, is confided, not to the Treasury, but to the War Department.

"Salines and salt springs are subjected to the same system – reserved from sale, and leased for the purpose of raising revenue. But I flatter myself that I see the end of this branch of the system. The debate which took place a few weeks ago on the bill to repeal the existing duty upon salt, is every word of it applicable to the bill which I have introduced for the sale of the reserved salt springs. I claim the benefit of it accordingly, and shall expect the support of all the advocates for the repeal of that tax, whenever the bill for the sale of the salines shall be put to the vote."

Argument and sarcasm had their effect, in relation to the mineral and saline reserves in the State in which I lived – the State of Missouri. An act was passed in 1828 to throw them into the mass of private property – to sell them like other public lands. And thus the federal government, in that State, got rid of a degrading and unprofitable pursuit; and the State got citizen freeholders instead of federal tenants; and profitably were developed in the hands of individuals the pursuits of private industry which languished and stagnated in the hands of federal agents and tenants. But it was continued for some time longer (so far as lead ore was concerned) on the Upper Mississippi, and until an argument arrived which commanded the respect of the legislature: it was the argument of profit and loss – an argument which often touches a nerve which is dead to reason. Mr. Polk, in his message to Congress at the session of 1845-'46 (the first of his administration), stated that the expenses of the system during the preceding four years – those of Mr. Tyler's administration – were twenty-six thousand one hundred and eleven dollars, and eleven cents; and the whole amount of rents received during the same period was six thousand three hundred and fifty-four dollars, and seventy-four cents: and recommended the abolition of the whole system, and the sale of the reserved mines; which was done; and thus was completed for the Upper Mississippi what I had done for Missouri near twenty years before.

The advantage of giving land to those who would settle and cultivate it, was illustrated in one of my speeches, by reciting the case of "Granny White" – well known in her time to all the population of Middle Tennessee, and especially to all who travelled south from Nashville, along the great road which crossed the "divide" between the Cumberland and Harpeth waters, at the evergreen tree which gave name to the gap – the Holly Tree Gap. The aged woman, and her fortunes, were thus introduced into our senatorial debates and lodged on a page of our parliamentary history, to enlighten, by her incidents, the councils of national legislation:

"At the age of sixty, she had been left a widow, in one of the counties in the tide-water region of North Carolina. Her poverty was so extreme, that when she went to the county court to get a couple of little orphan grandchildren bound to her, the Justices refused to let her have them, because she could not give security to keep them off the parish. This compelled her to emigrate; and she set off with the two little boys, upon a journey of eight or nine hundred miles, to what was then called "the Cumberland Settlement." Arrived in the neighborhood of Nashville, a generous-hearted Irishman (his name deserves to be remembered – Thomas McCrory) let her have a corner of his land, on her own terms, – a nominal price and indefinite credit. It was fifty acres in extent, and comprised the two faces of a pair of confronting hills, whose precipitous declivities lacked a few degrees, and but a few, of mathematical perpendicularity. Mr. B. said he knew it well, for he had seen the old lady's pumpkins propped and supported with stakes, to prevent their ponderous weight from tearing up the vine, and rolling to the bottom of the hills. There was just room at their base for a road to run between, and not room for a house, to find a level place for its foundation; for which purpose a part of the hill had to be dug away. Yet, from this hopeless beginning, with the advantage of a little piece of ground that was her own, this aged widow, and two little grandchildren, of eight or nine years old, advanced herself to comparative wealth: money, slaves, horses, cattle; and her fields extended into the valley below, and her orphan grandchildren, raised up to honor and independence: these were the fruits of economy and industry, and a noble illustration of the advantage of giving land to the poor. But the federal government would have demanded sixty-two dollars and fifty cents for that land, cash in hand; and old Granny White and her grandchildren might have lived in misery and sunk into vice, before the opponents of this bill would have taken less."

I quoted the example of all nations, ancient and modern, republican and monarchical, in favor of giving lands, in parcels suitable to their wants, to meritorious cultivators; and denied that there was an instance upon earth, except that of our own federal government, which made merchandise of land to its citizens – exacted the highest price it could obtain – and refused to suffer the country to be settled until it was paid for. The "promised land" was divided among the children of Israel – the women getting a share where there was no man at the head of the family – as with the daughters of Manasseh. All the Atlantic States, when British colonies, were settled upon gratuitous donations, or nominal sales. Kentucky and Tennessee were chiefly settled in the same way. The two Floridas, and Upper and Lower Louisiana, were gratuitously distributed by the kings of Spain to settlers, in quantities adapted to their means of cultivation – and with the whole vacant domain to select from according to their pleasure. Land is now given to settlers in Canada; and £30,000 sterling, has been voted at a single session of Parliament, to aid emigrants in their removal to these homes, and commencing life upon them. The republic of Colombia now gives 400 acres to a settler: other South American republics give more or less. Quoting these examples, I added:

"Such, Mr. President, is the conduct of the free republics of the South. I say republics: for it is the same in all of them, and it would be tedious and monotonous to repeat their numerous decrees. In fact, throughout the New World, from Hudson's Bay to Cape Horn (with the single exception of these United States), land, the gift of God to man, is also the gift of the government to its citizens. Nor is this wise policy confined to the New World. It prevails even in Asia; and the present age has seen – we ourselves have seen – published in the capital of the European world, the proclamation of the King of Persia, inviting Christians to go to the ancient kingdom of Cyrus, Cambyses and Darius, and there receive gifts of land – first rate, not refuse – with a total exemption from taxes, and the free enjoyment of their religion. Here is the proclamation: listen to it.

The Proclamation

"'Mirza Mahomed Saul, Ambassador to England, in the name, and by the authority of Abbas Mirza, King of Persia, offers to those who shall emigrate to Persia, gratuitous grants of land, good for the production of wheat, barley, rice, cotton, and fruits, – free from taxes or contributions of any kind, and with the free enjoyment of their religion; THE KING'S OBJECT BEING TO IMPROVE HIS COUNTRY.

"'London, July 8th, 1823.'"

The injustice of holding all lands at one uniform price, waiting for the cultivation of the good land to give value to the poor, and for the poorest to rise to the value of the richest, was shown in a reference to private sales, of all articles; in the whole of which sales the price was graduated to suit different qualities of the same article. The heartless and miserly policy of waiting for government land to be enhanced in value by the neighboring cultivation of private land, was denounced as unjust as well as unwise. The new States of the West were the sufferers by this federal land policy. They were in a different condition from other States. In these others, the local legislatures held the primary disposal of the soil, – so much as remained vacant within their limits, – and being of the same community, made equitable alienations among their constituents. In the new States it was different. The federal government held the primary disposition of the soil; and the majority of Congress (being independent of the people of these States), was less heedful of their wants and wishes. They were as a stepmother, instead of a natural mother: and the federal government being sole purchaser from foreign nations, and sole recipient of Indian cessions, it became the monopolizer of vacant lands in the West: and this monopoly, like all monopolies, resulted in hardships to those upon whom it acted. Few, or none of our public men, had raised their voice against this hard policy before I came into the national councils. My own was soon raised there against it: and it is certain that a great amelioration has taken place in our federal land policy during my time: and that the sentiment of Congress, and that of the public generally, has become much more liberal in land alienations; and is approximating towards the beneficent systems of the rest of the world. But the members in Congress from the new States should not intermit their exertions, nor vary their policy; and should fix their eyes steadily upon the period of the speedy extinction of the federal title to all the lands within the limits of their respective States; – to be effected by pre-emption rights, by donations, and by the sale (of so much as shall be sold), at graduated prices, – adapted to the different qualities of the tracts, to be estimated according to the time it has remained in market unsold – and by liberal grants to objects of general improvement, both national and territorial.

Thirty Years' View (Vol. I of 2)

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