ILRLR 1845 Lecture Notes - Lecture 7: Deflation, Money Supply, Jacksonian Democracy

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Making it easier to get goods to markets. Jacksons the democracy movement - clear and settle land. Jacksons goal to clear the way for colonials to take native land. So catchy because economic inequality was growing. Idea that second bank would be capital pool for rich merchants so jackson against this. Slowing pace for colonialism in west to convert resources into infrastructure. Clarified policy commitment to ensure federal rev goes into infrastructure. New boundary lines being draw by jackson grew tension. Forced removal of natives to west of mississippi. Mid 1830s looks like a reprise of the jeffersonian period. Removal of natives made room for property and land. Second bank 19 branches powerful source of revenue. Boom period in american capitalism but short. Creditors in the cotton market were hard-pressed to pay loans. Farmers also hit hard, credit dried up, people hoarded cash. Second banks financial obligations exceed reserves by factor of 10.

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