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Chapter 8

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Chapter 8. A Growing Economy. End of war allowed US to resume economic growth and territorial expansion. Postwar boom led to disastrous bust in 1819. War stimulated the growth of manufacturing- cut off chaos in shipping, banking and exposed the weakness in the transportation systems. - PowerPoint PPT Presentation
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Page 1: Chapter 8

Chapter 8Chapter 8

Page 2: Chapter 8

A Growing EconomyA Growing Economy• End of war allowed US to resume economic growth and End of war allowed US to resume economic growth and

territorial expansion. Postwar boom led to disastrous bust territorial expansion. Postwar boom led to disastrous bust in 1819. in 1819.

• War stimulated the growth of manufacturing- cut off chaos War stimulated the growth of manufacturing- cut off chaos in shipping, banking and exposed the weakness in the in shipping, banking and exposed the weakness in the transportation systems.transportation systems.

Page 3: Chapter 8

A Growing EconomyA Growing Economy• Political issues coincided with the Political issues coincided with the

economic development- economic development- reestablishment of the national reestablishment of the national bank, protecting the industries and a bank, protecting the industries and a national system of roads and national system of roads and waterways. waterways.

Page 4: Chapter 8

A Growing EconomyA Growing Economy• First National Bank- charter expired First National Bank- charter expired

in 1811; large number of state banks in 1811; large number of state banks began to operate. State banks did began to operate. State banks did not hold enough gold or silver to not hold enough gold or silver to redeem notes on demand. redeem notes on demand.

Page 5: Chapter 8

A Growing EconomyA Growing Economy• Second Bank of the US- chartered by Second Bank of the US- chartered by

congress in 1816, had more capital congress in 1816, had more capital than its predecessor. Could not than its predecessor. Could not forbid state banks from practicing, forbid state banks from practicing, but was more dominant than state but was more dominant than state banks. banks.

Page 6: Chapter 8

A Growing EconomyA Growing Economy• New factories could start operations New factories could start operations

virtually assured of quick profits. In virtually assured of quick profits. In 8 years (1807-1815) the number of 8 years (1807-1815) the number of cotton spindles increased 15 fold. cotton spindles increased 15 fold.

Page 7: Chapter 8

A Growing EconomyA Growing Economy• Francis Cabot Lowell developed a Francis Cabot Lowell developed a

power loom. Organized the Boston power loom. Organized the Boston Manufacturing Company and, at Manufacturing Company and, at Waltham- the first mill to spin and Waltham- the first mill to spin and weave under the same room. weave under the same room.

Page 8: Chapter 8

A Growing EconomyA Growing Economy• British ships were determined to British ships were determined to

recapture their lost market. Swarmed recapture their lost market. Swarmed American ports with British goods at American ports with British goods at lower prices.lower prices.

• Protective Tariff- 1816 passed a law that Protective Tariff- 1816 passed a law that effectively limited competition from effectively limited competition from abroad on a wide range of items, most abroad on a wide range of items, most notably cotton cloth. Objections came notably cotton cloth. Objections came from agricultural interests who would from agricultural interests who would have to pay the higher prices. have to pay the higher prices.

Page 9: Chapter 8

A Growing EconomyA Growing Economy• The transportation system was The transportation system was

needed to transport materials to needed to transport materials to domestic markets. domestic markets.

• Construction of the National Road Construction of the National Road began in 1811 at Cumberland, began in 1811 at Cumberland, Maryland. By 1818 the National Maryland. By 1818 the National Road ran to Wheeling, Virginia on Road ran to Wheeling, Virginia on the Ohio River. the Ohio River.

Page 10: Chapter 8

A Growing EconomyA Growing Economy• Lancaster Pike towards Pittsburg moved Lancaster Pike towards Pittsburg moved

stagecoaches, Conestoga wagons, private stagecoaches, Conestoga wagons, private carriages and other vehicles. The road carriages and other vehicles. The road lowered transportation prices across the lowered transportation prices across the mountains despite high tolls. mountains despite high tolls.

Page 11: Chapter 8

A Growing EconomyA Growing Economy

• Steam-powered Steam-powered shipping was shipping was steadily steadily expanding. By expanding. By 1816 river 1816 river steamers were steamers were beginning to beginning to journey up and journey up and down the down the Mississippi River Mississippi River to the Ohio River.to the Ohio River.

Page 12: Chapter 8

A Growing EconomyA Growing Economy• British blockade of Atlantic shipping British blockade of Atlantic shipping

caused coastal roads to become caused coastal roads to become crowded and choked. Ferries were crowded and choked. Ferries were the only means to cross rivers. the only means to cross rivers. Serious shortage of goods and high Serious shortage of goods and high prices reached cities. prices reached cities.

Page 13: Chapter 8

A Growing EconomyA Growing Economy• Internal Improvements- John C. Internal Improvements- John C.

Calhoun introduced a bill that would Calhoun introduced a bill that would use the funds owed to the use the funds owed to the government by the Bank to finance. government by the Bank to finance. Vetoed by Madison on his last day, Vetoed by Madison on his last day, claimed he supported the purpose claimed he supported the purpose but didn’t believe that Congress had but didn’t believe that Congress had authority to fund improvements authority to fund improvements without constitutional amendment. without constitutional amendment.

Page 14: Chapter 8

Expanding WestwardExpanding Westward►1820 Census- settlers had pushed 1820 Census- settlers had pushed

passed the Mississippi River. One out passed the Mississippi River. One out of every four white Americans lived of every four white Americans lived west of the Appalachians. west of the Appalachians.

►Population nearly doubled (from 5.3 Population nearly doubled (from 5.3 million to 9.6 million)million to 9.6 million)

►Great Migration- left the city due to Great Migration- left the city due to crowding. crowding.

Page 15: Chapter 8

Expanding WestwardExpanding Westward►The south spread The south spread

of the plantation of the plantation system limited system limited opportunities for opportunities for new settlers. The new settlers. The war of 1812 war of 1812 helped diminish helped diminish Native American Native American oppositionopposition

Page 16: Chapter 8

Expanding WestwardExpanding Westward►““Factor” system- government factors Factor” system- government factors

(agents) supplied the tribes with goods (agents) supplied the tribes with goods at costs. Worked to drive Canadian at costs. Worked to drive Canadian traders out of the region. Created a traders out of the region. Created a situation of dependency which forced situation of dependency which forced Native American cooperation. Native American cooperation.

Page 17: Chapter 8

Expanding WestwardExpanding Westward►Cotton lands in the South were losing Cotton lands in the South were losing

their fertility through over planting. their fertility through over planting. ►““Black Belt”- more fertile cotton land in Black Belt”- more fertile cotton land in

Alabama and Mississippi. Migration to Alabama and Mississippi. Migration to the west came with livestock, the west came with livestock, wagonloads, slaves and families. wagonloads, slaves and families.

►New States: Indiana (1816), Mississippi New States: Indiana (1816), Mississippi (1817), Illinois (1818) and Alabama (1817), Illinois (1818) and Alabama (1819)(1819)

Page 18: Chapter 8

Expanding WestwardExpanding Westward►Mexico, continued to control Texas, Mexico, continued to control Texas,

California and other southwest regions, California and other southwest regions, won independence from Spain in 1921. won independence from Spain in 1921. Almost immediately it opened Almost immediately it opened northern territories to trade with the northern territories to trade with the United States. Merchants from the United States. Merchants from the United States quickly displaced Indians United States quickly displaced Indians in the southwest and Mexicans. in the southwest and Mexicans.

Page 19: Chapter 8

Expanding WestwardExpanding Westward►William Becknell- began to offer William Becknell- began to offer

American manufactured goods for sale American manufactured goods for sale for remarkably lower prices; Mexico for remarkably lower prices; Mexico lost markets in its own colony. lost markets in its own colony.

►Astor’s American Fur Company – Astor’s American Fur Company – Founded by John Jacob Astor and sold Founded by John Jacob Astor and sold interests to the Northwestern Fur interests to the Northwestern Fur Company (British operation in Canada Company (British operation in Canada

Page 20: Chapter 8

Expanding WestwardExpanding Westward►Henry and Ashley- founded the Rocky Henry and Ashley- founded the Rocky

Mountain Fur Company and recruited Mountain Fur Company and recruited white trappers to permanently hunt in white trappers to permanently hunt in the Rocky Mountains. The fur trappers the Rocky Mountains. The fur trappers in the west still depended on the in the west still depended on the eastern markets for material goods. eastern markets for material goods.

Page 21: Chapter 8

Expanding WestwardExpanding Westward► Trappers, for the Trappers, for the

most part, lived most part, lived peacefully with the peacefully with the Native Americans Native Americans and the Mexicans. and the Mexicans. Jedediah S. Smith Jedediah S. Smith led a series of led a series of forays deep into forays deep into Mexican territory, Mexican territory, resulting in battles resulting in battles with tribes. with tribes.

Page 22: Chapter 8

Expanding WestwardExpanding Westward►Western settlers Western settlers

were a source of were a source of drama and popular drama and popular stories for the stories for the eastern states. eastern states.

Page 23: Chapter 8

Expanding WestwardExpanding Westward►Stephen Long- dispatched by the Stephen Long- dispatched by the

government to chart the territories that government to chart the territories that they visited. Led nineteen soldiers on a they visited. Led nineteen soldiers on a journey up the Platte and South Platte journey up the Platte and South Platte River (Nebraska and Eastern Colorado). River (Nebraska and Eastern Colorado). Failed to find the headquarters of the Red Failed to find the headquarters of the Red River, but wrote an influential report River, but wrote an influential report assessing the region’s potential for assessing the region’s potential for development and settlement. “Great development and settlement. “Great American Desert.”American Desert.”

Page 24: Chapter 8

The Era of Good FeelingsThe Era of Good Feelings• Virginia Dynasty- James Monroe Virginia Dynasty- James Monroe

received 183 ballots in the Electoral received 183 ballots in the Electoral College. Opposed Rufus King of New College. Opposed Rufus King of New York. York.

• Monroe was a soldier in the Monroe was a soldier in the revolution, a diplomat and a cabinet revolution, a diplomat and a cabinet officer. His party faced no serious officer. His party faced no serious opposition. opposition.

Page 25: Chapter 8

The Era of Good FeelingsThe Era of Good Feelings• Secretary of State- J.Q. Adams. Secretary of State- J.Q. Adams.

Jefferson, Madison and Monroe had Jefferson, Madison and Monroe had all been sec. of state, seemed to be a all been sec. of state, seemed to be a footstep towards ensuring the footstep towards ensuring the Presidency. Henry Clay declined an Presidency. Henry Clay declined an offer to be secretary of war (named offer to be secretary of war (named Calhoun instead)Calhoun instead)

Page 26: Chapter 8

The Era of Good FeelingsThe Era of Good Feelings• Good Will Tour- Good Will Tour-

he was greeted he was greeted everywhere with everywhere with enthusiastic enthusiastic demonstrations.demonstrations.

• 1820- Monroe 1820- Monroe was reelected was reelected without without opposition. opposition.

Page 27: Chapter 8

The Era of Good FeelingsThe Era of Good Feelings• 1817- began negotiations with the 1817- began negotiations with the

Spanish minister, Luis de Onis, in Spanish minister, Luis de Onis, in homes of resolving the dispute and homes of resolving the dispute and gaining Florida for the US. gaining Florida for the US.

Page 28: Chapter 8

The Era of Good FeelingsThe Era of Good Feelings• The Seminole War- Andrew Jackson The Seminole War- Andrew Jackson

was in command of American troops was in command of American troops along the Florida frontier, had along the Florida frontier, had orders to “adopt the necessary orders to “adopt the necessary measures” to stop raids on American measures” to stop raids on American territory. Used the order as excuse, territory. Used the order as excuse, invaded Florida and captured invaded Florida and captured Spanish forts. Spanish forts.

Page 29: Chapter 8

The Era of Good FeelingsThe Era of Good Feelings• Adams-Onis Adams-Onis

Treaty- 1819, Treaty- 1819, Spain ceded all the Spain ceded all the Florida territory to Florida territory to the United States, the United States, gave up claim to gave up claim to territory north of territory north of the 42nd parallel. the 42nd parallel. In return American In return American governments gave governments gave up claims to Texas.up claims to Texas.

Page 30: Chapter 8

The Era of Good FeelingsThe Era of Good Feelings• Followed a period of high foreign demand Followed a period of high foreign demand

for American farm goods (caused high for American farm goods (caused high prices for American farmers), stimulated prices for American farmers), stimulated a land boom in the western United States. a land boom in the western United States.

• The availability of easy credit to settlers The availability of easy credit to settlers and speculators- from state and wildcat and speculators- from state and wildcat banks fueled the land boom. banks fueled the land boom.

• American’s saw the Panic of 1819 as a American’s saw the Panic of 1819 as a warning that rapid economic growth and warning that rapid economic growth and territorial expansion would devastate the territorial expansion would devastate the nation and threaten its survival. nation and threaten its survival.

Page 31: Chapter 8

Sectionalism and NationalismSectionalism and Nationalism►Missouri Compromise- Missouri (MO) Missouri Compromise- Missouri (MO)

applied for admission to the Union in 1819. applied for admission to the Union in 1819. Tallmadge (NY Representative) proposed an Tallmadge (NY Representative) proposed an amendment which would prohibit further amendment which would prohibit further introduction of slaves into MO and provide introduction of slaves into MO and provide for gradual emancipation of slaves already for gradual emancipation of slaves already there. Maine was rallying for statehood as there. Maine was rallying for statehood as well. Congress was worried about throwing well. Congress was worried about throwing off the balance of free vs. slave states. off the balance of free vs. slave states. Maine was added as a free state and Maine was added as a free state and Missouri was added as a slave state. Missouri was added as a slave state.

Page 32: Chapter 8

Sectionalism and NationalismSectionalism and Nationalism

“The American continents henceforth are not to be considered as subjects for future colonization by any European Powers…”

James Monroe

Page 33: Chapter 8

Sectionalism and NationalismSectionalism and Nationalism► John Marshall, Chief Justice from 1801 John Marshall, Chief Justice from 1801

to 1835. Molded the development of to 1835. Molded the development of the Constitution: strengthened the the Constitution: strengthened the judicial branch, increased the power of judicial branch, increased the power of the federal government and advanced the federal government and advanced the interest of propertied and the interest of propertied and commercial classes. commercial classes.

Page 34: Chapter 8

Sectionalism and NationalismSectionalism and Nationalism►Fletcher vs. PeckFletcher vs. Peck- arose out of a series of - arose out of a series of

land fraud in Georgia. Marshall yielded land fraud in Georgia. Marshall yielded that land grants were valid contracts and that land grants were valid contracts and couldn’t be repealed even if corrupt. couldn’t be repealed even if corrupt.

►Dartmouth vs. Woodward- Dartmouth vs. Woodward- Republicans Republicans tried to revise Dartmouth’s charter to tried to revise Dartmouth’s charter to convert it to a private college. Marshall convert it to a private college. Marshall ruled in favor of Dartmouth, proclaiming ruled in favor of Dartmouth, proclaiming that corporation charters were contracts that corporation charters were contracts and inviolable. and inviolable.

Page 35: Chapter 8

Sectionalism and NationalismSectionalism and Nationalism►Cohens vs. VirginiaCohens vs. Virginia- Marshall affirmed - Marshall affirmed

the constitutionality of federal review of the constitutionality of federal review of state court decisions. state court decisions.

►McCullough vs. Maryland- McCullough vs. Maryland- confirmed the confirmed the “implied” powers of congress by “implied” powers of congress by upholding the constitutionality of the upholding the constitutionality of the Bank of the United StatesBank of the United States

►Gibbons vs. Ogden- Gibbons vs. Ogden- strengthened the strengthened the court’s power to regulate interstate court’s power to regulate interstate commerce. commerce.

Page 36: Chapter 8

Sectionalism and NationalismSectionalism and Nationalism► Johnson vs. McIntosh- Johnson vs. McIntosh- sold parcels of their sold parcels of their

land to a group of white settlers but later land to a group of white settlers but later signed a treaty with the federal government signed a treaty with the federal government ceding the territory. Marshall’s ruling ceding the territory. Marshall’s ruling favored the United States. But eliminated favored the United States. But eliminated private citizens from buying land from private citizens from buying land from Natives. Natives.

►Worchester vs. Georgia- Worchester vs. Georgia- the court the court invalidated Georgia laws that attempted to invalidated Georgia laws that attempted to regulate access by US citizens to Cherokee regulate access by US citizens to Cherokee country. country.

Page 37: Chapter 8

Sectionalism and NationalismSectionalism and Nationalism► New Nations were forming in Latin America New Nations were forming in Latin America

when the Spanish Empire weakened. American when the Spanish Empire weakened. American merchants were waiting to capitalize on the merchants were waiting to capitalize on the markets in Latin America. markets in Latin America.

► The Monroe Doctrine- “The American Continents The Monroe Doctrine- “The American Continents are henceforth not to be considered as subjects are henceforth not to be considered as subjects for future colonization by any European for future colonization by any European powers.” The US would challenge foreign powers.” The US would challenge foreign powers in the nature of an unfriendly attack. powers in the nature of an unfriendly attack.

► American’s feared that Spain and France would American’s feared that Spain and France would align to reclaim the lost land in Spain’s empire. align to reclaim the lost land in Spain’s empire.

Page 38: Chapter 8

The Revival of The Revival of OppositionOpposition

• Jackson received Jackson received more popular votes more popular votes and electoral votes and electoral votes than any other than any other candidate, but not candidate, but not a majority. The a majority. The House had to House had to choose who the choose who the next president next president would be. would be.

Candidate Electoral Vote

Popular Vote

House Vote

Jackson 99 153,544 7

Adams 84 108,740 13

Crawford 41 46,618 4

Clay 37 47,136 -

Page 39: Chapter 8

The Revival of The Revival of OppositionOpposition

• Jackson and Clay were political Jackson and Clay were political enemies. Clay supported Adams. enemies. Clay supported Adams. Jacksonians believe that Clay Jacksonians believe that Clay ensured Adams the votes in the ensured Adams the votes in the House of Representatives in House of Representatives in exchange for the position of exchange for the position of Secretary of State. Secretary of State.

Page 40: Chapter 8

The Revival of The Revival of OppositionOpposition

• Adams proposed an ambitious national Adams proposed an ambitious national program reminiscent of Clay’s program reminiscent of Clay’s American System. Blocked by congress. American System. Blocked by congress.

• Appointed delegates to an international Appointed delegates to an international conference called by Venezuelan leader conference called by Venezuelan leader hosted in Panama in 1826. Congress hosted in Panama in 1826. Congress opposed the idea of white delegates opposed the idea of white delegates mingling with black delegates. mingling with black delegates. American delegates didn’t arrive until American delegates didn’t arrive until the conference was over. the conference was over.

Page 41: Chapter 8

The Revival of The Revival of OppositionOpposition

• 1825- Georgians extracted a new contract 1825- Georgians extracted a new contract from McIntosh. Proceeded with plans for from McIntosh. Proceeded with plans for Indian removal. Indian removal.

• Tariff of Abominations- 1828 high tariff on Tariff of Abominations- 1828 high tariff on imported goods. Originated with demands imported goods. Originated with demands in New England States who were in New England States who were suffering from Britain’s overflow in suffering from Britain’s overflow in American markets. Southerners American markets. Southerners complained about the tariff- Britain’s complained about the tariff- Britain’s goods were cheaper for them to purchase. goods were cheaper for them to purchase.

Page 42: Chapter 8

The Revival of The Revival of OppositionOpposition

• Election of 1828- Adams vs. Jackson. Election of 1828- Adams vs. Jackson. Adams (National Republicans) ran Adams (National Republicans) ran on the platform of economic on the platform of economic nationalism. Jackson (Democratic nationalism. Jackson (Democratic Republicans) called for an assault on Republicans) called for an assault on privilege and a widening of privilege and a widening of opportunity. Jacksonians charged opportunity. Jacksonians charged that Adams had taken advantage of that Adams had taken advantage of his position in power. his position in power.

Page 43: Chapter 8

The Revival of The Revival of OppositionOpposition

• Jackson won 56% of Jackson won 56% of the popular vote and the popular vote and an electoral majority an electoral majority of 178 votes to 83. of 178 votes to 83. Won New England Won New England and the Mid-and the Mid-Atlantic. America Atlantic. America now had an “era of now had an “era of the common man.”the common man.”