Should President Jackson have vetoed the recharter of the second band of the united states

Should President Jackson have vetoed the re-charter of the second

bank of the United States

Year 1812 A .D . The war had left formidable debt on the Government of

United States . Inflation surged upward due to ever-increasing notes issued by the

Private banks (Biddle vs . Jackson

Year 1816 A .D . The Second Bank of United States was chartered , five years after the

expiration of the First Bank of United States . It was founded during the administration

of President James Madison , out of desperation to stabilize the currency

. The bank

served as a repository for federal funds until 1936 (Second Bank

Year 1829 A .D . Raucous crowds celebrated Andrew Jackson 's inauguration as

president , swarming through streets of Washington and trashing the white house . Jackson

born in a log cabin and hailing from the west , symbolized to many , a new era in

American politics , an era which celebrated the common man and the common man in

turn celebrated is election ( The Bank war

10 July 1832 President Andrew Jackson , thorough his veto message , refuses to re-

charter the second bank of United States ( veto message

The above four events , are a t the center of this essay Was the President Jackson

justified in taking this action ? My answer is YES

The Second Bank of United States

Let us , first of all , examine the working of the bank Since its inception in 1816 , it did

not even enjoy the limited success of the first bank . Although foreign ownership was not

a problem , the second bank was plagued with poor management and outright frauds . The

Bank was supposed to maintain a `currency principle '- to keep its specie /deposit ratio

stable at around 20 percent . Instead the ratio bounced between 12 percent and 65 percent

It also quickly alienated the State Banks , by returning to the sudden banknote

redemptions practices of the First Bank . Various element s were so enraged with the

Second Bank that there were two attempts to strike it down as unconstitutional

The Bank served as a repository for Federal units until 1836 , when its charter

expired after President Jackson refused the re-charter of the Bank , after a famous dispute

with Banks president Nicholas Biddle (wikipedia

Andrew Jackson and reasons for his veto

Andrew Jackson was considered to be a leader of the common man . On assuming

office as the seventh president of United states , he created history by not granting re-

charter of the Second Bank of Unites States , by his veto message to the senate

Why did he do this ? A brief study of the text of his veto message will convince

anyone about the step he had taken . His decision is not only based on his beliefs , but

facts and figures , reflecting the various aspects of the bank . A few reasons , leading him to

decide against the re-charter are as follows

The re-charter proposal suggested a bonus , accumulating to 200 ,00 per year . A

major chunk of this amount was to go to the foreign stock holders...