ECO322H1 Lecture Notes - Lecture 4: Northern Ontario, Opportunity Cost, Homestead Acts

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Lecture 4 – ECO322
The National Policy, Dominion Lands Policy:
- After Confederation, the government needed to move fast to colonize the West and develop the
land before the US tries to take it; it would help by acquiring more natural resources and a bigger
market for its goods
Lincoln’s Homestead Act (1862): Gives incentive for people to settle westward by giving land
titles for a fee (160 acres); stimulated immigration to the USA
USA Transcontinental Railways: USA was building railways west, including very close to the
border
Manifest Destiny: Americans believed that they had a calling to control the whole of North
America
Trade between BC and Manitoba with US: It made them potential candidates as US States.
- (1869) Purchase of Rupert’s Land by the Canadian government
- (1870) Manitoba joins Canada as a province; gave Metis language and land rights but took
possession of natural resources
- (1871) BC joins Canada as a province; Bankruptcy due to transport financing (gold rush)
- (1873) PEI joins Canada because it assumes away its own debt
Construction of the railway (1868-1876):
- Financed by the government because they chose an unprofitable route relative to the Southern
US track
- Went above the Great Lakes instead of below them
Dominion Lands Policy:
- Meant to help the government out by having people settle out west to remove the financial
obligation of developing the territory
Homestead Grants 1872 & 1882:
- Copies Lincoln’s Homestead Act; get 160 acres for a fee within 20 miles of railroad
- Once you gained homestead, you could buy an adjoining 160 acres
via the “pre-emptive clause”
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Document Summary

After confederation, the government needed to move fast to colonize the west and develop the land before the us tries to take it; it would help by acquiring more natural resources and a bigger market for its goods. Lincoln"s homestead act (1862): gives incentive for people to settle westward by giving land titles for a fee (160 acres); stimulated immigration to the usa. Usa transcontinental railways: usa was building railways west, including very close to the border. Manifest destiny: americans believed that they had a calling to control the whole of north. Trade between bc and manitoba with us: it made them potential candidates as us states. (1869) purchase of rupert"s land by the canadian government. (1870) manitoba joins canada as a province; gave metis language and land rights but took possession of natural resources. (1871) bc joins canada as a province; bankruptcy due to transport financing (gold rush) (1873) pei joins canada because it assumes away its own debt.

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