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1832 Bank Recharter Bill
The Bank Recharter Bill of 1832 was a bill designed to renew the charter of the Second Bank of the United States. Although Congress passed the bill, Andrew Jackson vetoed it a week later. -
Jackson's Veto of National Bank
Because Jackson was an advocate for the common people and was known for his short temper, when the national bank was rechartered it did not go over well. From this Jackson argued that one is was unconstitutional because it favored the Northern people and put the Southerners between a rock and a hard place financially as well as it being almost monopolistic in a sense The market power increased the bank’s profits and thus its stock price benefiting the industrial businessmen. -
Election of 1832
This election was between Andrew Jackson and Henry Clay. Both from opposite viewpoints. Jackson was able to knock the election out of the park because of his veto of the national bank. This really made the North and South happy because of his diversity. He was a lawman and a boy of the country appealing to the North and South. While Clay was a believer in the American system which was looked negatively upon. Jackson had won the electoral vote and popular vote making him the president in 1832. -
Jackson Removes Federal Deposits
Jackson's plan was to chip away the Nation bank slowly. Attorney General Taney wrote to Jackson and one hundred percent agreed with Jackson's idea. The escalation of the war was underlined by several motives on Jackson's part. First Jackson changed the status of the bank as it would no longer be associated with the government. The he cut off the funds of the bank to weaken it and make it impossible for it to be reestablished. The government would shift from national banking to deposit banking. -
Biddle response
Biddle in the last ditch efforts called in his bank loans hoping to illustrate the banks importance by producing a small financial crisis. A number of wobblier banks were destroyed because of it but Jackson's resolution was firm and Biddle got what was coming to him. Biddle crisis damage the Ohio economy as well, and about 10 percent of the American population was out of a job. -
Jackson's Pet Banks
The PET banks that Jackson created were to ultimately limit the power of the National Bank and to do that the PET banks were located in the states.They were known as the state banks selected to receive large deposits of government money. President Jackson notified everyone that the money should be used to pay the government's expenses, and that all future deposits were to made into certain state banks.The banks were controlled by Jackson's political friends. -
Specie Circular
This was a United States presidential executive order issued by President Andrew Jackson to the Coinage Act and carried out by his successor, President Martin Van Buren. It required payment for government land to be in gold and silver. This was in an effort to slow down excessive land purchasing and to destroy the large amount of paper money that was being printed. -
Speculative Boom
This was an increase in National profit and the uprising of goods due the the elimination of the national bank. This would take a turn for the worst in the Crisis of 1837. -
Crash of 1837
The panic of 1837 was a product of the financial weakness of the time.It's cause was the get-rich-quick ideal and gamblers in the West were doing business on borrowed capital that government did not have. Failures of Wheat Crops and grain prices sky rocketing were the main causes. There was the shaky currency that the Government could not support and America was just printing paper money that had no value putting the country into great debt.
