|Type of paper:||Essay|
|Categories:||Politics Banking Andrew Jackson American history|
Andrew Jackson was the seventh American president who ruled from 4th March 1829 to 4th March 1837. During his presidency, one of the most significant events was the bank war extension which was a political struggle that was developed over the re-chartering concerning the United States' second bank. The war of the bank was a personal and bitter misunderstanding between Jackson and his rivals. He was determined to tear down the national bank but the government money deposits into his "pet banks" led to a season, which dried up the nation's credit card and ultimately resulted in the 1837 panic. The paper, therefore, is premised on a discussion regarding Andrew Jackson and the bank war.
The 1812 war assisted in nurturing the exuberant nationalism sense in the nation because the country was in a time of economic and confidence. Henry Clay initiated an excellent three-part commercial plan referred to as the System of America to meet the needs of the increasing country. The depicted United States System was created to witness American trade to become successful. As time progressed, money was always available for various industrialists to construct eastern factories, purchase land and begin their western farms. Additionally, the transport was to be constructed to allow people to migrate to the West freely. The primary aim of creating the depicted financial procedure was to establish the second American bank to improve their lives by providing easy credit to them.
The creation of the second national bank was successful, and 20% of its shares were possessed by the American government while the rest were owned by private investors. The action made the corporation to stay under private ownership. As time progressed, on 10th April 1816, President Madison signed a second bank charter into law for 20 years. However, in less than three years, and economic catastrophe known as the 1819 fear hit the country. The 1819 fear was a section of a global economic crisis, but most challenges experienced in America were due to the second American bank. Moreover, the bank charter established by Congress as a section of the financial plans of Alexander Hamilton was invalid in 1811.
After four years, the United States' second bank was granted another charter by the same congress. With the headquarters located in Philadelphia, the national bank was established to make the state's economy stable. Additionally, by requesting other corporations to pay their arrears in gold promptly, the second bank intended to curb the corporations from issuing numerous paper banknotes which would suddenly drop in value. Also, the bank was supposed to reap more mature profits for its private businessmen such as the merchant of New York, Astor Jacob John and the banker of Philadelphia, Stephen Girard. Many Republicans supported the actions of the newly enacted bank, but some never forgot their Jeffersonian doubt that the depicted powerful institution might be toxic to the public. Among the depicted skeptics was Andrew Jackson, who often accused the national bank of the 1819 panic together with his supporters. The action was a critical economic depression in the nation.
The crisis had been worsened by the second bank, first by irresponsibly lending money and after the panic occurred, hoarding the currency of gold to be saved at smaller banks' expense as well as their clients. The supporters of Jackson also believed that the national bank had bribed many government officials and politicians by offering them many financial favors.
In 1829, Jackson was still in office, and he concentrated on Nicholas Biddle, who was the bank's director as well as the bank. Jackson was persistent to the actions of the bank as the director and supporters of the bank strived to rescue it. A Frenchman who visited the nation during that time observed that a deadly war against the bank had been declared by President Andrew Jackson, charging it in similar thrust-and-cut style, which he had at one point used to fight the British and Indians.
According to Jackson, the scuffle was his challenge or crisis where he would say that the bank was attempting to kill him, but he would kill it instead. As time progressed, the charter of the bank was never due to be renewed after several years. However, in 1832, when Jackson ran for the presidency for the second time, early voting was held by Congress to reauthorize the United States bank. Jackson then vetoed the bill.
In Jackson's message during the veto, he referred the bank as dangerous and unconstitutional to the people's liberties. He depicted that the charter never did adequate actions to cover the national bank from its stockholder in Britain, who never considered the interest of Americans. Additionally, Jackson showcased that the bank was a virtual agency of the government, but it grasped authorities that were never granted in the law.
To worsen the situation, the national bank was a manner in which well-connected individuals would become more productive at the expense of every citizen. He declared that the powerful and wealthy bent the government acts for their selfish reasons. He believed that only a limited government that was strict would treat all citizens equally. Although the renewal of the bank's charter was never going to take place, the bank would still function for a few years. However, in 1833, to reduce the power of the bank, Jackson directed and commanded his cabinet to stop sending government funds in the bank and opt for another bank. He declared that the state would instead conduct its business with some chosen banks of the country. Critics referred to them as the pet banks of Jackson.
A fierce controversy was set off by the bank veto of President Jackson. During that period, Philadelphia opponents were forced to hold a meeting. They then agreed that the ideas of the president were dangerous and unfavorable to the private properties. They depicted that Jackson wanted to place all honest and right earnings of all patriotic and industrious citizens at the waste disposal. In short, he wanted to be a dictator after redistributing wealth to the lazy citizens or trying to set the rich and the poor to be against each other to rule the nation as a tyrant in the military. However, his supporters still praised him. Jackson hid an aristocracy from ordering the citizens. By allowing Jackson to suppress the powerful and the rich, the war of the bank granted his support a particular democratic thought to the campaign.
The national bank's opposition then defined the beliefs of many citizens. Nonetheless, by allowing Jackson to apply reliable power against Congress dramatically, the war of the bank assisted Jackson's political enemies in organizing dangerous acts against him. The campaign of Biddle then seemed to have less impact as detractors or supporters of Jackson believed. The Bank War later became a severe debate matter among the public, in the press, and the Congress. Businessmen's deputations descended in Washington, filing complaints regarding the unfavorable business conditions, thus seeking an end to the bank war.
The spokesperson of the administration then argued that the capacity of the Biddle in disrupting the economy of the nation only highlighted and focused on the dangers of the central bank. At first, the Republicans had accepted the 1819 panic that it was solely caused by bank funds withdrawal. However, as the fear deepened, the nation was more polarized. It was in that time (1834) that the same Republicans assumed the "Whigs" name. The name, since the English party of the 17th century against an all-powerful ruler, and for being granted the highest parliament authority.
Jackson was then labeled "King Andrew I" which further drew other political cartoons to depict him as a king with a "Veto" labeled scepter. However, before the end of 1834, many former bank friends were disgusted at the conduct of Jackson where even the Pennsylvania governor aided economically because it was by the Philadelphia bank, denounced the national bank. Jackson stuck to his idea of using pet banks for the federal deposits, which even after the businessmen pleaded, were never returned to the second bank. The charter of the bank then expired in 1836, making Andrew Jackson win the war.
The actions of Andrew Jackson were a good idea, as he considered the welfare of all industrious citizens. The main aim of the Second Bank of the United States was to make the well-connected people more vibrant at the expense of the other citizens, which Jackson opposed. Moreover, Jackson had supporters who referred to themselves as Democrats as they were always pleased with his actions. He was the president of the ordinary people who made many private corporations and business people who invested in the national bank to go at a loss. His actions of withdrawing the federal deposits in the Second Bank of the United States and opting for pet banks made the selfish bank director and greedy politicians incur losses and abide by his rules. Thus, one might depict Jackson as a good elected leader, who is determined to see the well-being of citizens, as well as equal distribution of federal funds for people who deserve it.
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