Abstract
If the nineteenth century was an era of acquisition and privatization of the public domain, the twentieth century was one of massive public reservation. During the first half of the nineteenth century, the federal estate expanded rapidly as states ceded their claims west of the Appalachians and vast tracts were added through purchase or conquest.1 With the Ordinance of 1785 and the Ordinance of 1787, the original colonies ceded their western lands to the federal government, and the Louisiana Purchase of 1803 enlarged the federal estate by well over 750 million acres—twice the area of Alaska. Because there was no support for leaving the land in the public domain, the government was faced with how to dispose of it. During its early stages, this movement pitted Alexander Hamilton, who favored selling the public lands to enhance the U.S. Treasury and pay off debts incurred during the Revolutionary War, against Thomas Jefferson, who wanted to promote an agrarian ethic by giving the land to those who were willing to settle and cultivate the western frontier. Neither side in the debate questioned the wisdom of privatization. As a result, the first privatization movement, from 1790 to 1920, put more than a billion acres of public land into private ownership.
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Notes
Douglass C. North, Terry L. Anderson, and Peter J. Hill, Growth and Welfare in the American Past: A New Economic History (Englewood Cliffs, NJ: Prentice-Hall, 1983), 111–21.
Theodore Roosevelt, in Proceedings of the American Forest Congress (Washington, DC: American Forestry Association, 1905), 9.
Gifford Pinchot, The Fight for Conservation (New York: Doubleday and Page, 1910), 123–24.
Robert F. Fries, Empire in Pine:The Story of Lumber in Wisconsin (Madison: State Historical Society of Wisconsin, 1951), 8–23, 250–51; Ronald N. Johnson and Gary D. Libecap, Explorations in Economic History 17 (1980): 376–77;Agnes M. Larson, History of the White Pine Industry in Minnesota (Minneapolis: University of Minnesota Press, 1949), 11, 29–28, 220–21, 404; Frederick Merk, Economic History of Wisconsin During the Civil War Decade (Madison: State Historical Society of Wisconsin, 1916), 60–73.
Sherry H. Olson, The Depletion Myth:A History of Railroad Use of Timber (Cambridge, MA: Harvard University Press, 1971).
Andrew D. Rodgers III, Bernhard Edward Fernow: A Story of North American Forestry (Princeton, NJ: Princeton University Press, 1951), 1.
Bernhard E. Fernow, Economics of Forestry (New York: Thomas Y. Crowell, 1902), 1.
Merk, Economic History of Wisconsin, 100, 105–8; Fries, Empire in Pine, 190, 245, 286–88. See also Paul W. Gates, History of Public Land Law Development (Washington, DC: Public Land Law Review Commission, 1968), 534–55; Lucile Kane, “Federal Protection of Public Timber in the Upper Great Lakes States,” Agricultural History 23 (1949): 135–39.
Russell McKee, “Tombstones of a Lost Forest,” Audubon 90 (March 1988): 68.
In 1871, the average daily wage of a skilled laborer in the United States was $2.58, and good pine stands could be obtained for $4.00 an acre. See Bureau of the Census, The Statistical History of the United States: From Colonial Times to the Present (New York: Basic Books, 1976), 165; Paul W. Gates, The Wisconsin Pine Lands of Cornell University: A Study in Land Policy and Absentee Ownership, 2d ed. (Madison: State Historical Society of Wisconsin, 1965), 214. During the Civil War, “the wages of loggers in the northwestern pineries of Wisconsin ranged from $3 to $4 per day including board.” See Merk, Economic History of Wisconsin, 109.
See Oscar Burt and Ronald G. Cummings, “Production and Investment in Natural Resource Industries,” American Economic Review 60 (1970): 576–90; Howard Hotelling, “The Economics of Exhaustible Resources,” Journal of Political Economy 39 (1931): 137–75; Robert M. Solow, “The Economics of Resources or the Resources of Economics,” American Economic Review 64 (May 1974): 1–14.
This same tragedy of the commons evident on the American frontier explains harvest practices in many developing regions such as Amazonia. See Lee J. Alston, Gary D. Libecap, and Bernardo Mueller, Titles, Conflicts, and Land Use:The Development of Property Rights and Land Reform on the Brazilian Amazon Frontier (Ann Arbor: University of Michigan Press, 1999).
Johnson and Libecap, Explorations in Economic History, 379; Milton Friedman and Anna J. Schwartz, A Monetary History of the United States (Princeton, NJ: Princeton University Press, 1963), 69.
George F. Warren and Frank A. Pearson, Prices (New York: John Wiley and Sons, 1933), 36.
For a detailed discussion of how speculation can promote the optimal use of resources, see Terry L. Anderson and P. J. Hill, “The Race for Property Rights,” Journal of Law and Economics 33 (April 1990): 177–97.
Richard N. Current, Pine Logs and Politics:A Life of Philetus Sawyer, 1816–1900 (Madison: State Historical Society of Wisconsin, 1950), 22–25; Merk, Economic History of Wisconsin, 73; Johnson and Libecap, Explorations in Economic History, 375.
The $20 figure is based on Gates, Wisconsin Pine Lands, 238. Interest rate sources are Friedman and Schwartz, A Monetary History, 640, and Economic Report of the President— February 1988 (Washington, DC: U.S. Government Printing Office, 1988), 330.
Warren Scoville, “Did Colonial Farmers ‘Waste’ Our Lands?” Southern Economic Journal 20 (1953): 178–81.
A. G. Ellis, “Upper Wisconsin Country,” in Collections of the State Historical Society of Wisconsin, ed. Lyman C. Draper, vol. 3 (Madison: State Historical Society of Wisconsin, 1857), 445.
Malcolm Rosholt, TheWisconsin Logging Book (Rosholt, WI: Rosholt House, 1980), 282.
See Steven Karpiak, “The Establishment of Porcupine Mountains State Park,” Michigan Academician 2 (1978): 135–39. For information on other tracts, see Fred Rydholm, “Upper Crust Camps,” in A Most Superior Land: Life in the Upper Peninsula of Michigan (Lansing: Michigan Natural Resources Magazine, 1983). Additional information concerning the holdings of the Huron Mountain Club can be obtained from the Huron Mountain Wildlife Foundation in White Pigeon, Michigan.
Aldo Leopold, Report on Huron Mountain Club (Huron, MI: Huron Mountain Club, 1938), 40.
For a more complete discussion of the Huron Mountain Club, see Terry L. Anderson and Donald R. Leal, Enviro-Capitalists: Doing Good While Doing Well (Lanham, MD: Rowman and Littlefield Publishers, 1997), 30–33.
Quoted in Alfred Runte, Trains of Discovery (Niwot, CO: Roberts Rinehart, 1990), 23.
See Carlos Schwantes, Railroad Signatures across the Pacific Northwest (Seattle: University of Washington Press, 1993).
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© 2001 Terry L. Anderson and Donald R. Leal
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Iijima, T. (2001). From Barbed Wire to Red Tape. In: Free Market Environmentalism. Palgrave Macmillan, New York. https://doi.org/10.1057/9780312299736_4
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DOI: https://doi.org/10.1057/9780312299736_4
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