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One of the most important changes stimulating the national
economy and contributing to the sudden surge in immigration was the growing
attractiveness of Western Canadian farm lands. Even after the completion of
the CPR in 1885, few homesteaders had been attracted to Manitoba and the Northwest
Territories.
But, by 1896, the closing of the American frontier began
diverting settlers northward. Newcomers to the American west and farmers already
there faced higher land prices and more frequently had to mortgage property
to pay for improvements. The end of the 1880s Dakota Boom, the last great
American land rush, closed off homestead opportunities. Land in North Dakota
rose four times in value between 1890 and 1920; by the latter date, more than
one-half of the farms in the state were mortgaged. When, in 1900, Dakota land
could be priced as high as $50 an acre, historian Randy Widdis points out
that Saskatchewan land still sold as low as $2.00 per acre.
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