The Bank War - the bank president started to call in all...

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The Bank War By: Brandon Hunter His/115 10/22/2011 The cause of the Bank War was because President Jackson vetoed the Second Bank of the United States in 1832. President Jackson believed the bank constituted a m.onopoly and had to power over American financial system. The Second Bank of the United States was the only national bank at the time and also was a private institution controlled by a board of directors. President Jackson’s veto of the banks charter angered many members of the upper class and as a result, there was a motion to impeach President Jackson, but congress decided to censor him instead. President Jackson’s goal was to destroy the Second Bank of the United States and made an order for all federal funds to be removed from the bank in hopes that the bank would not be able to survive and crumble (Davidson, Gienapp, Heyrman, Lytle, & Stoff, 2006). In defense of President Jackson’s move to remove federal funds,
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Unformatted text preview: the bank president started to call in all debts that were owed which in turn created a financial crisis. By calling in loans the American public lost trust in the bank and they ended up having to close their doors. The Bank War ended up giving America a two party system. Jackson and his supporters form what would become the Democratic Republicans, and Senator Clay, who was against President Jackson, formed the Whigs which were formerly the National Republicans. The significance of the Bank War was that it changed the politics in America along with how politics were made. The two party system made it easier for citizens in rural America to be heard along with those that lived in the bustling cities. References Davidson, J., Gienapp, W., Heyrman, C., Lytle, M., & Stoff, M. (2006). Nation of Nations: A concise narrative of the American republic (4th ed.)....
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This note was uploaded on 11/05/2011 for the course HIS 115 HIS 115 taught by Professor Aulut during the Spring '10 term at University of Phoenix.

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