The Bank War Adam Levitt Sam Harel

Before the Bank War… Jackson disliked large businesses Disliked the Bank of the United States (“moneyed monster”) Most powerful bank in America Paper notes were stable, unlike notes issued by private banks Made the B.U.S. an important part of America’s economy The B.U.S. was a private establishment (consisted of elite investors) Nicholas Biddle- president of the B.U.S. Many people thought he had an unconstitutional amount of power over America’s economy Some thought that the bank went against the idea of American democracy Westerners were against the B.U.S. Why? The bank foreclosed on western farms, made the East wealthier

Why General J never know’d you was a doctor before Oh! Dear Nick! I am dreadful sick!

Bank War 1832 Henry Clay and Daniel Webster presented Congress with a bill to renew the US Banks charter Clay wanted to make it an election issue in 1832 even though the charter expired in 1836 Clay was Jackson’s main opponent, thought the bank would help him win If Jackson signed it, he would hurt his western support If he vetoed, his would lose the support of wealthy and influential in the east

Clay’s failure Jackson vetoed the bill Wealthy and influential in east were in a minority and feared Jackson anyways Declared bank unconstitutional Went against supreme court case McCulloch vs. Madison Jackson viewed executive branch as more powerful or important than the judicial

Consequences Amplified power of the presidency Reasons based on opinion and not on constitutionality Claiming president has the power equivalent of 2/3 majority in Congress President was senior partner in executive and legislative partnership