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Charter of the 2nd Bank in 1816
Congress chartered the Second Bank to stabilize the economy and manage war debt after the War of 1812. -
Panic of 1819
A financial crisis caused by a post-war economic downturn, falling agricultural prices, and overextension of credit by the Second Bank led to widespread bank failures. -
McCulloch v. Maryland
The Supreme Court upheld the constitutionality of the Bank, ruling that the state of Maryland could not tax the national bank, affirming federal authority. -
Nicholas Biddle becomes President of the Second Bank
Biddle took charge and worked to stabilize the Bank, making it a dominant institution in U.S. finance. -
Andrew Jackson elected President
Jackson, a strong opponent of the Bank, was elected and promptly began his campaign to dismantle it.. -
Veto of Recharter Bill (1832)
Congress passed a bill to renew the Bank's charter, but Jackson vetoed it, claiming the Bank was unconstitutional and a threat to democracy. -
Election of 1832: Jackson wins re-election
Jackson won re-election, using his opposition to the Bank as a central theme of his campaign. -
Removal of Federal Deposits (1833)
Jackson directed Treasury Secretary Roger Taney to withdraw government funds from the Bank, placing them in state-run "pet banks." -
Senate censures Jackson
The Senate formally censured Jackson for removing federal deposits without Congressional approval, the peak moment in the political conflict over the Bank. -
Specie Circular of (1836)
Jackson issued the Specie Circular, requiring payment for public lands in gold or silver, contributing to the Panic of 1837. -
Panic of 1837
A financial collapse triggered by speculative investments, declining cotton prices, and unstable banking policies, was partially linked to Jackson’s destruction of the Bank. -
Election of 1840: William Henry Harrison elected President
Harrison, a Whig, defeated Martin Van Buren, as voters blamed Van Buren and Jacksonian policies for the economic turmoil following the Panic of 1837. (The Whig Party was a political party formed in 1834 by opponents of President Andrew Jackson and his Jacksonian Democrats.)