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Article: Bank War
- Article from:
- Gale Encyclopedia of U.S. Economic History
CopyrightCOPYRIGHT 1999 The Gale Group Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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BANK WAR
President Andrew Jackson's (1829
–
37) struggle against the Second Bank of the United States, known as the "Bank War," was the major national financial issue during his tenure in office. The Second Bank's policies were blamed for starting the economic crisis known as the Panic of 1819, while its dissolution by Jackson was blamed for the Panic of 1837. At odds with the Bank's president, Nicholas Biddle (1786
–
1844), Jackson decided to remove federal funds from the Second Bank of the United States and put them on deposit with selected state banks. This action led to accusations that Jackson was using his powers arbitrarily and acting contrary to the Constitution. On ...