He believed the bank helped lead to the Panic of 1819, and signified Eastern power and prosperity. He felt the bank was used only by the wealthy, who cared not for the common people. The bank’s financial authority threatened democracy. Jackson sensed that it might try to take control of the government. Jackson did have evidence; all federal tax revenues were deposited in the National Bank instead of private banks, so the wealthy earned the extra interest.
The Communists disliked the new republic because not much would change. The workers would still be poor and the rich would still be rich. They wanted the workers to have power. This was economically a problem because the communists had different views on wages and on money from other groups in Germany.
The trade would give us money to pay our dept. Hamilton created a national bank which helped us with trade finance and manufacturing. Thomas Jefferson on the other hand thought completely different. He believed in the common man and thought they were very intelligent. He though people could make their own good smart decisions.
George Washington sided with Hamilton because it made fiscal sense; the assumption of the state debts strengthened the central government and gave it the support of the wealthy, and was approved by Congress in 1790. George Washington’s agreement to the assumption of the national debt made Alexander Hamilton more of an influence than Thomas Jefferson. Another reason that Alexander Hamilton was more influential to George Washington’s presidency than Thomas Jefferson was that Washington followed his suggestion in the formation of a national bank. Hamilton believed that a national bank would boost the economy and regulate currency, but Jefferson thought such an operation was unconstitutional. Despite Jefferson’s disagreement, Congress created the Bank of the United States in 1791.
The variability in prices in the market was due to the business practices of speculators, who used their abundant resources to manipulate prices to their advantages. This led to more extreme booms and busts and overall hardships for the average American. This was perceived as an oppressive system and led to the growth of new economic theories promoted by Karl Marx and Friedrich Engels who called the dissolution of custom, tradition and morality “in the icy waters of egotistical calculation” the reason for humanities
WHY DID THE WALL STREET CRASH HAPPEN IN 1929? The Wall Street crash which happened on 29 October 1929 was one of the most depressing events in the history of America. This happened because people lost their wages b 60%, 14 million people were unemployed by 1933, banks went bust and also US trade slipped from $10 billion to $3 billion. The Wall Street crash happened due to some reasons: one reason was, the Americans were buying consumer goods on credit, especially cars and houses they did this because, they didn’t have enough money, and therefore if they get the money they will be able to pay. Another reason was that speculation was rife, because people believed the stock market was easy so 20 million Americans invested but only 1.5 million people had serious knowledge of the market.
By the 1780’s the government was nearly bankrupt, and half of government income was going on paying debts. One of the reasons to explain why there was a money deficit was taxes. The huge anomalies in the taxation system, whereby the richest were not taxed, caused there to not be enough income for the government to do its job properly. The taxes did increase under the rule of Louis XVI; however this only affected the poor even worse. Calonne, the finance minister between 1783 and 1787, introduced a series of reforms to improve the economy, in which the king stood by, but the notables
When the stock market collapsed on Wall Street in October, 1929, it sent financial markets worldwide into a meltdown this was tragic for the German economy. The German economy was vulnerable because it relied on loans from America and exports to fuel it. German workers were laid off. Along with this, banks failed. Inflation soon followed making it hard for families to purchase expensive necessities with devalued money.
The inflation rate rose so dramatically that the German currency lost virtually all value. Paper money was as good as worthless. This caused many people, especially in the middle classes to fall into poverty. Many never trusted the Republic again. In 1924 the crisis was brought to an end by the Dawes Plan, which restored the value of the currency.
A total war requires money. This is accomplished in several ways, most of which affect every American citizen. Corporations stop making their regular products to manufacture goods needed for war. The government provided loans, but generally only the biggest corporations received them. This forced many small businesses to fail because they couldn’t compete.