Why did Alexander Hamilton think a national bank would strengthen the central government?

Question

(1 point)
Responses

The bank would help provide stability for the U.S. economy.
The bank would help provide stability for the U.S. economy.

The bank would create a monopoly that would eliminate state banks.
The bank would create a monopoly that would eliminate state banks.

The bank would encourage foreign competition for manufactured goods.
The bank would encourage foreign competition for manufactured goods.

The bank would have the power to regulate interstate commerce.

1, 2, 3, or 4?

Answer 1

The correct response is:

1. The bank would help provide stability for the U.S. economy.

Hamilton believed that a national bank would create a stable currency and provide credit, which would help the economy grow and strengthen the federal government’s financial position.