Summary
The article analyzed the challenges of the US financial institution in 1832. Proponents of the recharter bill believed that the president’s objections could have been reviewed. As a result, the bill was floored at the senate house on moral grounds. 1 The president rejected the decisions of the senate assembly. The author narrated the events that led to the president’s veto message. The Second Bank’s president recommended the bill to restructure the US financial institutions. As a result, he drafted several amendments to the bill. However, the president of the US opposed the recharter plan based on personal reasons.
As a result, the bank’s president lobbied the senate assembly to pass the bill. The issues raised by the president were neither resolved nor compromised. The first article titled “Lost Opportunities or Compromise in the Bank War: A Reassessment of Jackson’s Veto Message” analyzed key events of the bank war. The author revealed that the confrontation with the president could have been avoided. As a result, his submissions were based on two theories. First, the proponents of the Banking reforms should have acceded to the demands of the president. Second, the parties involved created a political storm.
The second article titled “Jackson, Biddle, and the Bank of the United States” explained the significance of the US banking reforms under Nicolas Biddle. 2 The author believed that history was distorted with issues surrounding the emergence, growth and significance of the Second Bank. As a result, the author provided arguments to validate his submissions of Nicolas Biddle. 3 The objections to the bill instigated political and economic revolts against the proponents of the Second Bank. Thus, the article summarized the achievements of the Second Bank. Bank reforms provided the platform for a robust economy in the US.
The reforms championed by different executives were neither successful nor extended. However, the president’s rejection of the recharter bill suggested that the Second Bank lost its relevance in the economy. Thus, the author analyzed the significance of the banking reforms in 1823. The author revealed that banking reforms influenced financial stability in the US economy. As a result, new banks complemented the growth of the US economy. The author believed that two factors influenced the collapse of the Second Bank. First, the bank was the largest financial institution in the US economy. Second, the bill was subverted by political struggle and motives.
Reaction to the first and second readings
First reading
The author provided an account of the political struggle leading to the bill. However, the analysis was subjected to personal opinions. I believe that the author cannot isolate issues surrounding the bill. First, the president’s veto message was a campaign tool rather than an observatory note. The objection was taken personal by the proponents of the banking reforms. The bill was rejected before it reached the senate for political reasons. I believe that the author’s account did not dwell on critical issues surrounding the banking reforms.
The second reading
The authors revealed the achievements of the banking reforms in the US economy. However, the analysis was based on personal judgment rather than a collective agreement. It is difficult to isolate the irregularities in the bank’s operations. Thus, the pros and cons of the bill were not fully documented.
Question
If a compromise was agreed, what would have been the fate of the Second Bank?
Comment: The resolutions of the bill must be analyzed to support a balanced argument.
Bibliography
Hammond, Bray. “Jackson, Biddle, and the Bank of the United States.” The Journal of Economic History 7.1 (1947):1-23.
Perkins, Edwin. “Lost Opportunities for Compromise in the Bank War: A Reassessment of Jackson’s Veto Message.” The Business History Review 61.4 (1987):531-550.
Van-Horne, John. The Second Bank of the United States: A Chapter in the History of Central Banking. Philadelphia: Library Press, 1985.
Footnotes
- Edwin, Perkins. Lost Opportunities for Compromise in the Bank War: A Reassessment of Jackson’s Veto Message (The Business History Review, 1987), 532.
- Bray, Hammond. “Jackson, Biddle, and the Bank of the United States (The Journal of Economic History, 1947), 10.
- John, Van-Horne. The Second Bank of the United States: A Chapter in the History of Central Banking (Philadelphia: Library Press, 1985), 4.