About 10,000,000 acres of the public land were given to soldiers
who fought in the Revolution and in the War of 1812 in recognition
of then-service to their country. About 60,000,000 acres were
later given to veterans of the Mexican War.

Until the year 1800 the plan in use for the disposition of the
public lands was to sell large areas to colonizing companies, with
the expectation that these companies would find settlers to whom
they would sell the land in small quantities at a profit. This was
not successful, as actual settlers found it difficult to get land
they wanted at prices they could afford.

From 1800 to 1820 lands were sold in small areas ON CREDIT. Many
bought more than they were able to pay for, and much land so
disposed of had to be taken back by the government.

In 1820 a third plan was adopted: That of selling land for cash in
any quantity to any purchaser. This led to speculation,
individuals and companies of individuals buying recklessly,
without intention of actual settlement, but with the purpose of
selling again at a profit. This brought on a financial panic in
1837.

Then followed the "PREEMPTION" plan, by which actual settlers
could "preempt" land (get the first right to it) by merely taking
possession and paying a cash price of $1.25 an acre.

The Homestead Act of 1862 was an extension of the preemption plan;
but instead of paying a cash price, the settler could acquire the