The purchase added 586,412 square miles (1,518,800 km2) of new territory to the United States for the cost of $7.2 million ( 2 cents per acre). In modern terms, the cost was equivalent to $132 million in 2019 dollars or $0.37 per acre.
Though mocked by some at the time, the 1867 purchase of Alaska came to be regarded as a masterful deal . The treaty enlarged the United States by 586,000 square miles, an area more than twice the size of Texas, all for the bargain price of around two cents an acre.
The purchase of Alaska was called Seward’s Folly because it was considered to have been a mistake. The U.S. Secretary of State at the time, William H. Seward , arranged the deal for the United States to purchase Alaska from Russia. The discovery of gold in Alaska was the first sign of its actual value.
Today, Alaska is, of course, worth much more than that. The state encompasses 586,412 square miles or more than 375 million acres. 2 Even at a cost of just $100 per acre, that would equate to more than $37 billion .
There are two main reasons. First, Canada wasn’t its own country in 1867. Second, Great Britain controlled the Canadian colonies. Russia did not want to sell Alaska to its rival.
In the end, the Soviet Union would become the rightful winners of the Russian Civil War and Alaska would be recognized as an independent country. The fall of the Soviet Union would be celebrated in Alaska , but there would not be any reunification; the United States would not tolerate Alaska being reannexed by Russia .
If Russia had not sold Alaska to US in 1867 would Alaska today still be under Russian rule? If Russia hadn’t sold Alaska to the US in 1867 It would have passed into American hands in 1906 or 1907.
1867: Alaska territory purchased from Russia for $7 million. 1898: Hawaii annexed as a United States territory. 1959: Alaska and Hawaii admitted, respectively, as the 49th and 50th states of the Union.
Interesting Facts. Russia controlled most of the area that is now Alaska from the late 1700s until 1867, when it was purchased by U.S. Secretary of State William Seward for $7.2 million, or about two cents an acre.
The purchase of Alaska in 1867 marked the end of Russian efforts to expand trade and settlements to the Pacific coast of North America , and became an important step in the United States rise as a great power in the Asia-Pacific region.
Some historians regard the transaction as a short-sighted blunder by Czar Alexander II, giving up Alaska’s rich natural resources, particularly its oil and gas, for $7.2 million – about $125 million (£100 million) in today’s money.
Russia did not sell Alaska to the United States in 1867. The Russia government only leased the region to the U.S. for an indefinite span of time. Now there are many in Russia who think the span has run its course, and they want Alaska back . It is a favorite theme of extreme Russian nationalists.
Cost of Living in Anchorage
|Coke/Pepsi (12 oz small bottle)||2.30$|
|Water (12 oz small bottle)||1.92$|
|Milk (regular), (1 gallon )||3.87$|
The U.S. purchased Alaska from Russia in 1867. In the 1890s, gold rushes in Alaska and the nearby Yukon Territory brought thousands of miners and settlers to Alaska .
Alaska currently produces more gold (in 2015: 873,984 troy oz from hard rock mines, and 74,360 troy oz (five-year average) from placer deposits) than any state except Nevada. In 2015, gold worth $1.01 billion accounted for 37% of the mining wealth produced in Alaska.