Jacksonian Democracy: Part 2 I. South Carolina & the Threat to Secede (1830) 1. Congress passed Protective Tariff 1. Congress passed Protective Tariff a. Encourage Americans to buy a. Encourage Americans to buy U.S. Products manufactured U.S. Products manufactured in the Northeast in the Northeast b. Southern States opposed b. Southern States opposed -”Tariff benefits only the Northeast…” -”Tariff benefits only the Northeast…” c. VP John C. Calhoun c. VP John C. Calhoun -”States have a right to nullify or -”States have a right to nullify or ignore laws they see as unfair…” ignore laws they see as unfair…” -”Unsatisfied States can secede or -”Unsatisfied States can secede or withdraw from the U.S.A.” withdraw from the U.S.A.” d. Andrew Jackson: d. Andrew Jackson: -”The Union will be preserved -”The Union will be preserved at all cost…” at all cost…” e. Calhoun Resigned as VP e. Calhoun Resigned as VP

II. Jackson’s War Against the National Bank 1. Distrust of big Banks a. “Unfair & undemocratic…” a. “Unfair & undemocratic…” -southern & western $ -southern & western $ stored in northern Banks stored in northern Banks b. Many of Jackson’s political b. Many of Jackson’s political opponents were bankers opponents were bankers 2. Vetoed all Bank Charters 3. Removed all Federal funds a. placed them in small a. placed them in small State Banks State Banks *What do you think might happen if the U.S. had no National Bank, no standard American currency, & each State had it’s own type of currency?

III. The Panic of President Jackson Killed the National Bank a. National currency unpopular a. National currency unpopular b. States issue “wildcat currency” b. States issue “wildcat currency” -paper money with no real value -paper money with no real value c. Only gold and Silver had real value c. Only gold and Silver had real value -nobody had gold or silver -nobody had gold or silver d. Economic depression d. Economic depression e. No job, no money, no future? e. No job, no money, no future? -”go west young man…” -”go west young man…”