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Second Bank Creation
We bring back another bank to help the national economy. -
Panic of 1819
A panic, but not as bad as the one in 1837. Many people blamed the bank for this panic. -
Bank Recharter Bill
The charter for the National Bank was up for renewal. Jackson, who had always been against the National Bank, vetoed the renewal. The debate helped for the platforms for the next election by bringing up the constitutionality of the bank. -
Election of 1832
Andrew Jackson ran against Henry Clay. Jackson was against the renewal of the Bank, while Clay supported it. Jackson won with a huge majority. -
Removal of Federal Deposits
Jackson began taking almost all the money from national reserves and putting it in state 'pet' banks. He believed that removing it's money would cause it to crash faster, which was true. The bank collapsed so fast that it led the country into an economic crisis. -
Speculative Boom
People thought that they were becoming richer because federal money was moving closer to home. Overspending and abuse of money helped lead to the economic crash of 1837. -
Political Party Split
Because of the bank veto, a new party called the Whigs was created. They are formed out of national republicans (Jefferson supporters) and Jacksonian Democrats who left his political party. -
Specie Circular
This was an act by Jackson but carried out by Van Buren. This required that land be purchased with silver and gold, which led to a decline in paper money value. -
Panic of 1837
Inflation, the fall of the national bank, and overspending led to a period of deep economic recession. Prices of American goods fell, businesses went bankrupt, and state banks began to collapse without strong national support. -
Election of 1840
Van Buren runs for office again, but runs against William Henry Harrison (Whig candidate). This is the first time we see a new political party in office.