Mr. Montague stays at the Wilder boarding house while he is at Walnut Grove researching for a book that he is writing. Matthew Roger has a hard decision to make when his biological father shows up. Matthew decides to leave Mr. Edwards and go with his father. Mr. Edwards moves into the boarding house so he wouldn't be lonely anymore.
Laura gives birth to a baby boy. The baby is fine and healthy for a while. Then for no apparent reason the baby dies. To ease her mind of the death, she blames Doc Baker for what happened to her baby. Doc's reputation declines so much that he must leave town to find work. Just before Doc Baker leaves, Rose comes down with small pox. Doc must stay quarantined with the Wilders for two weeks. Watching the Doc save Rose's life causes Laura to rethink her attitude about Doc Baker. Laura and the rest of the town convince him to stay on.
When Albert continually breaks the law, Charles takes him out of the big city and back to Walnut Grove. Albert doesn't change in Walnut Grove because he is addicted to morphine. Charles finally forces Albert to stop using morphine. He stays with Albert while he goes through withdrawal. Thanks to Charles, Albert is no longer addicted to morphine. We find out at the end of the show that Albert will become Dr. Albert Ingalls.
When Albert continually breaks the law, Charles takes him out of the big city and back to Walnut Grove. Albert doesn't change in Walnut Grove because he is addicted to morphine. Charles finally forces Albert to stop using morphine. He stays with Albert while he goes through withdrawal. Thanks to Charles, Albert is no longer addicted to morphine. We find out at the end of the show that Albert will become Dr. Albert Ingalls.
When Mrs. Carter's mother dies, Sarah Carter's father comes to town. He tries to get the Carters to come with home back to New York. He wants the Carters to have a better life. The Carters tell him that home sweet home is in Walnut Grove. After a while, Sarah's father begins to understand while the Carters feel this way.
A minister that is passing through Walnut Grove arouses the suspicions of Reverend Alden and Mr. Edwards. Reverend Alden believes that he will lose his congregation to the other reverend. Mr. Edwards notices that this minister spends a lot of time with Mrs. Carter and Laura, which causes him to suspect the worse.
Laura's childhood friend, Jane Canfield, comes back to Walnut Grove. Although she is blind, she falls in love with Mr. Edwards, a person who was old enough to be her father. Jane then undergoes an operation which allows her to see again. After a lot of soul searching, Mr. Edwards tells Jane that she should go out and find herself a better life. At the end of the show, we see Mr. Edwards in the distance watching Jane leave on the stagecoach.
The people of Walnut Grove are at first excited when the railroad wants to build through the town. This excitement doesn't last long. The railroad tells several people that they must leave their houses. The people make a stand at the Carter's place. This delay in building convinces the railroad to find a different route.
A tiny circus performer, Lou, decides to look for work in Walnut Grove after his wife dies while giving birth to his baby girl. A prejudice Mrs. Oleson uses her power to make sure that the dwarf doesn't find work. She even threatens Mr. Anderson that she would close her account at the bank if he hired Lou. To keep the infant alive, the dwarf must steal food. Mrs. Oleson decides to press charges when she finds out who stole the food. When Nancy falls in a well, Lou risks his life to save the girl. That's when Mrs. Oleson decides that being small has its advantages and decides to drop all charges.
Royal has a very bad heart and asks Laura and Almanzo to take care of his daughter since he was going to die soon. Jenny is devastated by her father's death. After talking to Reverend Alden about heaven, she tries to commit suicide by drowning so that she could be with her father again. Jeb Carter is able to save Jenny although he can't swim. Laura convinces Jenny that she should do what would make her parents proud.
The Ingalls are forced to sell their house to the Carters and leave Walnut Grove to find a more promising life. Mrs. Carter begins printing a newspaper for Walnut Grove. Etta Plum becomes the teacher in Walnut Grove when Laura decides she wants to spend more time with Rose. Almanzo's brother, Royal, comes to Walnut Grove with his daughter, Jenny.