Banking in the U.S. Before 1900 Quick Check

Question

3 of 53 of 5 Items
Question
Which of the following policies was implemented in the Banking Acts of 1863 and 1864 to discourage state banks from competing with the newly-chartered national banks?(1 point)
Responses

State banks were abolished.
State banks were abolished.

National banks were given higher capital requirements.
National banks were given higher capital requirements.

Taxes were levied on state banks.
Taxes were levied on state banks.

Taxes were levied on national banks.
Taxes were levied on national banks.

Answer 1

The correct response is:

Taxes were levied on state banks.

The Banking Acts of 1863 and 1864 aimed to create a national banking system and included provisions that imposed taxes on state bank notes, which effectively discouraged state banks from competing with national banks.