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Essay

Conditions that led to the Panic of 1837

Essay specific features

 

Issue:

American History

 

Written by:

Michael M

 

Date added:

May 21, 2016

 

Level:

University

 

Grade:

A

 

No of pages / words:

2 / 294

 

Was viewed:

2740 times

 

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Essay content:

Paper money, issued by banks, was stunting the nation's economy because it was unable to redeem gold and silver. Another condition that led to the Panic of 1837 was the Jacksonian hard money (gold and silver) policy. The Tariff of 1833 was reducing the Federal government's income, which thus depended more heavily on excise taxes, while at the same time Andrew Jackson's administration worked to pay off the national debt...
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The Jackson Administration favored hard money and was suspicious of the large amount of paper money. Thus the Specie Circular was issued by Andrew Jackson, which commanded the U.S. Treasury not to accept banknotes, and recognize only gold and silver coinage as payment for public lands. Many state banks did not have specie to support their paper currency...
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