VP Argues with Congress—Text Version

Question

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The images and descriptions are:

VP argues with Congress
(Picture of John C. Calhoun)

In 1828, Congress passed the Tariff of 1828, which taxed imported goods and hurt the South’s economy. Vice President John C. Calhoun argued for nullification, saying that a state has the right to reject a federal law. He even went as far as saying that a state had the right to secede, or separate from the United States, if the federal government enforced the tariff. In the midst of the debate on this tariff, Andrew Jackson won the election and, as president, had to enforce the laws of the nation.

Maysville Road: No Go
(Image of East Coast with Kentucky highlighted)

In May 1830, Jackson vetoed the Maysville Road bill, which was a request for Congress to pay for land to build this road within Kentucky. Jackson’s rejection of the bill shows he was against internal improvement that would only benefit one state. It also showed his desire to limit how involved the government was in the economy. Also this month, Jackson signed the Indian Removal Act, which forced thousands of Native Americans to move westward, away from their homes.

Jackson says No! to Bank
(Image of Supreme Court)

In July 1832, Jackson vetoed a bill for the renewal of the Second Bank of the United States. Even though the Supreme Court upheld the right of the federal government to run a bank (McCulloch v. Maryland), Jackson still disagreed with this ruling and thought it was immoral. Jackson vetoed the bill, saying the Bank was unconstitutional and that it was neither "necessary" nor "proper" for the federal government to allow such a big, powerful institution to exist. Jackson signed the Tariff of 1832 later this same month, which reduced some of the tariffs from the Tariff of 1828, but it wasn’t enough to receive much more additional support from the South.

Jackson: Four More Years
(Image of South Carolina breaking away from the rest of the east coast.)

In November 1832, Jackson was reelected president. At this same time, a Nullification Convention was held in South Carolina, where the state declared that the Tariffs of 1828 and 1832 were unconstitutional and refused to enforce them. State lawmakers went as far as to discuss state secession if the federal government tried to enforce the tariffs. They began military plans and preparations in case they were attacked.

No more nullification
(Map of SC identifying Charleston)

In December 1832, Jackson responded to the Nullification Convention by declaring nullification illegal, saying that he supported states’ rights but not to the point where it would break the country apart. He also asked Congress to support moving military to Charleston Harbor, South Carolina, to threaten with force. Neither the federal government nor South Carolina wanted to fight, so compromises were made on both sides. Congress created the Compromise Tariff of 1833, which further reduced the tax rate, and South Carolina removed its nullification law. Americans were pleased with the outcome, but many in Congress worried about future problems that could be caused by nullification and sectionalism.

Sky high inflation!
(Image of one thousand dollar bill)

In September 1833, Jackson continued the Bank War by forcing the transfer of ten million dollars from Second Bank of the United States to state banks. As a result, an excess of paper money was printed, people bought land on credit, and internal improvement increased within states. Problems arose as too much money was printed and its value decreased. More money was needed to purchase things such as land. Widespread price increases like these are known as "inflation."

Panic attack!
(Image bankers next to a pile of gold bars)

In July 1836, Jackson issued an executive order known as the Specie Circular, or Coinage Act. It required payment for public land to be in gold or silver, instead of paper money. Panic ensued among Americans, as banks required early repayment of loans, and people rushed to banks to exchange their paper money for gold or silver. An economic depression, known as the Panic of 1837, followed and some believed President Jackson’s Bank War was to blame.

Out with the old, in with the new!
(1836 Image of Martin Van Buren)

In November 1836, Martin Van Buren won the presidency and would take over after Jackson’s two terms were complete. He inherited the Panic of 1837 and oversaw a new plan for federal banking.
1800s Supreme Court Cases
McCulloch v. Maryland (1819)
Briefly describe the case:


What was the judgment in this case?

Gibbons v. Ogden (1824)
Briefly describe the case:


What was the judgment in this case?

Questions and Answers
Who was John Marshall? What were his beliefs?

What did Andrew Jackson believe about the role of the federal government in economic activity?

Jackson's Key Ideas and Influences
Briefly describe the events that lead to the following "headlines":
• VP argues with Congress

• Maysville Road: No Go

• Jackson says No! to Bank

• Jackson: Four More Years

• No more nullification

• Sky high inflation!

• Panic attack!

• Out with the old, in with the new!

Answer 1

1800s Supreme Court Cases

McCulloch v. Maryland (1819)
Briefly describe the case:
This case involved the state of Maryland attempting to impose a tax on the Second Bank of the United States. The bank's cashier, James McCulloch, refused to pay the tax, leading to a legal battle that questioned the federal government's authority to create a bank and whether a state could tax it.

What was the judgment in this case?
The Supreme Court ruled in favor of McCulloch, asserting that Congress had the power to create the bank under the Necessary and Proper Clause. It also established that states could not tax federal institutions, reinforcing federal supremacy over state laws.

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Gibbons v. Ogden (1824)
Briefly describe the case:
This case dealt with a dispute between two steamboat operators, Gibbons and Ogden, over navigation rights in New York waters. Ogden held a monopoly granted by New York State, while Gibbons operated under a federal coastal license, leading to a conflict about state versus federal regulation of interstate commerce.

What was the judgment in this case?
The Supreme Court ruled in favor of Gibbons, stating that the federal government had the authority to regulate interstate commerce under the Commerce Clause. This decision expanded the definition of interstate commerce and affirmed federal power over state laws in regulating trade.

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Questions and Answers

Who was John Marshall? What were his beliefs?
John Marshall was the fourth Chief Justice of the United States, serving from 1801 to 1835. He was a significant figure in establishing the principles of American constitutional law. Marshall believed in a strong federal government and the importance of a broad interpretation of the Constitution, which encouraged federal authority over the states.

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What did Andrew Jackson believe about the role of the federal government in economic activity?
Andrew Jackson believed in limited federal government involvement in the economy. He opposed monopolies and concentrated economic power, advocating for a more decentralized banking system and opposing the Second Bank of the United States. Jackson emphasized individual states' rights and the importance of local control over economic affairs.

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Jackson's Key Ideas and Influences

VP argues with Congress:
In response to the Tariff of 1828, which negatively impacted the Southern economy, Vice President John C. Calhoun pushed for the doctrine of nullification. He claimed states could reject federal laws and even secede if necessary. This created significant tension as President Jackson sought to enforce federal laws.

Maysville Road: No Go:
Jackson vetoed the Maysville Road bill—which aimed to fund road construction in Kentucky—arguing that it only benefited one state. This decision reflected his belief in limited government intervention in local projects and emphasized his stance on fiscal conservatism.

Jackson says No! to Bank:
Jackson opposed the renewal of the Second Bank of the United States, claiming it was unconstitutional and dangerous due to its concentrated power. Despite the Supreme Court ruling in its favor, Jackson’s veto displayed his commitment to limiting federal authority and reducing the influence of financial institutions.

Jackson: Four More Years:
Jackson was reelected in November 1832 amid rising tensions over state nullification of federal tariffs. The Nullification Convention in South Carolina declared these tariffs unconstitutional, elevating the stakes as Jackson stood firm against state defiance, which reinforced his authority.

No more nullification:
In December 1832, Jackson declared the principle of nullification illegal and proposed military readiness in South Carolina. The resulting Compromise Tariff of 1833 defused the crisis, but it highlighted the fragility of federal-state relations and the potential for sectional conflict.

Sky high inflation!:
In September 1833, Jackson escalated the Bank War by transferring federal funds to state banks, causing excessive money printing and resulting in inflation. The dramatic increase in paper currency lowered its value, leading to economic instability and fears of a broader financial crisis.

Panic attack!:
Jackson's Specie Circular, issued in July 1836, demanded payment for public lands in gold or silver. This triggered a rush to banks for conversions, leading to widespread economic turmoil. The subsequent Panic of 1837 is often linked to Jackson's economic policies, revealing the consequences of his actions.

Out with the old, in with the new!:
In November 1836, Martin Van Buren was elected president, inheriting the economic challenges from Jackson’s presidency, including the Panic of 1837. His administration had to navigate a new direction in federal banking and economic recovery amidst ongoing financial crises.