When Mark Twain said, “Buy land, they are not making it anymore.” he was referring to a truth that was known to many, that land is the most valuable resource in the new world (qtd in Myers). However, even he had no idea how valuable it would become. In 2018, the price to buy an average acre of land in Minnesota was just under $7,000 (“Navigation”). In the early 1850s, as European settlers moved west they quickly bought up the land for an affordable $1.25 an acre (“Postcolonial Psychology”). While many were happy with the new opportunity given by this land, there was little thought about the treaties that acquired it. The treaties created lasting effects that persist to this day. The treaties and other policies issued by the federal government are the primary causes of the high poverty levels on reservations and in the Native American community. We will look at how poverty on reservations is too plentiful to be a coincidence, and that is an effect of the treaties that put Native Americans at an immediate economic disadvantage and started the poverty cycle.

While poverty is a worldwide problem that affects people of all races, cultures, and nationalities, the amount of Native Americans affected is so disproportionately high that there is no way it is a coincidence. For example, the state poverty rate is 11%, however, among Native Americans, it is over three times higher, 36% (“Navigation”). Other indicators besides the poverty rate, such as lack of health insurance, support the theory that Native Americans suffer from a disproportionately high poverty rate. Counties that contain reservations, such as Beltrami and Cass counties both have over 10% of residents with no form of health insurance (“Navigation”). This is over twice the state average of 4%. In addition, 23% of Native Americans statewide have no health insurance, which again is well above the state average of 4% (“Navigation”). These statistics undeniably prove there has to be a reason for all of this poverty.

These frighteningly high poverty levels did not just happen; they were caused by a variety of factors, but none affected it as much as the treaties forced upon them by the federal government. One example of these treaties is the treaty of Traverse des Sioux, which was signed in 1851 as printed on page 781 of Charles Kappler’s book, Laws and Treaties: Indian Affairs. This treaty sold over 24,000,000 acres of land for only 7 cents an acre, which was then resold to settlers at upwards of $1.25 an acre (Kappler 782). Even though the government was supposed to pay a sum of $1,665,500, only an estimated 60% of that money ever reached the tribes (Myers). The rest of it went to companies that had previously done business with the Dakota, to pay debts for goods purchased (Myers). These enormous swaths of land were the only major assets owned by the tribe and since they were sold so cheaply, it put the tribes at an immediate economic disadvantage compared to the settlers.

This initial disadvantage led to even more problems. It began what is known as the poverty cycle. This is an economic phenomenon that occurs in every community around the world, and reservations are no exception (Myers). What happens is when a child is born into poverty, they often have a less stable home and family life than other children born into more advantageous situations. This leads to less of a focus on education and a career, instead children are often forced to work at a young age to provide for either themselves or their family (Garland). This can often lead to illegal activities such as selling drugs, which can eventually lead to addiction, jail time, and broken families (Garland). This cycle continues and makes it more and more difficult for each generation to escape.

One common misconception that surrounds the idea of native Americans in poverty is that they make a lot of money from casinos. This is explained well by the professor of indigenous studies at the University of Massachusetts Dwanna L. Robertson when she says, “Indian gaming is a very political issue that is terribly misunderstood outside of Indian country, and I dare say, not well understood within it.” The common misconception is that every tribe has a casino which is providing money for the whole tribe, when in fact 58% of tribes have no gaming operation at all (Robertson). Even among the 42% that do have some sort of gaming, many of those consist of just a trailer that has bingo in it (Robertson). Very few tribes actually have a casino like the ones often pictured when the topic is brought up. Even further among these few large casinos that exist, most of the profits go towards projects such as improving infrastructure, working on social programs, and education on the reservation (Robertson). There are very few situations where casino money is going directly into the tribe members pockets.

Poverty is a real issue that many families and individuals face every day. As I explained earlier in the paper, Native Americans in Minnesota face this issue more than any other demographic. This is illustrated best with the comparison between Native American poverty rates in Minnesota, 36%, and the rest of the state’s, 11% (“Navigation”). This in a large part is an effect of treaties signed over 150 years ago that ceded land, that would one day be worth upwards of $7,000 an acre, for just a couple cents an acre. After signing these treaties, the tribes unknowingly began the poverty cycle that is so difficult to escape. Just as Mark Twain predicted in 1871, land has continued to be the best financial asset a person could ask for. The tribe’s loss of all this land made it hard to succeed economically in the changing United States (Garland). These treaties show that we must be careful with our actions as any small thing could have lasting effects that persist for years.

Works Cited

Duran, Eduardo, and Bonnie Duran. Native American Postcolonial Psychology. State University of New York Press, 1995.

Garland, David. Mass Imprisonment: Social Causes and Consequences. SAGE, 2001.

Kappler, Charles J. Laws and Treaties: Indian Affairs. U.S. Government Printing Office, 1904.

Myers, Samuel L., et al. “The Effect of School Poverty on Racial Gaps in Test Scores: The Case of the Minnesota Basic Standards Tests.” The Journal of Negro Education, vol. 73, no. 1, 2004, p. 81., doi:10.2307/3211261.

“Navigation.” Poverty: Basic Facts and Figures: MNPH Data Access - MN Dept. of Health - MN Data, data.web.health.state.mn.us/poverty_basic.

Robertson, Dwanna L. “The Myth of Indian Casino Riches.” IndianCountryToday.com, Indian Country Today, 19 Apr. 2017, newsmaven.io/indiancountrytoday/archive/the-myth-of-indian-casino-riches-3H8eP-wHX0Wz0H4WnQjwjA.