Andrew Jackson and the Second Bank

The Second Bank of the United States was established in 1816 but faced opposition from Andrew Jackson, who vetoed its charter renewal in 1832. This decision gained him support from common people, especially in the South. Jackson's policies led to the rise of state 'pet banks' and easy credit, causing economic expansion and inflation, culminating in the Panic of 1837. Jackson's executive order requiring land purchases in gold and silver worsened the economic crisis. Martin Van Buren inherited the depression, leading to the rise of the Whig Party and his eventual defeat by William Henry Harrison.

What was the primary role of the Second Bank of the United States?

• To issue state charters

• To manage the stock market

• To serve as the federal government's financial agent

• To regulate international trade

Why did Andrew Jackson oppose the Second Bank of the United States?

• He believed it was unconstitutional

• He thought it was too small

• He preferred a single national currency

• He wanted more foreign investment

What was one effect of Jackson's veto of the Second Bank's charter?

• It caused immediate economic stability

• It led to the creation of a new national bank

• It increased his popularity among common people

• It resulted in a decrease in state banks

What was a consequence of the easy credit provided by state banks?

• A reduction in westward expansion

• A decrease in land prices

• An increase in gold reserves

• A rise in inflation

What was Jackson's response to the rising inflation?

• He closed all state banks

• He required land purchases to be made with gold and silver

• He introduced a new paper currency

• He increased taxes

What was the result of Jackson's gold and silver policy?

• It increased the popularity of paper currency

• It led to a demand for bank notes to be redeemed for gold and silver

• It reduced the national debt

• It stabilized the economy

Who became president after Andrew Jackson?

• James Madison

• Martin Van Buren

• William Henry Harrison

• John Quincy Adams

What was a major challenge faced by Martin Van Buren during his presidency?

• The War of 1812

• The Missouri Compromise

• The Panic of 1837

• The Louisiana Purchase

Which political party emerged in opposition to Jackson and Van Buren?

• The Federalist Party

• The Whig Party

• The Democratic-Republican Party

• The Green Party

Who won the presidential election of 1840?

• Andrew Jackson

• Martin Van Buren

• William Henry Harrison

• John Tyler