When the Homestead Act was being discussed in Congress in 1860, a Senator from Wisconsin said he supported it:
… because its benign operation will postpone for centuries, if it will not forever, all serious conflict between capital and labor in the older free States, withdrawing their surplus population to create in greater abundance the means of subsistence.
The Homestead Act did not have that effect. It did not bring tranquility to the East by moving Americans to the West. It was not a safety valve for discontent, which was too great to be contained that way. As Henry Nash Smith says (Virgin Land), and as we have seen: "On the contrary, the three decades following its passage were marked by the most bitter and widespread labor trouble that had yet been seen in the United States."
It also failed to bring peace to the farm country of the West. Hamlin Garland, who made so many Americans aware of the life of the farmer, wrote in the preface to his novel Jason Edwards: 'Tree land is gone. The last acre of available farmland has now passed into private or corporate hands." In Jason Edwards a Boston mechanic takes his family West, drawn by advertising circulars. But he finds that all land within 30 miles of a railroad has been taken up by speculators. He struggles for five years to pay off a loan and get title to his farm, and then a storm destroys his wheat just before harvest.
Behind the despair so often registered in the farm country literature of that day, there must have been visions, from time to time, of a different way to live. In another Garland novel, A Spoil of Office, the heroine speaks at a farmers' picnic:
I see a time when the farmer will not need to live in a cabin on a lonely farm. I see the farmers coming together in groups. I see them with time to read, and time to visit with their fellows. I see them enjoying lectures in beautiful halls, erected in every village. I see them gather like the Saxons of old upon the green at evening to sing and dance. I see cities rising near them with schools, and churches, and concert halls and theaters. I see a day when the farmer will no longer be a drudge and his wife a bond slave, but happy men and women who will go singing to their pleasant tasks upon their fruitful farms. When the boys and girls will not go west nor to the city; when life will be worth living. In that day the moon will be brighter and the stars more glad, and pleasure and poetry and love of life come back to the man who tills the soil.
Hamlin Garland dedicated Jason Edwards, written in 1891, to the Farmers Alliance. It was the Farmers Alliance that was the core of the great movement of the 1880s and 1890s later known as the Populist Movement.
Between 1860 and 1910, the U.S. army, wiping out the Indian villages on the Great Plains, paved the way for the railroads to move in and take the best land. Then the farmers came for what was left. From 1860 to 1900 the population of the United States grew from 31 million to 75 million; now 20 million people lived west of the Mississippi, and the number of farms grew from 2 million to 6 million. With the crowded cities of the East needing food, the internal market for food was more than doubled; 82 percent of the farm produce was sold inside the United States.
Farming became mechanized-steel plows, mowing machines, reapers, harvesters, improved cotton gins for pulling the fibers away from the seed, and, by the turn of the century, giant combines that cut the grain, threshed it, and put it in bags. In 1830 a bushel of wheat had taken three hours to produce. By 1900, it took ten minutes. Specialization developed by region: cotton and tobacco in the South, wheat and corn in the Midwest.
Land cost money, and machines cost money-so farmers had to borrow, hoping that the prices of their harvests would stay high, so they could pay the bank for the loan, the railroad for transportation, the grain merchant for handling their grain, the storage elevator for storing it. But they found the prices for their produce going down, and the prices of transportation and loans going up, because the individual farmer could not control the price of his grain, while the monopolist railroad and the monopolist banker could charge what they liked.
William Faulkner, in his novel The Hamlet, described the man on whom southern farmers depended:
He was the largest landholder… in one county, and Justice of the Peace in the next, and election commissioner in both… He was a farmer, a usurer, a veterinarian… He owned most of the good land in the county and held mortgages on most of the rest. He owned the store and the cotton gin and the combined grist mill and blacksmith shop…
The farmers who could not pay saw their homes and land taken away. They became tenants. By 1880, 25 percent of all farms were rented by tenants, and the number kept rising. Many did not even have money to rent and became farm laborers; by 1900 there were 4 1/2 million farm laborers in the country. It was the fate that awaited every farmer who couldn't pay his debts.
Could the squeezed and desperate farmer turn to the government for help? Lawrence Goodwyn, in his study of the Populist movement (The Democratic Promise), says that after the Civil War both parties now were controlled by capitalists. They were divided along North-South lines, still hung over with the animosities of the Civil War. This made it very hard to create a party of reform cutting across both parties to unite working people South and North-to say nothing of black and white, foreign-born and native-born.
The government played its part in helping the bankers and hurting the farmers; it kept the amount of money-based on the gold supply- steady, while the population rose, so there was less and less money in circulation. The farmer had to pay off his debts in dollars that were harder to get. The bankers, getting the loans back, were getting dollars worth more than when they loaned them out-a kind of interest on top of interest. That is why so much of the talk of farmers' movements in those days had to do with putting more money in circulation-by printing greenbacks (paper money for which there was no gold in the treasury) or by making silver a basis for issuing money.
It was in Texas that the Farmers Alliance movement began. It was in the South that the crop-lien system was most brutal. By this system the farmer would get the things he needed from the merchant: the use of the cotton gin at harvest time, whatever supplies were necessary. He didn't have money to pay, so the merchant would get a lien-a mortgage on his crop-on which the farmer might pay 25 percent interest. Goodwyn says "the crop lien system became for millions of Southerners, white and black, little more than a modified form of slavery." The man with the ledger became to the farmer "the furnishing man," to black farmers simply "the Man." The farmer would owe more money every year until finally his farm was taken away and he became a tenant.
Goodwyn gives two personal histories to illustrate this. A white farmer in South Carolina, between 1887 and 1895, bought goods and services from the furnishing merchant for $2,681.02 but was able to pay only $687.31, and finally he had to give his land to the merchant. A black farmer named Matt Brown, in Black Hawk, Mississippi, between 1884 and 1901, bought his supplies from the Jones store, kept falling further and further behind, and in 1905 the last entry in the merchant's ledger is for a coffin and burial supplies.
How many rebellions took place against this system we don't know. In Delhi, Louisiana, in 1889, a gathering of small farmers rode into town and demolished the stores of merchants "to cancel their indebtedness," they said.
In the height of the 1877 Depression, a group of white farmers gathered together on a farm in Texas and formed the first "Farmers Alliance." In a few years, it was across the state. By 1882, there were 120 suballiances in twelve counties. By 1886, 100,000 farmers had joined in two thousand suballiances. They began to offer alternatives to the old system: join the Alliance and form cooperatives; buy things together and get lower prices. They began putting their cotton together and selling it cooperatively-they called it "bulking."