1. 7.2 Nationalism: Prosperity and Change

2. “Era of Good Feelings” Monroe’s Presidency: Virginia Dynasty
Secretary of State Presidency
Geographic and economic expansion
Revival of nationalism

3. The American System
Sponsored by Henry Clay (KY) and John C. Calhoun (SC)
The program included:
A protective tariff
Internal improvements
Second National Bank

4. The Missouri Compromise

5. The Missouri Compromise
Proposed by Henry Clay (1820)
1) Maine separates from Massachusetts & is admitted into the union as a free state
2) Missouri enters the union as a slave state
3) Any future state emerging from the Louisiana Territory north of the line would be free.
*Tallmadge Amendment: Gradual emancipation (ban on importing slaves / all slaves freed on 25th birthday)

6. McCulloch v. Maryland
Case: In 1816 as a part of a political fight to limit the powers of the federal government, Maryland placed a tax on all notes issued by banks that did business in the state, but were chartered outside of the state. The target was the Second Bank of the United States. In a test case, the bank’s cashier, James McCulloch, refused to pay the tax. Maryland won in state court, McCulloch appealed.

7. McCulloch v. Maryland
Decision: In upholding the constitutionality of the Second Bank of the United States, the Court cited the “necessary and proper clause.” The Court ruled that the Bank was necessary to fulfill the government’s duties to tax, borrow and coin money.
Significance: The Court’s opinion broadened the powers of the Congress to include implied powers in addition to the enumerated powers.

8. Gibbons v. Ogden
Case: The case revolved around the Commerce Clause, Article 1, Section 8, Clause 3, of the Constitution. The state of new York had awarded Aaron Ogden an exclusive permit to carry passengers by steamboat between new York City and New Jersey. The federal government had issued a coasting license to Thomas Gibbons for the same route. Ogden sued Gibbons and won in New York Court. Gibbons appealed to the Supreme Court.

9. Gibbons v. Ogden
Decision: The Supreme Court ruled in Gibbons’ favor that a state cannot interfere with Congress’s power to regulate interstate commerce. It took a broad view of the term commerce.
Significance: Marshall, dealing a death blow to states’ rights advocates established the superiority of federal authority over states’ rights under the Constitution.

10. America’s Boundaries Rush-Baggot Agreement (1818): Adams-Onis (1819):
No British Warships on the Great Lakes
U.S. – Canada border set at the 49th parallel*
Adams-Onis (1819):
U.S. obtains Florida / Oregon claims recognized
Monroe Doctrine (1823):
Warning to European nations to stay away from the Western Hemisphere