1. Jackson’s Administration
By Mrs. Andreatta

2. The Party!

3. Day After the Party

4. Regional Differences Start
North – Economy based on Manufacturing
Support for Tariffs = U.S. products can be sold cheaper than imported British goods.
South – Economy based on Agriculture (Farming)
Hated Tariffs = imported goods cost too much!
West – Economy emerging – Support for internal improvements and sale of public lands

5. Tariff of “Abominations”
Northern manufacturers demanded at tariff on imported wool products (goods coming INTO the U.S.)
This will help protect against foreign competition!
South – they OPPOSED the tariff because it hurt their economy. Too expensive to buy imported goods!
Congress passed high tariffs on imports before Jackson was president. South called it “Tariff of Abominations!”

6. States Rights vs. National Tariff
Northern & Southern states in conflict over tariffs – Jackson had to do something!
Can individual states disregard a law passed by Congress (a national law)?
John C. Calhoun said they could because states helped form the federal government. He called it the States Rights Doctrine!

7. John C. Calhoun – Vice President

8. Nullification Crisis
States rights vs. Federal laws = Nullification crisis.
Jackson asks Congress to pass a lower tariff rate or tax.
Jackson opposed nullification, but was worried about the Southern economy He was from South Carolina.
South Carolina passed the Nullification act. The Act declared that the 1832 tariffs were null & void.

9. Nullification Crisis Con’t
Congress finally passes a lower tariff (this makes South Carolina somewhat happy)
Jackson tells South Carolina to repeal the Nullification Act or he will send in troops!
South Carolina repeals the Act – however – they still believe in states rights!

10. Jackson vs. National Bank
THE SECOND BANK OF THE U.S.
The 2nd Bank of the United States – Founded in 1816.
Given a 20 year charter.
Bank was to act exclusively as the Federal Governments financial agent
80% of the Bank was privately owned through stockholders– but Congress & President supervised the bank.

11. Jackson Opposes the Bank
The South hated the bank – Gave too much power to the wealthy.
Jackson hated the bank – thought that it gave too much power to the federal gov’t. – The bank was “Unconstitutional!”
He also believed the states should have the power to control the banking system.
Jackson called the bank a “monster” and vowed, “I will kill it!”

12. McCullouch vs. Maryland
Maryland tried to pass a tax that would limit the banks operations
James McCulloch – Cashier of the Maryland branch – refused to pay the tax.
McCulloch vs. Maryland (Supreme Court Case)! Supreme Court declared banks Constitutional.
The bank’s president, Nicholas Biddle, pushed congress to renew the charter in 1832 – Jackson swore he would VETO the bill. HE DID!
Congress could not get 2/3 vote to override veto!

13. The Panic of 1837!
Banks funds were moved to State Banks – “Pet Banks”.
States offered easy credit terms to people buying land which led to inflation.
Jackson tried to slow inflation – only buy land with gold and silver – it didn’t work!
Panic of Led to a depression – because of Jackson!
By now, Jackson had left office and the current president, Martin Van Buren was blamed.
So in 1840, the Whig party, who favored the idea of a weak president, united and won the 1840 election with William Henry Harrison as their candidate.

14. Martin Van Buren!

15. Political Cartoons