85-721: This article lists the presidential nominating conventions of the United States Whig Party between 1839 and 1856. Note: Conventions whose nominees won the subsequent presidential election are in bold Fillmore and Donelson had previously been nominated as candidates of the American Party . Whig Party (United States) Defunct Newspapers Journals TV channels Websites Other Economics Gun rights Identity politics Nativist Religion Watchdog groups Youth/student groups Miscellaneous Other The Whig Party
170-631: A "Southern" location on the Potomac . As a result, the First Bank of the United States (1791–1811) was chartered by Congress within the year and signed by George Washington soon after. The First Bank of the United States was modeled after the Bank of England and differed in many ways from today's central banks . For example, it was partly owned by foreigners, who shared in its profits. Also, it
255-606: A Modified Central Bank", in which he outlined remedies that he thought might avert panics. Early in 1907, Jacob Schiff , the chief executive officer of Kuhn, Loeb and Co. , in a speech to the New York Chamber of Commerce , warned that "unless we have a central bank with adequate control of credit resources, this country is going to undergo the most severe and far reaching money panic in its history." "The Panic of 1907 " hit full stride in October. [Herrick] Bankers felt
340-406: A bank bill was often lower than its face value, and the issuing bank's financial strength generally determined the size of the discount. By 1797 there were 24 chartered banks in the U.S.; with the beginning of the free banking era (1837) there were 712. During the free banking era, the banks were short-lived compared to today's commercial banks, with an average lifespan of five years. About half of
425-527: A direct successor to that party, and many Whig leaders, including Henry Clay, had aligned with the rival Democratic-Republican Party . In the 1836 presidential election , four different Whig candidates received electoral votes , but the party failed to defeat Jackson's chosen successor, Martin Van Buren . Whig nominee William Henry Harrison unseated Van Buren in the 1840 presidential election but died one month into his term. Harrison's successor, John Tyler,
510-607: A firm stance on slavery , but Northern Whigs tended to be less supportive than their Democratic counterparts. The Whigs emerged in the 1830s in opposition to President Andrew Jackson , pulling together former members of the National Republican Party , the Anti-Masonic Party , and disaffected Democrats. The Whigs had some weak links to the defunct Federalist Party , but the Whig Party was not
595-558: A former Democrat, broke with the Whigs in 1841 after clashing with Clay and other party leaders over economic policies such as the re-establishment of a national bank . Clay clinched his party's nomination in the 1844 presidential election but was defeated by Democrat James K. Polk , who subsequently presided over the Mexican–American War . Whig nominee Zachary Taylor won the 1848 presidential election , but Taylor died in 1850 and
680-597: A joint resolution providing for the annexation of Texas, and Texas subsequently became a state in 1845. Following the annexation of Texas, Polk began preparations for a potential war with Mexico , which still regarded Texas as a part of its republic and contended that Texas's true southern border was the Nueces River rather than the Rio Grande . After a skirmish known as the Thornton Affair broke out on
765-483: A power in the Democratic Party, threatened to destroy the bill. Wilson came up with a compromise plan that pleased bankers and Bryan alike. The Bryanites were happy that Federal Reserve currency became liabilities of the government rather than of private banks—a symbolic change—and by provisions for federal loans to farmers. The Bryanite demand to prohibit interlocking directorates did not pass. Wilson convinced
850-601: A private bank note clearinghouse . The National Banking Act of 1863, besides providing loans in the Civil War effort of the Union , included provisions: As described by Gresham's law , soon bad money from state banks drove out the new, good money; the government imposed a 10% tax on state bank bills, forcing most banks to convert to national banks. By 1865, there were already 1,500 national banks. In 1870, 1,638 national banks stood against only 325 state banks. The tax led in
935-664: A separate proposal which included the admission of California as a free state, the cession by Texas of some of its northern and western territorial claims in return for debt relief, the establishment of New Mexico and Utah territories, a ban on the importation of slaves into the District of Columbia for sale, and a more stringent fugitive slave law. Taylor died in July 1850 and was succeeded by Vice President Fillmore. In contrast to John Tyler, Fillmore's legitimacy and authority as president were widely accepted by members of Congress and
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#17327805688981020-580: A strict constructionist view of the Constitution , while Clay and Adams favored high tariffs and the national bank; regionalism played a central role, with Jackson strongest in the West. Jackson won a plurality of the popular and electoral vote in the 1824 election, but not a majority. The House of Representatives had to decide. Speaker Clay supported Adams, who was elected as president by the House, and Clay
1105-556: A treaty with Mexico. Democratic Congressman David Wilmot of Pennsylvania offered an amendment known as the Wilmot Proviso , which would ban slavery in any newly acquired lands. The Wilmot Proviso passed the House with the support of both Northern Whigs and Northern Democrats, breaking the typical pattern of partisan division in congressional votes, but it was defeated in the Senate. Nonetheless, clear divisions remained between
1190-515: A victory for the people against an elitist institution. Jackson won another decisive victory in the 1832 presidential election , taking 55 percent of the national popular vote and 88 percent of the popular vote in the slavery states south of Kentucky and Maryland. Clay's defeat discredited the National Republican Party, encouraging those opposed to Jackson to seek to create a more effective opposition party. Jackson, by 1832,
1275-697: The Articles of Confederation had extended to Congress the sovereign power to generate bills of credit , it passed later that year an ordinance to incorporate a privately subscribed national bank following in the footsteps of the Bank of England. However, it was thwarted in fulfilling its intended role as a nationwide national bank due to objections of "alarming foreign influence and fictitious credit", favoritism to foreigners and unfair policies against less corrupt state banks issuing their own notes, such that Pennsylvania's legislature repealed its charter to operate within
1360-694: The Federalist Party , led by Alexander Hamilton , and the Democratic-Republican Party , led by Thomas Jefferson . After 1815, the Democratic-Republicans emerged as the sole major party at the national level but became increasingly polarized. A nationalist wing led by Henry Clay favored policies such as the Second Bank of the United States and the implementation of a protective tariff . A second group,
1445-521: The King of Great Britain at the time of the American Revolution . Jackson's decision to remove government deposits from the national bank ended any possibility of a Webster-Jackson alliance and helped to solidify partisan lines. The removal of the deposits drew opposition from both pro-bank National Republicans and states' rights Southerners like Willie Person Mangum of North Carolina,
1530-776: The Old Republicans , opposed these policies, favoring a strict interpretation of the Constitution and a weak federal government. In the 1824 presidential election , Speaker of the House Henry Clay , Secretary of the Treasury William H. Crawford , Secretary of State John Quincy Adams , and General Andrew Jackson all sought the presidency as members of the Democratic-Republican Party. Crawford favored state sovereignty and
1615-637: The Panic of 1837 struck the nation. Land prices plummeted, industries laid off employees, and banks failed. According to historian Daniel Walker Howe , the economic crisis of the late 1830s and early 1840s was the most severe recession in U.S. history until the Great Depression . Van Buren's economic response centered on establishing the Independent Treasury system, essentially a series of vaults that would hold government deposits. As
1700-584: The Specie Payment Resumption Act of 1875 was passed. However, the elimination of the greenbacks was suspended in 1878 and the notes remained in circulation. Federal debt throughout the period continued to be paid in gold. In 1879, the United States had returned to the gold standard , and all currency could be redeemed in gold. Early in 1907, New York Times Annual Financial Review published Paul Warburg 's (a partner of Kuhn, Loeb and Co. ) first official reform plan, entitled "A Plan for
1785-555: The annexation of Texas his key priority. The annexation of Texas was widely viewed as a pro-slavery initiative as it would add another slave state to the union, and most leaders of both parties opposed opening the question of annexation in 1843 due to the fear of stoking the debate over slavery. Tyler was nonetheless determined to pursue annexation because he believed that the British conspired to abolish slavery in Texas and because he saw
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#17327805688981870-552: The "birth of the Whig Party" can be dated to Clay and his allies taking control of the Senate in December 1833. The National Republicans, including Clay and Webster, formed the core of the Whig Party, but many Anti-Masons like William H. Seward of New York and Thaddeus Stevens of Pennsylvania also joined. Several prominent Democrats defected to the Whigs, including Mangum, former Attorney General John Berrien , and John Tyler of Virginia. The Whig Party's first significant action
1955-485: The "last straw" of oppression which led directly to the American Revolutionary War . Others were strongly in favor of a national bank. Robert Morris , as Superintendent of Finance, helped to open the Bank of North America in 1782, and has been accordingly called by Thomas Goddard "the father of the system of credit and paper circulation in the United States". As ratification in early 1781 of
2040-436: The 1880s and 1890s to the creation and adoption of checking accounts . By the 1890s, 90% of the money supply was in checking accounts. State banking had made a comeback. Two problems still remained in the banking sector. The first was the requirement to back up the currency with treasuries. When the treasuries fluctuated in value, banks had to recall loans or borrow from other banks or clearinghouses . The second problem
2125-586: The Adams administration's nationalist agenda, becoming informally known as "Jacksonians". Due in part to the superior organization (by Martin Van Buren) of the Jacksonians, Jackson defeated Adams in the 1828 presidential election , taking 56 percent of the popular vote. Clay became the leader of the National Republican Party , which opposed President Jackson. By the early 1830s, the Jacksonians organized into
2210-754: The Commonwealth in 1785. In 1791, former Morris aide and chief advocate for Northern mercantile interests, Alexander Hamilton , the Secretary of the Treasury , accepted a compromise with the Southern lawmakers to ensure the continuation of Morris's Bank project; in exchange for support by the South for a national bank, Hamilton agreed to ensure sufficient support to have the national or federal capitol moved from its temporary Northern location, New York , to
2295-533: The Federal Reserve was subordinated to the Executive Branch , where it remained until 1951, when the Federal Reserve and the Treasury department signed an accord granting the Federal Reserve full independence over monetary matters while leaving fiscal matters to the Treasury. The Federal Reserve's monetary powers did not dramatically change for the rest of the 20th century, but in the 1970s it
2380-580: The First and Second Banks of the United States. The Aldrich plan was introduced in the 62nd and 63rd Congresses (1912 and 1913) but never gained much traction as the Democrats in 1912 won control of both the House and the Senate as well as the White House. The new president, Woodrow Wilson, then became the principal mover for banking and currency reform in the 63rd Congress, working with the two chairs of
2465-406: The House and Senate Banking and Currency Committees, Rep. Carter Glass of Virginia and Sen. Robert L. Owen of Oklahoma. It was Wilson who insisted that the regional Federal Reserve banks be controlled by a central Federal Reserve Board appointed by the president with the advice and consent of the U.S. Senate. William Jennings Bryan , now Secretary of State, long-time enemy of Wall Street and still
2550-550: The North, Democrats benefited from the growing animosity towards the Whig Party among Catholic and foreign-born voters. Ultimately, Polk won the election, taking 49.5% of the popular vote and a majority of the electoral vote; the swing of just over one percent of the vote in New York would have given Clay the victory. In the final weeks of Tyler's presidency, a small group of Southern Whigs joined with congressional Democrats to pass
2635-529: The Republican Party and enacted much of their American System. Presidents Abraham Lincoln , Rutherford B. Hayes , Chester A. Arthur , and Benjamin Harrison were Whigs before switching to the Republican Party, from which they were elected to office. It is considered the primary predecessor party of the modern-day Republicans . During the 1790s, the first major U.S. parties arose in the form of
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2720-502: The Treasury William M. Meredith issued a report calling for an increase in tariff rates, but not to the levels seen under the Tariff of 1842. Even Meredith's moderate policies were not adopted, and, partly due to the strong economic growth of the late 1840s and late 1850s, traditional Whig economic stances would increasingly lose their salience after 1848. When Taylor assumed office, the organization of state and territorial governments and
2805-485: The United States This history of central banking in the United States encompasses various bank regulations , from early wildcat banking practices through the present Federal Reserve System . Some Founding Fathers were strongly opposed to the formation of a national banking system; the fact that England tried to place the colonies under the monetary control of the Bank of England was seen by many as
2890-515: The Whig Party due to his lack of public commitment to Whig policies and his association with the Mexican–American War. In late 1847, Clay emerged as Taylor's main opponent for the Whig nomination, appealing especially to Northern Whigs with his opposition to the war and the acquisition of new territory. With strong backing from slavery-state delegates, Taylor won the presidential nomination on
2975-519: The Whigs included a distrust of behind-the-scenes political maneuvering by party bosses instead of encouraging direct appeals to the people through gigantic rallies, parades, and rhetorical rabble-rousing. Early successes in various states made many Whigs optimistic about victory in 1836, but an improving economy bolstered Van Buren's standing ahead of the election. The Whigs also faced the difficulty of uniting former National Republicans, Anti-Masons, and states' rights Southerners around one candidate, and
3060-408: The ability to both create money, as the 1913 Act intended, and destroy money, as a central bank could. During the 1920s, the Federal Reserve experimented with a number of approaches, alternatively creating and then destroying money which, in the eyes of Milton Friedman , helped create the late-1920s stock market bubble and the Great Depression . After Franklin D. Roosevelt took office in 1933,
3145-489: The anti-bank Congressmen that because Federal Reserve notes were obligations of the government, the plan fit their demands. Wilson assured southerners and westerners that the system was decentralized into 12 districts, and thus would weaken New York City's Wall Street influence and strengthen the hinterlands. After much debate and many amendments, Congress passed the Federal Reserve Act or Glass–Owen Act, as it
3230-531: The bank dissolved, but refused to renew its charter. Jackson attempted to counteract this by executive order requiring all federal land payments to be made in gold or silver, in accordance with his interpretation of The Constitution of the United States , which only gives Congress the power to "coin" money, not emit bills of credit. The Panic of 1837 followed. The bank then flatly denied a subpoena to examine its records and its chief, Nicholas Biddle , bemusedly observed that it would be ironic if he went to prison "By
3315-552: The banks failed, and about a third of which went out of business because they could not redeem their notes. (See also " Wildcat banking ".) During the free banking era, some local banks took over the functions of a central bank. In New York, the New York Safety Fund provided deposit insurance for member banks. In Boston , the Suffolk Bank guaranteed that bank notes would trade at near par value, and acted as
3400-541: The country during the five-year interim. It was essentially a copy of the First Bank, with branches across the country. Andrew Jackson , who became president in 1829, denounced the bank as an engine of corruption. His destruction of the bank was a major political issue in the 1830s and shaped the Second Party System , as Democrats in the states opposed banks and Whigs supported them. He was unable to get
3485-471: The debate over the Independent Treasury continued, William Cabell Rives and some other Democrats who favored a more activist government defected to the Whig Party, while Calhoun and his followers joined the Democratic Party. Whig leaders agreed to hold the party's first national convention in December 1839 in order to select the Whig presidential nominee. By early 1838, Clay had emerged as
List of Whig National Conventions - Misplaced Pages Continue
3570-508: The declaration of war against Mexico and also pushed through the restoration of the Independent Treasury System and a bill that reduced tariffs; opposition to the passage of these Democratic policies helped to reunify and reinvigorate the Whigs. In August 1846, Polk asked Congress to appropriate $ 2 million (~$ 60.7 million in 2023) in hopes of using that money as a down payment for the purchase of California in
3655-546: The disappearance and possible murder of William Morgan in 1826. The Anti-Masonic movement, strongest in the Northeast, gave rise to or expanded the use of many innovations which became an accepted practice among other parties, including nominating conventions and party newspapers. Clay rejected overtures from the Anti-Masonic Party, and his attempt to convince Calhoun to serve as his running mate failed, leaving
3740-621: The downward spiral of withdrawal/withholding of funds which characterizes a monetary panic. At the outbreak of World War I , the Federal Reserve was better positioned than the United States Department of the Treasury to issue war bonds , and so became the primary retailer for war bonds under the direction of the Treasury. After the war, the Federal Reserve, led by Paul Warburg and New York Governor Bank President Benjamin Strong , convinced Congress to modify its powers, giving it
3825-426: The economy. They argued that traditional Whig policies, such as the restoration of a national bank and the implementation of protective tariff rates, would help to restore the economy. With the economy still in a downturn, Harrison decisively defeated Van Buren, taking a wide majority of the electoral vote and just under 53 percent of the popular vote. With the election of the first Whig presidential administration in
3910-427: The extraordinary intervention of one man. Financial leaders who advocated a central bank with an elastic currency after the Panic of 1907 included Frank Vanderlip , Myron T. Herrick , William Barret Ridgely , George E. Roberts , Isaac Newton Seligman and Jacob H. Schiff . They stressed the need for an elastic money supply that could expand or contract as needed. After the scare of 1907 the bankers demanded reform;
3995-459: The fifth ballot of the 1839 Whig National Convention . For vice president, the Whigs nominated John Tyler, a former states' rights Democrat selected for the Whig ticket primarily because other Southern supporters of Clay refused to serve as Harrison's running mate. Log cabins and hard cider became the dominant symbols of the Whig campaign as the party sought to portray Harrison as a man of the people. The Whigs also assailed Van Buren's handling of
4080-497: The fourth ballot of the 1848 Whig National Convention . The Whigs nominated Millard Fillmore of New York, a pro-Clay Northerner, for vice president. Anti-slavery Northern Whigs disaffected with Taylor joined with Democratic supporters of Martin Van Buren and some members of the Liberty Party to found the new Free Soil Party ; the party nominated a ticket of Van Buren and Whig Charles Francis Adams Sr. and campaigned against
4165-401: The front-runner due to his southern support and spirited opposition to Van Buren's Independent Treasury. A recovering economy convinced other Whigs to support Harrison, who was generally seen as the Whig candidate best able to win over Democrats and new voters. With the crucial support of Thaddeus Stevens of Pennsylvania and Thurlow Weed of New York, Harrison won the presidential nomination on
4250-425: The issue as a means to reelection, either through the Democratic Party or through a new party. In April 1844, Secretary of State John C. Calhoun reached a treaty with Texas providing for the annexation of that country. Clay and Van Buren, the two front-runners for major-party presidential nominations in the 1844 election, both announced their opposition to annexation, and the Senate blocked the annexation treaty. To
4335-515: The issue of slavery more so than Democratic candidate Lewis Cass of Michigan. Ultimately, Taylor won the election with a majority of the electoral vote and a plurality of the popular vote. Taylor improved on Clay's 1844 performance in the South and benefited from the defection of many Democrats to Van Buren in the North. Reflecting the Taylor administration's desire to find a middle ground between traditional Whig and Democratic policies, Secretary of
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#17327805688984420-442: The latter of whom accused Jackson of flouting the Constitution. In late 1833, Clay began to hold a series of dinners with opposition leaders to settle on a candidate to oppose Martin Van Buren , the likely Democratic nominee in the 1836 presidential election . While Jackson's opponents could not agree on a single presidential candidate, they coordinated in the Senate to oppose Jackson's initiatives. Historian Michael Holt writes that
4505-537: The legislation was unconstitutional. Congress passed a second bill based on an earlier proposal made by Treasury Secretary Ewing that was tailored to address Tyler's constitutional concerns, but Tyler vetoed that bill as well. In response, every Cabinet member but Webster resigned, and the Whig congressional caucus expelled Tyler from the party on September 13, 1841. The Whigs later began impeachment proceedings against Tyler, but they ultimately failed to impeach him because they believed his likely acquittal would devastate
4590-455: The necessary capital ratio etc. These banks had existed since 1781, in parallel with the Banks of the United States. The Michigan Act (1837) allowed the automatic chartering of banks that would fulfill its requirements without special consent of the state legislature . This legislation made creating unstable banks easier by lowering state supervision in states that adopted it. The real value of
4675-481: The new Democratic Party . Despite Jackson's decisive victory in the 1828 election, National Republicans initially believed that Jackson's party would collapse once Jackson took office. Vice President Calhoun split from the administration in 1831. Still, differences over the tariff prevented Calhoun's followers from joining the National Republicans. Meanwhile, the Anti-Masonic Party formed following
4760-497: The next several years witnessed a proliferation of federally issued Treasury Notes to create credit as the government struggled to finance the War of 1812 ; a suspension of specie payment by most banks soon followed as well. After five years, the federal government chartered its successor, the Second Bank of the United States (1816–1836). James Madison signed the charter with the intention of stopping runaway inflation that had plagued
4845-572: The next year, Congress established a commission of experts to come up with a nonpartisan solution. Rhode Island Senator Nelson Aldrich , the Republican leader in the Senate, ran the Commission personally, with the aid of a team of economists. They went to Europe and were impressed with how the central banks in Britain and Germany appeared to handle the stabilization of the overall economy and
4930-509: The northern side of the Rio Grande, Polk called on Congress to declare war against Mexico, arguing that Mexico had invaded American territory by crossing the Rio Grande. Many Whigs argued that Polk had provoked war with Mexico by sending a force under General Zachary Taylor to the Rio Grande, but only a minority of Whigs voted against the declaration of war as they feared that opposing the war would be politically unpopular. Polk received
5015-746: The notes issued during the Free Banking era in which notes from different banks could have significantly different values. National bank notes were not however "lawful tender", and could not be used as bank reserves under the National Bank Act. The Federal government issued greenbacks which fulfilled this role along with gold. Congress suspended the gold standard in 1861 early in the Civil War and began issuing paper currency (greenbacks). The federally issued greenbacks were gradually supposed to be eliminated in favor of national bank notes after
5100-412: The opposition to Jackson split among different leaders when the National Republicans nominated Clay for president. Hoping to make the national bank a key issue of the 1832 election, the National Republicans convinced national bank president Nicholas Biddle to request an extension of the national bank's charter, but their strategy backfired when Jackson successfully portrayed his veto of the recharter as
5185-652: The partisan divisions that had emerged after 1824, as many within the Jacksonian coalition opposed President Jackson's threats of force against South Carolina, while some opposition leaders like Daniel Webster supported them. The name "Whig" was first suggested for Jackson's opponents by James Watson Webb , editor of the Courier and Enquirer of New York City. In South Carolina and other states, those opposed to Jackson began to form small "Whig" parties. The Whig label implicitly compared "King Andrew" to King George III ,
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#17327805688985270-428: The party suffered an early blow when Calhoun announced that he would refuse to support any candidate opposed to the doctrine of nullification. Northern Whigs cast aside both Clay and Webster in favor of General William Henry Harrison , a former senator who had led U.S. forces in the 1811 Battle of Tippecanoe . Though he had not previously been affiliated with the National Republicans, Harrison indicated that he shared
5355-462: The party's concerns over Jackson's executive power and favored federal investments in infrastructure. Southern Whigs coalesced around Senator Hugh Lawson White , a long-time Jackson ally who opposed Van Buren's candidacy. Ultimately, Van Buren won a majority of the electoral and popular vote in the 1836 election, though the Whigs improved on Clay's 1832 performance in the South and West. Shortly after Van Buren took office, an economic crisis known as
5440-542: The party's history, Clay and his allies prepared to pass ambitious domestic policies such as the restoration of the national bank, the distribution of federal land sales revenue to the states, a national bankruptcy law, and increased tariff rates. Harrison died just one month into his term, thereby elevating Vice President Tyler to the presidency. Tyler had never accepted much of the Whig economic program and he soon clashed with Clay and other congressional Whigs. In August 1841, Tyler vetoed Clay's national bank bill, holding that
5525-654: The party. Beginning in mid-1842, Tyler increasingly began to court Democrats, appointing them to his Cabinet and other positions. At the same time, many Whig state organizations repudiated the Tyler administration and endorsed Clay as the party's candidate in the 1844 presidential election . After Webster resigned from the Cabinet in May 1843 following the conclusion of the Webster-Ashburton Treaty , Tyler made
5610-716: The passage of the Kansas–Nebraska Act in 1854, with most Northern Whigs eventually joining the anti-slavery Republican Party and most Southern Whigs joining the nativist American Party and later the Constitutional Union Party . The last vestiges of the Whig Party faded away after the start of the American Civil War , but Whig ideas remained influential for decades. During the Lincoln Administration , ex-Whigs dominated
5695-417: The promotion of international trade. Aldrich's investigation led to his plan in 1912 to bring central banking to the United States, with promises of financial stability, expanded international roles, control by impartial experts and no political meddling in finance. Aldrich asserted that a central bank had to be, paradoxically, decentralized somehow, or it would be attacked by local politicians and bankers as had
5780-475: The public. Fillmore accepted the resignation of Taylor's entire Cabinet and appointed Whig leaders like Crittenden, Thomas Corwin of Ohio, and Webster, whose support for the Compromise had outraged his Massachusetts constituents. With the support of Fillmore and an impressive bipartisan and bi-sectional coalition, a Senate bill providing for a final settlement of Texas's borders won passage shortly after Fillmore took office. History of central banking in
5865-431: The real problem was that the United States was the last major country without a central bank, which might provide stability and emergency credit in times of financial crisis. While segments of the financial community were worried about the power that had accrued to JP Morgan and other financiers, most were more concerned about the general frailty of a vast, decentralized banking system that could not regulate itself without
5950-400: The rule of law, protections against majority rule, and vigilance against executive tyranny. They favored an economic program known as the American System , which called for a protective tariff , federal subsidies for the construction of infrastructure, and support for a national bank . The party was active in both the Northern United States and the Southern United States and did not take
6035-561: The spread of slavery into the territories. The Whig campaign in the North received a boost when Taylor released a public letter in which he stated that he favored Whig principles and would defer to Congress after taking office, thereby reassuring some wavering Whigs. During the campaign, Northern Whig leaders touted traditional Whig policies like support for infrastructure spending and increased tariff rates, but Southern Whigs largely eschewed economic policy, instead emphasizing that Taylor's status as an enslaver meant that he could be trusted on
6120-565: The status of slavery in the Mexican Cession remained the major issue facing Congress. To sidestep the issue of the Wilmot Proviso, the Taylor administration proposed that the lands of the Mexican Cession be admitted as states without first organizing territorial governments; thus, slavery in the area would be left to the discretion of state governments rather than the federal government. In January 1850, Senator Clay introduced
6205-517: The surprise of Clay and other Whigs, the 1844 Democratic National Convention rejected Van Buren in favor of James K. Polk and established a platform calling for the acquisition of both Texas and Oregon Country . Having won the presidential nomination at the 1844 Whig National Convention unopposed, Clay and other Whigs were initially confident that they would defeat the divided Democrats and their relatively obscure candidate. However, Southern voters responded to Polk's calls for annexation, while in
6290-458: The two parties on territorial acquisitions, as most Democrats joined Polk in seeking to acquire vast tracts of land from Mexico, but most Whigs opposed territorial growth. In February 1848, Mexican and U.S. negotiators reached the Treaty of Guadalupe Hidalgo , which provided for the cession of Alta California and New Mexico. Despite Whig objections to the acquisition of Mexican territory, the treaty
6375-439: The votes of members of Congress because I would not give up to their enemies their confidential letters". Biddle was eventually arrested and charged with fraud. The bank's charter expired in 1836. In this period, only state -chartered banks existed. They could issue bank notes against specie ( gold and silver coins ) and the states heavily regulated their own reserve requirements , interest rates for loans and deposits ,
6460-566: Was a mid-19th century political party in the United States. Alongside the Democratic Party , it was one of two major parties between the late 1830s and the early 1850s and part of the Second Party System . As well as four Whig presidents ( William Henry Harrison , John Tyler , Zachary Taylor and Millard Fillmore ), other prominent members included Henry Clay , Daniel Webster , Rufus Choate , William Seward , John J. Crittenden , and John Quincy Adams . The Whig base of support
6545-563: Was amongst entrepreneurs, professionals, Protestants (particularly evangelicals ), and the urban middle class . It had much less backing from poor farmers and unskilled workers. The party was hostile toward manifest destiny , territorial expansion into Texas and the Southwest , and the Mexican–American War . It disliked presidential power, as exhibited by Andrew Jackson and James K. Polk , and preferred congressional dominance in lawmaking. Members advocated modernization, meritocracy ,
6630-452: Was appointed Secretary of State. Jackson called it a "corrupt bargain". In the years following the 1824 election, former members of the Democratic-Republican Party split into hostile factions. Supporters of President Adams and Clay joined with many former Federalists such as Daniel Webster to form a group informally known as the "Adams party". Meanwhile, supporters of Jackson, Crawford, and Vice President John C. Calhoun joined in opposing
6715-683: Was determined to destroy the bank (the Second Bank of the United States), which Whigs supported. Shortly after Jackson's re-election, South Carolina passed a measure to " nullify " the Tariff of 1832 , beginning the Nullification Crisis . Jackson strongly denied the right of South Carolina to nullify federal law, but the crisis was resolved after Congress passed the Tariff of 1833 . The Nullification Crisis briefly scrambled
6800-420: Was not solely responsible for the country's supply of bank notes . It was responsible for only 20% of the currency supply; state banks accounted for the rest. Several founding fathers bitterly opposed the bank. Thomas Jefferson saw it as an engine for speculation, financial manipulation, and corruption. In 1811 its twenty-year charter expired and was not renewed by Congress. Absent the federally chartered bank,
6885-503: Was ratified with the support of a majority of the Democratic and Whig senators; Whigs voted for the treaty largely because ratification brought the war to an immediate end. During the war, Whig leaders like John J. Crittenden of Kentucky began to look to General Taylor as a presidential candidate, hoping the party could run on Taylor's personal popularity rather than economic issues. Taylor's candidacy faced significant resistance in
6970-535: Was sometimes called at the time, in late 1913. President Wilson signed the Act into law on December 23, 1913. The Federal Reserve System, also known as the Federal Reserve or simply as the Fed, is the central banking system of the United States today. The Federal Reserve's power developed slowly in part due to an understanding at its creation that it was to function primarily as a reserve, a money-creator of last resort to prevent
7055-470: Was succeeded by Millard Fillmore. Fillmore, Clay, Daniel Webster, and Democrat Stephen A. Douglas led the passage of the Compromise of 1850 , which helped to defuse sectional tensions in the aftermath of the Mexican–American War for a time. Nonetheless, the Whigs suffered a decisive defeat in the 1852 presidential election partly due to sectional divisions within the party. The Whigs collapsed following
7140-641: Was that the system created seasonal liquidity spikes. A rural bank had deposit accounts at a larger bank, that it withdrew from when the need for funds was highest, e.g., in the planting season. These liquidity crises led to bank runs , causing severe disruptions and depressions. The Panic of 1907 was one of the worst panics in US history. The resulting hearings led to creating a lender of last resort . National banks issued National Bank Notes as currency. Because they were uniformly backed by US government debt, they generally traded at comparable values in contrast to
7225-551: Was to censure Jackson for the removal of the national bank deposits, thereby establishing opposition to Jackson's executive power as the organizing principle of the new party. In doing so, the Whigs were able to shed the elitist image that had persistently hindered the National Republicans. Throughout 1834 and 1835, the Whigs successfully incorporated National Republican and Anti-Masonic state-level organizations and established new state party organizations in Southern states like North Carolina and Georgia. The Anti-Masonic heritage of
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