AND THE WHIG COALITION 345 



acquired an imaginary value, without much reference 

 to its real relations to the development of the country, 

 which, of course, time alone could disclose. The valu- 

 ation of real estate in Mobile in 1831 was little more 

 than a million dollars ; in 1837 it was more than 27 

 millions; in 1846 it had shrunk to less than 9 millions. 

 Assuming that the increase from a million in 1831 to 

 nearly 9 millions in 1846 represents real growth, we 

 may regard the greater part of the intervening figure of 

 27 millions as representing the heated fancies of men 

 in the Atlantic states and in Europe anxious to invest 

 their money where it could make them suddenly rich. 

 The extent of the mania in Europe was indicated by 

 the striking fact that although between 1830 and 1837 

 we bought from foreign countries $140,000,000 worth 

 of merchandise in excess of what we sold to them, we 

 received from them at the same time $45,000,000 in 

 specie in excess of what we paid to them. The ac- 

 count was balanced by the shares taken by European 

 capitalists in American enterprises. 



This rage for speculation led to immense purchases 

 of Western public lands. At that time any one who 

 chose could buy these lands at the fixed price of $1.25 

 per acre, whether he intended to settle upon them or 

 not. Speculators began buying extensive tracts in 

 order to sell them at a greatly advanced price. Be- 

 tween 1820 and 1829 the annual sales of public lands 

 by the United States government averaged about 

 $1,300,000. Between 1830 and 1834 they averaged 

 from 3 to 5 millions. In 1835 they leaped up to 15 

 millions, and in 1836 to 25 millions. The money 

 spent in buying these remote unimproved lands, and 

 in taking stock in railroads projected for reaching 



