Second Bank of the United States and Nullification Crisis

What was the job of the Second Bank of the United States?

• To provide loans to farmers only

• To control the nation's money supply

• To tax goods from Europe

• To favor wealthy businessmen

Why did President Andrew Jackson not like the bankers who ran the Bank?

• Because they were from the West

• Because they had a good education and were wealthy

• Because they did not work hard

• Because they were not government officials

What did settlers in the west depend on?

• Strict control over small private banks

• Loans to run their farms

• Wealthy bankers for education

• The government to supply money directly

What did Jackson think the state banks could do?

• Control the nation's money supply more strictly

• Provide loans more easily to farmers

• Fail to operate without a charter

• Increase the wealth of the working class

What action did Jackson take to ensure that he "killed" the national bank?

• He watched over them with strict regulations

• He gave them more farmers to lend to

• He placed all the government's money in state 'pet banks'

• He created a new charter for the National Bank

What were the effects of the Panic of 1837?

• It led to an economic depression

• It increased the nation's money supply

• It favored wealthy businessmen

• It improved job and land opportunities

How would North Eastern factory owners react to a high tariff?

• They would dislike it because it made imported goods cheaper

• They would support it because it made American goods cheaper than imported goods

• They would be indifferent as it did not affect their trade

• They would fear it would hurt their profitable cotton trade with Europe

What were Southerners afraid of in response to high tariffs?

• That it would lead to an economic depression

• That it would increase the wealth of the working class

• That it would hurt their profitable cotton trade with Europe

• That it would control the nation's money supply

What did arguments over tariffs lead to?

• Improved relations between states

• Fights over states' rights

• A stronger federal government

• Better trade deals with Europe

What did Southern leaders say about the federal laws they did not like?

• They should be enforced more strictly

• They could be nullified

• They were beneficial for the cotton trade

• They should be decided by the President alone